ANNUAL REPORT OF THE GOVERNMENT INSURANCE COMMISSIONER FOR THE YEAR ENDED 31st DECEMBER, 1915.

Appendix to the Journals of the House of Representatives, 1916 Session I, H-08

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1916. NEW ZEALAND

ANNUAL REPORT OF THE GOVERNMENT INSURANCE COMMISSIONER FOR THE YEAR ENDED 31st DECEMBER, 1915.

Presented to both Houses of the General Assembly pursuant to the Provisions of the Government Life Insurance Act, 1908.

Government Insurance Office, Wellington, 27th April, 1916. I have the honour to submit the following report upon the transactions of the Department for the year ended the 31st December, 1915, and its position at that date. The Revenue Account, Balancesheet, and Statement of Business are appended. New Business and Amount in Force. —During the year 4,808 proposals were dealt with for the assurance of £1,301,300. The number of policies actually completed was 3,873, assuring £1,041,167, with annual premiums amounting to £32,832. Twenty-five annuities were also granted, on which the purchase-money was £13,589. The total business now in force, including 386 immediate and deferred annuities for £22,344 per annum, is 52,950 policies, bearing an annual premium income of £378,788. The sum assured, payable at death or maturity, is £12,754,151, to which have been added reversionary bonuses amounting to £1,466,794. The total business on the books thus amounts to £14,220,945. Income. —The total income of the Department was £615,960. It was made up as follows ■ Premium income, £371,784 ; interest income (less land and income tax), £230,587 ; annuity purchase-money, £13,589. Outgo. —During the year 699 policies became void by the deaths of policyholders, the claims amounting to £232,497. The increase as compared with the previous year is of course directly attributable to the war, the claims from this cause amounting, approximately, to £48,000. Six hundred and seventy-two policies also matured for £163,340. The total sum which has been paid in respect of claims by death and survival since the foundation of the Department forty-six years ago has amounted to £5,726,514. Accumulated Funds. —The total assurance, annuity, and endowment funds, apart from a special investment reserve of £189,121, now stand at £5,089,869.

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The Balance-sheet. -On the 31st December, L915, the total asset* of the Department amounted to £5,350,538, and were invested as shown in the following statement, which also gives the distribution of the assets at the end of the previous year for purposes of comparison : —

I j . _ ... The staff of the Department has readily responded to the call for recruits in connection with the Expeditionary Forces. The total number of officers who have enlisted is twenty-six, of whom, unfortunately, Private A. F. Robbie has been killed in action, and Lieutenant T. Casserley and Corporal G. A. Ffampson have been severely wounded. •I. H. Richardson, Government Insurance Commissioner.

Rkvenue Account of the Government Life Insurance Department fob the Yeah ended 31st December, 1915. , „ , £ s. d. ; £ s. d. Amount of Funds at Ist January, 1915 5,03-13.888 19 0 : Death claims under polioies, Assurance, Renewal premiums —Assuranoe, An- including bonus additions .. .. 232,497 2 u nuity, and Endowment .. .. 3140,820 910 i Endowment Assurances matured, inNew premiums (inoluding instalments eluding bonus additions .. .. 159,238 10 8 of first year's premiums falling due Endowments matured .. .. 4,101 12 0 in the year) .. .. .. 28,771 7 3 I Premiums returned on endowments .. 220 2 1 Single premiums Assuranco and En- Bonuses surrendered for oash .. 13,102 17 2 dowment .. .. .. 2,186 II 2 j Annuities .. .. .. 18',993 13 a Consideration lor Annuities .. .. 13,588 1.1 i Surrenders .. .. .. 19,817 5 4 Interest .. £250,812 2 2 Loans released by surrender .. 3 8 Lets land and in- Commission, new* .. £21,281 14 11 oome tax .. 20,225 9 4 „ renewal 2,094 3 2 2310,580 12 10 • 28,978 18 1 Expenses of management - Salaries— Head Office ..£17,368 15 1 Branch offices and agents .. .. 8,040 1 7 Extra clerical assistance 825 8 0 Medical fees and expenses .. .. 5,015 5 1 Travelling-expenses .. 590 7 8 Advertising .. ~ 564 18 4 Printing and stationery 1,354 18 8 Bent .. .. a,062 15 4 Postage and telegrams 1,810 0 10 Exchange ~ ~ 74 16 10 Offioe-furniture depreciation .. .. 270 9 6 General expenses .. 2,295 010 Triennial expenses .. 2,053 2 7 Compensation under section 26 of the Appropriation Aot of . 1910 .. .. 2,048 1 2 45,385 10 0 Amount of H'unds, 31st December, 1915 5,089,868 12 8 £5,649,843 13 J £5,649,843 13 5 * Including Agents.' allowauoes,

