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liability rodZrH less than are generally charged by competitors. This added ,' y ! , previous narrow margin available in premiums for working-expenses much below LThl f U requirements and industry benefits thereby as though an actual reduction in rates tl Off' 'iWi ■ f y , e fetate Accl dent Office. While many employers recognize this by giving the Office all their business, others, unfortunately, approach the Office only when they are in difficult!J OCZT^ 11 unacce ptaWc to competitors seems to find its way to the State Accident Office. While the Office recognizes a special obligation to meet the requirements of employers, the burden dLdv t prop °'! 0 the r r ° hazardous and n °n-payable risks on its books places it lt a p3Tf Sew. ™™ e °"' iei " Who pidt antl 0h0 °" from lhe rpnnirs ? ot ° r - veU ? le ins <™e with its high accident frequency and the increased cost of ■! ea I y n J n,and f. U Pf. the judgment, experience, and tact of officers during yLar " llle Statc Accident Office initiated m 1935 and has since maintained a policy contract of insurance wore generous than is generally available elsewhere, and offers it at a lower premium The volume of business induced to the Office by these advantages continues to be very great. - wmg , fact that increased business was greater in the second half of the year than in the lust an increased percentage for unearned premium reserve has been provided in the accounts. W£la ? f Vul clauns > or 2 ' 347 more than m the previous year, under all accident headings was handled by the Office during 1938, including 51 " unidentified motorists " claims, and, in addition or the seventh successive year the Office dealt with the settlement of claims on the Employment Division of tho Labour Department free of administrative cost to that Department dJg ' hc -*** s ™ vioc hy office ™ of thB A ° cid ™ t »-* J. H. Jeream, General Manager.

Revenue Account op the Accident Branch of the State Fire Insurance Office for the Year ended 31st December, 1938. Premiums after deduction of reinsurances 10 0 Free-year bonus on personal accident policies .. Interest .. .. ..18 4r» Claims .. .. .. t 140,806 1 1 Less land and income tax .. 6>66 2 0 _ _ Salaries" 81011 .. ;; 16 t Profit on realization of securities ~ 7 12 '486 18 " * I>UbU ° Su P erMmuati< ® ' Expenses of management .. .. .. (j ; 920 ]4 3 Further appropriation to reserve for unearned premiums .. .. .. .. 31,649 6 3 r ~ .... - r 205,776 3 3 1 urther appropriation to Investment Fluctuation Reserve .. .. .. .. g 000 0 0 Amount of Accident Funds, 31st December, 1938 5 7 3 — l l' ~ SI 10 6 £214,781 10 6 Balance-sheet of the Accident Branch of the State Fire Insurance Office as on the 31st December, 1938. Liabilities. £ s. d 1 , Oull| l nnHi fUIldS ' P Pr? r eycm,e Account • • 57 3 Government securities .. '. 2 12 515 o*o uaisbanding accident claims .. 109 Rio n nt n „„i •*. u u Government taxes .. " e'fl? 2 ° -authority securities 214,480 18 11 Commission .. " n P Advances bonds .. .. 4,725 0 0 Premiums and other deposits 1 040 „ ™ P ,f.i y under agreement for sale and purchase 3,980 0 0 Sundry creditors . ? .. " " f " " 32,620 0 0 T> • n , '' ' • " interest accrued but not due . a i±n i« m fc™ e^ dUe 524 15 3 Agents' balances .. " " if 1 Officers Fidelity Fund 500 0 0 Sundry debtors, including Motor-vehic es Insur' Reserve for unearned premiums .. .. 105 508 19 9 »»«d' m H , Investment Fluctuation Reserve 50 000 0 0 PaTfnl P y- ? 1 Act P° ol •• •• 80,619 0 1 Reinsurance Reserve .. . . 40,000 0 0 0n ° U a °°° Unt " " 20,873 17 4 Bad Debts Reserve .. .. .. .. j 000 0 0 Reserve Fund constituted under section 6 of the Government Accident Insurance Amendment Act, 1924 .. .. .. 275,719 17 9 £584,817 0 1 J £584,817 0 1 14th Juno, 1939. j H j EERAM; Genera] Manager. L. H. Osborn, Deputy General Manager. ™»l«+£ her , eb^ certif J t j lat tho Revenue Account and Balance-sheet have been duly examined and compared with the

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