Newspaper Page Text
SECOND SECTION.
The Atlanta Georgian.
VOL. I. NO. 213.
ATLANTA, GA., MONDAY, DECEMBER 31, 1906.
INSURANCE a COMMODITY;
HOW TO TELL DIFFERENT
KINDS OF INSURANCE
LOCAL AND SPECIAL AGENTS;
THEIR RELATIVE MERITS
IN LIFE INSURANCE WORK
By EUGENE OBERDORFER.
Insurance of today encircles In Its
scope such varied and numerous kinds,
w hen viewing the subject It evidences
that the financial loss with even the
parting of life Is protected to the full-
est extent, so far as the provision by
every person extends. With serious
thought, one can Indulge in comforts
anil luxuries to the closest notch of
one’s Income where life Insurance Is
carried, that supplies the estate to those
dependent on the "bread winner.”
Accident Insurance covers the un-1
foreseen, so as the prudent man leaves !
the doctor’s office, having been accepted
for a life policy, he grasps the chance
to secure his Income with which to pay
the premiums and feels reasonably safe
that he will live to enjoy the returns of
his savings at old age, If only he does
not meet with an accident. We may-
thwart off sickness: we can dodge the
epidemic; phylcs will set us right, but
no one can dodge an accident. The
mishap and result are simultaneous.
Everywhere, walking, sitting, riding,
eating or sleeping, ’tls but a moment
and we are crippled, and dlsubled.
Health Insurance made its debut,
paying Indemnity while disabled from
business and work, and capping the
serurity of our weekly profit, wages
and Income by yielding the flow of
money Just the same when the brain Is
taxed with fever as were It sound and
active In accord with the physical en
ergies of the usual avocation.
Fire insurance, burglary Insurance,
boiler Insurance, credit Insurance, live
stock, fly wheel, frost, bonds, resi-
dence theft, plate glass, elevator and
collection; liability Insurance against
demands and recovery from employers,
physicians, druggists, landlord, con
tractors. automobile, cyclone, marine,
storm, baggage, and, yes, even, matri
mony and children.
Insurance today Is a commodity. It
Is necessary for the beginner in life, as
it Is a safe-guard for the successful
man. ,
The general law of prnctlcnl consid
eration for both parties to Insurance
contracts. Is after nil simple. The as-
„ EUGENE OBERDORFER.
Resident Manager Fidelity and Casual
ty Insurance Company.
sured is confronted with the question
as there are so many kinds of Insur
ance, Does It pay better to pay the pre
mium or carry the risk? The answer
every insurance agent knows—We
can’t afford to do without It.
The question of the other party to
the contract Is answered, for if the
volume Is sufficient to wield to the law
of general average, the rates and limits
drift and shape themselves, that every
kind of Insurance Is profitable and
many more hazards will become lines
of Insurance for the future and will
come under the subject of the different
kind of Insurance.
ATLANTA AGENT OF ROME
COMPANY QUALIFIES FOR
HALF MILLION DOLLAR CLUB
Rome, Gn., Dec. 31—The Half Mil
lion Dollar Club and Two Hundred
’"housand Dollar Club of the State Mu
tual Life Insurance Company of Rome,
Ga„ will be the guests at Birmingham
of the Alabama Club of the State Mu
tual Life agents on January 3 to 5. On
January 3 every State Mutual Life
agent who can reach Birmingham will
jnoet. Ini annual convention there.
For two days about two hundred
agents, Including members of the Ala
bama Club and the banner Insurance
agents who have won membership In
the clubs whose names are dollar
marks, will discuss plans for an ag
gressive campaign in life insurance
business fov the year 1907.
They will also celebrate the close of
a year which makes the State Mutual
Life Insurance Company of Rome, Or
tho world record-breaker In Insurance.
In the first twelve months of Its life
as an old line company the State Mu
tual Life has written about 328.000,001
of business. Alabama has contributed
more than any other state In the
Union. Up to December 1. 1900, Ala
bama agents of the State Mutual Life
Insurance Company had written over
eight million dollars of business.
The amount of business written by
the agents of Alabama awarded to them
the honor of entertaining the banner
agents of tho company—those who had
written the most business, and those
who are, therefore, best fitted to give
advice as to how to write life Insur
ance.
The guests of the Alabama Club be
long to unique organizations In lire In
surance. When tho big Now York life
Insurance companies first established
clubs of their honor members they put
into the honor class the men who had
written one hundred thousand dollars
of business. More successful Ufe in
surance agents Inspired to tho T«o
Hundred Thousand Dollar Club, or
ganized later. It remained for the
State Mutual Life-Insurance Company
of Rome, Ga., to bring before tho world
about ten men who have written an
abnormal amount of business for this
By MARK J. M’CORD.
