ACCIDENT INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1911.

Appendix to the Journals of the House of Representatives, 1912 Session II, H-08a

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Session 11. 1912. NEW ZEAL AN D.

ACCIDENT INSURANCE BRANCH OF THE GOVERNMENT INSURANCE DEPARTMENT (ANNUAL REPORT ON THE) FOR THE YEAR ENDED 31st DECEMBER, 1911.

Laid before Parliament pursuant to Section 22 of the Government Accident Insurance Act, 1908.

Government Insurance Office, Wellington, 18th May, 1912. I have the honour to submit my report on the business of the Accident Insurance Branch of the Department for the year ended 31st December, 1911, together with the Revenue Account and Balance-sheet. The premium income amounted to £20,756, as against £21,364 in 1910 —a decrease of £608. The small decrease is due to the same causes as those to which I referred in my report of last year, there having been a reduction of over £1,000 in premiums on mining risks. The premium income may now be regarded as having returned to normal conditions, and, in view of the large number of companies competing in New Zealand for the very limited business available, no great expansion in the item can be anticipated in present circumstances. The income from interest was £2,856, an increase of £312 on that for the previous year. The claims (including those in course of settlement at the close of the year) amounted to £10,497, a decrease of £2,025. Since commencing business on the 7th June, 1901, the sum of £119,128 has been paid by the Branch in compensation for accidents. The total expenses (including taxes and commission) were £6,894, as against £6,620 in the previous year. The Investment Fluctuation Eeserve has been increased by £1,000, and now stands at £2,000. The reserve for unearned premiums, being in excess of requirements, has been reduced by £1,000. The liability of employers has been further increased by the Workers' Compensation Act, 1911, and an equivalent increase has consequently been made in the premiums for that class of business from the Ist March. 1912, the date when the amending Act came into operation. The investments of the Branch consist exclusively of mortgages on property, which now amount to £59,035. It is satisfactory to note that there is no overdue interest, and that the financial position of the Branch is sound. The funds which have been accumulated during the last triennium amount to £17,251, and it has been decided to carry this amount to the Eeserve Fund constituted under section 20.. of the Government Accident Insurance Act. It has been the policy of the Department since the inception of the Branch to place its financial position beyond question, and the keenness of the competition which prevails in insurance circles renders a continuance of this policy essential. J. H. RICHAHDSON, Government Insurance Commissioner.

Revenue Account of the Accident Branch of the Government Insurance Department for the Year ended 31st December, 1911. £ s. d. £ s. d. Amount of Aooident Funds, let January, j Claims .. .. .. .. 10,497 4 6 1911 .. .. .. .. 11,029 9 0 Commission.. .. .. .. 2,625 10 9 Premiums .. .. .. .. 20,756 0 4 Land and income tax.. .. .. 424 12 1 Interest .. .. .. .. 2,856 i 2 Salaries .. .. .. .. 3,017 0 0 Expenses of management .. .. 826 8 7 Amount of Accident Funds, 3lst December, 1911 .. .. .. .. 17,250 15 7 £34,641 11 6 £34,641 11 6

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Balance-sheet op the Accident Branch of the Government Insurance Department on 31st December, 1911. Liabilities. £ s d : a r< Accident Funds as per Revenue Account 17,250 15 7 ! Mortgages on property .' 69 086 oli Clams admitted (proofs not yet com- Overdue interest .. Nil " H ' soo ° 0 j Outstanding interest due but Commission .. .. 143 14 3 not overdue .. .. £8111 3 IITZI other / e P° sUs •• •• 35 3 5 Interest accrued but not due 71117 9 Reserve for unearned premiums 10 852 0 0 kZl*™ w F ' Uetuat !° f n Keswe .. 2,000 00 ! Agents' balances .. . ~ JrlT"' UW ? ner .f C ' Sundry accounts owing " j n I«n^^ 1 ?S en,,na,,t .. ABo,aa ?: 21,785 0n | °- hi " h^^o~ D t account .'J ?$ " 5 £63,566 14 2 |

Government Insurance Department, 29th February, 1912. J. H. EICHAKDSON, Commissioner. W. B. Hudson, Audited and found correct. Secretary. Eobebt J. Collins, Controller and Auditor-General. Approximate Cost of Paper.—Preparation, not given; printing (3,500 copies), £2 2s. 6d.

By Authority: John Mackay, Government Printer, Wellington.— 1912.

Price 3d.]