River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1919-01-16

guage country. If we do we cannot
claim to be a cultured people, nor
shall we be equipped to carry on COM
merce with the balance of the world.
In our own private and parochial
schools a sufficient course of English
should be carried. This should in
clude reading, writing, American his
tory, and ciyics This is clearly in
the interest of the children, but moth
ing should be done that will in any
way interfere with religious instruc-
lions or religious services. l take
the position that he who prays to his
Deity shall have the right to do SO in
the language of his own choice. And
again, it must be understood that the
right to carry on religious services in
foreign language shall not be used
as a propaganda against our country
and it's institutions.
State Life Insurance.
/ wish to call your attention to the
conditions of the state life insurance
fund, and in that Connection I sub
nit the following report which / have
received from the Commissioner of
Insurance:
I'm 1911 section 1989m was enacted.
This statute provided for State Life
Fund to be managed by the state
without obligation on the part of the
state except to the extent of the fund.
Policies were issued in 1913-at the
end of that year 239 policies had been
issued granting $147,50000 of insur-
ance.
I'm 1914, SO policies for $82,8OO.OO of
insurance were issued and policies
for 100000 insurance 1apsed. In 1915,
II policies for $70,50O.OO insurance
were issued, 2 policy-ho1ders with
100000 insurance died, 1 surren-
dered and lapsed. In 1916, "a poll
cies for $8O,20OOO were issued, 1
policy-holder died, surrendered and
IA lapsed. In 1917, q policies for
$21 100000 were issued, surrendered
and 1 lapsed. In 1918, II policies were
issued, people with $5,000.00 of in
surance died, people with 100000
insurance surrendered and people
with 100000 insurance lapsed.
There are in force 461 policies for
1919, 10000 of insurance.
"The Insurance Department has
kept up continuous campaign for
business through circularizing avail
able lists-state banks and local Off
Gals do not send in business"
It will be observed that the fund is
now carrying a total of $379,7OOO0 Of
insurance. The total assets of the
fund on January 1, 1919, were $685.
676.08. The death losses for the year
1918 exceeded the expected by about
40 per cent. With so small an amount
of insurance in force sharp fluctua-
tons in mortality experience are like
ly to occur. A few years of unfavor-
able experience would deplete the
surplus and impair the reserve. The
state is liable only to the extent of
the fund and if the reserve is i'm
paired the policies are not worth one
hundred cents on the dollar.
The state should not continue sys-
tenn of life insurance that does not
guarantee the full value of the policy
in fact if this type of insurance is
permitted to continue I would regard
it as moral obligation on the state
to make good any loss that the policy
holder might sustain for the reason
that the policy was sold by the state
and that in itself should be a guaran-
ty against any loss by the policy
holder and I am certain that it was ac-
cepted in that spirit.
| This fund is based upon the theory
that desirable life insurance risks vol
unfairly seek assurances. That theory
is unsound = they do not do so. If
this enterprise is to prosper and grow,
as it must to have a normal expert
ence, it must have an organization for
soliciting business. If the expense of
such an organization is incurred the
fund can offer no inducement not of
fered by privately managed life insruu-
ance companies and fraternal socie-
ties.
The present policy-holders can be
fully protected and their policies
guaranteed by reinsurance in a re-
sponsible company. Their present as
sets are sufficient for this purpose.
I recommend that you repeal the
statute under which this form Of life
insurance is being carried and direct
the Insurance Commissioner to rein
sure the present policy-holders in
reliable company.
"BIue Sky Law"
The Legislature of 1913 passed what
is commonly known as the "Blue Sky
| Law" It's purpose was to protect the
people of the state against false repre-
sensations in respect to the value of
stocks and bonds that are offered for
sale to our people.
| In the administration of this law it
is found that it is always difficult, and
sometimes impossible, to determine
the value of the property that that
type of obligation frequently repre-
sents, particularly when the corpora.
lions that issue the securities are dom
| iciled in other states and the property
| o1c0 1oootod