United States. Temporary National Economic Committ.

Investigation of concentration of economic power; monograph no. 1[-43] (Volume no. 2) online

. (page 10 of 19)
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of the National Youth Administration (NYA) are included under this heading.
Do not include persons who are employed in these organizations in nonrelief
administrative capacities.

"Non. Pd. Emp.": This includes "nonpaid family workers," such as those who
are voluntarily doing work for which people are usually paid. For instance, a
person who works in his or her father's store and does not receive any regular
wages comes under this heading.

"Temp. Emp.": Under this heading include persons who are temporarily em-
ployed, but do not expect the job to continue for more than 1 month.

"Seeking Emp.": This heading represents those who are "seeking employment."
Any person who is now out of a job and is seeking one comes in this category
whether he or she has ever been employed before or not. Also, include persons
who have been out of work because of a strike or seasonal lay-off for 30 days or
more.

"Non- Worker" : This heading covers persons who are not working and are not
seeking remunerative work. For instance, it would include retired persons, house-
wives, and minor children.

Enter a circle in the applicable column for each member of the family.

K. Occupation. — Under column 1 — "Kind of Work" — enter the particular job
on which the member of the family works. For instance, do not enter simply
"Factory Worker," but note whether or not the person is a mechanic, an engineer,
etc.

Under column 2 — "Name of Employer" — enter the name of the company or
person for whom the member of the family works. If he is in business for himself,
enter "Self."

L. Social security cr railroad retirement number. — If the member of the family
has a social security number, or comes under the coverage of the Railroad Pension
Act, enter a circle in the column headed "Yes." Answer "Yes" for people who
are no longer making contributions to social security as well as those who are still
doing so. If the person is not now in an employment covered by Social Security
and has never been in one, and is not a railroad employee, enter a circle in the
column headed "No."

II. INSURANCE POLICY DATA

A. Members of the family. — Insert in this column the numbers identifying each
person in the "family" on whom there is an insurance policy. There may be
several policies on the life of each person, and every policy is to be listed on a separate
line. Be sure to enter data on "lapsed" and "paid-up" policies as well as on those
in force on which premiums are still being paid. However, do not make any entries
with respect to policies on which premiums are in arrears, if the actual policies
are not available for examination. The existence of such policies will be noted
in the answer to Supplementary Question No. 1 on the last page of the schedule.

B. Name of company. — In entering the name of the company, abbreviations
may be used, but be certain that they can be understood. For instance, if the
first name of the company is "Home," be sure to add enough of the rest of the
name so that we can tell whether it is the Home Life Insurance Co. of New York,
the Home Life Insurance Co. of America, or the Home Beneficial Insurance Co..



CONCENTRATION OF ECONOMIC POWER 87

etc. There are also at least three "Equitable" companies. Frequently the state
in which the company is organized should be included. The only ones which can
safely be abbreviated are the Metropolitan Life Insurance Co. (Met), The Pru-
dential Insurance Co. of America (Pru), and the John Hancock Mutual Life
Insurance Co. (J. H.). If the policy is a Savings Bank Life Insurance .policy,
be sure to write the name of the savings bank.

The only types of insurance which are to be considered in this study are life,
personal accident, health, sickness, and hospitalization insurance. Do not in-
clude data on fire, burglary, automobile liability, or other types of casualty
insurance.

In order to record the information required in this part of the schedule, it will
be essential for the interviewer to examine the actual policies and the premium
receipt books. In most cases, the people interviewed will not have a clear idea
of the types of policies upon which they are paying premiums. In addition, they
are not likely to know the exact names of the companies which issued the policies
or the date of issue, age at issue, etc. In some cases the premium receipt books
may contain sufficient information for the schedule to be partially filled out from
them. The value of any schedule which is filled out without a direct examination
of the policies will be questionable.

If the policies seem to be hidden in some family cache, offer to step outside
until they are obtained. Do not watch while they are being brought out; you
do not want to know their hiding place.

Separate all the family policies so that data on all the policies of one person
can be entered. Then leave a line blank and continue with the policies of the
next person. Start with the person designated as "Head (1)," and make the
entries for the rest of the family as far as possible in the same order in which they
are listed on the first page.

