H.—B

20

ACTUARY'S REPORT.

GENERAL REMABKS. The liability on account of the Department's annuities, though relatively small as compared with the insurance liabilities, shows signs of increasing rapidly. In view of this fact, and of the probability that annuitants resident in New Zealand are subject to an abnormally light mortality, I think it desirable that the existing rates for annuities should receive consideration, and possibly revision, during the present triennium. The few non-participating assurances and endowments, the liability on which is trifling, call for no remark. The scale of surrender values at present in use is quite safe, but I think it might with advantage be simplified in a few minor respects, and the matter will receive early consideration. I recommend that interim bonuses be granted to policies becoming claims during the triennium at the same rate as at present. The net result of the investigation I have made is to show that the department occupies an exceptionally strong position in reference to the liabilities on its policies. In conclusion, it is my pleasant duty to bear witness to the excellent manner in which the work of valuation and distribution was carried out by those members of the staff to whom it was entrusted, under the immediate supervision of the Bonus Clerk, Mr. J. W. Kinniburgh. It was mainly owing to their willing co-operation that I was enabled to complete the division of profits and hand over the bonus certificates in less than four months from the valuation date. Eespectfully submitted by MORRIS POX, The Government Insurance Commissioner. Actuary.