SOUTH BRITISH INSURANCE CO.

Dominion, Volume 3, Issue 638, 15 October 1909, Page 10

SOUTH BRITISH INSURANCE CO.

- • : . ';'. ANNUAL MEETING.; y.;\ ■'..,,, . (By Telegraph—Press Association;) ■: Auckland, October 14. . The annual meeting of the shareholders in the South British Insurance Company was held'-to-day, Mr. John Batger (chairman of directors) presiding. The" report. und : balitncesheet,showed u total profit from all sources of £59,625.-. :■ ; - -

The chairman, in movinp theadoplionof the report and balance-sheet, stated: "The year how! closed has been uneventful, and the afccounts before you present no very-striking features.' On the' whole, , 'the results of pur business-compare! favourably with those laid before you nt the last general meeting. The fire, marine; and accident '.losses ampuut to 59.66 per, cent, of tliu premia received. Last year they., were 63.10 per cent. Expenses nbsorb 31 per cent, .■is.against'32.2s per cent, last;year, and' the underwriting.profit is 9.34 per cent.'i as compared with i'.m' per cent.' in last year's accounts.' Turning to the revenue, account the amount of premia received (£310,436)'-.. is sligh'tly less than last year, the difference being JE7183 15s. Id., while the pi'ovision' for' reinsurance has not been reduced, I but remains at .£130,000. Interest and rents (.£30,616 19s. 10d.) give a. moderate but satisfactory increase of £953 IGs." Id., and;provide rather more than'sufficient "for the payment of the year's dividends without drawing upon the underwriting profit On the other. side of the account the losses paid and outstanding ore .£185,203—an improvement upon ■ last year's results to the extent of .£15,211. The expenses show a considerable reduction, being £96,225 as against £l&i,i3S, and, as the final result of the year's business, we carry - £59,625 ss. lOd. to the credit of ,the profit and loss account, instead, of £1-1,432 6s, Id., as was the"case last year. The reduction in premiums revenue":is entirely in. the. marine section, of our , business, and it was caused by unfavourable conditions of commerce in all parts of the world. I am glad, to say.that,! in our fire and accident de--partments, the income has been weir maintained.- In the profit and loss account the debits are practically the same as last year, except that the amount transferred and added to the reserve is JHOOO this year, as against £10,000 last year, and there is a larger amount written ,off office' furniture. Turning now 'to the balance-sheet there is a slight increase , 'in the- 'landed property , accounts from -£203,356 to £208,485. The necessary progress payments, in•'connection'with our new building in Melbourne, now ne'aring completion, have been made. On the other hand, we'ha've told the company's freehold in • Irivercargill. There is a larger increase (£20,4"5) in.'the. amount,of loans on mortgage,' an increase of £5000 in 'fixed deposits, and of £1922 10s. 3d. in 'stocks and debentures.' The municipal debentures and Government securities remain unchanged. The' whole of the investments have been carefully scrutinised,' and we aro perfectly satisfied as to their soundness. Tho amount of tho reserve fund is now £310,000, and tho balance of profit and loss carried forward is £39,528 15s. 7d. I think that the resulte of the year's business have been eminently satisfactory, as it is well known that marine casualties have been very heavy, ae well, as numerous during ■ the past year, and have caused severe losses'to'underwriters. We have been fortunate in escaping some, of the worst losws, and in/some we liave boeii interested only to a slight extent. In the case, for instance, of.fhe.Waratah', nearly the whole of our interest ceased with the discharge- of her Durban cargo, and we had only £200 at risk ■ when she left that port.. In the fire and accident departments, we have suffered no single loss of largo amount, although losses- in both departments have been .numerous and frequent. Tho rates obtainable in'-New-Zealand for iusurance against fire remain, , I regret to say, quite -inadequate for, the risks undertaken.and,tliero"does not!seeni to be any prospect-of an-early improvement in this respect; The indications,' however, of improving busineiis oonditions; throughout■ the ■ world justify, the hope of continued prosperity for our company." Air. .J. H. Upton seconded the-adoption of I the report and baUuc'e-aheet, the motion be-1 IUSC fiUTnfflli' ■ ■ ' ' - - , - ~-.:'.-•■ '■*