C. Class of Insurance. — Enter a circle in the column headed by the word
that describes the class of insurance into which the policy falls. The "Life"
policies are those in which the principal feature is a promise to pay at death, or
on maturity, if an endowment. Ask if there is any insurance of each class, so
that data on f^ gotten policies may be obtained. The following descriptions
should assist in determining which classification is the proper one in each case:

1. Industrial Insurance: This is life insurance written on a "legal reserve"
basis, in which the policies are less than $1,000 in face amount and the premiums
are collected weekly or monthly by agents who call at the homes of the persons
insured. There may be some slight variations from this definition, but it is
correct for substantially all of the business. Industrial policies are usually
marked "Industrial" somewhere on the policies.

2. Ordinary Life Insurance: This type of life insurance is paid for by sending
a fixed premium to the company either annually, semiannually, quarterly, or
monthly. Be careful to distinguish it from industrial, group, or fraternal,
described elsewhere.

3. Fraternal Life Insurance: This is insurance issued by fraternities, lodges,
orders, etc. The policies are similar to the ordinary policies, and are distinguished
principally by the name pf the issuing institution. Examples are the Lutheran
Brotherhood, the Ladies' Catholic Benefit Association, the Locomotive Engineers
Mutual Life and Accident Insurance Association, etc.

Labor unions often carry insurance for their members on a mutual benefit
plan, and the premiums are paid as part of the union dues. It should be noted
that this is mutual benefit insurance. Ascertain what part of the dues is used as
premium payments.

4. Group Life Insurance: This is the type of insurance which covers every-
body within the group named in the policy. For instance, employers frequently
take it out for the benefit of all the employees working in the company. Premium
are sometimes paid entirely by the employer. More frequently a deduction is
made from each employee's wages every month or week to cover the premium.
The enumerator will probably not be able to examine any policy or certificate
showing the nature of this insurance, the amount collected out of the wages of
the member of the family covered, or the amount of insurance coverage. How-
ever, if such a certificate is available, it will, of course, be more satisfactory than
any other source of the information. The person interviewed may be able to
provide accurate data. If you feel that the answers to your questions are in
all probability correct, enter the figures in the line assigned to this policy. If
you feel that there is some question of the accuracy of the answers, put a ques-
tion mark next to the entries.

2.-0783— 40— No. 2 7



gg CONCENTRATION OF ECONOMIC POWER

D. Policy number. — The number of the policy usually appears on the first
page. On industrial policies it is most likely to be found in the schedule which
contains the name of the insured, the name of the beneficiary, etc. Sometimes
this schedule is written on the last page, as is the case in most of the policies issued
by the Metropolitan. Sometimes the policy number is on the very top of the
first page or on the "fold back" of the policy. Be careful that the number which
you record as the "policy number" is the number assigned to the specific policy
issued to the policyholder, and not the code number of the policy form, the num-
ber of a "lost policy certificate," or other misleading number.

E. Date of issue on policy. — The date of issue of an industrial policy almost in-
variably appears in the schedule on the first or last page. On some other policies
it will be found at the very top of the first page, and on others it is placed near
the bottom of the page in the place where the signatures of the officers appear.
Sometimes it appears on the "fold back." There is no "date of issue" for group
insurance, so leave these columns blank for this class of insurance.

It is very important to have the correct date of issue. In case it cannot be
found on the policy, ask the person interviewed or examine the premium-receipt
book, as it may be recorded there.

Enter the month (by number), day, and year in columns 1, 2, and 3, respectively.

F . Age at issue. — The age at issue usually is entered on industrial policies in the
schedule already mentioned. Some of the companies refer to it as the "insuring
age," but the information desired here is the age of the policyholder as recorded
on the policy at the date of issue. (On industrial policies it is the age of the policy-
holder on his next birthday after the date of issue; on ordinary policies it is "age
nearest birthday.") Leave this column blank for group insurance.

