Non-medical examination.—One of the most radical of modern improvements in the practice of life assurance is that ono which is probably the latest in order of date : the non-requirement of medical examination. This practice, which depends for its succe.ss upon the disclosures of the proposing assured in his proposal, originated with the scheme of deferred life assurance for children, but it is now, in the business of one or two companies, available in adult a,ssurance. Tho San Life Assurance Society, for example, entertains proposals without med4cal examina tion on lives up to the age of 50 years. Both whole-life and endowment policies may be thus taken out, and the business is accepted at the ordinary rates of premium. It is provided, however, as some protection to the company, that if the assured die during the first year following the date of assurance the amount payable is only one-third of the sum assured, and if lie die during the second year two-thirds of that sum. On a claim occurring at any time after two years from the date of the assurance, the full sum assured is payable. And the full sum will be paid in the event of the assured's death from accident at any time. It can be easily understood, in connection with a proposed assurance without medical examination, that the questions in the proposal and those put to the referees must be answered with a most scrupulous regard to accuracy. Assurance without medical examination can also be effected with the Government through the Post-Office Savings Bank. The following are the conditions :—" Insurance fi.om .£5 to ..£25 inclusive may be effected without a medical extunination upon production of satisfactory evidence as to health, but in such cases, if the insured shall die before the second annual premium becomes payable, the amount of the first premium, and no more, will be paid to his representatives, and if he should die after the payment of the second annual premium and before the third premium becomes payable, half the amount insured, and no more, will be paid to his representatives. In either of these cases, however, if it shall be proved to the satisfaction of the Postmaster-General that the death of the insured person was caused by accident, the full amount insured will be paid. In any case,
immediately after the payment of the third annual premium, the insured person is, of course, entitled to the full benefit of insurance.
The Death Duties, which now are so heavy in amount, and which must be paid by the personal representatives of a deceased before they can obtain letterspf administration, or a grant of probate, would seem to have opened up a inost extensive field for the further operations of' the assurance companies. Titre( important points must inevitably prest•nt themselves for the consideration of any extensive owner of property. They arc, that upon his death a heavy duty must be paid out of his estate ; it must be paid before administration or probate— before his personal representatives are legally constituted as such ; and it will probably be necessary, in the orditpry course of things, to realise some part of his estate in order to pay the dlities, at a time and under circumstances st hich will adversely affect the result of the realisation. I fere the assurance companies come to his assistance. lie may provide for the payment of death duties either by effecting a new policy with that special object, or by arranging for the object to be attained by an existing policy. Assuming that his estate amounts in value to X100,000, then, to provide for the duty thereon at the rate of 5i per cent., he must specially insure a sum of .£5500. When this policy becomes a claim, it will be paid immeAliately on proof of his death, and as soon as the company is satisfied that the persons claiming uayment are properly entitled to it. Moreover, arrangements can generally be made for payment of the sum assured to bc paid direct to the Inland Revenue authorities in discharge of the Death Ditties immediately on proof of death only, and before grant of probate. Thus a policy of assurance may become one of the best means of providing for these ditties, and may prevent the necessity for a forced realisation, perhaps at a serious loss, of a part of the deceased's estate.
noticed the general improvement in the policy and its conditions, it now remains to pay attention to some of the contingencies dependent upon human life which modern life assurance is prepared to provide against. •