Owing to the big fires in the cities of Longion and Melbourne at the end of Inst year more than usual interest attaches to the reports of the fire insurance companies, most of which have now been published. One or two small companies were hard hit by these fires, but in spite of some foolish talk at the time, these fires have for prevented 1897 being one of the best years for the offices for many years past. 'The total premium income of the forty-eight principal offices amounted to £19,003,309, of which 56.44 per cent was absorbed by losses, 34.23 per cent by expenses and commission, leaving a profit on the year's trading of more than' 9°per cent of the. premium income. The only companies of any importance whose accounts for 1897 are not included in this statement are the Royal Exchange, the'National of Ireland, and the Kent. The totals quoted-include the figures of these offices for-the- previous year, and the substitution of their new figures would not make any important difference in the totals of the whole of the companies.
The percentage of the premiums absorbed in losses and expenses in recent years has been as follows 1897 56.4. Boone 90.6 Losses Expenses Together 89.0
89.1
98.9 1888 90:2 The year 1888 saw the lowest ratios for many years prior to 1894. It will be seen from these figures that the losses in 1807 have on the whole been very favourable. The expenses, on the other hand, are something like 2 per cent higher than the average for the previous ten years. As security for the insurance guaranteed by the offices they have paid-up capital amounting to £8,482,015 and funds exclusive of capita tothe extent of £30,126,818. These itens amount to 43. per cent. and 158 per cent respectively of the annual premium income. 'The companies thus have in. hand ove two years' premiums, security. which is abundantly adequate for all contingencies. Of course the details of the-various offices depart widely from these proportions, The losses and expenses of sone companies were very heavy, and of others very light, while the funds in, proportion to premiums were much greater in some cases than in others. Only two offices. export enced a luss ratio in excess of 70 per. cent. These were the Hand-in-Hand with 71.2, and the unfortunate Empress with losses of 7L.3 and expenses of 45.9 per cent.
Among the offices with a liss ratio of more than 60 per cent a Lion weve 63.5, North of Scotland 61.2 Norwich Union... Palatine Patriotic It will be scon that in three of these cases there was a loss on the your's trading.
Among the most important companies which cate out exceptionally well were County Essex & Sufi Law Union Law Fir Losses Expenses Total 36.3 69.6.
Text read from the printed page and cleaned; old type leaves the occasional error.