Greymouth Evening Star, AND BRUNNERTON ADVOCATE. WEDNESDAY, JULY 10, 1901. STATE FIRE INSURANCE.

Greymouth Evening Star, Volume XXXI, 10 July 1901, Page 2

Greymouth Evening Star, AND BRUNNERTON ADVOCATE. WEDNESDAY, JULY 10, 1901. STATE FIRE INSURANCE.

Live Insurance having been an unqualified success under Government management, it is but natural to suppose the Fire Insurance similarly administered will prove equally advantageous. Our Parliamentary Reporter in an urgent message to us yesterday stated that the Premier had taken the House by surprise by the introduction of a State Fire Insurance Bill. Why surprise was manifested is difficult to realise, seeing that the measure has been promised for some years past. The preamble of the Bill which has just been circulated affirms the necessity for a State Fire Department, for amongst other things for the statute insurance of certain buildings, and the maintenance of Fire Brigades. The Bill provides for a State Fire Insurance Office, under a manager appointed by Government with the necessary staff and branches or agencies. A State Fire Insurance Board is also provided, consisting of the Manager, the Colonial Treasurer, Commissioner of Taxes, and two competent persons not members of the Civil Service, appointed by the Qovernor-in-Council to regulate the general business of the office ; for the insurance of insurable property of all kinds. Business will not begin until satisfactory arrangements have been in New Zealand and abroad for re-insurance, and until the second part of the Bill (dealing with the statutory insurance of buildings) has been

adopted by three or more boroughs, and three or more c unties with a total population of 60,000 and buildings of an aggregate of one million sterling, Government departments are to give all necessary information in their possession regarding risks, and Inspectors to bo appointed by the manager have the right of entry in cases of insurance. Premiums are payable in advance, and policies are not cancellable by the manager with obligation to refund the premiums. The Board may, however, report the necessity for discontinuing or varying the business at any time. If Parliament is in session such report goes before it, but, if not, before the Government, who may act by Order -in - Council. A capital of £250,000 may be raised by the Governor-in-Council, and, if insufficient, an additional sum of not more than £20,000 at any time. The interest is limited to 8f per cent, and there must be a sinking fund. Full reports are provided for Parliament, and surplus profits are to be devoted to reserve fund and bonuses.

The second part of the measure dealing with the Statutory Insurance of buildings, applies only to districts in which it is adopted by either the resolution of the governing body or poll of the ratepayers. After such adoption the manager must prepare a fire insurance roll renewable trienially, being a list of all insurable buildings with names, etc., of owners, nominal insurance value (not more than threefourths of capital value), classification, annual rate and amount of premium payable, insured or otherwise and, if insured, where, at what rate, and for how long. The manager may vary that roll at any time, may class any building he chooses as uninsurable. As soon as the roll comes into operation, which it does after due gazette notice, every building upon it shall be deemed to be insured in the State Office in the name of the owner, at the actual insurable value shown in the roll; every building already insured coming in only on the expiration of the current policy—the currency being limited to twelve months. In cases of longer currency, the property is insured with the State at the end of the twelve months. The owner is entitled to a proportionate refund from the insuring company. Premiums are collectable at the option of the manager by the local governing bodies, in the same way as rates. All persons having insurable interests in buildings are jointly and severally liable for premiums, but the primary liability of the owner is not affected, and he who pays is entitled to levy contributions on all the others interested. The Governor may at any time discontinue or vary the Statutory Insurance of buildings. Fire Brigades may, and shall, if the Governor so prescribe it, equip and maintain to the Government satisfaction one or more Fire Brigades, monies being transferred from the district or county fund to a special Fire Brigade fund. For this purpose half the expenses of these Brigades is to be found by the district and half by all the fire insurances in the colony, including the State Fire Insurances.