The L'Anse sentinel. (L'Anse, L.S., Mich.) 18??-current, 1913-02-22
FORCE PROVISIONS
OF RESERVE FUNDS
MEASURE BEFORE LEGISLATURE
WILL AFFECT ALL FRAZIER.
NAL ORGANIZATIONS.
BILL INTRODUCED BY oGG
Detroit Man Declares That MichIqan
Can Save $4,000 on Its Butter Bill
Annually by Substituting
Oleo.

Lansing.-With every expectation OF
being forced to undergo repetition of
the famous Mobile insurance law fight
OF two years ago, the joint insurance
committees have set February IS as
the date for hearing the opposition to
the law that is designed to bring all
insurance companies, fraternal as we'll
as old line, upon the reserve fund
basis.
This time, however the fight has
been narrowed down to less involved
questions, as number of technical
matters have been smoothed out by
amendments to the original Mobile
bill, and the question of the necessity
big bone of contention!
The bill will force every insurance
organization to make rates that will
provide reserve fund. which means
that practically all fraternals will
have to get on the old line basis of
premium charges. 1t also provides
that no organization can begin the ac-
tual business of conducting life in
surance company until it has secured
500 policies OF $1,000 each and has
$4,000 to start with 1t also provides
that the rates shall be based on the
fraternal congress or American table
figures.
The contentious for the necessity OF
a reserve fund are, Of course, well es-
tablished, and the hearings so far
have been confined largely TO repe-
tition OF the arguments of last year,
together with the submission of a
showing that, in contradiction of the
conditions last year. nearly all the Off
GERS Of the fraternal companies are
now in favor of the reserve fund plan.
Opposition TO the bill is confined to
the membership of the fraternal soci-
cites. who generally are opposed to
the officers, and the memberships of
. various organizations will be repre-
sented February IS by both attorneys.
and delegations. A few OF the smaller
societies, officers and members alike.
are fighting the Mobile bill hand in
hand.
The membership end OF the argu-
ment is that II life insurance is prop
erly conducted and properly pursued.
there can be no need for reserve
fund, and that the piling up OF re-
serve fund means the accumulation of
vast amounts of capital controlled in
each organization by few men.
Senator Robert Ogg of Detroit
says the state can save $4,000
annually on its butter bill. That the
state OF Michigan has some butter
bill, too, In these days Of high cost Of
living. is evidenced by the fact that
last year the state institutions used
about 121h tons of the oleagnous
bovine by-product or, to be exact.
252,S62 pounds, for which was paid
$104,S62.
AS it is now, Michigan has to use
butter. The law demands 1t. How
this law happened to be passed Is
beyond Senator Ogg or the other
members OF the legislaturel interested,
but It is supposed to have BEEN due to
some outbreak of early days. when
making a substitute for the natural
product Of the mildeyed Jersey was
regarded as akin to spookery. Any
way. the laws there, and 1t prevents
the use Of single ounce of butterine,
oleo or other substitute.
Senator Ogg has now introduced a
bill repeating the prohibition on oleo,
etc, and has gathered several sheets
of statistics which show the average
price OF butter paid by the state for
the year to have been 27.3 cents. Mar
quette prison got the lowest price.
1886 cents per pound.
Paying an average OF 20 cents per
pound for oleomargarine or other
good substitute for butter will save
the state $4,000 per year." said Sen
ator Ogg. IL have here letters from
practically every authority of every
state institution expressing willing
ness to use a substitute. Everyone
nowadays knows that the substitutes
are often better than the real article"