The question ds to which kind of an
agent Is the most beneficial to a gen
eral agency, the local or the special
agent. Is one which I suppose has been
debated In the mind of every general
agent Personally, If I was compelled
to take my choice of one or the other,
I should select the local agent The
reason la that the one great desidera
tum In building up a stable life Insur
ance business la not alone the secur
ing of a great volume of business, but
rather securing as much business as
possible of such kind and upon such a
character of persona as will cause that
business to stay upon the books of the
company. Any company that la con
sistently and conservatively managed
to the interests of Its policyholders
would rather have a medium amount
of good sticking business than a great
volume of poorly written and poorly
considered business. It is expensive to
produce business, and, aa necessarily
nine-tenths of all business must be se
cured by an agent, the question of the
kind, -character and personality of the
agent is a controlling one.
Personally, my experience has 1>een
largely with the local agent and local
agents are the mainstay of the- busi
ness, but the specials have their place,
and, In a way, are Just as Importan
the locals. It may be argued that
special Is preferable because he goes to
a locality only for a limited space of
time, can thereby secure an audience
with his prospects more quickly, and In
that way- can write more business than
the local agent. On the contrary, It
may be argued with equal If not great
er force that the local agent. If he be.
of the proper character and responsi
bility has the confidence of his neigh
bors and Is always on the ground and
can thereby secure In the long run
more business and a better charac
ter of business than the special agent.
It Is obo true that when the second
year’s premium comes due, the local
agent being on the ground has the
temptation to "switch’’ his business in
to some other company for the sake of
the commission. This can be avoided In
a large .measure by looking to the per
sonality of the local agent and by mak
ing It to his Interest to see that his
business Is maintained as originally
written. His Interest will be so se
cured If he Is paid for It, and not oth
erwise.
The Interests of the company and
the general agent are Identical. In
lieu of a salary and as the basis of his
MARK J. M’CORD.
State Manager National Life Intur-
ance Company of The United
States of America.
compensation, he Is given a line of re
newal commissions to look after this
business. Then why not give the lo
cal agent, the man on the ground, a
piece of the same pic for the same
purpose?
At last special agents are a neces
sity to every general agency, to go
from one locality to another, not only
looking aftey the production of now
business, but overlooking the whole
business. But In my experience the
local agent Is the mainstay. The lab
orer Is worthy of his hire. As a man
thlnketh In his heart, so Is he. The
higher success will not be reached until
the Interests of the company, the local
agent, the special agent and the gen
eral agent are made one and the same.
They are all members, and should be
loyal members of one great business
family, and that fnmlly will take Its
stand In the whole business community
In so far as each of Its members are
above reproach.
SUCCESS FOR YOUNG MEN
' IN THE INSURANCE FIELD
IF THEY WILL HUSTLE
CHARLES M’D. FORT.
Member of half milllon-dollar club,
young glnnt of life Insurance. They
arc the "Hnlf Million Dollar Club. 1
These eminently successful men and
the Two Hundred Thousand Dollar
Club men will be the welcome guests of
the Alabama Club next week. The
president of the entertainers Is J. H.
Dean and there Is a galaxy of bright
and brainy men among the hosts. The
meetings will be held In the commodi-
ham.
Among Romans who will go down to
Birmingham for this convention are:
Charles R. Porter, president of the
State Mutual Life Insurance Company;
Fred Avererctt, agency manager; B.
W. Lacy, Jr„ actuary: R. Dwight
Shaw, agent; H. B. Parks, agent; Dr.
Walker Curry, medical director; R. W.
Graves, treasurer, and Lloyd Damron,
assistant to the president.
2 YOUNG MEN BEGIN NEW YEAR
BY STARTING INS. AGENCY
By GEORGE M. HOPE.
The best evidence of thf opportuni
ties open to Intelligent men In the life
Insurance business Is exemplified In the
many successes that have been made
by prominent life Insurance managers
who have started at the bottom and
have risen to positions of eminence
with their companies. There are many
examples of this kind that can be
pointed to.
Many young men who have started ,
out In the Insurance world has begun
his career expecting always to be u
solicitor. This man has remained a
solicitor. Other young men have
| started out with the purpose and In-
l tent of becoming managers for some
! great company or other higher nosl-
I tlons and have soon found thnt their
I expectations were realized. It wns
their ambition, coupled with energy,
perslstance and honesty that has mads
them go to the top of the ladder. This
same opportunity Is open to the young
men In the life Insurance world today.
