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1913. NEW ZEALAND

ANNUAL REPORT OF THE GOVERNMENT INSURANCE COMMISSIONER FOR THE YEAR ENDED 31st DECEMBER, 1912.

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

Government Insurance Office, Wellington, 19th May, 1913. I have the honour to submit the following report upon the transactions of the Department for the year ended 31st December, 1912, 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 4,771 proposals were dealt with for the assurance of £1,258,032, and the number of policies actually completed was 3,966, assuring £1,042,264, being the largest amount of insurance written in any one year since the inception of the Department, and showing an advance of no less than £170,310 on the new business of the previous year. The annual premiums on new policies amounted to £29,845. Twenty-eight annuities were also granted, on which the purchase-money was £14,298. The new business of the Department has shown a regular increase for many years, and the following statement for the past five years shows that the yearly increase has been rapidly progressive during that period :—

The total business now in force is 50,458/ policies (including 388 annuities), assuring £11,865,462, and £1,406,237 reversionary bonuses at death or maturity, the total business bearing an annual premium income of £356,054. Prom a limited number of adverse criticisms which occasionally appear it might be thought that the Department is unprogressive, but when it is understood that, unlike other Australasian life offices, its business is limited to the Dominion of New Zealand, with a population barely exceeding a million inhabitants —including the very young and the very old, who are practically outside the range of life assurance —it will be conceded that to have built up an existing business of over 50,000 policies assuring £12,000,000 sterling, and to be able to secure over £1,000,000 sterling new assurance in a single year, indicates an activity of which no institution in the world need be ashamed. Income. —The total income of the year was £590,314, made up as follows : Premium income,. £351,588; interest income, £224,422 ; annuity purchase-money, £14,298 ; fees, £6. In regard to the income from the two principal sources, premiums and interest, the comparative results for the past five years are given, together with the yearly rates of interest earned. It will be seen that the return upon the growing funds is substantial and has increased considerably during the period.

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Year. New Sums Increase on assured. previous Year. I j Policies in S ' ,mS F a^' e red f " (excluding Bonuses). 1908 1909 1910 1911 1912 £ 780,597 795,339 820,179 871,954 1,042,264 £ 14,742 24,840 51,775 170,310 47,033 48,016 48,932 49,376 50,458 £ 10,955,749 11,151,094 11,360,796 11,514,657 11,865,462