SOUTH BRITISH INSURANCE COMPANY.

Otago Daily Times, Issue 10623, 15 October 1896, Page 2

SOUTH BRITISH INSURANCE COMPANY.

(Fbb United Phess Association.) Auckland, October 14-. At the annual meeting of the South British Insurance Company, the chairman, in moving the adoption of the report, regretted that the operations of the year were not as profitable as shown in the balance 6heets for the l»st few years. Fire and marine losses were unusually heavy. He believed this had been the experience of more insurance companies trading in the sama field. . There waß no loss of exceptional magnitude, but they were much more numerous than usual. The majority occurred with respect to ri>ks incurred hj' underwriters as of the least hazardous character. The losses for the year «how an increase of £37.075, as i compared with the nre?ioas year. The net I pi'pm'um revenue showed an increase of i £H,237, which afforded gratifjiug evidence that the company was making steady headway in the estimation of the insuring pubiic. The expense ratio was 1 per cent, less than last yf.av. The investments were sound, and tbece [ was not a single case of interest being in arresr. Referriog to tha proposed erection uf a State Fire Insuranoa depirtmeufc. the chairman said when the bill wan Urst circulated it caused such a disturbed feeling among investors generally that the market value of shares for New Zt-aland companies dropped fully £100,000. He i-.houjht they would agree with him that the thrift of the people represented by their savings and investments in local companies should not be punished in this manner by legislation or even by the threat of legislation. Wero the public aware of the vicissitudes and uncertainties of fire insurance, unsound business, and the extreme difficulty in making profits, even under favourable considerations, they would for Ihoee reasons alone refuse to give their sanction to the Government engaging in the insurance business. Ib «c<;med to him improper for the Government to enter into competition with private enterprise. He procseued tn say that tbe average rate throughout New Zealand established under the now -fira tariff only increased the rate in Auckland and Otago, where tha rate had fallen ridicnlously low— bulow a paying point. In every utbsr part of New Zoalaud tha average rate was lower under the pew tariff than undsr the old. In Auckland and Otago the average rate was only a little ucder 4-i per ceot. higher than during the noutariff period. He c.ncludsd by saying that insurance speculation buaineis must expect to have fat aud leau years. They had had five satisfactory yeirg in succession, and must not complain because the year just ended waa less successful. The report and balance sheet were adopted.