The Scottish Provident Instttution. 
SEPTENNIAL INVESTIGATION. 
In estimating the Liabilities the “‘ Actuaries’ Experience H™” Table has again 
been employed, the entire loading having been thrown off and excluded from the 
calculations, with an additional reserve in respect of Assurances effected by single 
payment or by terminable premiums. At all previous Investigations zwéerest at 
the rate of 4 per cent was assumed in the calculations; but, in view of the 
general tendency towards a reduction in the earning power of money on first 
class securities, the Directors are of opinion that 34 per cent forecasts now the 
probabilities of the future as accurately as 4 per cent did in former years; and 
the present Valuations have accordingly proceeded upon a 3} per cent basis. The 
rate actually earned throughout the Septennium has exceeded 4} per cent. It is 
gratifying that this important change can be effected without materially diminishing 
the shares of Surplus as compared with previous divisions. In connection with 
this change, it should not be lost sight of that various additional privileges have 
been conferred on the Members during the past Septennium, viz. the payment of 
Intermediate Bonuses, the payment of Claims immediately on proof of death, and 
the cessation after five years of extra premiums for foreign residence. 
The SuRPLUS resulting from the Valuation amounts to. ‘ £1,423,018 
from which there falls to be deducted the amount already ote 
as Intermediate Bonuses . , : : ‘ é . 60,832 
£1,362,186 
Of this sum it is recommended that there be reserved for future 
division . ‘ : ‘ : ? ; z - F 4 391,796 
Leaving to be now apportioned in terms of the Laws . : 3 £970,390 
The number of Policies entitled to participate, either immediately or prospectively in the 
next seven years, is 13,220, among which the above sum of £970,390 falls to be divided. 
HISTORY AND CONSTITUTION. 
Tue SCOTTISH PROVIDENT INSTITUTION was established in 
1837, with the object of giving to the AssuRED the full benefit of the Low 
PREMIUMS hitherto confined to afew of the PROPRIETARY OFFICES, while at 
the same time retaining the WHOLE SuRpPLUus for the Policyholders. 
THE RATES OF PREMIUM are so moderate that at most ages an 
assurance of £1200 to £1250 may be secured for the same yearly premium 
which would generally elsewhere assure (with profits) A1oco only—the 
difference of £200 or £250 being equivalent to 
An Immediate and Certain Bonus of 20 to 25 per cent. 
THE WHOLE SURPLUS goes to the Policyholders on a system 
at once safe, equitable, and favourable to good lives—no share being given 
to those by whose early death there is a /oss to the Common Fund. 
The System ts found to be specially suited for Family Settlements, 
securing at a low cost the largest Assurance to cover the period when 
such a provision zs generally most needed ; while the Whole Surplus 
zs eventually returned to those who prove good lives. 
HEAD OFFICE: 6 ST. ANDREW SQUARE, EDINBURGH. 
May 1895. 
