GOVERNMENT INSURANCE.

Te Aroha News, Volume VII, Issue 385, 17 July 1889, Page 5

GOVERNMENT INSURANCE.

The annual report of the Government Insurance Commissioner has been circulated and shows a highly creditable record. The accounts, which are certified by the AuditorGeneral, show that the total income tor the year was £282,200 15s Id, which is an increase, as compared with the income of the preceding year, of £13,828 8s Bd. The interest on funds invested amounted to £73,421 Os 7d, which is£7, 045 19s 6d more than the previous year. The average late of interest on the funds is £55s 7d per cent., showing an advanco on the rate realised in the previous year, and an increase of 5s Id on the percentage obtained in 1886. On the 31st December, 1888, the accumulated funds amounted to £1,453,478 14s Bd. This represents an increaso ot £123,985 8s 6d to the funds during the year. In his general remarks on the progress of lite insurance, the Commibsioner says : "It is now nearly twenty years since the establishment of this Department in 1869, when the h'rst Act was parsed. The first policy if-sued from the oflice was dated 26th March, 1870. In June 1871 the funds amounted to the small sum of £5,045. In June 1875, the end of the first quinquennial pciiod, they weie £109,968. In June 1880 they had risen to £459,336. At the close of 1885 they reached £1,102,035. At the end of 1888 they are registered on tho return of accounts as £1,452,478, and at the date of this report (Ist July 1889), the eleventh report I have had the honour to furnish, they exceed one and a half millions. " This growth of the funds is eminently satisfactory, especially considered in relation to the cabh surpluses which have periodically accrued, as shown in the last quinquennial inventing. These amounted to £73,670 in ISBO, and £242,556 in 1885. Of these sums reversionary bonuses weie added to the policies of £124,552 for tho period ended in 1880, embiacing the first ten years ot the department, and £319,391 as at the end of 1885, a period of 5^ years ; while in addition to ample reserves otherwise set apart by investigating actuaries there was a further reset ye of £92,556 in cash carried forward tor future operations." The report concludes as follows: — "Investment ot the funds in the direction of moitgages on real property is extending under the supervision of the Board of Investment. It is true, howver. that if the Board's powers as regards the amount that can be advanced under any one mortgage were increased as to permit a maximum ot £10,000 instead ot the present limit of £5,000 more advantageous investments could be secured. It is proposed to ask Parliament to amend the law by granting the power to the Board to lend larger sums. At present the funds are rapidly increasing and will continue to grow, and it is plainly desirable that facilities should be afforded for more profitably investing the available portions of j such increase. 1 '