HC Deb 13 June 1912 vol 39 cc1189-90W
Sir J. D. REES

asked whether the Midland Railway friendly society, for contributions 1d. less in amount than those required by the National Insurance Act, gives sickness benefits without waiting six months, sick pay from the first instead of the third day, as well as superannuation and death benefits; and, if so, why inferior benefits are given for larger payments under the Government scheme?

Mr. MASTERMAN

The contributions of members of the Midland Railway Friendly Society range from 6d. per week for out-members who were such before 1880, to 10½d. per week for members who joined the society after 1st July, 1879, at an age exceeding thirty-one and under thirty-five. All members who joined the society after 1st July, 1879, pay 7½d. per week and upwards. These contributions have to be paid during sickness. The benefits given are medical attendance and medicine, pay during incapacity for work at the rate of 12s. per week for twenty-six weeks and 6s. per week during the remainder of the illness, a superannuation allowance after sixty-five of 8s. per week in most cases, but in certain cases 5s. and 4s. 6d. per week, and a death benefit of £12 (in the case of an out-member who has not been a member twenty-five years on leaving the service, £10), and also a death benefit of £5 for one wife. There are no maternity or sanatorium benefits. No member is entitled to receive any benefit except medical attendance and medicine until he has subscribed for twelve weeks. The contributions of the members are not sufficient to provide these benefits, and the company subscribes the sum of 12s. 6d. per member per annum. The annual return for 1911 shows that the company's subscription for that year amounted to no less than £21,751 5s., as against £52,615 17s. 8d. subscribed by the members. In spite of this, however, the last valuation shows that the society was in deficiency, showing that the combined contribution income, which is much larger than that which would be required under the Act, is insufficient with the existing funds to meet the promised benefits.