FARMERS' INSURANCE ASSOCIATION.

Taranaki Daily News, Volume LVI, Issue 284, 4 May 1914, Page 3

FARMERS' INSURANCE ASSOCIATION.

a \ ANNUAL MEETING. The ninth annual meeting of the share- ' holders of the Taranaki Fanners' Mutual Fire Insurance Association was held at 3 Eltham on Thursday. Mr. J, T. Quin, * chairman of directors, occupied tie chair, The annual report showed that >ue - net premium income for the year amount- . Ed to fiSli 13s 7d. being £436 llis 4dunder . that of the previous year. This is ow- . ing to the Association having occasion i (through'a Supreme Court decision) to; cancel all dairy factory risks for the time '■ i being pending the dairy companies amending their memoranda of associa-i tions. In the meantime, 'ht Associa- j tiort has been appointed State Fire Office agents for this class of business,! and as you will notice from the ac-j counts receives a remunerative corumis-: Ision thereon. The insurance liability at the close of the year under review i (after allowing lor reinsurance) I • amounted to £159,633, as against I £234,454 at the clo3e of the previous year. This liability is classified a.s follows: Farm and non-hazardous risks 095; policies amounting to £156,041 (making l an average of approximately £225); rein, i suranees, 7 policies (averaging' £513); £3592. The total policies number 702,1 bringing the general average to approxi-l mately £228, being less than that of the! previous year (£270). Fire losses amount-1, ing to £2OO occurred during the year.'. The liquid assets at the end of the finan-1 cial year (after making provision for all , general liabilities) amounted to £555314s lid, being £545 3s 9d in advance of the ■ previous year. The premium notes in , force at the close of the year under re- . view amounted to £B2IB 3s lOd, being , , a decrease of £3609 17s lid (owing mainly to loss of dairy factory business), , 1 making a total of general assets over ', j liabilities of £13,823 2s Gd. Under legis- ; lation of last session, power is now given ' [ to associations under Order in-Council to \ i insure its members against workers' com- ' pensation claims. The directors will con- 1 ' i sider the matter further. | j The balance-sheet showed: —Assets: i f Cash and on fixed deposit and mortgage ' £563 17s Id; premium notes £B2IB 3s ' lOd; interest accrued, £36 3s 8d; total ' £13,893 4s 7d. Liabilities: £7O 2s 3d; bal- ' ance, £13,823 2s od, Receipts £IO3B 2s ' 6d; expenditure, £327 os 2d. Transfer to reserve account, £540- 18s; balance, £362 6s lid; insurance liability, £15&633. Mr. Quin moved the adoption of the report and balance-sheet and referred to the very satisfactory position the Association occupied. Mr. Wright seconded the motion. Mr. Gane asked how long it would be before they could do away with the premium note. |

The Chairman had not the slightest idea.

Mr. Wright asked how it was proposed to make up the loss of the insurance business of the dairy factories. Mr. Forsyth said the position of the dairy companies was that they were now insuring with another company at a very small increase on the Mutiial's premium, and he did not know that there was much likelihood of their altering it, seeing that they had to cam' the premium note with the Mutual.

Mr. Gane said there was no risk, or at least very little, with the prvminm note. The reserve of the Mutual officii was sufficient to cover all ordinary risks. He thought the Mutual ought. Id he better, supported bv every farmer Mr. Wright thought the Mutual Association might be better advertised, and if it were so it would be better supported, and they could afford to reduce thrv premium.

Mr. Quin said that a reduction in the premiums would mean a. loss in, cas;>s of re-insurance. It would be bstteVto give a bonus at the end of each year. Mr. Wright contended that the amount of re-insurance was so small that it was not worth'considering. Mr. ttanc wished io make it clear that those who had .advances from the Government were not now compelled to insure in the State office ,

The motion for the adoption of Hi<> report and balance-sheet was carried. Mr. Forsyth moved: That it be a recommendation to the incoming directorate to consider the advisibility of reducing premiums. . Mr. Wright seconded the motion, which was carried.

The following were elected a directorate:—Mcsshg .T. T. Quin, R. Lamhie H.. D. Forsyth, C. J. Belcher, E. V[a\ well, J. Best, and J. Christoffe. Mr. Parrott was re-appointed audita) at a fee ' ' J} 7s.

Mr. Gane moved a hearty vote i-f thanks to the retiring directors, wnic'i was carried by aeclama 'on.

At a meeting of directors held subsequently, Mr. J. T. Quin was elected chair,''.;i.\- : tar.