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1909. NEW ZEALAND.

STATE FIRE INSURANCE OFFICE: ANNUAL REPORT OF THE GENERAL MANAGER FOR THE YEAR ENDED 31st DECEMBER, 1908.

Presented to both Houses of the General Assembly to the provisions of " The State Fire Insurance Act, 1908."

State Fire Insurance Office, Wellington, Ist March, 1909. I have the honour to submit the following report upon the transactions of the office for the year ended 31st December, 1908. The Revenue Account and balance-sheet are appended. It will be seen that the year's operations have resulted in a loss of £5,707 os. 6d., mainly due to the bush-fires and the Christchurch conflagration in the early part of the year. The premium income for 1908 amounted to £26,657 11s. 7d., as against £23,194 13s. for 1907, being an increase of £3,462 18s. 7d. The income from interest was £251 2s. 4d., being an increase of £143 Bs. on that of the previous year. The claims, including those unsettled at the end of the year, amounted to £18,903 19s. 3d., showing an increase of £6,202 10s. 6d. The necessary proportion of premiums reserved as unearned has in the past been nxed at 334 per cent Ido not consider this to be sufficient; and, in accordance with the best insurance practice, the proportion has been increased to 40 per cent. The reserve for unearned premiums now stands at £10,663 os. Bd. ' The expenses were £10,146 os. 3d., as against £8,355 4s. 10d. for 1907, and include contributions to eighteen Fire Boards under " The Fire Brigades Act, 1908," amounting to £501 12s. Id., which is £278 9s. more than the total amount contributed during 1907 to eight Fire Boards. The remainder of the preliminary expenses—viz., £634 ss. 3d.—has been written off. For the State Fire Insurance General Manager. J. H. Jerram, Deputy General Manager. Revenue Account of the State Fire Insurance Office for the Year ended 31st December, 1908. £ s. d. £ s. d. Amount of fire-insurance funds at the Losses by fire (after deduction of reinsurbeginning of the year .. .. 1,566 17 5 anoes) .. .. •• •• 18,903 19 3 Premiums tfter deduction of reinsurances 26,657 11 7 Appropriated to reserve for unearned preOther receipts-Interest .. .. 251 2 4 miums (in addition to £7,731 11s. Balance •• *.l*o 3 1 already reserved) .. .. .. 2,931 9 8 Interest on capital raised guaranteed by the Government .. .. .. 72 10 0 Commission 2,318 10 8 Salaries .. .. .. •• 4,313 19 6 Contributions to Fire Boards under " The Fire Brigades Act, 1908" .. .. 501 12 1 Expenses of Management— £ s. d. Travelling-expenses .. 160 8 11 Printing, stationery, and advertising .. .. 825 18 8 Bent .. .. .. 777 9 3 Exchange .. .. 15 & 0 Postages and telegrams, cablegrams, and sundry charges .. .. 1,036 8 0 Furniture written off .. 123 19 2 2,939 8 0 Preliminary expenses written off .. 634 5 3 £32,615 14 5 . £32,615 14 5 For the State Fire Insurance General Manager. J. H. Jerram, Deputy General Manager. The State Fire Insurance Office, 27th February, 1909. Examined and found correct.— J. K. Warburton, Controller and Auditor-General.