PREFACE.

The ANNUAL CYCLOPEDIA OF INSURANCE has grown somewhat, both in bulk and scope, from the initial volume sent out last year. A work of this kind grows unavoidably. In searching for one thing the compiler encounters other things equally interesting and important, and aside from the new subjects he is constrained to treat more fully those undertaken. This Cyclopedia, in its inception, was intended to be a record of the year of its date, merely, but in the course of its preparation it was found that many subjects so treated would have neither beginning nor end. So, gradually, it grew into something more, and we think better.

This year's volume makes a great many more pages than the volume for 1890, and the editor cannot promise that the volume for 1892 will not be as much larger than this as this is larger than its predecessor.

Many omissions in the preceding volume have been supplied in this, and a fault has also been remedied by putting company records in their alphabetical place in the body of the book instead of in the Appendix.

The only appendix this year is that contained in the business statistics of companies, and these will be put in the same way in future volumes.

To those who use this volume, and not to those who merely put it on their book shelves, the editor desires to add a suggestion. A phrase which shall describe any given subject to every one, has never been discovered, and one objection to this Cyclopedia has been that certain subjects could not be found by the reader. They were not looked for in the right place, or else they were not put in the right place. The

suggestion is, therefore, that if the user does not find what he is searching for under what seems to him to be the appropriate letter of the alphabet, he should try to think what other title would be equally likely to attract the attention of another.

The editor will be glad to receive suggestions for the improvement of succeeding volumes of the ANNUAL CYCLOPEDIA OF INSURANCE.

ANNUAL CYCLOPEDIA OF INSURANCE.

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Accident Insurance. The ordinary accident insurance policy grants a fixed compensation to the insured for a limited time in case of disabling accident, and also a definite amount to be paid to a designated person if death result from accident. Such policies are in general strictly limited by their terms to accidents which totally disable or kill the insured. Some companies issue modified forms providing for injury and death, with an additional clause as to partial disabilities of a permanent nature, such as loss of a limb, an eye, a hand, or foot. In order to recover, the injury must arise from "external, violent, and accidental means," and must be incurred while the insured is not unnecessarily exposing himself to "obvious danger," and while he is not engaged in an occupation more hazardous than that in which he has elected to be classified and insured, or if more hazardously occupied at the time of the injury, then recovery can be had only to the extent to which premium paid would have purchased insurance in the more hazardous class. Within these limits there has been found a great deal of ground for differences of opinion, and many of the points which have been settled have only been disposed of after harassing litigation. [See Legal Decisions Affecting Insurance. Accident insurance.]

Accident Insurance Company of North America. At the annual meeting in Montreal, March 12, 1891, the withdrawal of the company from business in the United States was announced. Sir Alexander T. Galt was re-elected president, and Edward Rawlings vice-president and manager.

Accident Underwriters, International Association of; composed of accident insurance companies on the assessment plan, was organized at Niagara Falls, N. Y., December 18, 1891. The officers and members of the executive committees being:

President, H. W. K. Cutter, Chicago; vice-president, D. J. Van Auken, Jr., Geneva, N. Y.; treasurer, H. N. Kingsbury, Westfield, Mass; secretary, W. DeM. Hooper, Indianapolis.

Executive Committee-B. F. Dyer, Boston; J. A. Wilkens, Indianapolis; E. B. Trubey, Minneapolis; J. I. Barnum, New York; C. H. Bunker, Chicago; H. N. Kingsbury, Westfield.

Seventeen associations took part in the organization, which was declared to be "to foster and guard the mutual interests of accident underwriting by the promotion of just and equitable laws as distinct from the business of life insurance.' The annual meeting of the association was ordered to be held in Buffalo, N. Y., in June, 1892.

Actuarial Society of America: David Parks Fackler was elected president at the annual meeting in New York, April 29-30; Howell W. St. John, first, and Emory McClintock, second vice-president; Israel C. Pierson, secretary; and Bloomfield J. Miller, treasurer; Sheppard Homans, Rufus W. Weeks, George W. Phillips, Wm. McCabe, David H. Wells, and Oscar B. Ireland, members of council. [For history of the society see Cyclopedia for 1890.] Richard Teece, F.I.A., actuary of the Australian Mutual Provident Society, and Samuel E. Stilwell, Ph.D., Penn Mutual Life insurance company, were elected members. Papers were read as follows: "Insurance Values as Bases for Surrender," by Sheppard Homans; "Insurance Values and Distribution of Surplus," by William Hendry of Waterloo, Canada; "Double Endowments," by Israel C. Pierson; "A Standard for Measuring the Effects of Selection among Insured Lives," by William D. Whiting of New York; "Tate's Arithmometer," by Max H. Peiler of Hartford, Connecticut; Weight and Longevity," by T. B. Macaulay of Montreal; "Principles Involved in Graduation," by W. S. Nichols; and A Method of Measuring the Maximum Amount which an Insurance Company may Properly Assume upon a Single Risk," by C. C. Hall of Baltimore. An invitation from the Canada members to meet at Toronto, September 30 and October 1, was accepted by the society, after which adjournment was ordered. President Fackler presided at the Toronto session. Sheppard Homans, by constitutional amendment, was made a Councillor in perpetuo, and Clayton C. Hall was chosen to fill the vacancy thus caused in the elective Council for the term expiring April, 1894. New papers were read, the subjects and writers being: "A Comparison of American and Australian Mortality," by Richard Teece; Distribution of Expenses in Life Insurance," by William D. Whiting; "Cash Surrender Values for Life Insurance Policies," by B. J. Miller; "On a Complete Annuity-due," by Joseph H. Sprague; The Application of Insurance Values as Bases of Surrender Charges,' by J. M. Craig.

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At the New York meeting in April prizes for the best essays regarding legislative interference with impaired life insurance companies were offered by President Fackler, the sum of $250 being set apart for this purpose. The propositions were:

1. What conditions of impairment should subject a life insurance organization to governmental interference?

2. How can the state best protect the interests of those insured in a life insurance organization, which either under present laws or under those proposed in the first part of the essay may be found to be impaired?

The committee of award was appointed at Toronto, consisting of Messrs. Phillips and McClintock of New York, Miller of New Jersey, Holcombe of Connecticut, and Prof. Mason of New York. Article V. of the Constitution was amended by inserting after the words "the officers," the words "with ex presidents," so as to read, “Art. V. Council. The officers, with ex-presidents and six other members, shall constitute the Council. At the first election of members of Council, after the adoption of this article, two members shall be elected to serve for three years, two for two years, and two for one year; and annually thereafter two members shall be elected for three years. No retiring member of the Council shall be eligible for re election at the same