N.I.M.U. to do life business

Press, Volume CXII, Issue 33033, 28 September 1972, Page 2

N.I.M.U. to do life business

(New Zealand Press Association) WELLINGTON, September 27. The N.I.M.U. Insurance Company and the Wairarapa Automobile Association Mutual Insurance Company will merge under the name of A.A. Mutual Insurance Company, and will begin life insurance business.

The plan was announced by Messrs W. J. Parlour and J. K. Jaine, the respective chairmen of the present companies. Under its new name, the company will act as official insurer to the eight North Island associations, involving a membership of 344,000 motorists. The business will remain mutual in concept. The company will offer a policy under which the basic capital benefits will be doubled when accident is the cause of death and trebled when death is because of a motor accident while the insured person is wearing a seat belt.

In a statement to “The Press” the general manager of S.I.M.U. Mutual Insurance Association (Mr E. B.

McKessar) said that the moves by N.I.M.U. had been known by the S.I.M.U. for some time. The S.I.M.U. had plans for diversification both within and without the insurance field but had no present plans for life insurance. The South Island association saw itself basically as an insurer of the private individual, Mr McKessar said.

The expected implementation of the Accident Compensation Bill would substantially affect the association’s business, but plans were well advanced for diversification moves which would make use of present staff skills while at the same time making available further services for the benefit of members and contributing profit to the association, Mr McKessar said.