THE GOVERNMENT INSURANCE DEPARTMENT.

South Canterbury Times, Issue 2644, 10 September 1881, Page 2

THE GOVERNMENT INSURANCE DEPARTMENT.

Wellington, Sept. 9. In the House to-day Major Atkinson gave notice of the following sche,me for the distribution’ of the surplus fundsof the Government Insurance Department : That whereas the actuaries appointed in accordance with the 45th Section of the Government Insurance and Annuities Act, .1874, in their report on the net surplus profits under the said Act and the repealed Acts,have recommended that “ a sum not exceeding £OO,OOO ” be divided amongst holders of policies under the said Acts ; and whereas it is provided by law that the sum so recommended for division in such report, or such less sum as shall be fixed by resolution of both Houses of (he General Assembly as the amount for division, shall be divided amongst holders of policies under the said Acts in such manner and according to such scheme as shall be approved by sucb resolution ; Ibis House resolves that the sum of £50,000 shall be divided by way of a reversinary bonus amongst the holders of policies under the said Acts in accordance with the following scheme : —Participation in the bonus shall be confined to holders of whole life and endowment assurance policies issued under tables 1,2, and 3, which were in force on June 30, 1880, and upon which two years’ premiums had then been paid. The surplus shall be divided in proportion to the loading contributed by each policy holder, subject to a deduction of a year and a half’s loading. In the case of policies, under tab'c 2 onlj equalised loading is to be taken into account. The share of each policy-holder thus determined shall be converted by the ILM. (5) four per cent single premiums into a reversionary bonus to be added to the sum assured, which bonus may be exchanged at anv time for one of the following benefits : —A temporary reduction of future premiums, or a permanent reduction of future premiums, such exchange to be calculated by H.M, 4 percent tables. Reversionary bonuses should vest as from June 30, 1880. Reversionary bonuses may be surrendered for cash, the surrender value to be calculated by the H.M. 5 per cent tables.