6. Has the annual Mortality experienced, or the expenses o management, exceeded the assumptions on which the Company's premiums were based? ANSWER-Far short of calculations. 7. Who made the last Valuation of your outstanding Policies, as detailed above under the heading of Liabilities, and upon what principles and in what manner was the same made, whether by valuing the gross or net premiums, by grouping the policies, or by seriatim calculations, or how otherwise? 8. How often does the Company declare dividends or bonuses of surplus, and when and in what manner are the same paid ?-and are such dividends made upon the basis of an equal percentage upon premiums, or how otherwise, and upon what principles? ANSWER-1st. In advance. 2d. When Premiums with interest equal amount of insur 3d. When the assurance is paid beyond the second bonus period. ance. 9. What proportion of the net present value of a Policy (calculated on the Company's assumptions of Mortality and Interest) is given as a surrender value? ANSWER-Total, less any expenses. 10. Within what period, and upon what terms, may Policies lapsed by the non-payment of premium be revived, and what is the established practice and rule of the Company in reference to this class of Policies? ANSWER-Depends on the case. 11. What are the limits of travel and residence allowed by the Company without extra premium? ANSWER-Anywhere, except in the tropics and within one hundred miles of the Gulf of Mexico. 12. What is the largest amount insured by the Company on any one life, and are insurances allowed in other Companies to an unlimited amount? ANSWER-Any amount, but re-insure over $5,000; always guarded about large insurances anywhere. 13. What is the largest percentage of premium allowed to be taken in Notes or other wise on credit? ANSWER-Fifty per cent in negotiable paper, properly endorsed. 14. How many days of grace," if any, are allowed for the payment of premiums? ANSWER-None. 15. Are Policies ever issued under an assumed age, differing from the real age of the party insured? ANSWER-Almost always at a rated one, as they ought to be. 16. Are policies ever issued for the benefit of persons having no legal or actual interest in the lives insured, or in excess of such interest? ANSWER-Not if known. 17. What amount, if any, of existing policies, were issued on diseased, unsound or impaired lives? ANSWER-Doubtless some unintentionally, as in all Companies; known and charged rates which make them sound; forty-three policies insuring $111,000. 18. What is the estimated number of Female lives insured by the Company? ANSWER-Thirty-nine policies, insuring $102,000; three Joint Life policies, of which one member is a female insuring $3,000. 19. Does the Company issue Fire, Marine, Accident or Casualty policies of any kind, and if so, what kind? ANSWER-No. 20. Is the business of the Company transacted on the purely Mutual, the strictly Proprietary, or the mixed plan? If on the mixed plan, what proportion of the profits are apportioned to stockholders besides legal interest on their capital? ANSWER-Proprietary, but not in the usual sense, since the insured, especially if long lived, will receive larger returns than in any Mutual or mixed Company. 21. What amount or proportion of the outstanding Policies of the Company were issued on the non-participating scale? ANSWER-Short term policies. 22. What is the estimated amount of Cash premiums, premium Notes and credits received by the Company on existing policies? ANSWER-$150,869.31. 23. What is the aggregate amount of premiums received (including notes and credits), and also of Losses and Claims paid since the organization of the Company? ANSWERR-Amount of Premiums received, $151,659.75; amount of Losses and Claims paid, $4,000. 24. What amount of stocks and other securities are deposited in various States and Countries, under the laws thereof, for the protection of policyholders, and where have such deposits been made? ANSWER-$100,000, in Insurance Department, Albany. 25. What amount has been Credited and Debited during the year to Profit and Loss account? ANSWER-Amount Credited, $116,391.80; amount Debited, $67,447.37. 26. What amount, if any, of the outstanding risks or premiums of the Company are entirely free and discharged from all future commissions? ANSWER-No statement possible. 27. What is the largest percentage of Commissions ever allowed to Agents on first and also on renewal premiums? ANSWER-Commissions graded according to age and kind of risk; average, twenty per cent first year, ten per cent for renewals. 28. What is the largest percentage allowed on first premiums when received, in full of all claims for future commissions? ANSWER-Against our rules to give brokerage. 29. Are any of the agents of the Company allowed to retain premiums for or on account of commissions in advance? ANSWER-NO. 30. Do any of the officers of the Company receive a commission or percentage on any of the business of the Company, or retiring allowances, annuities or any other remuneration besides a fixed and regular salary? ANSWER-A portion of profits. The principal office of the Company is located at New York city; the Company was incorporated May, 1866; commenced business June 14 1866; the duration of its charter is unlimited. Total par, cost and market value, $141,000 $143,713 75 $150,510 $150,510 00 Interest due and accrued, except on mortgages and notes.... 1,954 52 Premiums in course of collection... 42,516 21 Deferred premiums for the year.... 19,599 79 Premiums unpaid secured by the policies, including interest, 5,110 04 Premium notes given on policies in force ... 27,952 00 Interest due and accrued on said premium notes. Aggregate amount of all Assets (except future premiums), $266,938 94 838 56 II. LIABILITIES Net present value of outstanding policies as per last Valua.ron made by the Company on the 31st day of December, 1866, by the English Life Table No. 3, at 5 per cent interest :— Policies for whole term of life, single lives : Value. 