202 BUSINESS OF LIFE INSURANCE

It should be borne in mind that the policies which contain this privilege do not otherwise differ from other forms, except in the return premium feature. It may be applied to life, limited-payment life or endowment policies.

In considering policies with this loan feature a most important thing that ought never to be neglected is to ascertain at what rate of interest the loan accumulates. If at a rate exceeding materially, if at all, the rate used by the company in its computations, and especially if at a rate higher than is secured on other investments, the holders of these policies may not be fairly treated.

The following forms of annuities are offered by American companies:

Immediate life annuities, payable at the end of each year, half-year or quarter, during the annuitant's lifetime. Rates for these are quoted both as single premiums for an annuity of $100 per annum, $50 per half-year or $25 per quarter, and as amounts of annuity, payable annually, semi-annually or quarterly, which $1,000 will purchase. The single premiums for female annuitants are higher than for males, the experience having been that female annuitants aver-age to live longer.

These annuities are usually not complete or apportionable, i. e., the accrued portion of the annuity is not payable in case the annuitant dies