N.Z. Friendly Societies Parliamentary Executive.

Horowhenua Chronicle, 1 September 1910, Page 4

N.Z. Friendly Societies Parliamentary Executive.

« M.U.1.0.0.L 1 '. , A.0.K., 1.0.0. K., 1.0. K., P.A.K.S.A., S.D.T., AM) H.1'.0.0.1 ( \ A combined effort of the above societies, representing members, is nc'W being made to indiiice Parliament to pass into law the following clauses, that were deleted from the Consolidation Act of 100!) owing to the vigorous opposition of a minority of l">,()(!() members oi Friendly Societies desirous of continuing an Kqual l.evy Death Bene lit .s.'heme, prvood by all reliable expert authorities as unsound (a.) Clause introduced by Registrar ill friendly : - A society (or branch) shall not be registered until the rates of contri tuitions for sickness, death, superannuation, and annuity benefits, as set out in the rules submitted with the application for registration, are. certified as adequate by the Actuary of Friendly Societies or by some other Actuary who is approved by the Governor, and who iias exercised tiie profession of an Actuary for at least five years. Ktery such certificate shall be in form numbered (1) in the lirst schedule Icrel;:- or to the like effect." (b.) Clause recommended by Colonial t'onference of Friendly Societies in li)l"i by I!) votes to Soil: "That no society be allowed to carry on business after the passing of this Act without having an adequate scale of contributions commensurate with (lie henetit.s proposed, and approved of by a competent Actuary, which (scale oi contributions) shall not disturb the contributions of existing members, but shall b. 1 brought into e.xisteiiceand shall apply to all those .joining after the passing of this Act.'' (<*.) Clause introduced by Registrar of Friendly Societies'- "No soeietv shall be registered if any contributions provided by its rules lor sickness, death, superannuation or annuity benefits are of such a nature that they may increase n, amount and frequency at any future time, or if any such benefits are of siic.li a nature that they ma;, decrease aL any future time, unless the rules explicitly slate to the satisfaction ol the egistrar the particulars o| that increase or decrease in such a manner that any intending member oi the Society may be apprised exactly of the amount of contribution he will be called upon to pay and the benefits for which lie will be insured, in each successive year." The first ol these clauses requires the addition of the words "or branch," otherwise it, will be inoperative. as there is Aery little possibility oi new societies being established here, as practically all the societies operating in Great Mritain are already represented. Xo hardship is'entailed, by the passing of the second clause, as it applies only to new members, and does not in any way disturb the contributions ol' existing members. In support of the necessitv foi these provisions, wo submit' the lollowing ligures, taken I'mm the reports to Parliament of the Actuary o! Friendly Societies for the past three years: (DOS: II valuations, had si!>rp'i;sr,<, fJ/.H'J.'i: balance had deii'-iencii -s, C7(i,!)•_'(). 11)09: !) valuations, 2 had surpluses, C.),0l I ; balance had deficiencies. (.'20,11)2. HMO; 10 valuations, tan surpluses, L"2(),7G2; balance bad deficiencies. CI C.1.-217. Ample additional evidence could ;e produced, hut this should suffice to pro\ e a case lor tiie immediate application ol legislative compulsion to eiifi ice financial stability. I'ho clause marked l, c ' is designed to prevent the Fqual Levy Death Menefit System now being carried on by one society in Xcw"Zealiiiid. which has lately initiated a movement, loi- its extension to other societies.