To be exact, if the average vitality of the members of the two companies differ (other things being equal, it is always cheapest to belong to that company which has the lowest death rate), the ratios of insurance expense to expected, as well as actual, claims of each must be found, and equated.

The science of this procedure, or mode of testing expenses, and also its practical simplicity, may be more clearly perceived by reference to its practical application in the following table: 

Table Exhibiting Ratio of Expense, Determined by the New Mode, of Companies
Doing Business in Massachusetts during the Year 1883.
____________________________________________________________
_______________________________________________________
                   | | | | | | | | |
                   | | | | | |Expense | | |Net Rate
                   | | | | | |per $100 | | | of
                   | | | | | |of claims| | |interest
                   | | Death |Estimated |Difference |Expense |paid. | Interest | Expense | earned. 
Name of Company. |Loca-| claims |Premiums. | or Net | on the |---------| Receipts. | on the |--------
                   |tion.| paid. | Reserve |Insurance |score of | R | R | | score of | R | R
                   | | | thereon. |furnished. |Insurance. | a | a | |investment.| a | a
                   | | | | | | t | n | | | t | n
                   | | | | | | e. | k.| | | e. | k.
-------------------+-----+-----------+----------+-----------
+-----------+-----+---+-----------+-----------|----|---
Berkshire |Mass.| $208,147| $46,605| $161,524| $122,779| 75.4| 14| $194,067| $15,809|5.25| 16
[1]John Hancock | " | 169,604| 25,117| 144,487| [8]228,566|158.2| 24| 135,597| 11,686|3.65| 26
Mass.  Mutual | " | 426,995| 86,215| 340,780| 232,400| 68.2| 10| 428,255| 33,176|6.03| 7
N. England Mutual | " | 1,039,694| 235,630| 804,064| 311,879| 38.8| 3| 995,883| 69,908|6.40| 4
State Mutual | " | 121,969| 22,493| 99,476| 98,839| 99.4| 19| 143,751| 13,057|4.51| 24
AEtna |Conn.| 1,302,807| 364,510| 938,297| 460,014| 49.0| 6| 1,760,372| 118,962|6.22| 5
Connecticut General| " | 87,639| 15,624| 72,015| 46,113| 64.0| 9| 95,580| 5,407|7.03| 1
     " Mutual | " | 2,867,489| 881,600| 1,985,889| 622,941| 31.4|