SOUTH BRITISH INSURANCE COMPANY.

Otago Witness, Issue 3005, 18 October 1911, Page 13

SOUTH BRITISH INSURANCE COMPANY.

AUCKLAND, October 12. The annual meeting of the South British Insurance Company was held to-day, and was presided over by the chairman of directors, Mr John Batger. In moving the adoption of the report and balance sheet, the chairman gave a short analysis of the balance sheet and a comparison between it and that of last year. He said:—" In the revenfue account you will see that the net premiums, fire, marine, and accident, are £353,240, which is £16 ? 697 more than last year's amount, showing a substantial but not abnormal increase in our business. Interest and rents reached £35,026, being £1762 more than last year. . On the other side of the account the losses amounted to £187,832, being £9487 less than in last year's account. In view of the larger amount we insured, this is very satisfactory. The expenditure items are all slightly higher, but the underwriting profit is £52,147, : against £34,398 last year. Of the premiums received, the losses (together .with £IO,OOO added to the reinsurance account) absorb 56 per cent, and the expenses 29.23 per cent., leaving the net underwriting profit 14.77 per cent. The profit and loss account shows the increased dividend paid to the shareholders during the year (£35,000 against £30,000) A larger amount than last year is carried to the Auckland leasehold sinking fund A considerably larger amount than usual is written off office furniture. An increased contribution is made to the provident fund, and £40,000 is carried to the reserve fund. After making these allocations we still carry in profit and loss account a balance of £48,598, which is £5301 more than we had last year ■ .Our reserve fund now amounts *; 0 _ J^ 0 our re-insurance reserve to £150,00U, and our reserve for outstanding losses to £76,299. Our assets have reached £780,015. Loans on mortgage are increased by £35,479, and fixed deposits by £14,500." Continuing, he said : : — Considering the general commercial prosperity ■throughout the world, our profit has not been so large as we might fairly have expected. The inadequate rates prevailing in New Zealand are maihiy responsible tor this. The board has provided in its report for a bonus to the staff which will absorb £6500.

The report was adopted. Messrs John Batger and John Edson, the two retiring directors, were re-elected.