The Birmingham age-herald., 1922-02-19
Little Talks
 On Insurance

Tn my last talk the type made say non-essential Mutuals, whereas wrote non-assessaple Mutuals, Ill writing of the dltferent classes ol ll'ui 'iiN0 N panies.
 non-assessable policy means policy in which the contract provides that assessment can be made on the insured, and the limit of ms haolHty uhoef the contract is the amount of the premium charged $s
 Such policies are issued by many Mutual Com panies who have Reserve or Guarantee Fund to pro vide for the payment of any losses winch may occur in excess of the premium income, and these companies instead of making assessments out ot the proIs of the business dividends to their policyhoders Some pay dividend at the end of the year and others pay in the form of lower rate than that charged by the Stock or Tariff Trust Companies, an advance div idend at the beginning of the insurance
 The dividends returned premiums or rebates m the Mutual Companies run from 10 to 70 per cent of the premiums paid, and there are business men Tn Alabama who have had for several years returned 10 them dividends of 50 per cent of the premiums pad by them to Mutual Companies.
 The Guarantee or Reserve Fund referred to as pro- vided by Mutual Companies serves the same purpose as the Capital Stock of Stock Company, that is the protection of the pOcyhoder and cannot De used TOT any other purpose.
 The fundamental difference between Stock and a Mutual Company is that in Stock Company the Stockholders get all the profits and interested na their being large possible regardless of who else it may affect, while in the Mutual CompanSss the ] pocyhoders share in the profits and interested in keeping down fire losses and expenses as much as possible.
 good illustration of non-assessabe Mutual is the Mutual Life Insurance Company of New York Fms is purely Mutual Company which has pald millions of dollars in dividends to its polcyhoders, paid m- lions in loss claims, accumulated millions In assets and never made an assessment it's polcyholders.
 The Equitable Life, starting off with one hundred thousand dollars after paying millions in loss claims making millions in loans to pocyholders paid millions in dividends to policyholders and never made an sessment them.
 The New York Life, another Mutual Company, has paid millions in loss claims millions in dividends and never made assessment.
 The Penn Mutual Life and other Mutual Life Com panies too numerous to menton have paid dividends to policyholders for many years and never made an assessment
 There is long list of Mutual Fire Insurance Com panes who have paid all loss claims, large amounts in dividends accumulated large reserves and made an assessment their poicyhoders One of these in Ohio is 36 years old, has paid eight millions in losses returned six millions in dividends to it's policy holders and has cash assets of two million dollars W.
 Therefore, when agents of the Stock Insurance Companies or their employees their hired men of whatever class members of the Insurance Trust which has taken many millions from citizens of Alabama in the form of overcharges for insurance, feeling the competition, attack Mutual Companies, as Mutual Companies alleging that they not good for claims against them, that policyholders liable to sessment, show ignorance of the subject are so blinded by selfishness that they cannot the truth are deliberately attempting to mslead and deceive the public.