Government Life Insurance Bill

Otago Witness, Issue 1812, 13 August 1886, Page 27

Government Life Insurance Bill

Wellington, August 3.

The Goverement Life Insurance Bill is at last circulated to-night. Its date of coming into force is not specified. The Government Insurance Act of 1874 is reinacted with the exceptions of clauses 14 to 19, 21, 22, 23, 25, and 28 to 31. The Commissioner is to have powers, &c, of, " a company" and of " a secretary," as defined in the "Life Insurance Policies Act 1884." The clause runs as follows :—": — " On the commencement of this act ' The New Zealand Government Insurance Act 1884 ' shall be" and same is hereby repealed, and thereupon the Association thereby ci-eated and incorporated shall be dissolved, and the central board and every member thereof shall cease to hold office. The property of the association is to vest in the Queen, and all rights, claims, objections, liabilities, and engagements of the association are to vest in the Commissioner, and contracts of the association deemed made with the commission; policies in force to be subject to this act ; regulations in force to be subject to this act ; regulations in force to continue ; officers of the association to be in the civil service. The person holding the oflice of general manager of the association at the commencement of this act shall without further appointment be the Commissioner under this act. If the Assembly is not in session when the pending quinquennial report is made, a division may be authorised by the Governor-in-Council."

After some reference to the investment of moneys, the following are the provisions :—: — Not less than one-half of the moneys standing at the credit of the Government Insurance account from time to time shall be invested in accordance with this 'acfc in securities of the Government of New Zealand or upon loans to the local authority of any county, borough, road district, town district, river district, or drainage district in New Zealand, in respect of securities made and issued by any such local authority under authority of an act of the General Assembly, and which are secured by .a special rate on property or partly by such rate and partly in some other manner, provided that every loan so made to a local authority shall be approved by the Govevnor-in-Council. Half of such moneys may bo invested in accordance with this act in the following manner : (1) Part may be lent to holders of policies in such manner as is prescribed by that act. (2) Part may be lent on first mortgage of land in New Zealand held in fee simple in possession with or without buildings, but so that no moneys shall be so lent which shall exceed one-half of the value

of the property to be mortgaged as determined by a valuator or valuators to be appointed by a body hereinafter referred to, and no one loan on mortgage shall exceed (blank) pounds in amount.; and so far as practicable, applications for such loans not exceeding £500 shall have priority of application over larger sums. For the purpose of controlling and managing such investments on mortgage of land, a board is hereby constituted, consisting of the Colonial Treasurer, the Solicitor-general, the Sur-veyor-general, the Property Tax Commissioner, the Public Trustee, and the Commissioner for the time being respectively ; provided that the Colonial Treasurer may be represented at any meetings of the board by any member of the Executive Council of the colony whom he may request to represent him thereat, or who may be acting for the Colonial Treasurer in his absence, and such Minister shall at such meeting be deemed to be a member of the board in the absence of the said Treasurer. No loan upon mortgage of land as aforesaid shall be made except upon the unanimous vote of all the members of the board present at the meeting at which such loan is considered, and in no case shall the same be made or agreed to unless at least three members of the board are present and voting for such loan.