THE NATIONAL MUTUAL LIFE ASSOCIATION.

Evening Post, Volume LXXIII, Issue 4, 5 January 1907, Page 2

THE NATIONAL MUTUAL LIFE ASSOCIATION.

SUCCESSFUL OFFICE

A SPLENDID YEAR'S RECORD.

The thirty-seventh annual meeting of members of the National Mutual Life Association of Australasia, Limited, was held at the head office, Melbourne, on 20th December, 1906. In the absence of tho chairman of directors, Colonel J. M. Templeton, C.M.G., the chair was occupied by Mr. Andrew Newell. Tho directors reported that during tho year ended 30th September last, 12,029 proposals for life assurances were received, amounting to £3,444,901. Of these 2642 proposals, involving £811,446, wero either declined or not completed, and the remainder, 9387 policies for £2,633,455, wero issued. In addition 1259 endowment policies for £217,334, and 70 annuity policies for £4643 per annum, were issued. Tho total new issue for the year amounted to 10,716 policies, assuring £2,850,789. Those yielded new annual premiums of £103,083, single premiums of £5514, and in consideration for annuities, £38,543. Claims were paid in respect of 476 deaths, involving 519 policies amounting wiwi bonus additions to £159,669; the maturity of 597 endowment assurances, amounting to £147,465, and of 95 endowments for £12,865, a total of £319,940. Twelvo annuitants whose annuities amounted to £664 per annum, had died during the year. Tho income from all sources amounted to £823,788, of which £618,619 was received from policy holders or on their behalf. The amount of interest received was £205,036, which worked out at the 'rate of £4 14s 7d per cent, of the mean amount of the assurance fund for the year. In moving the adoption of the report and balance sheet, tho chairman congratulated the members on the fact that tho year under review constituted a record in the history of the association, not only in the amount of new business completed, in the number of policies, and the aggregate of the sum assured, but also in the amount of new premiums, the addition to the funds and in the- income from all sources. (Hear, hear.) The new business of the year exceeded that of the previous one by 573 policies and £235,572 in the sum assured, and that of tho year 1903--1904, which had hitherto been the record for this line, by 453 policies and £186,103 in the sum assured. In nsw annual premiums the past year exceeded the previous ono, which was a record by £11,731. (Applause.) The income from all sources last year amounted to £823,788, an increase of £60,882 over that of the preceding one, and £107,346 over tho year 1903-1904. The amount added to tho funds was £282,220, or £id,738 more than last year, which had exceeded all previous years in that respect. Tho association had during the year paid to members or their representatives £395,732, of which £236,123 was paid to living members, and £159,609 to tho beneficiaries of those that had died. A gratifying feature of the increased business was that it had been mainly obtained in Australia and New Zealand, the returns at the head office and from all branches showing very substantial improvement over those of the preceding year. As no business feels the effect of bad seasons or other causes of depression sooner or moro acutely than that of life assurance, while, on the other hand, it does not quickly reap tho benefit of better times, such results as shown were the best evidence of the enhanced prosperity of the people generally in Australasia; Another satisfactory feature was that this large increase of business was not the result of extravagant expenditure, but, on the contrary, had been obtained at less ratio of cost to result than in any preceding year. The rato interest earned was £4 14s 7d per cent, of the mean amount of the assurance fund for the year. Taking into consideration the state of the money market during the year, and the restrictions in the class of investments that the nature of tho business imposed on those conducting it, this was a very fair return, yet it was unsatisfactory to find that it was Is per cent less than was shown in the previous year's report. This fulling off was due mainly to tho increased amount of taxes paid, the tendency of late of most of tho Governments of tho Australian States and Now Zealand having been to make life assurance offices contribute in one form or another moro and more to their revenue. This, in the case of mutual offices that pay no dividends-; and in which all profits accrua to tho members, meant taxing tho thrift of the people, and was just about as equitable as a tax on their balances in tho Savings Banks would be. (Hear, hear.) During the year the new offices erected in Capetown, Johannesburg, and Ballarat had been opened, that at Hobart would bo completed shortly. The association would then bo housed in its own premises in all the capitals and large centres where it was established. The board of directors desired to acknowledge the excellent services rendered by the officers and staff at head office and branched, which have led to such splendid results bejng -obtained. Throughout there was evidence of loyalty and enorgy that were very much appreciated. Mr. Westmore G. Stephens, one of the oldest members of the assoication, seconded the motion. He said that the marvellous progress it had made from year to year indicated that it must bo conducted on very sound principles, especially to yield such figures as wero presented in tho report and by tho chairman. The motion was carried unanimously. Mossrs W. Madden and E. Trenchard, the rotiring directors, wero re-elected without opposition, and Messrs Valentino and Tulloch, the auditors, were again .appointed. Mr. Madden, on behalf of Mr. Trenchard and himself, thanked the members for re-electing them to tho board of directors. It was, he said, an honour and a pleasure to be a director of such p, company. (Hear, hear.) The business was managed on truly safo and conservative lines, and was increasing by leaps and bounds. It was highly gratifying to find that the company had attained to such a position, and it was increasing its hold daily. — Advt.