LIFE INSURANCE

Hokitika Guardian, 30 August 1927, Page 1

LIFE INSURANCE

STATIC OFFICE ACTIVITIES.

According to the annual report of the Government Life Insurance Department. presented to Parliament, the volume of new business has been well maintained during the past year, 5/10 policies having been issued for assurances amounting to £1,883,705. The total business now in force comprises (15,39(3 policies assuring (with bonuses), £20,218,104. Tiie total income for the year 1926 was nearly £1,000.000. The sum of £237,000 was paid out on matured policies and £IBO,OOO on death claims. Since the establishment of the department amounts aggregating over £10,000,000 have been paid out on matured policies and in death claims. The accumulated funds to provide for the liability under the various policy contracts amount to £7,029,584. The triennial investigation was made as at December 31 last, and resulted in a surplus being disclosed permitting £■130,363 to he allotted as bonuses providing for additions to policies bv way of reversionary bonuses to the extent of £664.400. These amounts were greatly in excess of any previous bonuses, notwithstanding the very stringent basis of valuation, which was probably stronger than that of any Australian Life Office. The utmost care bail been exercised as regarded economy of administration and investment of funds with the result that the expense ratio to total income bad been decreased from 11.081 per cent, in 1925 to 10.533 per cent in 1926 and that there had been an increase in the rate of interest earner! (after deduction of land and income taxi from £5 9s Id per cent in 1925 to £5 11s I<l per cent in 1926. The year’s transactions bad been satisfactory in every respect and should be' very gratifying to the policyholders, '