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At 31st Deoembor, 1914. Glass of Investment. At 31st December, 1915. A-unt. , . Percentage Amount. o{ TqM I £ 3,219,661 61-1 per cent. Mortgages on freehold property 852,549 16 - 2 „ Loans on policies 665,900 I 12-6 „ j Government securities 191,097 ; 36 „ Local bodies' debentures 134,996 2-6 „ Landed and house property 122,169 J 2-3 „ Miscellaneous assets... 81,619 i 1'6 „ Cash in band and on current account I i £ ... 3,312,413 61-9 per cent. ... 832,301 15-6 ... 685,900 | 1.2-8 .... 204,019 ! 3-8 134,963 2-5 125,108 2-3 55,834 1-1 5,267,991 100-0 per cent. Total ... 5,350,538 j 100 0 per cent.

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Balance-sheet of the Government Life Insurance Department on 31st December, 1915. Liabilities. Assets. & s - d - £ s. d. £ s. d. Total Assurance, Annuity, and En- Loans on policies .. .. 832,301 811 dowment Funds (as per Revenue Government securities— Acoount) .. .. .. 5,089,808 12 8 Consolidated stock .. 625,900 0 0 Claims admitted, proofs not yet com- Debentures issued pleted .. .. .. .. 67,179 4 4 urj <Jer the District Annuities .. .. .. .. 265 9 6 I Railways PurchasCommission .. .. .. 149 2 4 j ng Aot 18 85 ExMedioal fees .. .. .. 374 17 0 tension and Amend Premium and other deposits.. .. 3,354 12 0' ment Act. 1886 .. 40,000 0 0 Fire insurance moneys in suspense .. 225 0 0 Debentures issued Investment Fluctuation Reserve .. 189,121 0 1 under the authority of the Finance Act, 1916 .. .. 20,000 0 0 685,900 0 0 Municipal Corporation debentures .. 117,598 15 6 County securities .. .. .. 7,277 10 6 Harbour Board debentures .. .. 37,600 0 0 Town Board debentures .. .. 22,450 0 0 Road Board debentures .. .. 17,000 0 0 Drainage Board debentures .. .. 2,092 11 11 Landed and house property .. .. 133,120 18 8 Landed and house property (leasehold) 1,842 8 0 Mortgages on property .. .. 3,312,412 12 8 Properties acquired by foreclosure .. 2,848 9 9 Overdue premiums on policies in force .. £6,153 17 1 Outstanding premiums due but not overdue.. 36,594 12 3 __ 42,748 9 4 Overdue interest .. £1,708 4 7 Outstanding interest due but not overdue.. 7,191 13 7 Interest aoorued but not due .. .. 65,916 3 6 74,816 1 8 Agents' balauoes .. .. .. 4,595 13 6 Sundry aocounts owing .. .. 98 19 0 Cash in hand and on current aooount.. 55,834 10 0 £5,350,538 4 5 £5,350,638 4 5 Government Life Insurance Department, 30th March, 1916. J. H. Richardson, Commissioner. Audited and found correct. W. B. Hudson, Secretary. Robert J. Collins, Controller and Auditor-General.

