Document 7wwk9b6Vyv6qr0oK0RrQJ3EV

FILE NAME: Metropolitan Life (ML) DATE: 1935 & 1939 DOC#: ML215 DOCUMENT DESCRIPTION: Johnson's Co. Death Claims - 40% Loading for Insuring Asbestos Dr* UcConnell Welfare Division Industrial Health Section Ret 43-G-2 - Johnson's Co., Thetford Hines West, Quebec We issued this policy in 1929, and to date ve have premiums of $33,000 against Death claims of $28,300 and Disability claims of $3,000. The experience is very unfavorable in the current year, the premiums amounting to $6,830 with Death claims of $11,000 and Disability claims of $1,000. An analysis of the claims shows a preponderance of lung disorders. The company is engaged in the quarrying and manufacturing of asbestos, and we feel that there is a decided occupational hazard.here. We would like to have you or ltr. Fehnel inspect the plants of this company at your convenience. Attached is a copy of the claim analysis. Hay 27, 1935 G17/DB Q.W. Fi^fthugh, Supervisor Actuarial Division Group Life it Health Section ' PRODUCED S/C/Wm Dr. McConnell, Welfare Division, Industrial Health Section He: Johnson's Company, Thetford Vines West, Quebec We cover the employees of the above company for group life insurance, and to date the claims amount to B3% of the premiums. Several years ago the experience was unfavorable, and we referred the group to you because there was a substantial number of claims for lung diseases. There has been an improvement in the experience in recent years and the coverage has shown a profit since 1935* In 1936 the question of offering this company Accident & Health benefits was considered and we asked you to make an inspection of the properties. Tou reported that the employees were French Canadians and looked undernourished and that in your opinion the claim experience would not be very good. On the basis of this report, we decided not to offer Accident & Health coverage. Our representative has again raised the question of Accident & Health coverage and advises us that the company has appropriated a considerable sum of money for mine improvements. Possibly this will improve the group as a risk for group coverage. We would appreciate a further inspection of this company's properties and a report from you at your convenience. The group is not large enough to justify the expense of a special trip for this inspection, but possibly you will have someone in the vicinity soon and can have him make a report. In advising us whether you consider this company an acceptable risk for Accident & Health coverage, you will want to take into consideration that for this industry (asbestos mines) we load our standard rates 10. In other words, if you think the claj rate will be less than L40 of the claim rate in a non-hazardous industry, our normal rate should be adequate. Of course, the plan we will offer will not/yrovide benefits for occupational accidents. ' t Ad Division Group Lifd & Health Section