1. Equal annual premiums, or oftener ...... .... $24,838 3. Premiums in ten, or other special payments 14,720 5. Amount which should be added to show net present value December 31st, 1867 (whole life and endowment) 54,345 23,139 13,893 Endowment policies: 1. Equal annual premiums, or oftener.... Totals (including one joint-life and one term policy)... $130,935 Amount required to safely re-insure all outstanding policies as per the legal standard, being the ENGLISH LIFE TABLE No. 3, males, at five per cent interest .. Amount of all other claims against the Company Total liabilities, except capital stock.. Amount of paid-up cash capital stock, (par value per share, $50; market value, $50).. Aggregate amount of Liabilities $130,935 00 230 88 ... $131,165 88 110,000 00 $241,165 88 Total net amount of cash actually received for premiums... $109,781 55 Notes and other obligations received during the year for pre miums not actually paid in cash: Interest received during the year in cash on notes and otner obligations given for premiums $469 30 Interest and dividends received from all sources. 7,342 94 Amount of income received from all other sources, consist ing of premium on gold..... 2,525 19 Aggregate Income received during the year in cash ... $120, 118 98 Aggregate Income received during the year in notes and other premium obligations.... ... $22,135 IV. EXPENDITURES. Net amount of cash paid for losses and claims, whole life.. $12,868 00 Premium notes and other premium obligations used during the year in the payment of losses and claims: Cash paid on lapsed and surrendered policies... 1,485 13 Paid for commissions on premiums, (of which $794.31 was paid as a single brokerage).... 21,001 96 Paid for medical examiners' fees... 3,271 50 Paid for salaries, fees and all other charges of officers, trus- 8,850 21 1,202 22 29,006 21 $82,818 35 Aggregate Expenditures during the year in cash..... Aggregate Expenditures during the year in notes and other remium obligations 1 Number and amount of policies in force at the end of the previous year, Deduct policies decreased in amount and ceased to be in force during the year, as per schedule D...... 370 791,000 Total policies in force at the end of the year.. 1,857 $4,313,750 2. Number and amount of policies which have ceased to be in force during the year, with the mode of their termination, as per Schedule D: 4. Upon what Table of Mortality and rate of interest are the Company's premium based? ANSWER-Life Tables, Carlisle rate of Mortality five per cent, endowment four per cent. 5. Is the Loading calculated in all cases by the addition of an equal percentage to the net premiums?-and what is the average percentage of Loading on the participating, and also on the non-participating scale of premiums? ANSWER-NO. The average Loading is about twenty per cent. No non-participating rates issued. 6. Has the annual Mortality experienced, or the expenses of management, exceeded the assumptions on which the Company's premiums were based? ANSWER-No. 7. Who made the last valuation of your outstanding Policies, as detailed above under the heading of Liabilities, and upon what principles and in what manner was the same made, whether by valuing the gross or net premiums, by grouping the policies, or by seriatim calculations, or how otherwise? ANSWER-John Paterson, Esq., Actuary of the Company. Policies issued during 1866 valued seriatim; those of 1867 by percentage estimation on gross premiums. 8. How often does the Company declare dividends or bonuses of surplus, and when and in what manner are the same paid?-and are such Dividends made upon the basis of an equal percentage upon premiums or how otherwise, and upon what principles? ANSWER-Dividends declared annually upon all policies on which at least two premiums have been paid-contribution plan. 9. What proportion of the net present value of a Policy (calculated on the Company's assumptions of Mortality and Interest) is given as a surrender value? ANSWER-NO general rule adopted. 10. Within what period, and upon what terms, may Policies lapsed by the non-payment of premium be revived, and what is the established practice and rule of the Company in reference to this class of Policies! ANSWER-Within sixty days, upon evidence of good health being furnished. 11. What are the limits of travel and residence allowed by the Company without extra premium? ANSWER-Northern States, Europe and California. 12. What is the largest amount insured by the Company on any one life, and are insurances allowed in other Companies to an unlimited amount? ANSWER-Largest amount insured, $10,000. 13. What is the largest percentage of Premium allowed to be taken in Notes or otherwise on credit? ANSWER-Forty per cent on Annual Life Table, and 25 per cent on Ten premium Life. 14. How many "" days of grace," if any, are allowed for the payment of premiums? ANSWER-None. 15. Are policies ever issued under an assumed age, differing from the real age of the party insured? ANSWER-No. 16. Are policies ever issued for the benefit of persons having no legal o actual interest the lives insured, or in excess of such interest? ANSWER-No. 17. What amount, if any, of existing policies were issued on diseased unsound or impaired lives? ANSWER-None. 18. What is the estimated number of Female lives insured by the Company? ANSWER-Actual number, 157. 19. Does the Company issue Fire, Marine, Accident or Casualty policies of any kind, and if so, what kind? ANSWER-No. 20. Is the business of the Company transacted on the purely Mutual, the strictly Proprietary, or the mixed plan? If on the mixed plan, what proportion of the profita are apportioned to the stockholders besides legal interest on their capital? ANSWER-Mixed-Legal interest on capital and retiring fund, as by the terms of Charter. |