THE NATIONAL FIRE AND MARINE INSURANCE COMPANY OF NEW ZEALAND.

Globe, Volume XXIV, Issue 2485, 24 March 1882, Page 3

THE NATIONAL FIRE AND MARINE INSURANCE COMPANY OF NEW ZEALAND.

[London “ Review,” January 28tb.J

The report and balance-sheet of this company haye just reached us, and from the examination thereof we are able to make the following comments on the business as shown bj the accounts, and upon the manner in which these accounts are presented for public inspection. It will be remembered that we have upon many occasions felt it our duty to remark upon the hazy system which seems to obtain amongst fire and marine offices, and more especially colonial institutions, of preparing thjir accounts. It is somewhat satisfactory to observe that in those of the National Fire and Marine Insurance Oompany of New Zealand the principles laid down by us as being correct have been adopted, with the result that the accounts arc simple, nr.d ■how at a glance the exact position of tho office. According to the revenue and expenditure account for the year ending the 30th September, 1881, the net fire premiums were £54 988, and the net marine premiums, £39,285. On the debit side the fire losses amounted to £38,575, and the marine losses to £17,025. With the object of placing the profit and less account before the public in a proper manner, the directors have determined to transfer from their reserves the sum of £28,000 into this profit and loss account. This they have decided upon doing in order to show therein that the amount set aside has been required to cover all unexpired risks at the 30th September, 1881. After making this transfer, the balance to the credit of tho company is £18,787. The amount applied to meet what is called the unexpired risks is sufficient to provide for 40 per cent, of the net fire premiums, 100 per cent, of all marine voyage risks not run off, and the unexpired part of all marine time risks. The directors feel that as this company is now competing for business over a very widespread area that the fullest information should be afforded to the public as to the institution under their guidance. The balance-sheet of the oompany is of a very satisfactory character. It will be observed that the total cash assets amount to £180,627. After deducting alances fotb branches and agencies, which we presume are good, there remains an actual list of cash assets for over £160,000. As the total premium income of the office, both fire and marine, is only £94.000, it is obvious that a very large surplus is here shown to be available for the security of the policy-holders. We should be very glad it some of our home companies would present their accounts in the same lucid and business-like form as that of the National Fire and Marine Insurance Oompany of New Zealand. The total amount of profit on the year is £21,723, to which must be added tho balance brought, down of £2063. Out of this a dividend of 20 per cent, per annum could hnve been declared, which, with the bonus of 6d per share (on which 10s have been paid up) would make a total payment, at the rate of 25 per cent, for tho year. £BOOO are to be carried to the reserve fund, (which will then stand at £BO,OOO. This, too, it must be remembered, is after setting aside a sufficient sum to maet the unexpired risks on both fire and marine policies. The report and balance-sheet of this thriving and prosperous company are in every way satisfactory, and commend themselves to the business instincts of the public.