Page 6 Advertisements Column 1

Evening Post, Volume LVI, Issue 16, 19 July 1898, Page 6

STATE INSURANCE. « npHE operations of the New Zealand Lifo JL Insurance Department for 1807 compare very unfavourably with those of tho Australian Mutual Provident Society, tho only life office which approaches it in tho magnitude of. its business. Whcro Stato management has the competition of privato institutions it is kept much nearor business lines than if it had a monopoly. But still the figures of this competition aro on the essential points all against tho Government department, although its somewhat largor business and its possession of local inflneneo might be supposed to givo it an advantage. Tli is will be seen as follows :—: — N.Z. Oov. A.M.?. itiMinmco. Society. New premiums .fcU'.tilN .U15.M0 ltenewal premiums Jito.UJlS lhf>,i'l>ft Interest on investments ... I'JB,-|23 I'Ja.'JOS Kato of interest per annum -l-SIl !\"-'Ji ISxpouses, iimount A'M.Kil l-:u,f>U Ratio to piomium income 2^'iW Ki-s I'uncls in December, J«l(j . . JC2,6!)l,'lt'J JUlS.iilJS.l'H) Funds in December, 1897... U,7J5,106 '2,-l-M,7!H In crea^b of funds JL'135,703 I'ilOG.OOl The Government office has rather tho larcor business, its now premiums relatively to tho renewals being within a small fraction of thoso of thu privato olhce. Tho firs I. point of unfavourable comparison is tho yield on investments, tho Ciovernment department earning only 4*83 per cent., whilo the A.M.P. earned 5*22 per cent. On tiie funds of the (Government odico this difference represented a loss of ,UlO,'{7o. Again, tho expenses of the ('overnmentwero 22G8 per cent, of the premium income, as against IG'S per cent, in tho casu of tho private oilico. Against this, however, some allowanco must be mado to tho public institution, whose premiums aro lower, averaging at the ages, of 20, 00, •!(), and fit) years about 8 per cent, less than those of tho A.M. P. Society. Making this deduction, the expense on premium ineoiue in the case of the Government ollice is reduced from 22 - o8 per cent, to 21 per cent. Thin si ill compares unfavourably with KVB pur cent., the rate of expense oi" tho A.M.P. Society', leaving the Government institution v furthoi