FARMERS IN CONCLAVE

Lake Wakatip Mail, Issue 3901, 11 June 1929, Page 7

FARMERS IN CONCLAVE

MUTUAL FIRE INSURANCE ASSOCIATION'S ANNUAL MEETING DUNEDIN, June 4. The annual meeting of the Farmers' Union Mutual Fire Insurance Association was held in the board room of the new Public Trust building this morning. Mr John Clarke presided over a good attendance. FINANCIAL STATEMENT. The financial statement showed a net profit of £2,705, the income being £13,813 2s lid, the expenses £5,386 4s, and the assets £96,175 ss. This year the branches at Christchurch and Invercargill were able to stand on their feet, and both showed an underwriting profit. In moving the adoption of the statement, Mr Clarke stated that the year had been a record one from the financial point of view. "They were now entering upon their silver jubilee year, and it was his sincere wish that every member of the association, and also all their agents, would do their best to the coming year even a greater success than the year just passed. In thinking of the twenty-fifth anniversary his mind went back to 1905, when the association was launched, and he thought of the splendid men who were at the head of the scheme. Prominent among them were Messrs Buckland and D. lteid, who had visited nearly all the Farmers' Union branches in Otago, speaking in the interests of the union, but more particularly in connection with the insurance scheme. The first directors conducted the business in a very cautious manner. Recently branches were opened in North Canterbury and in Southland, and these branches also were getting along very, well indeed. Their policy had never been to attempt to enter into competition with the larger tariff offices, for they simply set out to provide, through the efforts of the association, cheaper insurance for- members; and he thought he could say they had accomplished their object. Referring to the accounts, the Chairman added that they would see that, although the expenses had been increasing with the growth of the business, yet the percentage rate for expenses had been gradually coming down. The percentage rate for fire claims showed a decline, but the accident claims' ratio was steadily increasing. He could not why this should be, but should the loss ratio continue to rise they should have to consider increasing their rates for employers' indemnity insurance, as the tariff offices did eighteen months ago. They would have noticed that for the past three years the net profit had increased from 8 per cent, to 10 per cent, to 19 per cent. This was very satisfactory. Both branch offices were able to pay their own way this year, and as the business increased the cost of these branches should reduce in proportion. He was pleased to say they had a very fine staff, for memhears worked harmoniously and efficiently, and a fine spirit was preserved from the juniors upwards. Of course, this said something for the directors, and he wished to thank them one and all for their loyalty and help throughout the year. In seconding the motion, Mr E. H. Murney referred to the increase in regard to the amount the association had to pay out for acpident insurance. He took it that that was very largely due to the amending legislation of two or three years ago whereby the amount payable under the accident insurance indemnity was increased. All companies were affected in that way, and even Australian companies were affected, through the employees' accident indemnity. Three or four years ago, when the directors decided to open branch offices in Southland and Canterbury, they felt a good deal of trepidation in departing from the policy which had been followed for twenty years in going outside the Otago province for thenbusiness, but he was very glad to know that that step had been warranted in both districts, and that they were prospering. He was sure that it would not be long when the business in Southland and Canterbury would be as large as it was in the home province of Otago. Mr J. Christie, in supporting the motion, thought that there were few better managed companies than theirs. Their balance was very clear and lucid, and was a tribute to their manager. It was a lesson to other companies. He thought that with their old pioneer in the chair things would go on safely and soundly. Mr A. Craig suggested that, in view of the increase in the company's business, it would be wise if the directors appointed a manager for Dunedin alone, to act, of course, under a general manager. He knew that the staff in Dunedin had not an idle moment. The motion was carried. ELECTION OF DIRECTORS. The following retirmg directors were re-elected: —Messrs E.. H. Muruey, J. Christie, and J. D. Hall. VOTE OF THANKS. Mr A. C. Leary, in moving that a voto of thanks to the staff' be placed on record, said that the iigures placed before them that day showed that their business was being worked on perfectly sound lines, and he as sure the staff would appreviate a vote of thanks from that meeting. The motion was seconded by Mr C. F. Overton, and carried heartily; and Mr Stuart Cameron, the secretary, suitably replied on behalf of the staff, of which, ho said, that none better could be found in any business anywhere. On the motion of Mr J. D. Revie, a hearty voto of thanks was accorded the directors lor the work they had dono in the past year and sinco the inception of the association. ])1 ItECTOKS' 15EMUNERATION. The remuneration of tlio directors was fixed at £2OO, the same as last year. SUPER ANN UATION. Mr Craig, alter referring in laudatory terms to the staff, moved that it be a recommendation to the directors to set aside a sum of money as a nucleus for a superannuation fund for the staff. Mr Clarke replied that the directors already had the matter under their notice, and ere working out a scheme which would be revealed later on.