TWENTY-FOURTH ANNUAL REPORT OF THE COMMISSIONER OF INSURANCE. PART II.-LIFE, CASUALTY AND FRATERNAL INSURANCE. HON. JOHN T. RICH, Governor: STATE OF MICHIGAN, Part II of the Twenty-fourth Annual Report of the Insurance Bureau, containing an exhibit of the business of life, fidelity, casualty and fraternal companies, transacting business in the State on the 31st day of December, 1893, is herewith respectfully submitted. The whole number of regular, or level premium life companies, transacting business in the State during the year was thirty-seven, being three in excess of the number for the year previous. The business transacted by these companies in the State during the year, compared with that of the preceding, shows as per following table: Life companies admitted since January 1, 1894: Iowa Life, of Sioux City, Iowa; Nederlands Life, of Amsterdam, Holland, U. S. branch office, New York city. Comparisons of life business in Michigan from 1870 to 1893 inclusive. Table No. I is a general statement of the business of the regular life insurance companies transacted in the State of Michigan during the year ending December 31, 1893. Table No. II shows the assets and liabilities of the thirty-seven life insurance companies doing business in this State on the 31st day of December, 1893. The total admitted assets of these companies was $993,471,494.96, an increase of $69,979,940.90 over the showing made on December 31, 1892. The total liabilities of the companies reported was $847,658,403.38, an increase of $68,497,856.98 over 1892. The increase in the reinsurance reserve was $66,922,859.05, and the increase of net surplus as to policy holders, $1,482,083.92. Table No. III is a statement of balances of net or ledger assets December 31, 1892 and December 31, 1893. Table No. IV is an exhibit of receipts and disbursements during the year, and compared with those of the previous year shows an increase in total receipts of $14,120,945.64, and in disbursements of $14,505,885.06. The total premium receipts increased $12,283,718.97, of which amount-the Michigan Mutual Life increased its receipts $43,055.09 over previous year. The increase in the amount paid for losses and matured endowments over previous year is $3,267,095.58. Table No. V shows the number and amount of policies issued and terminated during the year. Compared with the business of 1392 there is an increase in the number of policies in force of 149,805, and in the amount at risk of $317,360,008.41. Table No. VI is a showing of the number and amount of terminated policies during the year, with manner of termination. SECURITIES. The total amount and kind of securities held by the State Treasurer for life insurance companies in compliance with the statute are as follows: The number of companies of this character now doing business in the State is nineteen. For information relative to their assets, liabilities, resources and amount of income, expenditures and the business transacted by these companies, references is made to the statements and statistical tables. During the year the American Casualty Insurance and Security_Co., of Baltimore, Md., failed, and renewal of authority to the American Employers and Liability Insurance Co. of Newark N. J., was refused, on account of their inability to comply with the laws and rules governing this department. ADMITTED SINCE JANUARY 1, 1894. The following named companies have been admitted since January 1: The Guarantors of Philadelphia, Pa.; National Benefit and Casualty Co. Milwaukee, Wis. COOPERATIVE OR ASSESSMENT ASSOCIATIONS OF THIS STATE. During the year 1893 two assessment associations were organized under the laws of this State and received authority to commence business, viz.: Northern Accident of Kalamazoo; Preferred Bankers' Life of Lansing. The Northern Accident has since retired, having paid all claims in full. The Northwestern Accident Association of the U. S., located at Detroit, reinsured its risks in the Star Accident Co. of Chicago. The number of companies now doing business on the cooperative or assessment plan is forty-eight, of which five are companies organized in Michigan and fortythree from other states. COMPANIES ADMITTED SINCE JANUARY 1, 1894. Knights Templar and Masonic Mutual Aid of Cincinnati, O.; National Masonic Accident of Des Moines, Iowa; Star Accident of Chicago, Ill. STATISTICAL TABLES Numbered X, XI, XII and XIII have been prepared from the information contained in the annual statements and show the condition and business of the associations in a convenient form for comparison. CONCLUSIONS. In making this, my first individual report, I refrain from making any criticisms relating to the old-line life companies. Their several statements have been carefully examined for the purpose of ascertaining their solvency; also as to their complying with the laws of this State and the rules of the department, and on this basis their certificates of authority have been renewed. In making these examinations the idea is constantly presented that improvements might be made in methods of management, etc., but taking into consideration that the business of life insurance has reached such a magnitude as to engage the attention of men of the best financial qualifications in this country, I am left to conclude that whatever departures I might suggest have been fully considered by those who are far better informed on the subject than I, and the varied questions settled in a manner that mature judgment deemed was better for all concerned. MICHIGAN COMPANIES. The Imperial having ceased issuing policies November 1, 1892, leaves the Michigan Mutual the only regular life insurance company now doing business that is organized under the laws of the State. From examinations made as to the securities held by this company, and a knowledge that I have of the very capable men who are managing its affairs, I am pleased to place it among one of the many solid financial enterprises of our State and I consider its policy holders amply secured. As is shown in another portion of this report, the Imperial Life has securities on deposit with the State Treasurer to the amount of $70,000. This amount is held for the security of policy holders, and under an order issued from the supreme court, can be applied towards the payment of death claims against the company after the same are legally adjusted by the company, and the payment of the same authorized by the Commissioner of Insurance. As far as this department has knowledge, all adjusted death claims against this company have been paid, up to the date of this report. COMPANIES OF OTHER STATES. This department necessarily depends largely on the departments of other states wherein are incorporated the several life companies authorized to do business in this State, for such information as will enable us to determine as to the responsibility of said companies, and from the reports of the commissioners and from regular correspondence had with them on this subject, I feel satisfied that the foreign life companies now authorized |