El Paso herald. (El Paso, Tex.) 1901-1931, 1914-11-28

ers annually The majority of the
standard companies have a provision
in their charter which limits the prof
its of stockholders to a lower percent
age on the invested capital than the
average business man earns on his in
vested capital.
Life insurance contracts have also
become more liberal Few of them
contain any restrictions as to resi-
dcnce travel change of OccuDatfOn or
manner of death, with the exception of
suicide the first year. Each year re-
strictiOns grow less and privileges
greater The standard companies are,
perhaps more careful in the kind of
people they insure than they used to
be- but when contract is once issued
in good faith, the company expects to
be bound by its contract and pay the
loss when it occurs Practically all
new contracts issued contain this pro-
vision. All statements made bv the
insured in applying for this policy
shall be, in the absence of fraud,
deemed representations and not war
ranties" In the earlier days of life
insurance one was expected to tell the
age at death of relatives on both
sides of the family, including grand
parents and great grandparents, and to
know the cause of their death It used
to be fact that if a brother, sister
or parent had died of tuberculosis, it
was almost impossible to get life in
that the great danger from tuberculo-
sis comes from cOntagiOn through close
association rather than inheritance and
decide accordingly.
Policies Have Value.
''Ir the early days the man who
failed to meet his payments when due
I lost all he had paid, no matter how
/ long his policy had been in force. Now,
after the contract has been in force a
] few years, this is impossible and it
! = % fba mol
/ lev also has definite surrender values
| in cash, paid up insurance, or extended
! insurance plainly stated in the con-
| tract These increase each year, and
! the specific figures are given for each
! year Once made in good faith, the
/ companv can never withdraw from the
/ contract as long as the policy holder
! does his part. In this respect life in
! surance is different from fire insur-
ance, accident insurance and other
| kinds.
Life insurance has also become a Vi
| tai necessity in the financial world.
Two men, in a partnership, can carry
/ insurance which will be payable to the
| survivor and provide fund to pur-
] chase the deceased partners interest
| in the business. A corporation may
| insure the life of its chief executive,
| thus protecting itself against the loss
of his executive ability and proved ef-
| ficiency. A man who desires to leave
! money to a church or college may take
out a policy for any amount and pay
for it while he lives. Another who
has a mortgage on his property may
carry insurance for the amount of the
mortgage so that, in event Of death be-
fore the loan is paid, there will be cash
on hand to meet the obligation at once.
1T is possible to provide for boys
education 20 years ahead, by taking a
policy which natures at the time the
boy is ready for college, and which will
be paid to him in the event of your
prior death, in fact tire are no condi-
tons which arise today which cannot
be met and provided for through life
! insurance providing you are in gooC
( health at the time the contract begins
and can pass a satisfactory physica
| examination