In speaking with prominent life In
surance managers of llio ic-udjuniineui
which Is now going on, pursuant ti
recent legislative enactment, he thinks
so soon as the re-adjustment la effect
ed and the new order of things la firmly
Installed that we will see life Insurance
grow more wholesome, more satisfac
tory and more profitable to the men In
the field.' He expresses no doubt that
some Individuals who resist the In
evitable current will be destroyed, but
those who adjust themselves to the
new conditions will work out their
problem to a successful Issue, and the
man who cannot keep pace with events
as they develop will necessarily drop
by the wayside, but a new man will
come to take his place and will reap
the benfits of the re-established order
of things, and that the man who takes
the advantage of present opportunity
SOUTHERN SUITES
By H. H. CABANI68.
If we recognize life Insurance as a
necessity, and which no man caring
for his dependent family will do with
out, the important question becomes,
In which company shall I insure?
No one can take the risk of Insuring
In a company which Is not solvent on
account of any sentiment or feeling of
sectional pride. A Southern company
must, therefore present strength and
solidity, conservative and economical
management, and when these necessary
conditions are complied with, it has a
right to expect patronage.
Fortunately the laws of all the states,
practically, require a deposit of one
hundred thousand dollars, in good and
safe bonds, before the company Is al
lowed to begin writing business. This
Is an abundant safeguard, for if the
deposit Is ever lessened or impaired,
tho company must make It good or be
shut out of the state.
There has not been a failure of 1 a
legal reserve life insurance company
for about forty years, and, hedged
about with stronger laws than ever,
a failure is almost an Impossibility.
In fact, in addition to the deposit of
one hundred thousand dollars, many
states require the legal reserve to be
deposited with the state treasury, thus
E LIFE
IN THE
H. H. CABANISS.
Stata Manr.gar Citizens’ Lift In
surance Company.
GEORGE M. HOPt.
Of the Firm of George M. Hope & Co.
8tate Managers National Life In
surance Cor'-urny of Vermont.
and succeed*, which he will mist as
suredly do by the proper application of
persistent, earnest and Intelligent en
deavor, will In future years have every
reason to be proud of his chosen pro
fession, which, under the new condi
tions, will rank with yiat of the most
respected professions In tho country.
JOHN S. STEWART.
COKE S. DAVIS.
3n the morrow there will be many
slnesaos that will do their first real
irk. Nineteen hundred and seven will
wn with many hearts throbbing with
aspect of a successful year. None
II begin the year with brighter pros-
:t than Messrs. John A. Stewart and
Coke 8. Davis, under the firm name of
Stewart A Davis, who will begin a gen
eral Insurance business, with offices In
the Austell bufidlng.
Then* young men have secured a dis
trict agency with the Aetna Life In
surance Company. They have pur-
—
EFFEC7 7HE ARMSTRONG
MEASURES WILL HAVE
ON SOUTHERN A GENCIES
By HUGH M. WILLET.
Practically all of the Standard Life;
Insurance Companies will continue to \
operate In Ifpw- Tork state, and must, |
therefore, conform to the provisions ,)(j
the Armstrong laws. The most Im-1
portant of these Is the limitation Im
posed upon the expenditures of the
companies for new business. One ef-
chosed the state agency of ths Genera!
Accident, Erie and Life Assurance Cor-1
porutlon. Limited, of. Perth, Scotland,
and will make connections with some
of the best fire companies.
Coke 8. Davis, of this firm, for sev I
eral years was inspector for the Guar-1
sntee Company of North America and
has since been connected with the!
agency of Haas A McIntyre.
John S. Stewart Is known through
out the state as being connected with
the Aetna Life Company. He has been I
In the Atlanta olfice for several years.
and recently resigned the position of |
cashier-for that company In this city.
He has also done considerable field
work for the Aetna.
>In taking oVer the Genera! Accident
business Stewart A Davis will succeed
H. O. A A. T. Cox. who have been the
state agents for that corporation for
several years.
The reputation of these young men
who begin their new year as general
Insurance agents Is a guarantee that
they will succeed and they are receiv
ing the beat wishes of a large number
of friends.
Assuming, therefore, thnt our South
ern life Insurance companies are solv
ent, and kept so by the laws of the
states In which they do business, Is It
not wisdom nnri patriotism to patronlao
the home companies,?
It Is wisdom because of the untold
millions which have been sent north,
east and northwest to pay for life In
surance. if one-half of these millions
, were kept at home, the additional
I orosperlty which would come to the
’ South would startle even the most op
timistic. Manufacturing and other in
dustrial enterprises would bs enrour-
nved and thousands of thrifty people
would be added to our population.
