H.—B

The policies in force in the Ordinary Branch, in both General and Temperance Sections, numbered 20,997, insuring £6,138,475 ; the average amount of each policy in force is £292 7s. The income of the Ordinary Branch for the year was £228,434 6s. lid., of which £48,472 Bs. Id. was interest on invested funds. ACCUMULATED FUNDS. The accumulated fund on 31st December last amounted to £972,775 14s. Bd., showing a net increase of £126,616 4s. Id. For the purpose of showing the growth of the funds during the past ten years the following table is given : — £ s. d. Accumulated funds, 30th June, 1875 .. .. .. .. 109,967 12 1 1876 .. .. .. .. 153,717 7 6 1877 .. .. .. .. 219,394 4 0 1878 .. .. .. .. 292,523 2 4 1879 .. .. .. .. 371,889 16 9 1880 .. .. .. .. 459,335 17 0 1881 .. .. .. .. 557,230 11 10 1882 .. .. .. .. 653,890 7 9 31st Dee., 1882 .. .. .. .. 704,888 14 11 1883 .. .. .. .. 846,159 10 7 1884 .. .. .. .. 972,775 14 8 Note.—At the date of this report the accumulated fund at the credit of the Association exceeds one million sterling. The rapid increase of funds exhibited in this table is believed to be without parallel in the history of any life office in the British dominions. INDUSTBIAL BEANCH. 2,679 policies were issued during the year. Of these, 593, assuring £21,426 lis., with a total weekly premium of £18 15s. Bd., were adult risks, the remainder, for a weekly premium of 2d. each, being on the lives of children. On the 31st December the policies in force numbered 7,928, assuring £93,944 Bs. on the adult policies, and a varying sum on those of the children. The weekly premium on the policies in force amounted to £123 lis. Bd. 40 death claims occurred during the year, of which 25 were under infantile policies, and amounted to £128, while the sum assured under the 15 adult cases amounted to £557 Is. GENEEAL EEMABKS. Although the operations of the Association under its new constitution do not come within the limits of last year's proceedings, yet it will be of interest to the policy-holders to learn something of the new organization. The Board are of opinion that it will work well. It will tend to popularize the institution, as well as to necessitate careful deliberation on all points affecting its welfare. Everything of importance outside the routine duties comes before the Board, which sits from three to four hours a week. But, besides the duties performed at the Board meetings, a great deal is done by Committees. There are Committees which examine and report to the Board on all expenditure, on all alterations in the staff, and on the office requirements, including building. Whilst precaution is taken not to bring the names of proposers and policy-holders before the Board, all cases of exceptional character have careful consideration, and supervision is exercised over the routine business without invasion of its confidential nature. On the whole, a great deal of work of a beneficial character is effected which has not been practicable under a purely Government management. On the other hand, the connection with the Government gives great facility for investment of funds which are never idle. The Board are lending, and propose to lend, considerable amounts on mortgage of real property, but they are very careful to investigate all the conditions attaching to each application they receive. It is proposed to establish local Boards at once at Auckland, Christchurch, and Dunedin. This was decided on after careful deliberation, but the three elected members of the Board were opposed to it. The other members were in favour of it, excepting the Solicitor-General, whose opinion is not known, he having, from ill-health, not been able to attend the meetings of the Board. So large a majority of the Board being in favour of the establishment of local Boards, it was not thought necessary to invite the opinions of the policy-holders. It is, however, considered desirable that they should know of the difference of opinion amongst the members of the Board, and also that, should they desire to move in the matter, the Board will give respectful consideration to their representations if made by a resolution, concerning which a poll' of all the policy-holders can be taken. It must be understood that the Directors do not invite such expression of opinion, the majority of them being, as stated, convinced of the expediency of establishing the proposed local Boards. They think it right, however, to state the circumstances, and to point out to the policy-holders that action is open to them if they desire it. Julius Vogel, Chairman. H. D. Bell,) I Directors. N. Beid, J D. M. Luckie, Acting General Manager.

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