Evening star., 1935-05-22

Observance Of National Life In
surance Week" with its background of
successful operation by life insurance
companies through the years of de-
preston, is the occasion of a remark
able f1ow of tributes to the business
by the press.
Studying the record of the depres-
sion, the Wheeling Register makes
the comment: The experience of the
last five years has proved even to the
unknowing and the unbelieving the
value of insurance. While other fnan-
cial institutions were failing. while
savings deposits were vanishing, while
money was being frozen in many diff
ferent places, the insurance compa-
MES OF the country continued to pay
out. Undoubtedly it can be said that
no other form Of investment stood
up as well during the depression as
did insurance"
Back in the halcyon days of fnan-
cial madness and delusionS Of gram
deur," suggests the Knoxville( Tenn.)
Journal, 1.-The conservative policies OF
the great insurance companies were
frequent objects of derision. But
when the pin of reality pricked the
bright bubble and air castles tum-
bled to dust and deficits the insurance
companies stood strong and firm
amidst the chaos Their investments.
conservatively made, were liquid in a
world of frozen assets. The meaning
of such stability is difficult to grasp.
During 1884" records the Wichita
(Kans.) Eagle, $2.700,0 ,000,0 900 was paid
to seven million families as benef1ict-
aries. During the same period less
than half that sum was the total OF
all Government relief payments to
families. When the depression was at
its worst the insurance companies
were paying out six million dollars
per day, but their income exceeded
disbursements. Life insurance is OF
proved social benefit In trying times
something conservative to tie to dur
ing hazardous investment perlods.
That Is why from to 8 per cent OF
sll Americas income Is going into me
insurance premiums, compared Win
only per cent in 1929"
During the five-year period, ac-
cording to the Helena Montana Rec
ord-Herald, "the people of the united
States purchased an average OF more
than fifteen billion dollars OF new LIE
insurance protection every year. Dur
ing the years I930-34, inclusive, more
than thirteen billion dollars was dis
tributed BY the insurance companies
tn policy holders and benefciaries, an
average of about $2,7O0,OOO,OOO per
wear. These figures become even more
sirnificant when it is considered that
the total life insurance payments dur
ing the five-year period were equal
to about one-tenth Of all wages paid
out. and were several times greater
than the total of all governmental
relief expenditures for the period"
"At the end of 1884" states the
Miami (Fla.) Herald, "the American
Life insurance companies had total
assets of $21, 300, ,000,00 This money
Is invested in securities Of the United
States, in the business, the railroads,
the utilities, the real estate. What
weakens them weakens the protection
back of your policies"
"a great deal of talk is heard these
days." observes the Hartford Comm
Courant, about social security legisla-
ton, but the more nearly the indi-
yidual, by his own initiative and thrift,
can provide for himself and those de-
pendent upon him the better it is for
him and for the taxpaying public" ="
The Indianapolis Star remarks that