Evening Republican, Volume 16, Number 25, Rensselaer, Jasper County, 29 January 1912 — WOODMEN RATES RAIDED ABOUT 45 PER CENT. [ARTICLE]

WOODMEN RATES RAIDED ABOUT 45 PER CENT.

Fraternal Insurance Order Puts Itself On More Businesslike BasisRates Raised May Ist. By a majority of 150 the delegates to the national convention of the M’odem Woodmen of America in Chicago last week adopted a resolution which raises life insurance rates an average of 45 per cent. This puts the order on a safe basis, which, according to those who hrve figured carefully on the liability and the rates contend did not exist heretofore. While the raise of the rates will put the artier on a proper basis as figured out by actuaries, it Is difficult to foretell what effect it will have with the present lodge membership, who will seriously feel the raise of the rates. The new rates become effective for new members May 1, 1912. Old members have until Jan. 1, 1913, to make their choice of seven optional plans. If by that date they have not declared their preference they will be arbitrarily given the new whole life plan ranging at 75 cents a month to every SI,OOO when 18 years old to $2 per SI,OOO at 45. These increases were found t» be necessary when officials of the actuary department showed that in less than four years the society would have a deficit at the existant plan of rating. Under the existing insurance rates of the Modern Woodmen it is computed that there would be in time a deficiency of $270,000,000. All except 8 per cent, or $22,506,555 of this will be taken care of through the reapportionment upon the order’s table of new rates, even though the oldest members are given a concession of a maximum monthly rate of $3 on SI,OOO of protection. The remaining deficiency, which is absolutely confined to the present membership, is to be borne by the younger members In the form of a fraternal tax or loading. It will not be a separate tax, but is figured into the rates of the younger members. This is held to be justifiable as brotherly cooperation, being intended to relieve the 150,000 members above the deficiency creating age by sharing the temporary burden with the 1,130,000 below this age. Based on a policy for SI,OOO, the new rates will be per month as follows: Ages SI,OOO. 18 ......a.. $.75 19 .80 20 , 85 21 90 22 ’.. .90 23 95 24 -95 "25. . ;;; ;77“ I,oo' 26 1.00

29 1.10 30 1.15 31 ... .. 1.20 32 1.20 33 1.25 34 ”. 1.30 35 1.35 36 1.40 37 1.45 38 1.55 39 ...... 1.60 40 ...‘ .4 a L 65 41 1.70 42 ..................... j. 1.80 44 1.90 45 2.00