To give nn Idea of the vastness of
this proposition, consider that the three
l>lg companies of New York have about
I two hundred million of surplus. This
does not take Into account the legnl
reserve, tho expense, and the mortuary
funds. The two hundred millions con-
| stltute a surplus after paying all losses
and expenses, nnd rightfully should be
distributed to the policyholders, except
, a few millions kept for emergencies.
The Southern c/mipunies nre free
from graft, looting and extravagance.
A pride In our slate and section Is
, commendable, and should prompt us to
patronize home Institutions, safety and
economy being considered.
The representatives of the older com
panies, having grown rich and power
ful, make light of the “special propo
sition” which some of the Southern
companies offer policyholders.
These people ought to remember that
the Northern companies began bual
ness. In their Infancy, by offering spe
dais, and did not give It up until they
had grown rich and Independent.
Second, that a rightful division, slv
Ing back to the policyholders some of
their own money, would decrease the
millions of surplus.
Third, the Southern companies, by
economical management, can save
enough from tho expense account to
make n reasonable yearly reduction In
the cost of a policy.
To develop these life Insurance com
panies of the South will give protection
just ns good, much cheaper, because
the dividends will he larger, and will
help along other enterprises and tend
to enrich the people of the South.
It Is safe and sane to encourage
them and build them up.
LOCAL FIRE INSURANCE
FIRMS HAVE ENJOYED
PROSPEROUS BUSINESS YEAR
By EDGAR DUNLAP.
The year 1906 has been a very satis
factory year for the Atlanta local
agents. I believe all agents have In
creased their business, even though
tholr companies hava decreased their
lines since the San Francisco fire.
This Increase has come about natur
ally—tho entire country having en
joyed a period of prosperity never be
fore known! With the great amount
of building going on, a natural activity
has been brought about In all lines of
material, manufactories having been
running on full time, merchants have
been carrying larger stocks and from all
these sources has come the Increase In
premiums.
The San Francisco fire demonstrated
the fact that a great many people car
ry too little Insurance and with the
natural appreciation In values, every
one should look to his Insurance with
a view of Increasing it to meet the
present cash values.
The companlee have bravely met the
heavy demands on them for payment
of losses and It is a fact that what few
companies have failed have been non
board companies.
This should demonstrate to the In
suring public that the organisation of
companies for the proper Inspections of
risks and compiling of statistics In or
der to make adequate and fair rates. Is
for the final protection of the policy
holder In maintaining the solvency lit
the companies.
Quite a number of small companies
are being organized to care for tho
business and the Insurance public
should look to the strength of the com
panies In placing their Insurance, for
EDGAR DUNLAP.
Prominent Local Firs Insurance Age
who can tell when such a calamity ns
visited San Francisco will nzaln visit
some other great city? Should such :i
thing happen again soon, what compa
nies could meet the demand on their '
assets to pay losses?
ACCIDENT INSURANCE
SHOULD BE CARRIED;
A STRONG ARGUMENT
HUGH M. WILLET.
Of the Firm of Baglay & Willst, State
Agents Psnn Mutual Life In
surance Company.
of representatives In ths field. Gn the
principle ’of the survival of the fittest
the most capable and energetic agents
I -till remain and the others will drop
I nut. Some men also will be deterred
; from entering the field who might oth-
i erwise be attracted thereto,
j Another effect will be to reduce
I somewhat the volume of Insurance
i written. This will be a natural conae-
j quence from the smaller number of
agents engaged In the work. The busi
ness. however, will be better In quality,
as It will not be secured by high pres
sure methods or rebates, and the pro
portion of lapses will be lowered.
Another result will be the lessening
of competition between agents, because
a smaller number of them will be In the
field. As a consequence, the efficient
agent of today will be able to produce
a larger share of the business, and
will make as much or mors money than
lie has In the past.
Since the compensation for new
business will be about the same In all
standard companies, ths only advant
age that one company can have ovor
another will bo such as It justly de
rives from Its age, stren. tb, policy
lorms and honorable record. The ef
fect of this equalisation of cost will
operate in favor of (be conservative
companies of established reputation.
Agents have heretofore been attracted
to those companies which paid highest
for the business. Henceforth they wlU
find it more profitable to connect them
selves with those companies whose
policies and reputaJoa commend
themselves most favqrably to the In-
By W. FLOYD JOHNSON.