G. Plan of insurance refers to whether the insurance is written as a whole life, a
20-year endowment, a 20-payment life policy, etc. The information should be
recorded by entering a circle in the column headed according to the following
code:

Plan of insurance Code

1. Insurance payable at death; premiums payable until W. L. (P. U. 75).

anniversary of policy after age 74 or until prior death.

2. Insurance payable at death; premiums payable for 70 W. L. (P. U. 70).

years less years of insuring age.

3. Insurance payable at death; premiums paid until death. W. L. (Premium

until death).

4. Insurance payable as an endowment in 15 years or upon 15-Yr. End.

prior death.

5. Insurance payable as an endowment in 20 years or upon 20- Yr. End.

prior death.

6. Insurance payable as an endowment in 25 years or upon 25- Yr. End.

prior death.

7. Insurance payable as an endowment at age 65 or upon End. at 65.

prior death.

8. Insurance payable as an endowment at age 79 or 80 or End. at 80.

upon prior death.

9. Insurance payable as an endowment at age 85 or upon End. at 85.

prior death.

10. "Cumulative Endowment," insurance payable as en- Cum. End.

dowment between ages 60 and 65, and death benefits
increasing during life of policy.

11. Insurance payable at death; premiums payable for 10 10-Pay. Life.

years.

12. Insurance payable at death; premiums payable for 20 20- Pay. Life.

years.

13. Insurance payable at death; premiums paya"ble for 30 30-Pay. Life.

years.

14. Insurance payable only if death occurs before the expira- Term.

tion of a certain term.
The plan of insurance is usually noted in small print at the top or bottom of
the first page of the policy and on the "fold back." Various expressions are used
to designate the different types of policies. For instance, number 1 above is
sometimes designated "Whole Life." The enumerator should note carefully
any deviations from the true whole life policy which is described in number 3
above. The policies in which the premiums are payable for limited periods such
as 10, 15, 20, or 30 years are usually designated "10-Payment Life," "20- Payment
Life," etc. The policies which are actually endowments at 80 are occasionally



CONCENTRATION OF ECONOMIC POWER



89



designated "Whole Life," but the entry should be made in the column headed
"End. at 80."

(Attention is called to the fact that some companies use £he expression "limited
benefit" when they refer to policies issued to colored people. Care should be taken
not to confuse this expression with the limited payment feature of some policies.)

Write the titles of unusual types or plans of insurance right across the columns
under "Plan of Insurance." All group insurance is term; enter a circle in the
column so headed for this class of insurance.

H. Dividends. — This column applies to industrial and ordinary life insurance
only. A "participating policy" shares in the surplus and savings of the business,
while a nonparticipating policy does not do so. The policyholder receives divi-
dends on the former and none on the latter. The small print at the bottom of the
first page of the policy, where the plan of insurance is described, usually designates
the policy as "participating" or "nonparticipating." Sometimes this information
appears only in the body of the policy. A participating policy is also referred to
as "participating in annual distribution of surplus," or as "receiving annual
dividends."

A participating policy, or one in which there are annual dividends, calls for a
circle in column I. For nonparticipating policies, enter a circle in column 2. All
policies issued by the Metropolitan, Prudential, and John Hancock are now
participating, even though they are labeled nonparticipating, as some old ones are.

Leave these columns blank for group insurance.

/. Face amount of the policy payable at death. — On industrial policies this usually
appears in the schedule already referred to. If the insured was an adult at the
date of issue, the amount of insurance can probably be determined by a glance
at this schedule. If the insured was an infant (either under 15 or 10) or if the
policy is a cumulative endowment policy, the amount of insurance will probably
appear in a table connected with the schedule. The amount to be entered in
column 1 in the case of an infantile policy is the amount payable in case of death
on the date of the interview. The following is an example of the type of schedule
which appears in infantile policies:



Amount payable if death occurs during
policy year as stated below



Age next birthday when policy is issued



1st year:

1st 3 months

Last 9 months

2d year

3d year

4th year

5th year..

