26 BUSINESS OF LIFE INSURANCE

the earlier years of the association, when the members have all been examined very recently, the mortality cost should not be so high as these figures, but the ratios between them should be about the same. If the cost was two-thirds as much, but eight monthly assessments of one-twelfth of these amounts apiece would need to be collected from each; if three-fourths as much, then nine monthly assessments, and so on, but preserving the ratios of cost.

In the earlier years of these associations, however, the failure to charge according to age made little or no difference, as far as the popularity of the societies was concerned. Owing to the fresh medical examinations and the comparatively low average ages of the entrants the mortality was low enough to give a very low rate, much lower, of course, than in the regular companies on the level premium plan with which it was usually compared. The managers of the societies very imperfectly understood the nature of the forces which were at work, and had a fatuous disposition to believe all things possible besides; most of the members did not under-stand at all, or were quite content to obtain protection so cheaply and to let the question of its permanency take care of itself. A common saying was, "It will last aS long as I need it."

Not only was this plan unfair at the outset; it became increasingly so as the years went by,