ACCIDENT INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1912.

Appendix to the Journals of the House of Representatives, 1913 Session I, H-08a

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1913. NEW ZEALAND.

ACCIDENT INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1912.

Laid before Parliament pursuant to Section 22 of the Government Accident Insurance Act, 1908.

Government Insurance Office, Wellington, Bth May, 1913. I have the honour to submit my report on the business of the Accident Insurance Branch of the Department for the year ended 31st December, 1912, together with the Eevenue Account and Balance-sheet. The premium income amounted to £23,513, as against £20,756 in 1911—an increase of £2,757. The rates were increased early last year in order to cover the additional liability imposed by the Workers' Compensation Act, 1911. The claims (including those in course of settlement at the end of the year) amounted to £12,016, an increase of £1,519. The ratio of claims paid to premiums received remained practically unchanged, thereby indicating that the estimate of increased liability, upon which the increased premiums were based, was well founded. The income from interest was £3,219, an increase of £363 on that for the previous year. The total expenses (including taxes and commission) were £7,269. The ratio of expenses to premiums was 30"9 per cent., showing a satisfactory reduction on the rate for the previous year, which was 33-2 per cent. The funds at the beginning of the year—£l7,2sl—have been transferred to the Eeserve Fund constituted under section 20 o£ the Government Accident Insurance Act, in accordance with the intention expressed in last year's report. The funds at the end of the year now under review, amounting to £7,448, consequently represent the excess of income over outgo for the year 1912. After transferring the amount referred to the Eeserve Fund stands at £39,036. The mortgages on property have increased from £59,035 to £68,845, and the financial position of the Branch is on a satisfactory footing. J. H. EICHARDSON, Government Insurance Commissioner.

Ebvbnue Account of the Accident Branch of the Government Insueance Depabtment foe the Year ended 31st December, 1912. £ s. d. £ s. d. Amount of Accident Funds, let January, Claims .. .. .. .. 12,015 15 10 1912 .. .. .. .. 17,250 15 7 Commission.. .. .. .. 3,003 1 4 Premiums .. .. .. .. 23,513 7 5 Land and income tax.. ... .. 326 19 6 Interest .. .. .. .. 3,219 7 5 Salaries .. .. .. .. 3,056 0 0 Expenses of management .. .. 882 19 10 Further transfer to Reserve Fund (sec. 20, Government Aocident Insurance Act) 17,250 15 7 Amount of Accident Funds, 31st Deoember, 1912 .. .. .. .. 7,447 18 4 £43,983 10 5 £43,983 10 5

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Balance-sheet of the Accident Branch of the Government Insurance Department on 31st December, 1912. Liabilities. £ s. d. Assets. £ s. d. Accident Funds as per Revenue Account 7,447 18 4 Mortgages on property .. .. 68,845 0 0 Claims admitted (proofs not yet com- Overdue interest .. .. £12 5 0 pleted) .. .. .. .. 11,500 0 0 Outstanding interest due but Commission .. .. .. .. 220 13 3 not overdue .. .. 138 17 6 Premium and other deposits .. .. 32 4 5 Interest aocrued but not due 837 10 5 Reserve for unearned premiums .. 10,852 0 0 t)88 12 11 Investment Fluctuation Reserve .. 2,000 0 0 Agents'balances .. .. .. 264 11 7 Reserve Fund constituted under sec- Sundry accounts owing .. .. 442 3 8 tion 20 of the Government Accident Cash in hand and on current acoount .. 548 4 4 Insurance Act, 1908 .. .. 39,035 16 6 £71,088 12 6 £71,088 12 6 Government Insurance Department, 4th April, 1913. J. H. Richardson, Commissioner. W. B. Hudson, Secretary. Audited and found correct. Eobert J. Collins, Controller and Auditor-General.

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