H.—B.

1932. NEW ZEALAND.

ANNUAL REPORT OF THE GOVERNMENT INSURANCE COMMISSIONER FOR THE YEAR ENDED 31st DECEMBER, 1931.

Presented to both Houses of the General Assembly pursuant to the Provisions of the Government Life Insurance Act, 1908.

Government Insurance Office, Wellington, 30th June, 1932. I have the honour to submit the following report upon the transactions of the Department for the year ended the 31st December, 1931, and the position at that date. The Revenue Account, Balancesheet, and Statement of Business are appended. New Business.— During the year 4,033 policies were completed assuring £1,506,449, and providing for annuities amounting to £4,499. The annual premiums on new policies amounted to £40,529. The purchase-money on the immediate annuities granted during the year was £18,066. Business in Force. —The total business now in force, including immediate and deferred annuities for £27,635, comprises 71,075 contracts, bearing an annual premium income of £660,399. The sum assured, payable at death or maturity, is £21,472,761, to which reversionary bonuses amounting to £2,580,587 attach. The total business on the books therefore amounts to £24,053,348. Income.— The total income amounted to £1,143,730, made up as follows : Premium income, £662,380; interest income (net), £463,284 ; annuity purchase-money, £18,066. The total for the year exceeded that for the previous year by £29,408. Outgoings. —During the year 552 policies became claims by the death of the policyholders, and 1,056 policies matured," the payment involved being £484,013. This is £47,995 less than the amount for the previous year. The sum paid in claims since the inception of the Department amounts to £12 753 940 'Accumulated Funds.— Assurance, Annuity, and Endowment Funds, apart from special reserves of £275,547, now stand at £8,568,627, an increase of £319,780 over the previous year. The Balance-sheet— On the 31st December, 1931, the total assets of the Department amounted to £8,912,858, and were invested as shown in the following statement, which also gives the distribution of assets at the end of the previous year for the purposes of comparison : —

Interest Rate. —After deduction of land and income tax, the effective rate of interest realized on the Assurance Funds was £5 13s. 4d. per cent. The corresponding rate calculated on the whole of the funds —i.e., including Accident and Fidelity Fund, and Investment Fluctuation Reserve, was £5 9s. cent.

I—H. 8.

As at 31st December, 1930. As at 31st December, 1931. Class of Investment. ' 7 7~ . , Percentage of Percentage of Amount. Totftl A * ets Amount. Total Asget3 _ £ f Mortgages on freehold property .. 3,677,924 43-0 3,777,109 42-4 Loans on policies .. .. •• 1,073,398 12-5 1,198,959 13-5 Government securities, including Rural 2,283,555 26-7 2,321,029 26-0 Advances bonds Local-body debentures .. .. 1,167,698 13-6 1,179,864 13-2 Landed and house property .. 145,023 1-8 126,584 1-4 Miscellaneous assets .. .. .. 210,965 2-4 309,313 8,558,563 100-0 8,912,858 100-0