Life — February 1, 1912 — page 3: what you’re looking at

Machine-transcribed from the original scan — historical spelling and the odd misread are preserved.

cond, SIXTY-SEVENTH ANNUAL REPORT NEW YORK LIFE INSURANCE COMPANY 346 Broadway, New York Balance Sheet, January 1, 1912 ASSETS LIABILITIES Real Estate . . . : . - $ 10,616,711.90 | Policy Reserve . ° . : : - $566,919,308.00 Loans on Mortgages. : : - 116,298,323.50 | Other Policy Liabilities . ‘ : + — 7,359,006.83 Loans on Policies . 5 z % - 113,516,068.47 | Premiums and Interest prepaid ‘ x 3,385,535.50 Bonds (market value Dec. 31, 1911) 421,122,821.04 | Commissions, Salaries, Taxes, etc. . 1,287,423.53 Cash . . . . . . . 7,284,253.12 | Dividends payable in 1912. . ° + 11,690,143.32 Premiums in course of collection . 7,724,930.65 | Reserve for Deferred Dividends . . 83,064,153.00 Interest and rents due and accrued 8,121,577.82 | Reserves for other purposes . : + _10,979,116.32 Total . . . $684,684,686.50 Total . . $684,684,686.50 TO THE POLICY- HOLDERS: L Within the year just closed the Insurance Department of New York has examined the Com- pany. The examination went much deeper than the mere question of solvency and a correct statement of assets and liabilities. It went to questions of economy, efficiency and especially to the attitude of the Executive Officers toward the rights of policy-holders, the laws of the State and the regulations of the Department. It would not be possible for me by any use of statistical tables, ratios or comparisons, to pre- sent a statement so luminous and convincing as that made by Honorable William H. Hotchkiss, Superintendent of Insurance, at the close of his examination. It is the last word in State supervision—impartial but just—constructed on the sound theory that it is as much the duty of a public official to commend fine public service as it is to denounce wrong-doing or inefficiency. The muckraker will find nothing interesting in it. You will. It is, therefore, printed below in full. ae President, New York, Jan. 10, 1912 (Copy of Memorandum filed at Albany, December 9, 1911, by Hon. Wm. H. Hotchkiss, Superintendent of Insurance) State of New York—Insurance Department {s THE MATTER OF THE EXAMINATION OF THE } MEMORANDUM OF THE SUPERINTENDENT New YorK LIFE INSURANCE COMPANY ue thought proper to file with the report on the examination of the New York Life Insurance Company, dated November 21, 1911, the following memorandum: The examination of this Company, now completed, is the second since the enactment of the amendatory laws of 1906. It is evcn more complete and painstaking than was the examination of three years ago. The New York Life is one of the great life insurance companies under the supervision of this department. As of December 31, 1910, such Company had assets approximating closely to $650,000,000, outstanding insurance exceeding $2,000,000,000, and an annual premium income of about $80,000,000. It disbursed to policy-holders in 1910 over $53,000,000. As of December 31 last, such Company held in reserve for its policy-holders—in- cluding deferred dividends—upwards of $600,000,000, and in contingency and special funds for the protection of policy-holders, nearly $18,000,000. It does business generally in the United States and in 39 principal nations of the world. It has approximately 996,000 policy-holders. _ The mere recital of these figures indicates the magnitude of the task committed to the examiners, and gives emphasis to the fact that after an examination covering seven months, such examiners concluded: . “The final results of this examination show that the work of the Company is done efficiently and economically; its claims are paid promptly; its policy-holders are treated fairly; its dividends are apportioned and paid without discrimination; and the Com- pany complies with the requirements of the law and the rulings of the supervising authorities in both the spirit and the letter.” The above statement should not be taken, however, as indicating that this Company and its work were in no respect found the subject of criticism. The fact worthy of note is that the criticisms made by the examiners have to do with minor. details and do not concern the management, the observance by such management of the law, the Company's treatment of policy-holders, or matters of Company policy generally. Indeed, the criticisms set forth the report are so relatively unimportant as to be in effect negligible. The impression made by the examiners’ report was considerably strengthened by a personal inspection of the Home Office of this Company, made by me shortly after such report was completed. Evidences of economy, both in the number of employees and’ in the space occupied, as well as in the use of labor-saving devices of various kinds, were noticed. The efficient organism of this great institution, centering as it does in its so-called “office committee," was everywhere evident. An almost over-scrupulous desire to comply with every statutory requirement or departmental regulation was also Noted. Indeed, for general Home Office efficiency, for watchfulness over the little things that go to increase a company’s expense ratio, for accuracy of fecordl and in accounting methods, and for a full observance of the law, this Company is entitled, not merely to the commendation given it by the examiners, but to the official approval of this department here a . Dated, Albany, De cd, Albany, December 9th, 1911. Superintendent of Insurance.