T. & G. MUTUAL LIFE SOCIETY RECORD EXPANSION

Rotorua Morning Post, Issue 5286, 24 December 1946, Page 7

T. & G. MUTUAL LIFE SOCIETY RECORD EXPANSION

Melbourne, 23rd December, 1946. The 70th Annual Meeting of th:e Society was held to-day. The Chairman, Mr. J. T. Thompson, said: "New Business completions in the Life Departmenfcs comprised 132,669 policies .assuring £22,127,522; an increase of £6,886,477 over the previous year's total. This is a record ' and is a tribute to the popularity. of the Society. In the Accident Department the sums- assured were £6,905,497, more than double tbe previous year's total. Last year I advocated, as a means of lessening the danger of inflation, that as much as pcssible of tbe excess purchasingpower in the hands. of the public be diverted to Life Assurance. I am happy to record that this Society and other leading Offices have s.ubstajltially increased their new business completions. Other forms of thrift are helpful in temporarily restraining inflationary tendencies but Life Assurance is more elfective because it renj-oves surplus money from pur-chasing-pcwer for a longer period and provides for reguiar savings in future years. The Income increased to £9,083,468. Payments to policyholders amounted to £3,740,806, an average of £12,000 for every working day iri the year. The Funds have grown to£50,263,309, a redord increase of £3,341,917. Total contributions to War and Security Loans reached £24,788,865. Mainly for this reason the rate of interest earned was lower at £4 0s l'ld c/c. It is. anticipated that the Loan programme of Local Bodies will expand and that there will be a grcwing demand for mortgage mjoney, particularly under the Society's popular Home Purchase system. Taxes, which amounted to £219,243, are a strain on the funds of the policyholders in view of the fall in rates of interest. Your Directors believe that Life Assurance savings are of such benefit to the community that- they should not be subject to the burden of taxation. The Actuary reports that due to changing financial conditions the valuation this year has been made on the assumption of an interest rate of 2 h% except for pure endowments and deferred annuities for which the rate used was 3 c/c . The surplus of £990,342 is sufficient to- maintain the same bonus scales as for the previous year. The Accident Department eontinued to make exceptional progress. The huge volume of new business eompleted is highly gratifying and indicates that the public desire the fullest security and protection and that far from being satisfied with the necessities of life which social security benefits provide there is a desire for real cc-mfort in old age and also for dependants of the policy-holder after his death. It denotes, too, an abiding faith in the voluntary cooperative system under which a Mutual Life Society is established. The -reinstatement of ex-service-men has proceeded smoothly and satisfactorily and their rehabilitatic-n has engaged our close attention. Facilities have been granted for refresher courses of.study and opportunities created for advancement in the service. These splendid young people have settled down to their tasks with zeal and enthusiasm and have co-operated in every way with the Management. I thank all members of the staff fo-r their loyal and valued service." — Advert.