ANNUAL REPORT ON THE ACCIDENT-INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT FOR THE YEAR ENDED 31st DECEMBER, 1901.

Appendix to the Journals of the House of Representatives, 1902 Session I, H-08a

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1902. NEW ZEALAND.

ANNUAL REPORT ON THE ACCIDENT-INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT FOR THE YEAR ENDED 31st DECEMBER, 1901.

Laid before Parliament pursuant to Section 26 of " The Government Accident Insurance Act, 1899."'

Government Insurance Office, Wellington, 17th June, 1902. I have the honour to submit ray report on the past year's business of the Accident-Insurance Branch of the Department, together with the revenue account and balance-sheet. In accordance with the 3rd section of " The Government Accident Insurance Act, 1899," the Department was, by Order in Council dated the 6th June, 1901, declared to be open for the transaction of accident-insurance business on and after the 7th June, 1901, and consequently the appended accounts relate to business transacted during a period of a little under seven months only. In addition to issuing policies of indemnity protecting employers of labour and others against the pecuniary liability imposed ou them by ; ' The Workers' Compensation for Accidents Act, 1000" (workers' compensation insurance), the branch has from its inception undertaken to insure individuals against accidents to themselves personally (personal accident insurance). The premiums amounted to £11,856 Is. 4d., of which £3,780 was reserved on account of unearned premiums. The compensation, paid in full settlement of claims and provided for in connection with claims in course of settlement, amounted to £2,428 2s. 2d. After all the charges aud expenses of the period had been paid or provided for, there remained a balance of £315 16s. 2d. to be carried forward; and considering that, in addition to ordinary expenses and claims, the whole of the initial expenses of establishing the branch have been defrayed from the premium income of seven months, and that ample reserves have been made for outstanding liabilities, the result must be regarded as highly satisfactory and encouraging. J. H. EICHAEDSON, Commissioner.

Eevbnue Account of the Accident Branch of the Government Insurance Department for the Period from 7th June to 31st December, 1901. £ s. d. I £ a. d. Amount of accident funds at the begin- j Claims .. .. .. .. 2,428 2 2 ning of the period .. .. .. Nil Interest payable .. .. .. 30 1 8 Premiums .. .. .. .. 11,856 1 4 i Commission .. .. .. .. 2,235 16 2 Interest receivable .. .. .. 40 15 7 Salaries .. .. .. .. 1,674 0 0 Expenses of management .. .. 1,433 0 9 Appropriated to reserve for unearned premiums .. .. •• .. 3,780 0 0 Amount of accident funds at end of jear 315 16 2 £11,896 16 11 £11,896 16 11

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Balance-sheet of the Accident Branch of the Government Insurance Department on 31st December, 1901. Liabilities. £ ?. d. Assets. £ s. d. Capital raised under sections 4 and sof Agents' balances .. .. .. 389 7 3 " The Government Accident Insurance Interest aocrued but not due .. ~ 19 9 2 Aot, 1899," by hypothecation of de Gash in hand aud on ourreot account .. 8,855 9 5 bentures issued by the Government under that Act .. .. .. 1,000 0 0' Acoident funds as per Revenue Account 315 16 2 ] Claims admitted (proofs not yet completed) .. .. .. .. 1,997 15 8 Commission ~ .. .. .. 44 1 8 Premium and other deposits .. .. 93 16 0 Sundry accounts owing .. .. 2,032 16 4 ; Reserve for unearned premiums .. 3,780 0 0i £9,264 5 10 £9,264 5 10 Government Insurance Department. 22nd April, 1902. J. H. EICHARDSON, Commissioner. W. B. Hudson, Secretary. Audited and found correct. J. K. Warburton, Controller and Auditor-General.

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