H. 6

1931. NEW ZEALAND.

STATE FIRE INSURANCE OFFICE. ANNUAL REPORT OF THE GENERAL MANAGER FOR THE YEAR ENDED 31st DECEMBER, 1930.

Presented to both Houses of the General Assembly -pursuant to the Provisions of the State Fire Insurance Act, 1908.

State Fire Insurance Office, Wellington, Ist June, 1931. I have tie honour to submit the twenty-sixth annual report of the State Fire Insurance Office, for the year ended 31st December, 1930, with the Revenue Account and Balance-sheet. The following are the comparative figures for the last three years : — 1928. 1929. 1930. Income — £ £ £ Premiums .. .. .. .. .. .. 211,634 217,990 221,909 Other receipts, less land-tax .. .. .. .. 40,459 41,003 49,508 Profit on realization of investments . . . . .. .. .. 794 Outgo— Bonus rebate to policyholders .. .. .. .. 26,421 27,208 27,001 Claims.. .. .. .. .. 81,585 75,316 90,001 Per Cent. Per Cent. Per Cent. Ratio of claims to premium income .. . . .. 38-55 34-55 40-56 Working-expenses (exclusive of income-tax and Fire Board £ £ £ contributions) .. .. .. .. ..49,804 52,194 52.624 Fire Board contributions. . .. .. .. .. 7,283 7,709 8,027 Income-tax .. .. .. .. .. .. 9,789 15,746 21,153 Ratio of working-expenses (exclusive of income-tax and Fire Per Cent. Per Cent. Per Cent. Board contributions) to premium income .. .. 23-54 23-94 23-71 Ratio of Fire Board contributions to premium income .. 3-44 3-54 3-62 Ratio of income-tax to premium income .. .. .. 4-63 7-22 9-53 £ £ £ Carried to reserve for unearned premiums .. .. .. 1,609 2,542 1,567 Surplus, apportioned as follows: — £ £ £ Reinsurance Reserve Fund .. .. .. .. 10,000 10,000 15,000 Bonus Rebate Reserve .. .. .. .. .. 1,000 1,000 500 Written off Office premises .. .. .. .. 3,000 4,000 5,000 Investment Fluctuation Reserve Fund .. .. .. .. 6,000 6,000 Reserve Fund .. .. .. .. .. .. 61,600 57,276 45,336 Total .. .. .. .. .. £75,600 £78,276 £71,836 Reserves and funds at 31st December . . .. .. ..£744,271 £821,090 £889,494 The claim ratio for 1930 was substantially higher than for the previous year, partly due, no doubt, to depressed financial conditions and the uncertain values of all kinds of insurable property. The State Fire rebate, which was again fixed at 12J per cent., has been since 1923 the means of conceding directly £181,297 to State Fire policy holders, and indirectly over £2,000,000 to the insuring public generally. The gross surplus, £71,836, after providing £21,153 for income-tax, must, under the difficult conditions which prevailed during the year, be considered satisfactory, and enables substantial additions to be made to reserve funds necessary to render the Office in times of abnormal losses financially independent of the Consolidated Fund. J. H. Jbrram, General Manager.