108 BRITISH LIFE ASSURANCE, 1914-1918 
of these arrangements during the war period. Had nothing of 
the kind existed something equivalent would certainly have 
had to be improvised. 
The most pressing question for early settlement was that 
of the extra premiums to be charged for war risk. Here, for 
most of the Ordinary (as distinguished from Industrial) Com- 
panies, the problem was settled in advance so far as a large 
number (probably the majority) of their policy-holders were 
concerned. The reason is an interesting one, as showing how 
little such a catastrophe as the late war had been considered 
among practical possibilities. 
In the early days of Life assurance every policy was subject 
as a matter of course to conditions, providing that risks of war 
or foreign residence, should they emerge, were to be subject 
to an extra premium to be determined by the Company. About 
forty years ago, however, in times of rapidly expanding business, 
increased public demand, and keen competition, it was felt 
that such limitations, to meet contingencies which in most cases 
were little likely to arise, had upon the ordinary assurer a 
hampering and irritating effect, out of proportion to what was 
likely to be their practical value. Gradually what was known 
as the free and unconditional’ policy came into being. To 
the proposal forms were added inquiries whether the intending 
assurer was in the Army or Navy, or had any intention of joining 
either, or of going or residing beyond the usual sphere of tem- 
perate climatic conditions. If these questions were answered in 
the negative an unconditional policy was given. 
There was yet a further and bolder development along 
similar lines. It occurred to some Companies which had con- 
sidered the subject of Army and Navy risks that it might 
be feasible to commute these for a fixed uniform annual pay- 
ment of moderate amount to endure throughout the currency 
of a policy. Such schemes came into being and had substantial 
success. The pioneers on that path soon had followers, and 
had the outbreak of war been delayed a few years longer it 
seems not improbable that the unconditional military or naval 
policy at a fixed addition to the annual premium of about