ACCIDENT INSURANCE BRANCH OF THE STATE FIRE INSURANCE OFFICE (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1948

Appendix to the Journals of the House of Representatives, 1949 Session I, H-06a

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1949 NEW ZEALAND

ACCIDENT INSURANCE BRANCH OF THE STATE FIRE INSURANCE OFFICE (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1948

Presented to Both Houses of the General Assembly Pursuant to Section 22 of the Government Accident Insurance Act, 1908

By Authority: R. E, Owen, Government Printer, Wellington.—l 949

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State Fire Insurance Office, Wellington, 30th April, 1949. I have the honour to submit the forty-eighth annual report of the Government Accident Insurance Office, for the year ended 31st December, 1948, together with the Revenue Account and Balance-sheet. The following comparison with the previous two years shows the position briefly : 1946. 1947. 1948. Income— £ € £ £ £ £ Premiums from all classes of accident insurance 341,304 420,028 466,046. Interest .. .. .. 26,636 26,824 29,735 Commission on."profits . . .. .. .. 1,002 425 36 7,940 447,854 496,206 OutgoBonus and sums accrued under profit-sharing schemes .. .. .. .. 18,672 24,623 33,338 Claims .. .. .. .. .. 212,914 292,304 318,329 Working-expenses (exclusive of income-tax).. 70,918 81,905 98,062 Carried to Reserve for Unearned Premiums .. .. 27,813 23,009 Income-tax .. .. .. .. 28,763 7,186 12,664 National and social security tax .. .. 4,823 1,082 1,906 336,090 434,913 487,308 Surplus, apportioned as follows— Reinsurance Reserve .. .. .. .. 10,000 Bonus Reserve . . .. .. .. 10,000 Reserve Fund .. .. .. ..21,850 2,941 8,898 31,850 12,941 8,898 Total .. .. 367,940 447,854 496,206 Reserves and funds as at 31st December . . 737,045 777,800 809,706 Ratio of claims (all classes of business) to premium p e r Cent. Per Cent. Per Cent. income .. .. .. - .. 62-38 69 •59 68 •52 Ratio of working-expenses (exclusive of incometax) to premium income .. .. 20-78 19-5 21-0 Ratio of underwriting surplus to premium income 5-12 1 • 57* 1 -43* * Deficit. The increase in the premium income of £46,018 over that of the previous year indicates the Office continues to make satisfactory progress, that it maintains its position in the insurance field, and continues to receive an ever-growing measure of support from the insuring public. I desire to again record the excellent service given through the year by the staff and to express appreciation of their keenness and efficiency. R. H. Newbold, General Manager.

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Revenue Account of the Accident Branch of the State Fire Insurance Office for the Year Ended 31st December, 1948 £ s. d. £ s. d. Premiums after deduction of reinsurances . . . . 466, 046 5 9 Bonus and sums accrued under profit-sharing schemes . . 33,337 17 0 Interest (including interest on Reserve £ s. d. Claims .. .. .. .. .. .. 318,329 9 6 Fund investments) .. .. 29,734,13 10 Commission .. .. .. .. .. 18,052 6 7 Less tax on interest— £ s. d. , Salaries .. . . . . . . . . ~ 59,382 3 0 Income-tax.. .. 12,663 19 2 Contribution to Public Service Superannuation Fund .. 1,677 17 0 Social security tax .. 1,905 16 6 Expenses of management .. .. .. .. 18,950 2 2 14,569 15 8 Further appropriation to Reserve for Unearned Premiums 23,008 18 11 15,164 18 2 ■ 7 Commission on profits .. . . .. .. 425 3 3 472, 738 14 2 Amount of Accident Funds, 31st December, 1948 .. 8,897 13 0 £481,636 7 2 £481,636 7 2

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Balance-sheet of the Accident Branch of the State Fire Insurance Office as at the 31st December, 1948 Liabilities £ -s, d. ; Assets £ s. d. Accident Insurance Funds .. .. .. .. 8,897 13 0 Government securities .. .. .. .. 719,290 0 0 Outstanding accident claims .. .. .. 281,363 0 0 Local-authority securities .. .. .. .. 91,565 19 8 ■Government taxes .. .. .. .. .. 22,839 15 8 Filed deposits and at short -call .. .. .. 50,000 0 0 Commission .. .. .. .. .. 2,200 0 0 Interest accrued but not due .. .. .. 8,970 0 0 Premium and other deposits .. .. .. 4,652 6 11 Agents' balances .. .. .. .. .. 13,860 8 6 ■Sundry creditors .. .. .. .. .. 8,245 15 1 Sundry debtors, including Motor-vehicles Insurance (ThirdOfficers' Fidelity Fund .. .. .. .. 500 0 0 party Risks) Act pool .. .. .. .. 212,894 5 2 Reserve for Unearned Premiums .. .. 233,023 2 11 Cash in hand on current account .. .. .. 32,426 7 3 Bonus Reserve .. .. .. .. .. 60,000 0 0 Investment Fluctuation Reserve .. .. .. 70,000 0 0 Reinsurance Reserve .. . . .. .. 66,000 0 0 Bad Debts Reserve .. .. . . .. 1,000 0 0 Reserve Fund constituted under section 6 of the Government Accident Insurance Amendment Act, 1924 .. 370,285 7 0 £1,129,007 0 7 £1,129,007 0 7 R. H. Newbold, General Manager. 31st May, 1949. T. L. Seator, Deputy General Manager. I hereby certify that the Revenue Account and Balance-sheet have been duly examined and compared with relative books and documents submitted for audit, and correctly state the position as disclosed thereby J. P. Rutherford, Controller and Auditor-General.

By Authority: R. E. Owen, Government Printer, Wellington.— 1949. Price 3d.}

Approximate Cost of Paper.—Preparation, not given ; printing (1,949 copies), £8 10s.

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