ASSURANCE BUSINESS.

Auckland Star, Volume LXVIII, Issue 150, 26 June 1937, Page 4

ASSURANCE BUSINESS.

COLONIAL MUTUAL LIFE

SOCIETY'S NEW RECORD,

Record business was placed by the Colonial Mutual Life Assurance Society during the year 1936. Speaking at the annual meeting in Melbourne Sir Harry Lawson, deputy-chair-man, who presided in the absence through illnci-s of the chairman, Mr. A. B. Were, stated that the service rendered to industrial policy-holders by the society's nursing and welfare service department was further developed in 10,%'. when tile nurses' visits to sick policy-holders totalled 19.423. The number of booklets, etc., on subjects of personal health and hygiene issued by this department to date exceeded 5,500,000.

The_ mortality experienced was again very favourable, the number of deatlis in the ordinary department being only 50 per cent of expectation.

In the ordinary department new premiums collected during the year totalled £447,55.3 17/8, an increase over the previous year of £57.627 15/8. Renewal premiums at £2,012,301 showed an increase of £290,192. The total funds were £19,546.583, and the rapid progress recorded by the society in recent years could be gauged by the fact that during the last five years the funds had increased by no less than £6.072,373. The valuation of the society's liabilities in the ordinary and industrial departments had been carried out on the basis of 3 per cent interest.

Notwithstanding the trend of financial affairs the rate of interest earned on mean funds increased from £4 9/1 per cent to £4 10/ per cent, this increase affording tangible evidence that the society's fund* had been kept closely employed. No credit was taken for exchange and all overdue interest, the collection of which in tile opinion of the board appeared doubtful, was eliminated.

j The society's house purchase department had continued to flourish and 1498 bread-winners had been assisted to acquire their own homes, the total invested in this class of security being £1,069,817. An effective safeguard against investment fluctuation and other contingencies was afforded by a contingency reserve fund of £5.30.428 19/9. The ordinary new business placed on the society's books during the year constituted a record. The total secured was £12.820.389, an increase over the previous year of no less than £1,181.910. The chairman emphasised that this record result was obtained by consistent effort throughout the society's far-flung organisation.

The society's successful introduction and conduct of the system of assurance by groups as applied to industrial, commercial and financial companies had encouraged intensive competition, but this section of the society's activities had continued to expand—not only in Australia and New Zealand, but also in Great Britain and South Africa. In the industrial department steady progress had again been shown, new business amounting to £2.222,032 having been procured, while in the accident department the volume of new business had increased substantially over that of the previous year. During the year the society paid tonolicvholders in fulfilment of contractual obligations over one and three-quarter million nounds. Total payments to policyholders since the incention of the society amounted to £25.110,206.