Towns > Edinburgh > 1846-1975 - Post Office Edinburgh and Leith directory > 1851-1852

INSURANCE DIRECTORY.
HI
, Mutual Assurance— Scottish Widows' Fund Life Assurance Society— continued.
I^HE Principle of Mutual Assurance is such, that whatever portion of the Annual Premiums is rot
. actually required for the risk of the Assurance, is appropriated' for the benefit of the Assured.
There are no Dividends payable to Proprietors, and the Assured ore the only parties who are in any way
interested in the Funds of the Society.
The objection usually urged against a Society founded upon this principle, is the risk attendant on its
failure, from an unexpected mortality amongst the Members, in an early period of its existence. No such
objection, however, can apply to a Society such as the Scottish Widows' Fund, which has been in
existence upwards of thirty -five rears — having realised and accumulated a CAPITAL of upwards of TWO
MILLIONS THREE HUNDKED THOUSAND POUNDS, and possessing upwards of 6000 Members.
The affairs of this Society are carefully scrutinized and examined, and its Funds and Liabilities are
valued at stated intervals of seven years; the Profits ascertained at these periodical investigations are
divided, and appropriated exclusively for the benefit of the assured — not less than one-third being retained
as a Guarantee Fund, to maintain the stability of the Institution till the succeeding period of investigation,
when it falls to be included in the amount to be then divided in like manner, and the remainder being
divided amongst the Members entitled to participate in them. .
The share of the Profits falling to each Member may be applied by him in any of the following ways : —
It may be taken as an addition to the original sum assured ; or it may be surrendered for its present value
in cash ; or this value may be applied towards the reduction of the future Premiums.
The following Table will exemplify the Additions already made to this Society's Policies :—
TABLE OP BONUS ADDITIONS
Under a Policy for £500.
Thus, if a Policy for £500, opened in the year 1819, were emerging after payment of the Premium
due in the year 1851, the representatives of the party would receive the sum of £1013 : : 7, or
MORE THAN DOUBLE THE ORIGINAL ASSURANCE.
Burreiide
The folio-wing case, taken from the Society's books, will exemplify the effect of the additions, when
endered or applied towards the reduction of the future animal Premiums :—
CASE.
On the 18th May 1818, a gentleman, being in his twenty-seventh year, assured the sum of £1000,
feayine an annual Premium of £23 : 18 : 3. This gentleman died in January 1849, and his represent*-
tires received in addition to the original Insurance of £1000, a bonus of £91 i : 19 : 10, making the
total sum paid under the Policy £1917 : 19 : 10. Had this Member died in the present year (after payment
of the Premium) his representatives would have received the sum of £2026 : 11 : 2, or more that* double
the original amount contained in the Policy. Had this Member desired, in the year previous to
his death to surrender the vested additions, the sum of £433 : 17 : 1 would have been allowed to him
as their then value : or had he desired to apply them towards reducing the future Premium, not only might
the Premium of £23 : 18 : 3 hare been entirely extinguished, but he would have received in addition either
a sum of £169 :16 : 7 in cash, or a Bonus of £316 : 16 : 11 might have been allowed to remain attached to
the Policy— he still reserving his right to all future additions.
HEAD OFFICE— 5 ST. ANDREW SQUARE, EDINBURGH.
April 1851.
JOHN MACKENZIE, Manager.
WILLIAM LINDESAY, Secretary.