Personal or life insurance occupies a large space in the Text. The nature of the life risk is discussed as well as the means of protection through the straight life policy. The various motives which have prompted these variations and the effect of these modifications upon the premium or the price of insurance are clearly explained. Various types of business organizations with divergent business methods have been devised for the purpose of conducting life insurance. The strength and weakness of the different organization forms are pointed out.
Another aspect of personal insurance is found in accident and health insurance. Obligations toward others generally for personal injuries is the basis of liability and workmen's compensation insurance, of which the latter has had an almost mushroom development of late years.
Property insurance brings up diverse questions in fire insurance and in marine insurance.
The Stock and Produce Exchanges
Functions of stock exchanges Leading stock exchanges The New York Stock Exchange Stock exchange securities Execution of orders, transfers and settlements Methods of trading The speculative transaction Relations of banks to the security market Quotations and news services The curb market Benefits and evils of speculation Influences that affect stock prices Produce exchanges and their functions The future contract Organized spot market The Chicago Board of Trade
Almost every man in business comes into contact with some one of the exchanges.
Therefore, a detailed description of the organization, operation and management of the principal security and raw material markets of the world is of inestimable value. This is the aim of this section of the Modern Business Course and Service.
Speculation in goods and in stocks exists because it performs an economic service. It saves the manufacturer of cotton goods or flour, for example, from gambling by an operation known as hedging. Business men should understand how speculation performs this service.
The volume closes with a discussion of corners and of the influences governing security and produce prices.