Page 18 Advertisements Column 2

New Zealand Tablet, Volume X, Issue 498, 27 October 1882, Page 18

| HOKITIKA : I W. L. FOWLER, Major R. C. REID \ WILLIAM M'KAY RICHARD CAMPBELL DR. F. HOSETTI DR. D. P. JAMES T. PATTERSON GEOKGE BENNING JAMES CRAIQ B. DYSON. Share list will be closed on the Ist November, 1882. Other names will be added in a day or two. Who shall hold office for not longer than one month after allotment of the shares, when a meeting of Shareholders will be convened for the election of Directors for the first year. Names of Provisional Directors in other centres will be Added in future advertisements. Bankers : The Colonial Bank of New Zealand. Solicitors : Messrs. Bathgate and Meesou. Brokers : Messrs. W. P. Street and Co., Liverpool Street. Interim Secretary : W. C. Kirkcaldy. FIRE AND MARINE DEPARTMENT. There exists among Insurers in this colony a feeling of dissatisfaction with the present system of Fire Insurance. Rates are deemed too high by Insurers, but are affirmed by Insurance Offices to be no higher than is dictated by prudence. The only solution of the difficulty is the introduction of a principle whereby the Insurers may receive a share of the profits by the issue of bonus policies. Every Insurer may thus obtain a direct interest in the business done, and while the premiums are maintained at a rate which will afford sufficient stability to the Company in the event of extraordinary losses, the Insurers really reap a benefit, as they share in the profits earned. The profits will be applied in the first instance to the payment of interest to the shareholders at the rate of 10 per cent, on the paid-up capital, and the profits beyond the amount required for such payment wiU be applied as follows :— After making suitable provision for a Reserve Fund, and for an amount to carry forward, a moiety of the balance will be reserved for the foimation of a Bonus Fund for distribution among the owners of bonus policies on whose risk there shall haTe been no loss, and the remaining moiety at the disposal of the shareholders. The advantages of this system are obvious, as every Insurer, having a direct interest in the welfare of the Association, will no doubt be induced thereby to exercise greater caution, and use his influence to bring as much sound business to the Company as possible. A large number of shares has already been applied for, but none will be allotted till all applications have been received, as it will be the poiicy of the Directors to allot the shares as widely as possible among probable Insurers. ECONOMY AND CO-OPERATION Will be made leading features in the management of the Association, and these are principles which cannot fail to ensure a marked success, especially as the Fire Business Kill be confined to the Colony of Few Zealand, and therefore under the immediate control of the Directors. LIFE DEPARTMENT. The want of a local Life Assurance Company has long been felt, and this want has been only partially supplied by the Government Scheme ; while the scale of premiums chargeable by foreign Companies, also doing business in less healthy regions, is slightly higher than that which could with safety be adopted in our own more temperate climate. This Branch of the Association's business will be conducted solely on the mutual principle— that is, the whole of the net profits will go to the policy-holders on a system at once safe and equitable, while the Shareholders are benefited as the combination of the two branches of the business is conducive to economy in management, and affords opportunities of commanding business not secured by companies devoted to either branch alone. The success which has attended Mutual Life Assurance Companies elsewhere has been mo3t remarkable. As an instance, the Colonial Mutual Assurance Society of Melbourne may be quoted, which, during the first year, issutd 457 policies, and at the end of the eighth year had 4313 policies, with an annual income of £164,450. Although power will be taken in the Articles of Association for the carrying on of this branch of the bu&ine: s, it ia not intended to open the department until the Fire Business has been well established, and until the services of a thoroughly Competent actuary have been secured. The following reasons may be adduced from among many which' i might be urged to show the certainty that success will be attendant on the Company's operations :—: — 1. The Association will supply two acknowledged wants viz., Fire Insurance conducted on principles equitable to Insurers ; and Local Life Assurance. 2. The nature of the business to be engaged in is ordinarily very profitable. * 3. The diversity of the Association's operations constituting a great source of strength. 4. The Association combining the popularity of the co-operative principle together with the security to be derived from a, widely diffused proprietary. The Memoraadum and Articles of Association may be inspected at the office of the Solicitors. Applications for Shares, which shall be made on the prescribed form, must be lodged with the Secretary, the Brokers, or the Colonial Bank of New Zealand, at any of its Branches,