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Statement of Business

YEAR 1915. TOTAL, Annual gum Rever- | Premiums. No - assured. Bonuses' 2 - Ordinary. "\ a. Extra. Annuities. 1. Immediate. 2. Deferred. W) '.ole-life and Term Assurances. , Annual Sum I Bever- Premiums. assured. I £™™*£ 1. Ordinary. 2. Extra. No. POLICI S I 3SUED AND DISCON- £ ■ £ £ s. d. £ s. d. £ & £ s. d. Policies in force at 31st Decombor, 1914 Now Business 52,273 12,550,465 1,246,610 I 368,722 18 4 \ 2,069 18 2 I 28,566 10 7 1 4,265 9 4 18,081 13 4 1 3,841 12 4 J 1,426 15 10 1 7 10 0 } 11,495 3,499,074 705,010 ( 79,329 3 3 I | 1,336 6 9 } I 5,910 17 0 | \ 1,894 0 0/ 3,898 1,041,167 - 86 748 259,150 Bonus allotted 338,760 110,084 Total.. 56,171 13,591,632 1,585,284 ( 397,289 8 11 I 6,335 7 6 20,108 9 2 I 3,849 2 4 ; 12,243 3,758,224 815,094 (85,240 0 3 1 1 3,230 6 9 J Policies discontinued during 1915 3,221 837,481 118,490 I 24,710 9 11 j 206 16 8 1,321 5 3 | 291 17 10 f 631 240,347 54,602 f 5,441 18 61 t 105 14 3f Total policies in force at 31st December, 1915 52,950 12,754,151 1,466,794 j 372,578 19 0 | 6,128 10 10 18,787 3 11 1 3,557 4 6 j 111,612 3,517,877, 760,492, (79,798 1 9 | 1 3,124 12 6 } PARTICULARS OF POLICIES DISCONHow discontinued. By Death 737 189,799 41,462 f 5,749 18 71 | 95 4 5J j 5,206 J.3 51 1 25 7 7f J 4,379 2 8 t 16 10 0J 1,372 19 7 308 110,537 34,363 ( 2,671 10 2 \ \ 65 16 7 f Maturity 672 132,820 30,182 Surrender 607 142,151 10,415 201 3 2 84 23,916 4,196 f 554 18 6 I t 11 11 8 f Surrender of Bonus.. 22,704 11,017 Lapse Expiry of Policy Expiry of Premium.. 1,202 3 371,157 1,000 13,599 ( 9,093 9 111 1 27 7 4) j 6 17 41 j 87 12 81 I 126 15 4I | 42 7 4/ 39 0 4 236 3 104,495 1,000 4,915 f 2,123 0 11 1 10 6 0 f 6 17 4 j f 800 01 5'l2 61 t 18 0 0 } Miscellaneous 554 128 399 111 Total 3,221 837,481 118,490 I 24,710 9 111 ( 206 16 8[ 1,613 3 1 631 240,347, 54,602 f 5,441 18 6) 1 105 14 3 J T prog: xess o: ? BUSI NESS OF Tl SE GOVEI INME 3NT LI FE INS 1URANCE Jt .Total issued .. .. 133,438 32,773,301 3,240,204 J 1,001,913 12 10 1 19,083 15 11 j 629,334 13 10 { 12,955 5 1 ] 93,915 5-2 | 71,570 16 9 42,707 12,838,896 1,824,669 (334,792 2 91 t 12,870 3 10f (254,994 1 0J 1 9,745 11 4/ lotal void 80,488 20,019,150 1,779,410 31,095 9,321,019 1,064,177 Total in force 52,950 12,754,151 1,466,794 372,578 19 0 22,344 8 5 11,612 3,517,877 760,492; 79,798 1 9 Extra Premiums Roduotion of Pre: dums 1 >y Bonus, 6,128 10 10 80 16 8 3,124 12 6 ■ o. £378,788 6 6 Note.—The ii-dinai-y Premium is the premium charged Wellington, 2nd March, 1916.

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at End of Year 1915.

J. H. Bichakdson, Commissioner. Pekcy Muteb, Actuary.

Approximate Cost 0/ Paper. —Preparation, not given ; printing (1,700 copies), £5.

Authority : Marcus F. Marks, Government Printer, Wellington.—l9l6.

Price 6d.]

