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COURT SANCTIONS RE-INSURANCE TRADE
CHEROKEE LIFE Is Permitted toTakeOver Insur=
ance and Certain Assets From Rome Insurance Company
Security As Well
As Size
There have been on deposit with the State Treasurer of Georgia
for the better protection of policyholders, state, county and munici
pal bonds, approved by the treasurer, as follows:
Cherokee Life (par value) SIOO,OOO
Rome Life (par value) SIOO,OOO
The CHEROKEE LIFE, with the business of the two companies
consolidated will continue the legal deposit of securities. Having
already embraced the compulsory deposit laws, it will make addi
tional deposits, from time to time, to follow its established practice,
sanctioned by law, of making all its policy contracts.
Safe As National Bank Notes
A National Bank Note circulates in every part of the country
without question as to its security, because it is protected by a de
posit of acceptable securities made with the government. In similar
manner every policy issued by the CHEROKEE LIFE INSUR
ANCE COMPANY, of Rome. Georgia, is secured by a deposit of
its entire reserve with the State of Georgia.
Protected By Georgia Laws
The laws of Georgia give to old line life insurance companies the
option of depositing with the State Treasurer acceptable securities
equal to the net cash values of all policies in force. Once embraced,
the continuance of stich deposit, with necessary accumulations, be
comes compulsory. Since the law was passed in 190(1, only two com
panies in Georgia have embraced its provisions. The CHEROKEE
LIFE, of Rome, Georgia, is one of those companies.
The laws of Georgia provide specifically the character of se
curities in which an insurance company may invest its funds, such
investments being limited to state, county and municipal bonds, home
office building and deeds of trust on improved real estate worth,
in each instance, at least twice the amount of the loan.
I nder the compulsory deposit law, governing the investment
of funds and their custody, solvency is absolutely guaranteed and
the policyholder holds a contract that is safe as a National Bank
Note.
STATE OF GEORGIA,
INSURANCE DEPARTMENT,
STATE CAPITOL.
Atlanta, Georgia, March 27, 1912.
I,William A. Wright, Comptroller General and Ex-Officio
Insurance Commissioner of the State of Georgia, certify that
the net reserve value of policies issued by the CHEROKEE
LIFE INSURANCE COMPANY, of Rome, Georgia,
is secured by a deposit of acceptable securities in
■■ accordance with the compulsory reserve deposit
laws of this State enacted in the year 1906.
Given under my hand and the seal of this office,
■■ the day and year first above written.
J) WM A. WRIGHT
Comptroller General and Ex Officio Insurance
Commissioner.
This is the Certificate that protects the Cherokee Life Policyholders.
Ordinary Department
LLOYD DAMRON
Director of Agencies
Cherokee Life Building, Rome, Ga.
CHEROKEE LIFE INSURANCE COMPANY=Head Office, Rome, Georgia
H. G. BOWIE, President
R. M. HARPER, 1 reasurer
THE ATLANTA GEORGIAN AND NEWS.SATURDAY, AUGUST, 24 1912.
Rome Newspapers Say Policyholders Are Secure
(From The Rome Press.)
By dissolving the injunction by which it was sought to restrain
the Cherokee Life Insurance Company from taking over and admin
istering the policies of insurance and certain of the assets of the
Rome Insurance Company, the court has given full sanction to the
merger of the business of the two companies and the Cherokee Life
is given free hand in carrying the re-insured policies of insurance.
As usual, in proceedings of this kind, the policyholder first was
thought of and his interests and right have been safeguarded under
the law. - ,
The Press has carefully probed the local insurance situation from
all angles and hastens to assure its readers and impress on the public
mind that the real integrity of the insurance situation in Rome is
unaffected by litigation. The receivership for the Rome Insurance
Company means that after its policies of insurance have been trans
ferred and the policyholders protected, a receiver has been appointed
to wind up the affairs of the Rome Insurance Company and to assem
ble a maximum of assets for distribution among the stockholders.
It was inevitable that the suit for injunction should follow the
re-insirranCe trade. Every such re-insurance deal is followed by pro
tests from some stockholder. It is inevitable also, however, that ,
every public official and every court hastens to surround policyhold
ers with protection. Perhaps that is why no legal reserve insurance
company in the United States, in the last fifty years, has failed in
respect to its obligations to policyholders.
The fight among individual stockholders may continue, the re
ceiver may or may not start new litigation, but the policyholders are
safe. The Press advises them strongly against listening to specious
arguments by agents of competing companies, who are bent on trans
ferring policies for their own benefit to their own companies, and
The Press also feels warranted in the assertion that a re-adjustment
of the affairs of local insurance companies is calculated to improve
rather than to injure the local insurance situation.
This is a time for constructive talent. It is no time for destruct
ive genius.
(From The Rome Tribune-Herald.)
POLICYHOLDERS ARE AMPLY PROTECTED.
Whatever may be the outcome of the insurance litigation; and in
advance of a legal decision of ttie matter people should not make up
their mind one way or the other; The Tribune-Herald does not be
lieve that there is any possibility of loss to the policyholders in any
company
The laws of Georgia and of other states, provide protection for
the policy holder. Not in many years has a legal reserve company
failed to fulfill its obligations to its policyholders. Even though the
company for some reason or other ceases to do business, the policy
holders are reinsured. This newspaper has investigated the matter
and does not believe that there is any cause for alarm among policy
holders. It would not advise any policyholder to drop the policy he
has held because of any present litigation.
• ■ ■ - ' ill ■ I I I
Striking Figures Disclosing Growth of the
Cherokee Life in Six Months
TAKEN FROM SWORN REPORTS FILED WITH THE OFFIC=
lALS OF THE STATE OF GEORGIA AND OTHER STATES
Growth of Surplus in Six Months
December 31,1Q11 ===Surplus $251,787.77
June 30,1912 ===Surplus $448,380.50
Growth of Insurance in Force in Six Months
December 31,1911, Insurance in Force, $3,531,387.00
June 30, 1912 Insurance in Force $15,375,394.00
Industrial Department
B. L. BURWELL
Director of Agencies
811 Empire Life Building, Atlanta
G. K. HENSHALL, Secretary
MILES M. DAWSON, Consulting Actuary
Premium
Revision
Downward
There was a tariff revision down
ward promise made famous by
failure of achievement. It was a
platform promise.
The Cherokee Life offers pre
mium revision downward. It will
become famous by achievement.
It is a contract guarantee.
Do you appreciate the potency of
rates of interest on investments
in the general scheme of life in
surance?
Do you appreciate the advantages
enjoyed over competitors by a
Southern company that earns
liberal rates of interest on South
ern mortgages?
Insurance men especially are invited
to write for folders that clearly
explain the Cherokee method
of bringing about Premium Revis
ion Downward.
E. L. BRADLEY
Superintendent Atlanta District
810-814 Empire Life Building
Atlanta, Ga.