STANDARD INSURANCE COMPANY.

Otago Witness, Issue 3338, 6 March 1918, Page 36

STANDARD INSURANCE COMPANY.

The forty-fourth annual meeting of shareholders in the Standard Fire and Marine Insurance Company of New Zealand was held on the 4th. Mr W. .F. Edmond (chairman of directors) presided over a representative attendance of shareholders. In moving the adoption of the report and balance sheet, the chairman apologised for the unavoidable absence of two of the directors —Mr Charles Holdsworth (at present in London) and Mr Geo. Fenwick (absent in the North Island). It was a matter of gratification _to the directors that they were in a position to present a satisfactory statement of the company's operations for the year. Insurance offices, with all other commercial institutions, had been compelled to adjust themselves to the novel conditions created by the war. A great rise in the price of commodities had produced a certain demand for additional insurance, while on the other hand, as the result of the serious falling off of importations, with a corresponding- lack of facilities for exporting our produce, companies had been deprived of an opportunity of maintaining any slight advantage gained. No section of " insurance had been- more seriously affected by hostilities than the marine, and it was principally due to the deflection of this business, as the result of the British Government commandeering all our principal products, that the company's net premium income showed a slight decrease as compared with the figures of last year. In view of the prevailing conditions, he thought satisfactory progress had been made during the year in the various departments. Loans on mortgage showed a decrease of £6495. The sum of £IOOO had been written off property account. Debentures had been increased by £33,000, and now totalled £129,718. Of this amount £65,000 represented investment in New Zealand and Commonwealth Government war bonds. The company had consistently supported both tho New Zealand and Australian war loans, a policy which the diiectors felt confident would receive the shareholders' approval. ""Fixed deposits corresponded with last year's figures exactly, while accrued interest and rents increased by £IOOO. The net premium income for the year was short of last year's total by £3000? while interest on investments had increased by £266, and now totalled £11,290, after charging a percentage for taxation. The losses for the year (after making provision for all known and unadjusted claims) amounted to £61,825, being £15,925 less than the- previous year's figures, and giving a loss ratio of 49.34, which must be considered eminently satisfactory. Expenses of management and charges were within a few shillings of last year's figures. The net profit as the i-esult Of the year's operations, including the balance brought forward from last year, was £31,350. ■ From this amount an interim dividend was paid in June at the rate of Is per share, and the directors now recommended a further distribution of Is per share for the half-year ended December 3L This proposed allocation, if confirmed, would equalise the year's distribution, and was in conformity with the recommendation made by the directors at the last annual meeting. The directors proposed to place to guarantee and provident fund £I2OO, to write off property account £IOOO, and to place to reserve £IO.OOO, which fund, together with the reinsurance reserve, would total 5175,000, and to carry forward to next year £9158. A very high percentage of the staff was on active service, and the call steadily continued upon young officers approaching military age.. In every instance the company was keeping open the positions of members, and for the present was supplementing their military pay, so that they might be under no pecuniary disadvantage while serving their nouncry. Tho sons of three of the directors, now serving at tho.front, 'had won distinction — Lieutenant-colonel Mill, C.M.G., Captain Godfrev Holdsworth, M.C., and Captains D. E. "Fenwick and G. E. Fenwick, mentioned for valuable services. The staff was thoroughly devoted to the company's interests, and was most willing and anxious to perform the best service for the company. Willi the object of facilitating the working of the business, the directors proposed to amend the company's articles of association, and for this purpose an extraordinary meeting would be held at the conclusion of the present meeting. Should the recommendation bo approved by shareholders, it would be necessary to hold a general meeting of the company in August. An esteemed colleague. Mr Holdsworth, had been absent from the dominion for some t«me. He had, however, rendered valuable service to the company in connection with the London, office. Mr H W Eeirl, in seconding the motion, expressed tho opinion that, in view of tho adverse conditions under which the company was working, the results for the year must bo considered eminently satisfactory. While the income was not quite so good as that for the previous year, the loss ratio was considerably lower, and the company was in the happy portion of having a much larger credit balance to deal with. The motion, was carried unanimously. Mr Passmore proposed, aad Mr Burnside seconded, the of the two retiring directors —Messrs Charles Holdsworth and Win. Patrick.—The motion was carried unanimously. Mr Patrick, in returning thanks-, expressed the shareholders' and directors', implicit oennder.ee , in the management and staff, and paid a high tribute to the degree of efficiency maintained under adverse conditions. ~ A vote of thanks was accorded the directors and staff. At the conclusion of the annual general meeting an extraordinary meeting was held to consider certain proposed amendments and alterations in the articles of associaThe Chairman moved that the proposed alterations to the articles of association (with the further amendment to article 55 that the month of August named as tho date of the company's annual general meetings, bo altered to September) be approved. In doin" so he intimated that the directors had "v.-.rv carefully considered the position, end had come to the conclusion that tho proposed amendments and alterations wore cssentki in the best interests of the company.—The motion was _ seconded by Mr James and carried unanimously. The Chairman stated that an extraordinary meeting would be called for Tuesday, 19th inst., at 3.50 p.m.,. to confirm the present resolution.