ASSURANCES. SIMPLE ENDOWMENTS, INVESTMENTS, ETC. ANNUITIES. Endoioment Assurances. Annuity Assurances. I Annual 1. Sum Annuities No. Su <" : SXSt U-—°^—- No i Detered At ""< al No „ Ann -« ttl assured. Bonuses ' 1- Ordinary. sionary ' Anu u»t> ies - Premiums. N0 - Premiums. I L immediate. |__ 2. Extra. Bonuses. 1 i 2. Deferred. Annuity Assurances. 1. Sum assured. Annual No. 2. Eever- Premiums, sionary I Bonuses. TINUED DURING THE YEAR 1915. £ £ £ s. d. £ £ s. d. £ 8. d. £ s. d. £ s. d. £ s. d. £ I £ s. d 38,822 2,870 8,822 8,786,261539,990 (281,326 15 0) 74 ( 17,195 ) 3,821 '12 4 923 5 7(398 .. 18,68113 4) } 733 11 5) j 1,610 f 1.1 6 0 6 20 0 0 f 2,870 732,317 -86 (21,288 3 5 1 ..I 50) 7 10 0 2 15 0 f 25 .. 1,426 15 10 1 2,371 9 i] \ .. .... | 227,460 .. ..}..} \ 576 j 18,681 13 i ) 20 0 0 f 1,426 15 10 I 1,483 255 (247,9351 ,1, 137 14 ( ( 49,650 l 1,364 15 ! | '640 J 41,692 2,405 9,518,578 569,261 767,364 63,578 (302,614 18 5 l t 3,105 0 9) J 18,430 8 7\ 1 101 2 5} 74 ( 17,245 I 1 2,186 | 5 ( 923 I t 109 j :3,829 2 4 291 17 10 926 0 7 78 14 6 (423 j 38 6 0 6 .20,108 9 2 ) 20 0 0 J 1,321 5 3 1 1,738 142 (297,5851 8,502 9 i 1 640 J j 26,950] 759 8 i t 201/ 30,287 8,949,317 703,786 (284,184 9 101 ( 3,003 18 4{ 69 ( 16,322 ) 1 2,077 J 3,537 4 6 847 6 1 J385 6 0 6 18,787 3 11 1 20 0 0 j 1,5961 (270,0351 7,743 0 1( 1 439}j TINUED DUR: NG THE Y: EAR 1915. I 390 79,162 7,088 644 128,920 29,981 390 644 7,088 29,981 ( 3,073 1 3) ( 29 7 10 J / 5,055 11 4 | t 25 7 7 J ( 3,393 15 3 ) ( 4 18 4 j { 100 I HI 51 14 4 5 7 2 38 1,321 5 3 28 j 3,900 } | 201 \ ] 12,750 ) 211 2 1 450 104,812 6,158 450 6,158 3 I ( I 673) 611 "16 ) 150 1 21 j 201 3 2 65 17 4 70 364 11 1 11,671 11,671 921 256,212 8,663 921 8,663 ( 6,788 6 1 I t 17 1 4 f 1 39 0 4 7 10 0 44 ( 10,300 ) 174 13 9 7 12 8 155 17 17 ( 112 2 01 1 24 7 4 } 9 0 11 2,405| 569,261 63,578 f 18,430 8 7 I ( 101 2 5 f ( 923 1 109 J 291 17 10 78 14 6 38 1,321 5 3 142 I 26,950) 759 8 4 1 201 j I 26,950) 1 201 j D] EPART] MENT SINCE DAT s op esta: BLISHMI SNT TO 31st decem: ER, 1915. 84,464 19,274,216 1,414,367 (641,238 14 11) { 6,213 12 1/ j 357,054 5 11 1 3,209 13 9/ i7,357 13 2 8,440 8 6 793 348 0 10 36,557 12 0 4,368 { 502 >° 8 *>) 17,094 5 10 \ m 'Z\ W 8 0 45,177 10,324,899] 710,581 i3,820 8 8 7,593 2 5 407 342 0 4 17,750 8 1 2,772 19,287 8,949,317 703,786 284,184 9 10 69 ( i y 7 2 ?}| 8,687 4 6 847 6 1 386 6 0 6 18,807 3 11 1,596 0 10 3,003 18 4 I it the iruo age; the Extra, the additional premii im charged for any reason whatsoi >ver.