San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1925-09-14
DIE To WIN"
THEORY IS
EXPLODED
Life Insurance Covers Old
Age, Education as Well
as Death Debts.
By N. v. HENDERSON

The Texas Life Insurance Com
pany, which / have represented as
agency manager in this territory for
the past eighteen years. is the oldest
Texas life Insurance Company, hav-
ing been the first institution of this
kind organized in Texas. About 1909
cutie a number of new companies
we're started of which at the present
time only about half remain, the
others having merged with the more
successful ones.
In these mergers, policyholders did
not lose a penny as the absorbing
companies in taking over the reserves
Of the smaller ones were obligated to
carry out all policy provisions and
guarantees so that the policyholderS
were fully protected and provided for.
| mention this to show the soundness
and correctness of the principle of
Legal Reserve life insurance-not-
withstanding the fact that the origi-
nal companies may have gone out of
business. yet the reserves required I'M
der the law were more than adequate
to take care of all policy obligations.
AID TO INSURANCE.
The theory of Legal Reserve Tor so
called "0ld Line') life insurance hav-
ing been so thoroughly tested and
proven is no doubt one of the causes
of the great growth Of life insurance
in the United States. The old idea
that the holder Of life insurance pol
icy had to die to win has been very
definitely exploded, and people arc
buying more and more life insurance
because of the common knowledge that
it is the one medium by which the
uncertainties Of the future may be
provided for. In the usual course OF
events one of four things may happen
to every individual:
He Tor she) may die before reach
ing the goal of his ambition and dy-
ing leave undone many things which
he would like to have accomplished.
He may live until the infirmities OF
old age make it impossible for him
to earn his living, and he must then
live upon his savings or upon the
charity of others.
He may become disabled. and not
only be unable 10 earn, but be bur
den upon others.
He may be unfortunate financially
and have TO start all over again.
In any oIe of these life insurance
plays a most important part, and it is
the only investment that can be made
which covers all of these contingen-
cies.
The spplicat ton Of life insurance in
establishing funds for special pur-
poses, such as the education of chill
dren, incomes for the insured ut old
age. as well as for dependents. for in
heritance tax coverage, and the grow
ing need for the protection OF various
business organizations and as a basis
Of credit have all been factors in caus-
ing the enormous increase in the buy
ing Of life insurance. Statistics show
that the average size of policy has
greatly increased within the past eight
years, and the average amount of life
insurance per capita has increased to
an even greater extent.
Furthermore, age and insurance linn
its have been extended and enlarged
twenty years ago when 1 was con-
nected with one Of the great New York
life insurance companies (at that time
the largest in the world the company
would only write women upon few Of
our multitude Of policy forms, and
charged women five dollars per thou
sand extra premium.
MANY CHANGES.
Today practically all companies
write women upon the same terms and
rates as men. At that time we did not
issue policies for either sex under the
age Of IS. Today we write infants Of
6 months old and over, though our reg
ular forms Of policies are not issued at
the extreme younger ages.
Other remarkable changes have
marked the evolution of life insurance.
As data has been accumulated the
companies have gradually increased
the guarantees. options and privileges
to pOlicyholders until today a service
is rendered such as the founders OF
life insurance never dreamed.
When life insurance companies were
inauguratod in England some 200 or
more years ago. very little was known
about the length Of life on which 70
base calculations. and the earlier com
panies had to "play safe'-they Meth
er guaranteed what the premiums
would be. nor the amount which would
be paid at the maturity Of the policy.
AIDS SUCCESS.
About the year 1921 companies be-
gan 10 guarantee the minimum amount
which they would pay on policies az
maturity. In 1862 the first policy was
issued STIMULATING the total number Of
premiums which the insured would be
required to pay. Since that time poll
cies have been liberalized by granting
loans at low interest rates, cash
values. paid-up and extended insur'
ance. etc.
The modern life insurance policy
performs a manifold service-it fur
nishcs protection 10 beneficiaries. IL
enables the insured to keep his police
in force. il protects him and his in
forests and aids him 10 increase his
success in life.
TIE question is often asked: How
can life insurance companies do 50
muchI'
1T seems TO good IN be true is a
comment often heard. The fact is that
it is both good and true. The reason
may be summed up in two factors.
safety and compound interest"
Life insurance funds can only be
Q -.