5

H.—l

Comparison of Actual Mortality with the Expectation according to the M.U. 1866-70 Experience, in Quinquennial Age-periods.

Table of Secessions among those who were Sick and not Sick respectively, during the Quinquennium preceding Valuation, in Quinquennial Age-periods.

26. While in the societies under review the sickness-rate varied considerably, the total is slightly above the expectation. In the early history of New Zealand friendly societies, when as yet there was no record of their experience, it was frequently asserted that English rates were unsuitable as a basis for the valuation of New Zealand societies, and that the use of values so calculated was not justified under new and, as it was assumed, more favourable conditions. The collection of New Zealand statistics has, however, shattered the hope thus raised, there being evidence enough to satisfy an impartial investigator that in the valuation of New Zealand societies the estimated liability has not exceeded what may reasonably be regarded as a probable average value. 27. The death-rate is very low. Whatever proof a light mortality furnishes of the salubrity of the New Zealand climate, and of other favourable conditions of life in the colony, the increased longevity of members is, from a financial point of view, disadvantageous to societies whose chief benefit is an assurance against sickness. 28. The rate of secession is very high. Of 9,789 members admitted before the quinquennium preceding valuation 310 died. Of the remaining 9,479 the numbers sick and not sick were 4,115 and 5,364 respectively. Of the 4,115 who were sick 344 lapsed, being less than 9 per cent. ; and of the 5,364 who were not sick 2,107 lapsed, being more than 39 per cent. Of 7,114 admitted during the quinquennium preceding valuation 46 died. Of the remaining 7,068 the numbers sick and not sick were 1,227 and 5,841 respectively. Of the 1,227 who were sick 132 lapsed, being less than 11 per cent.; and of the 5,841 who were not sick 1,936 lapsed, being more than 33 per cent. It would be difficult to estimate the money value of contingent lapses even if a reasonably probable assumption could be, made as to the rate of secession. On the one hand, there is a gain to the society represented by the surrender values. Against this is to be set the loss likely to arise from the lapse of the healthiest lives, an unknown quantity indeed, but not insignificant if the foregoing statistics be taken as indicative of the effect of selection against the society. 29. For the information of societies the following memorandum from the Revising Barrister was circulated in terms of section 5 (7, b.) of " The Friendly Societies Act, 1882" : — Memorandum foe the Eegistbae re Secession of Branches. A practice prevails among some societies of making a rule which provides for the " dissolution or secession " of a branch. The following is a specimen of the rule in question, taken from one of the lodges of the Wellington District, M.U.1.0.0.F. : — " Dissolution ob Secession. " 48. Any lodge desiring to dissolve or secede from the district must do so according to District Bule 12. "No lodge in this district shall be allowed to secede or dissolve without the consent of the District Meeting. Any lodge being desirous of seceding or dissolving shall first call a special general meeting. Every member shall have

Number of Deaths. Death-rate per Thousand. Age. Actual. Expected. Actual. j Expected. Jnder 25 !5-30 .. SO-35 .. S5-40 .. 10-45 .. 15-50 .. iO-55 .. 55-60 .. iO-65 .. 55-70 .. '0 and upwards 36 44 35 38 28 41 57 41 15 8 13 50-66 59-02 67-75 75-89 72-24 70-65 66-83 48-54 32-50 12-05 10-80 4-56 5-57 4-35 5-01 4-67 8-48 16-03 21-76 16-60 33-54 100-00 6-42 7-48 8-42 10-01 12-04 14-62 18-80 25-77 35-97 50-52 83-07 All ages 11-58 356 566-93 7-27

Number of Members who Admitted before Quinquennium. Admitted during Quinquennium. Age at Beginning of Quinquennium at Beginn of linquenniu or at Entry. tiinf. um g Were Sick during Were not Sick during g Were Sick during Were not Sick during g Quinquennium. Quinquennium. Quinquennium. Quinquennium. ' ■ -g'g -g-g so s a Lapsed Were Lapsed Were Lapsed Were Lapsed Were g during ] included during included 'd b 1 during included during included <3 o , Quinquen- ! in the Quinquen- in the -2.3 Quinquen- in the Quinquen- in the .2.5 nium. Valuation. nium. Valuation. fl£ nium. Valuation. nium. Valuation, fi^ Under 25 25-30 30-35 35-40 .. 40-45 45-50 50-55 55-60 60-65 65-70 70 and upwards 108 54 61 51 31 27 12 465 482 575 613 552 491 313 186 64 19 11 527 479 434 307 167 117 55 15 5 1 437 513 612 567 433 350 183 108 44 7 3 28 30 27 31 35 47 51 33 12 5 11 68 28 20 15 618 237 126 74 30 9 1,096 434 248 119 30 8 2,147 846 531 246 100 30 4 1 18 10 10 4 2 1 1 1 1 1 All ages 344 3,771 2,107 3,257 310 132 1,095 1,936 3,905 46