The Appeal. [volume] (Saint Paul, Minn. ;) 1889-19??, 1918-06-08
HOW THE GOVERNMENT STRENGTHENS
FIGHTER and SAFEGUARDS HIS HOME
uncle Sans War Risk Insurance Offers Protection at CostGov
eminent Assumes All Administrative Costs and Extra War
Observation-Disclosures Exceeds by Several Hundred Per
Cent Largest Insurance Company in World.
BY JAMES II. COLLINS.

BY JAMES II. COLLINS.
<From Committee Public Information.)
On October 6, 1917, the war-risk in
surance law went into effect, provid-
ing for protection of our soldiers, sail
ors, and marines and their families.
On April 6, 1913, only six months lat
er, Uncle Sam had written approx
mately $14,OO0,0OO, 900 of war risk in
surance on his fighting forces, cover
ing upward Of 100000 persons in the
military and naval service. For allot-
ments and allowances alone, approx
mately 100000 checks aggregating
more than $43,OOO,OOO have already
been sent. 1t will not be long before
the bureau will be sending out a mil
lion checks month.
We have spoken Of it as "the war
risk insurance law" Technically
this is correct; actually, it is mislead-
ing; for the legislation that went into
effect ON October 6, 1917, was really
a group Of laws-four acts co-ordinat-
ed for a common purpose. The first
measure in this unprecedented pro-
gram of protection Is the system Of
allotments and allowances, in which
the fighter and the government are
partners for the care of the families
of all enlisted men in the military or
naval service.
The second measure provides for
stated compensation for death and dis
ability incurred in the line of duty.
This is the modern American substi-
tute for pensions. The compensation,
which ranges from $40 to 500 a month,
is paid automatically by the govern
ment to certain specified beneflciaries,
regardless Of rank or pay, and without
any cost to the recipient.
The third measure of protection is
outright government insurance against
death and total permanent disability.
In this, the United States is pioneer
among the nations Of the world-offer-
ing insurance up to $4,000 to every
member Of it's fighting forces, at net
peace rates. The government assumes
all overhead charges and costs of adj
ministration, thus making the rates al
most incredibly low. This insurance
is a supplemental form Of protection,
stimulating thrift and strengthening
self-respect.
immensely of Bureaus Work.
The fourth measure OF protection
embodied in the military and naval
insurance act is the system of re-edu-
cation and rehabilitation of the men
disabled in the warm itself task
of vital Importance and great magni-
tude.
The figures given convey an idea Of
the immensely Of the bureaus work.
The insurance now on the books of
the Bureau Of War-Risk Insurance
exceeds by several hundred per cent
the insurance held by the largest life
insurance company in the world.
TO cope with the hydra-headed prob
lem imposed upon it, the Bureau of
War Risk Insurance has been forced to
expand at an exceedingly rapid rate.
The bureau now occupies space In
eight separate buildings, covering an
area of more than 100000 square feet,
and has personnel Of more than g.
300, working in two shifts, from nine
o'clock in the morning till midnight.
1t may be asked why the govern
ment, in addition to family allowances
and liberal compensation, should offer
insurance against death and disability
to it's fighting men. The justification
for this sweeping innovation is simply
this: The government by calling a
man to war takes him into the most
hazardous business in the world, and
thus destroys his instability. In re-
turn, it is only fitting and proper that
the government should 60 into the in
surance business for his benefit. Pri-
vate insurance companies could not
possibly insure soldiers and sailors ex-
cept at prohibitive rates. At a con-
ference of life insurance representa-
tives in Washington, when the pres
ent act was discussed, it was stated
that $5S a thousand was the lowest fig
ure at which any insurance company
could afford to accept soldiers and sail
ors as risks, and that only for one year.
Thus, $4,000 life insurance, which IN
der the government system would cost
a soldier twenty-six years old 5000,
would cost about $3.50 with a private
insurance company. This disparity is
largely explained by the governments
liberality in itself assuming all the ad-
ministrative costs and the extra war
hazards.
SuppIants Pension System.
The entire system of protection af.
forded by the government is, In the
words Of major general in the army,
an element Of victory in the present
war. Families provided for means
fighters unafraid.
The difference between the old pen.
sion system and the modern system
which has supplanted it is clearly
demonstrated by the case Of Mrs. Bet.
ty Ingraham, 4O3 Third street, Plat
City, Ala, the first woman to receive
a check from the Bureau of War-RisB
Insurance for soldier or sailor killed
in action in the present war. Her son
Gunner's Mate Osmond Kelly Ingra
ham, was killed October. Is, 1917, wher
the q. S. S. Cassin was attacked BY
German submarine.
Under the terms Of the military ani
naval insurance act, Mrs. Ingraham
being widowed mother dependent up
on her son for support, will receive 81
per month, as long as che lives, unless
E3st