NATIONAL INSURANCE

New Zealand Herald, Volume LXIX, Issue 21346, 22 November 1932, Page 5

NATIONAL INSURANCE

PREMIUM INCOME LOWER

GREATER CALL ON PROFITS

At the annual meeting of the National Insurance Company held in Duncdin last week Mr. John Moloney, chairman of directors, pointed out that a greater call on underwriting profit was necessary to maintain dividends at the former rate. A dividend of 9d a share, absorbing £37,500, was approved and £35,627 is being carried forward.

Reviewing the accounts, a summary of which appeared in the Herald on October 27, Mr. Moloney said there was a credit balance of £85,705, the net underwriting profit being at the rate of 7.73 per cent. Although premiums were lower by £19,572 at £218,425 this was compensated for by a reduction in losses of £29,545 to £123,602. The directors had transferred £902 to contingency account, £9676 to investment fluctuation account and £2OOO had been written off the company's premises. The company's assets, amounting to £912,992, had been increased by £19,089. Mr. Moloney said the company had again shared the common experience of all companies in a further shrinkage of premium income, due to the continued depression and a reduction in volume- and value of commodities, and the downward treed of insurance rates.