6th year

7th year

8th year

9th year

10th year

11th year and thereafter



$10

20

40

60

80

100

120

140

160

180

200

212



$40

40

60

80

100

120

140

160

180

200

208



80
100
120
140
160
180
200
203



80
100
120
140
160
180
199



$100
100
120
140
160
180
194



$120
120
140
160
180
189



$140
140
160
180
184



$160
160
180



$175



$171



According to this schedule the "face amount of the policy" in the second year
would be $40 for age 1 at issue, $60 for age 2 at issue, $175 for age 9 at issue, and
so forth, for each 5 cents of premium. Enter two times these figures for a pre-
mium of 10 cents, and so forth.

In the case of a cumulative endowment industrial policy, enter the amount
payable in case of death during the present year as the face amount.

The face amount of ordinary or fraternal insurance usually appears on the face
of the policy. It is also frequently written on the "fold back." Sometimes pro-
ceeds of the policy are to be paid in installments, but a "commuted" value is
generally given as a lump sum payable at death. This is the amount to be entered
in column 1.

In the case of other classes of insurance, enter the lump sum payable in the
event of normal death (not accidental).



90 CONCENTRATION OF ECONOMIC POWER

In some cases the policies call for a payment of double the face amount of the
policy, in the event of accidental death. This double amount should not be re-
corded as the face amount under any circumstances.

Leave column 2 blank.

J. (a) CURRENT PREMI UM PA YMENTS.—U the premium paying period,
as stated in the policy, has expired, the policy is in force on a "paid-up" basis,
and a circle should be placed in the column headed "Paid-up." For instance,
"Twenty payment life" policies become paid-up after premiums have been paid
for 20 years. Similarly, policies on which premiums are to be paid until the anni-
versary of the policy after age 74 become paid-up some time during the year after
the insured reaches age 74. Do not enter a circle in this column for policies which
are paid-up for a reduced amount under a "nonforfeiture" clause; premium infor-
mation on such policies is to be entered in the columns under "K" and "L."

// the policy is "paid-up 1 ' and a circle appears in the column headed "paid-up,"
make no additional entries under J or K.

(6) With respect to all policies other than those marked "paid-up" in column
A, enter, in the column headed "Each installment," the amount of premium called
for on each premium-paying date. This will include the premiums on policies on
which premiums are currently being paid and on which premiums are in arrears.
For example, if the policy calls for a weekly premium of 5 cents, enter .05 in this
column. The weekly or monthly premium on industrial policies will be found in
the schedule already described, on the first or last page of the policy. On ordinary
or fraternal insurance policies the amount of each installment generally appears
on the face and on the "fold back" of the policy. In the case of group life insur-
ance, the premiums are paid by weekly or monthly deductions from the pay check.
Ask the person interviewed for this figure in case no certificate is available.

(c) How. Paid. — Enter a circle in the column headed by the proper word denot-
ing the frequency of premium payments called for by the policy. For example, a
policy bearing a premium of 25 cents a week is a "weekly" policy, even if payments
are actually made monthly.

(d) Annual. — The annual amount of premium called for in the policy is to be
recorded here. This will be done in the office.

(e) Dale to which premiums have been paid. — If the premiums on industrial
weekly premium policies were paid at any time during the 4 weeks preceding the
interview (or on the day ol the interview), and are not paid for any period in
advance, enter a circle in the column headed "To date." Similarly, h the pre-
miums on any policies other than industrial have been paid only to the last. due dale,
enter a circle in the "To date" column. If the premiums were paid for some
period in advance of their last due date, enter the date to which they were paid.
(The best way to find the date to which industrial policies have been paid is to
examine the premium receipt book.)

K. Policies on which premiums are in arrears 4 weeks or more. — Leave the
column headed "Residual value" blank.

Ii premiums are not currently being paid on a policy (and it is not marked
"paid-up" in column J (A), and more than 4 weeks have elapsed since the last
due date, enter the date on which the last payment was made. If the last pay-
ment was made several years ago, and the premium receipt book does not show
the date it will be sufficient to enter the year oi last payment.

