WAR DAMAGE

Wairarapa Times-Age, 26 November 1943, Page 2

WAR DAMAGE

I INSURANCE PREMIUMS REDUCTION TO BE MADE. NEW RATE FIXED AT Is PER CENT, (By Telegraph—Press Association.) WELLINGTON, This Day. A reduction in the annual premiums for war damage insurance as from March 1 next, on which date all insurers will have been edmpulsorily covered for a period of two years at the rate of 5s per cent, was announced by the Minister of Finance, Mr Nash, last night. This is in accord' with a statement he made in the House of Representatives on July 1 last. The new rate will be at the rate of Is per cent, and will be levied under the same conditions as have operated from the beginning of the compulsory payments of premiums on March 1 of last year. The Minister said that on the reassembly of Parliament it was proposed to extend the War Damage Act to cover earthquake damage and to pro * vide for all premiums at the Is per rate to cover both earthquake damage. The balance in the War DalWge Fund on February 28 next will stillbe conserved to cover war damage risks, and subject to appropriation by Parliament compensation may if required be paid to cover damage against earthquake or other national disaster. “To secure uniformity of liability among all those who are called on to contribute compulsorily under the War Damage Act, it will be necessary to maintain the rate of 5s per cent till February 28 next, otherwise those whose fire policies fall due toward the end of the second compulsory year would quite fortuitously, and for no sound reason, pay less than policyholders whose fire policies happened to fall due earlier in the year,” said Mr Nash. . “It might be added that, though the risk of damage through enemy action is happily lessened, the definition of War Damage in the Act includes ‘accidental damage occurring as the direct ( "result of any explosions or fire which 'involves any explosives or munitions or other dangerous things required for War purposes and which happens or is caused by, through or in connection with the manufacture, storage, or transportation of any such explosives, munitions, or other dangerous things.’ 'The risks under this heading remain till the end of the war.”