The question of Insurance In Its va
rious forms la one of great Importance
to the public; and accident and health
W ee has become to play as Im
part In the Insurance world as
the other branches of Insurance. For
years the public generally have realized
the Importance of carrying fire and life
Insurance, but they have taken to ac
cident Insurance gradually, as though
they had to be educated to It. Only
a few years ago most of the business
men only .carried an accident policy
for some special railroad trip; whereas
now- nearly all prudent business men
provide for accident and health pro
tection each year, Just as they do other
Importnnt business matters; and why
shouldn’t they, for the benefit to their
families In event of accidental death Is
treater for leas cost than any other
'orm of Insurance, to say nothing of
the personal benefit one gets while dis
abled from business, either from acci
dents or sickness?
it requires no argument to sell fire
Insurance, betause It has been recog
nised for years as a business necessity;
In fact, a merchant who would not
carry fire Insurance would find his
credit In the business world -greatly
Impaired, for It Is a protection due to
hi* creditors; then ypu Insure y.
for protection of your fnmlly li
of dtnth; nnd you Insure plate glass,
windows and show cases against
breakage; and carry a burglary policy
to protect your valuables against
thieves and burglars; and manufactur
ers carry liability Insurance for pro
tection In case of accidents to their
employees—then why not Jnsur
time, which Is undoubtedly you
valuable asset, for It we can keep our
hrnlth and have no accidents, any of us
can provide for self and families? But
even the most healthy man bos no way
of knowing when ho may be sick, nor
wnen ne may iie hurl, we **» »ub-
1 to accidents dally, and It hai
truly said “that It is the unex<
peeled that happens.”
All of the leading accident companies
arc now issuing a full disability policy,
which provides against any accident
nnd any form of Illness; whereas, n
few years ago neither the accident nor
health contracts were so liberal, there
being a number of ezceptlons stipu
lated which meant that accidents due
to certain causes were either not cov
ered at all or would be paid for at a
reduced amount; but competition be
tween the different companies has
forced each to bring out better and
more liberal policies fronf time to time,
and, I believe, there Is no form of In
surance that now offers the Insuring
public greater benefits for the pre
mium paid than does the recent acci
dent and health "Disability'' policies,
’and each policyholder should see that
he has one of the latest style policies,
even If he should have to throw away
a few years’ accumulative benefits, for
there are enough "cut outs and cut
downs” In the old policies to mors
than offset the accumulation.
W. FLOYD JOHNSON,
State Manager U. 8. Casualty Co. j
321 Prudential Building.
FLOYD JOHNSON.
_ Accident Department
iatcher Insurance Agency.
STAYED OUT LATE;
SAW FATHER SHOT
UPON RETURNING
Montlcello, Oa., Dec. II.—James Falk,
a merchant, was killed at 2 o'clock
terday morning on the veranda of hi«
home and In the presence of his ,’two '
daughters, Ruth and Mary, by Hubert
Waldrup, a young man who had Just
returned with the girls from a dance.
Mr. Falk did not want tho girls to go
to the dance, but yielded when Waldrup
promised that they should bo home' be
fore midnight. ' Waldrup did not keep
his promise, for It was 2 o'clock when
he returned with the girls.
An effort was made to get the girls
into the house through a window with
out disturbing their father, but Mr.
Falk heard the noise and appeared on
the veranda.
He chided Waldrup and the girls for
being out late. Waldrup remonstrated,
and. It Is said, Falk attacked him. Tho
young man drew a revolver and shot
the father dead In the presence of the
girls. The girls are prostrated, but
they aay their father provoked tho
tragedy.
STANTON GOES
WITH CONWAY
surlng public. This will be one of the
best results of the Armstrong laws, as
the companies most deserving of pat
ronage will, by the withdrawal of un-
fair competition, write that share of
the business to which their merit enti
tles them.
Another Important effect of the pas
sage of the Armstrong laws will be to
furnish a basis for wise legislation In
other states. While there are some
objectionable features in those laws,
they contain many excellent one*. The
latter will stand the test of trial, and
the others will be amended or repealed,
In Georgia and many other Southern
stales there Is need of legislation which
will throw greater safeguards around
the business and will remove ques
tionable practices and policies. v
While working some hardships and
creating some anxieties during the
time that conditions are readjusting
themselves, “the effect of the Arm
strong measures on Southern agencies"
will, aa a whole, he beneficial. Great
er economy In the conduct of tho busi
ness, a higher standard of agents em
ployed, a more persistent membership
and the enactment of laws that will
better protect the publla frotr deceptive
contracts, will be some compensation
for the upheaval which wrought great
damage In certain quarters. With con
fidence In the Integrity of the business
restored, with the public educated and
Interested as never before, with the
country paselng through a period of
unexampled prosperity, the outlook for
Insurance In the sew year Is altogether
hopeful.
OLIN M. STANTON,
Special Agent.
Now associated with Arch
M. Conway, of the North
American Accident Co., of
Chicago.