L. Lien or loan. — In the case of industrial insurance, policies are sometimes
"revived" after they have lapsed because premiums have fallen into arrears more
than 4 weeks. If all past-due premiums are not then paid in cash, the company
may stamp a "lien" notice on the policy for the amount of unpaid premiums.
If there are any such lien stamps, enter the number of them in the column headed
"Number of stamps." In the case of ordinary or fraternal insurance, there may
be a loan on the policy. This will be endorsed on the policy in most cases. Enter
the amount of the loan in the column headed "Amount of loan." If the amount
of the loan is not recorded on the policy, determine how much it is. If there is
no loan endorsement on the policy, ask if there is any loan outstanding, and if
there is one, how much it is. In the column headed "Date made," enter the year
in which the loan was made.

If there is no lien or loa'i on the policy, draw a line through the spaces in these
columns.



CONCENTRATION OF ECONOMIC POWER 91

III. SICKNESS, ACCIDENT, HEALTH, HOSPITALIZATION INSURANCE, AND PENSION

PLAN

Members of family. — Enter in this column the number assigned to each rr ember
of the family for whom premiums are being paid on sickness, accident, health, or
hospitalization insurance, or who is contributing to a pension plan.

Sickness. — This is a type ot insurance whose primary purpose is to pay a certain
amount per day or week during illness. Some of the life policies may contain
"disability" benefits, and some of the sickness policies may conuain death benefits,
but he classification should reflect the primary purpose of the insurance.

Enter in this column the annual amount paid as premium on sickness policies.

Accident. — This class of insurance pays benefits in case of accidental injuries.
The policies are usually marked "accident policy." Frequently there is a death
benefit payable in case of accidental death, but this does not class it with "fife"
insurance.

Enter in this column the annual amount paid as premium on such a policy.

Health. — This type ot insurance provides benefits in the form of periodic health
services, such as physical examinations, clinical ministrations, and other forms of
medical assistance. It is usually issued on a group basis within a factory or other
institution.

Enter in this column the annual amount paid as premium on such a policy.

Hospitalization. — This type of insurance provides part or all of the costs of
hospitalization in the case of illness or accidental injuries. An example is the plan
of Associated Hospital Service Corporation. It is written to cover entire families
as well as single individuals. If the policy covers the entire family, enter the
amount of the annual premium paid on this type of insurance on the bottom line
opposite "Family as a whole."

Pension plan. — Where an individual participates in a pension or retirement
plan (other than the old-age provisions of the Social Security Act) and deductions
are made from salary or wages by his or her employer, enter the amount of the
annual payment made toward the pension. Usually no policy will be available
for examination, and reliance will have to be placed on the information supplied
by the person interviewed.

Frequently pension plans include benefits payable in case of death of the con-
tributor. The amount is usually dependent upon the total amount of annual
contributions which have been made. In the column headed "Amount payable
at death," enter the amount payable in case of death on the date of the interview.

IV. FAMILY INCOME

A. Members of family. — In this column enter the numbers opposite the names
of each member of the family listed under I-A, who contribute to family income.

B. Salary and wages nonrelief employment. — The entries under this heading are
intended to be the amounts received for a regular and continuing job, other than
relief, held at the time of the interview. Only persons having a circle in part I,
column J, denoting employment status, will have any (Gainful Emp.), entries here.

If the wages are paid at a certain rate per week, make the proper entries in
column 1. If payment is made by the month, insert the amounts in column 3.
If, payment is made by the day, obtain an estimate of the weekly income, as
accurate as possible. The full amount of salary is to be entered without deduc-
tion for social security or pension contributions, despite the fact that the salary
actually received probably represents the net amount after this deduction has
been made.

In column 6, enter the approximate amount that the person expects to receive
during the next 12 months. This may be the same amount as he received during
the last 12 months. However, if he has received a raise very recently, his income
for the next 12 months will probably be higher than for the last 12 months.
Column 6 is to be used as a check on the accuracy of column 5.

C. WPA wages. — Enter here the income, if any, received from WPA during the
last 12 months.

D. Cash relief (other than WPA). — Enter here the cash income received from


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Online LibraryUnited States. Temporary National Economic CommittInvestigation of concentration of economic power; monograph no. 1[-43] (Volume no. 2) → online text (page 10 of 19)