NATIONAL INSURANCE

Gisborne Herald, Volume LXVI, Issue 20102, 23 November 1939, Page 8

NATIONAL INSURANCE

MORE DIFFICULT YEAR TAXES RISE 62 PER CENT. “For various reasons we have had rather more difficulties than usual, despite which I think we can be satisfied with the results -shown,” commented Mr. F. W. Mitchell, chairman of directors of the National Insurance Company of New Zealand, Limited, at the annual meeting in Dunedin. Mr. Mitchell said that the premium income for the year amounted to £314.712, an increase of £24,035. As had been the case for several years, it was the accident section which again was primarily responsible for tiie additional income. Losses showed a higher ratio to premiums than last year. The disastrous Australian bush fires in January, with the consequent heavy destruction of property and also the regrettable loss of life, had had their effect upon losses, and marine losses were slightly above the average, largely as a result of several heavy general average claims. “Turning to the expenditure incurred in producing the income and profit, the position is less satisfactory,” said Mr. Mitchell. “Although the average of what might be termed general charges is below that of the preceding year. Government taxes on underwriting profit show an increase of over 02 per cent. “The net underwriting result is a profit of £20,21)0, being £5948 less than that of the previous year, and the return from interest and rents is lower by £ 1807. This is more than accounted for by the additional taxation, for, although there has been a substantial increase in the return from the sources mentioned, the tax on it is higher to the extent of £7331.”