LEVEL PREMIUM COMPANIES 35

turning the energies of men into founding assessment societies and has also resulted in con-tests as to the ultimate control of companies which are stock in form, though mutual in their operations.

The rates of the Equitable of London were based upon a mortality table, deduced from the mortality bills of London and constructed by Simpson. Fortunately for the experiment, this table was higher than the company's experience proved to be and the rates, therefore, were redundant. In the Deed of Settlement provision had been made both for distributing a surplus and for assessing for a deficiency; but it was as true then as now and ever that it is much easier to deal with a surplus than with a deficiency. The next table adopted was the famous Northampton which called for a large reduction in premiums and was applied with many misgivings and with a special addition to the premiums for contingencies. It transpired, however, that this table was also higher than was needed.

In view of the grave doubts which many men of affairs harboured of the feasibility of the Equitable's plan, it is especially fortunate that the mistake was charging more than was required. Had it been otherwise and the life insurance assumptions proved too low, as, for in= stance, the same table applied to annuitants proved unprofitable or the statistics upon which