NEW ZEALAND INSURANCE.

New Zealand Herald, Volume LXIII, Issue 19390, 27 July 1926, Page 8

NEW ZEALAND INSURANCE.

Conditions for insurance business are understood to have been less favourable during the past year than in the twelve months preceding. Something of the consequences, nowhere marked enough to be considered serious, can be found in the annual-.report of the New Zealand Insurance Company for the year ended on May 31. The operation's resemble those of 1923-24, though showing a general improvement on them, rather than those of 1924-25, which had been very substantially better. For example, the premium income for 1924-25 was £46,700 higher than for the year preceding. For the year just closed, it was some £6700 lower than in 1924-25, leaving it still £40,000 better than in 1923-24. Losses were slightly more than in 1924-25, the ratio being 59.48 against 56.27 per cent., the ratio for 1923-24 having been 59.28 per cent. Underwriting profits were £76,658 against £126,777,

the ratio being 7.19 against 11.181 per cent. The corresponding ratio for 1923-24 was 6.71 per cent. The revenue from investments for the year just closed is, however,' greater by £6600 than in the preceding year, and by £13,600 than the figure for 1923-24. The company having so substantial a stand-by—for the net income was £ll7,24o—the small fluctuations in revenue, doubtless due to the exercise of restraint in- the acceptance of risks, can I be disregarded alike by investors and those seeking cover. A higher dividend than in 1924-25 has been paid, yet the balance carried forward is £121,980, compared with. £124,580 the year before. The balance-sheet of the company's trustee branch shows substantial ' progress. Its assets stand at £4,538,170, compared with £3,988,613 at the end of the previous year. Though the year has reflected something of the world-wide conditions affecting insurance, it but serves to reveal the inherent strength oi this great national institution. Especially in the returns from investments it testifies the sound and prudent policy over "a long term of years which has made the company a model of stability in the eyes of investors and the general public.