| Beginning at “scratch” back in January 1924, the Coleman Mutual Life
Insurance Association has grown through the past 13 years until today it
has almost two million dollars in insurance in force. While the company
has prospered like the other Coleman county firms, it has seen the “ups
and downs” of business just like those other firms. However, during
the worst part of the recent depression, the company went ahead with the
payment of death claims. In fact, the organization to date has paid
out approximately a quarter of a million dollars in such claims.
The original company -- then known as the Coleman Mutual Aid Association
-- was organized with R. G. Hollingsworth, J. C. Smith, S. N. Aston, Leman
Brown, W. N. McCulloch, Lee Mayes and Sam T. Cobb as directors. The
latter has also been secretary-treasurer of the organization since its
beginning. Members of the present board of directors include, R.
I. Bowen, president; Walter C. Woodward, vice-president; J. M. Nichols
and S. N. Aston, medical directors; Leman Brown, Lee Mayes, T. L.
Stevens, H. L. Gober and Sam T. Cobb.
The organization was at first located over Bowen’s drug store, until
the completion of the Coleman office building, at which time it moved into
the latter building. The company now occupies a large suite of offices
in the office building. Duties of the directors include; to see that
their organization is operated efficiently and honestly and to see to it
that sufficient bond is made to cover the reserve. All of the directors,
except Mr. Cobb, serve without pay, feeling that the organization is doing
a public service for the people of this section of the state. Thus,
Mr. Cobb points out, policy holders can secure insurance at a cheap rate.
The company started out operating on the death assessment plan with
members divided in groups and each member paying $1.10 on each death occurring
in his group. In 1933 however, a change was made to the stipulated
premium plan. Now the policy holder pays according to the amount
he carries and in accordance with his age. Change in plans proved
quite important and better for the policy holder, stated Mr. Cobb today.
At the same time the name of the organization was changed to the Coleman
Mutual Life Insurance Association and it was then recognized as a life
insurance company and offered certain of life insurance protection.
Then a reserve was established for the prompt payment of claims.
That reserve is located in 21 depository banks in the 34 counties served
by the local insurance company. By using the depository banks the
policy holders can pay their premiums at home and without expense to themselves.
The banks notify the Coleman office when the premium payers make deposits
for the local company.
In 1935, the company took over the J. E. Stevens Company Burial Association
of Coleman and the Stevens-Gober Burial Association of Brady. In
order to take care of that business it is necessary to issue small policies
to take the place of those held by the policy holders in the two companies
purchased. Thus, the local company began issuing the family group
policy. In some instances the family group policy covers the entire
family but is carried on the company’s books as one account although each
member of the group carries a separate policy and in the amount he might
desire. One notice goes to the head of the group for the amount of
the premium.
There are three full time salesmen and between 15 and 20 part-time salesmen
on the job in the 34 county district, stated Mr. Cobb. Mr. Cobb has
been a member of the state association of his organization almost ever
since he became interested in the business some 13 years ago. He
now is secretary of the organization -- the Texas Association of Mutual
Life Insurance Officials -- and for years, and now is, has been a member
of the organization’s legislative committee.
Mrs. Ann LeMay, his assistant, has been with the company and has efficiently
carried on her work for about ten years. |