STATE LIFE INSURANCE.

New Zealand Herald, Volume LX, Issue 18457, 21 July 1923, Page 11

STATE LIFE INSURANCE.

OPERATIONS' DURING YEAR.

PROGRESS OF DEPARTMENT.

MR. RICHARDSON'S REVIEW.

[BY TELEGRAPH.— SPE3IAI.

WELLINGTON. Friday.

In the report of the Government Life Insurance Department- for the year 1922, the commissioner, Mr. J. H. Richardson, who has since retired after occupying his position since 1890, givtjsa review of the progress made by the department in that period-

The growth of business is shown in the olio wing table :— ' " Jimuary December 1,1890. 31,1922. £ £ Policies in force ... 27.218 • 69,487 Premium income ... 217,b0f> 483,734 Interest income ... 81,386 310,190 Funds ... 1.582,448 6.922,825 The commissioner states: "As an eximple, and possibly a conspicuous fiximple of, State enterprise in commercial petition the department has attracted world-wide attention, not always of a disinterested nature, but it has earned a yery good name as an example .of successful State management in a difficult ind strenuous commercial business. Durng the term of my management stress las always been placed upon the policy )f malting the actuarial soundness of the department Che first consideration, and in .his connection the department was able to stand the strain of paying extra claims iue to waif causes to the extent rf 0500,000, with only a very slight decrease in its rate of bonus, notwithstanding which the present position, as shown by the office valuation, is an exceedingly good one. v , "I may also point to the fact that, although the department's business is restricted to so small a population as that af New Zealand, the office nevertheless takes a considerable rank in point of magnitude among the offices of a great sountry like England and, as previously stated, the department's operations have been in some degree responsible for the fact that the population of New Zealand is one of the best insured in the world. The sum assured per head in 1917 worked out at £42 in Mow Zealand, as against £31 in Australia, and approximately £29 in Great Britain." The report, stateß that during the year 1922, the following new business was transacted:—44B2 oroposals, 3777 policies completed, assuring; £1,286,609, with annual premiums of £40,071; 20 annuities, for which purchase money was £10,593; total business in force. 59,487 policies, premium income £483,394, sum assured £15,995,235, plus reversionary bonuses £1,453,866; also 425 annuities for £23,616 per annum; total income for year, £778.915, or £23,396 more than 1921. Claims paid: £198,131 on 813 matured policies, £204,561 on account of 534 deaths. Total assurance, annuity, and endowment funds apart from special investment reserve of £288,773 stand at £5.922,825, an incrase of £196,468 for the year. Total assets at the end of the year, £5,276,019. At the end of the year 43.7 per cent, of assets were invested in mortgages on freehold 'property, and 31.6 per cent, in loans on policies. Expenses decreased from 21.4 per cent., to 18-3 per cent, of ' premium income. The report on the business of the accident insurance branch shows* gross_ premium income of £33,983; claims, £20,330. an increase of £3544 on the previous war: management expenses, 28.8 per cent, of premium income; total assets at the end of year, £169,215.