“Why, then you’d only have to convince your wife that you have a safe investment, and it’s always easier to convince your wife than it is to convince some coldblooded capitalist. Insurance ranks high as security, but of course the beneficiary has to consent to its use.”
“I never had thought of insurance as a factor in financiering,” said Lake. “I had regarded it more as a family matter.”
“It plays an important part in the business world,” explained Murray, “and it might even play a part in speculation. There is partnership insurance, you know.”
“I may have heard of it, but I never gave it any consideration.”
“It’s not a speculation, but a business precaution,” said Murray. “The partners are insured in favor of the firm. If one of them dies, it gives the firm the ready cash to buy his interest from the widow, without infringing on the business capital. Partnership insurance may sometimes prevent a failure; it may prevent several. Many interests may depend temporarily upon the operation of one man, and his sudden death might spell ruin for a number of people, unless they were protected by insurance. The policy is playing a more important part in the business world every day. There are lots of strange things that can be done when you fully understand it.”
“But that doesn’t help me,” asserted Lake impatiently.
“No,” returned Murray, “I don’t see how insurance could help you just now, unless you were to die. A policy won’t be accepted as security for a sum in excess of the premiums paid, for you might default.”
“I’m not the kind of man who dies to win,” said Lake rather sharply.
“Of course not,” replied Murray. “I was merely considering the financial possibilities of policies.” All insurance questions being of absorbing interest to Murray, he straightway forgot all about Lake’s predicament, and busied his mind with his own speculations. “There is so much that can be done with insurance,” he went on, “but I guess it’s just as well the public doesn’t know it all. Do you remember the case of Rankin, the banker who committed suicide?”
“Yes.”