In making a valuation of the ordinary whole-life assurance contracts of a company according to the methods in general use at the present day, there are two separate sets of questions to be considered.

In the first place, the basis of valuation has to be chosen; that is to say, we have to select the table of mortality and the rate of interest which are to be employed. The questions that arise in this connection are of great importance, and for their settlement we have the assistance of the powerful instrument devised by Mr. King—the Model Office and its Valuations by various Tables of Mortality and at various Rates of Interest.

Readers of the Journal will remember that in February 1901 our then President, Mr. Higham, addressed a letter on behalf of the Council to the Royal Commissioners of the Patriotic Fund, offering the services of the Council of the Institute in respect of any actuarial advice which might be necessary in connection with the various Funds administered by the Commissioners.

1. At the request of the Committee, I undertook to consider the graduation of the Whole-Life Without-Profit Experience, and I now have the pleasure to submit the result of my investigation.

2. In the graduation of this experience, it has been borne in mind that the main practical purpose to which the table will be put will be the calculation of premiums, rather than the determination of reserves. It is most important, therefore, that the graduation should not under-estimate the mortality, and, consequently, the premiums.