Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1917-06-03

nv MORNING JOURNAL SPECIAL LaAsun WtNai
Washington, June 2.--Plans for is-
suing $4,000 free government insur-
ance on the life of every American
soldier and sailor during the war in lieu
of pension arrangements, will be TAX
en- up next week by the council Of ma
tional defense. 4 report prepared by
Assistant Secretary Sweet of the COM
merce department. ready to be sub
mitted, urges that the insurance be
provided through legislation before
American troops are sent to France.
The defense council took up the
question some weeks ago and turned
the whole subject over to the depart
ment of commerce for investigation.
The report now ready offers a long
list of arguments showing the advan-
tage of working out compensation
system before American lives are lost
IN the war.
$4,000 General Insurance.
The plans as prepared provide for a
flat insurance of $4,000 on the life Of
every officer and private In the mil,.i
tany aud naval seryes. 10 te paid trl
his beneficiaries without premiumss
government Insurance bureau
a government insurance bureau would
handle the whole subject and there
surance by which officers and men
desiring to do SO could take out
amounts higher than the $4,000 free
policy by paying premiums at peace
rates.
Insurance companies, 1t Is said. are
ready to approve the scheme if as
sured the government will not oontin-
ue IN the insurance business after the
W7r War hazards are so great few
companies are anxious to insure sol
oi"r3 And sailors except at high pre-
lH'lnla, officials have been told. al
though many companies who have on
their lists men now In the military
and naval service have not advanced
their premium rates.
Would End VITA, War.
AT the end Of the war. the govern
nent, it Is suggested. could turn over
to Insurance companies its premium
war business, dropping the flat $4,000
policies on all who leave the service,
but continuing 1t on men who remain
in the army or navy.
One argument advanced for the in
surance plan is that 1t would improve
the morale of the troops, since many
would so into battle much more will
ingly if assured their dependents
would be cared for II they we're killed.
The plan would provide also insur-
ance for partial or total disability. In
case of death the insurance would be
paid in installments whose amount
would be determined by a government
board.
TO Solve Problem Now.
Government officials are convinced
the best way to dispose of the pension
problem Is to meet it beforehand. The
history of the pension system since
the civil war has shown many abuses
which 1t is hoped to avoid by provid-
ing insurance before men are killed.
Officials hold that since many men
who will be drafted will be drawn
from occupations in which govern
ment and state laws compel compen-
sation for injury or death, the govern
ment cannot subject a man to more
risk than he encounters in his usual
occupation and not make compensa-
tion If he is wounded or killed.
United States to Garry Risks.
The success of the United States
government war risk insurance bu-
reau which has paid out large sums
for ship losses Is urged as an argu-
ment that the government itself can
bear the risk. The government, free
OF enormous overhead charges, can
carry extra insurance on soldiers and
sailors at much smaller cost than
can corporations. OF course. the
$4,000 insurance given free would be
a direct loss, but pensions. it is ar
gued, would be much more costly in
the long run.
Mr. Sweet will see heads Of insur-
ance companies in New York within
the next few days to discuss plans.