, 1867-07-26

LIN the FIRE Branch there is only one Office
whose rate of expenditure is less than that
of the "RoYAL," and that Office is a very
small one, not effecting one-twentieth part
of the business of this Company whilst,
2.-In the Life BracA not one of all the entire
list, occupying five pages (17-21), has so
small a ratio of expenditure for claims and
management. THIS aoaU tell UeU en- fdU0ur
Of Me future Bonuses, as there is an amount
of more than 60 per cent. of the funds
reserved for liabilities. This latter fact is
all the more remarkable, as the 'RoYAL"
is the Oldest among them and it is now
universally known that Life claims increase
in proportion to the age of an Office.
IV.-IHEN FOLLOW ADDITIONAL REMARKS ON
EACH OF THE OFFICES SEPARATELY
pages "a to 43).
On reading through the twenty pages occu.
pied under this head Of the subject, there will
be found various degrees of censure applied to
many of the Offices named. Attention is drawn
to this fact merely for the purpose of showing
the marked contrast when he comes TO treat of
the "RoYAL." This is a most satisfactory
testimony, as coming from an entire stranger.
What he says will be found at page 40 of his
book.
What, for instance, can be more gratifying
to the Royal Insurance Company than the
following ?-"This Company (the 'ROYAL'),
although transacting such a very much larger
business than the others referred to in the
"Blue Book yet c~ontrives to render all its
accounts in a complete and satisfactory man
'ner. Indeed, It's statements, by showing how
Thoroughly the Act can be complied with,
'justify a strong censure on the ~slip-shod
''method adopted by some other Companies"
He then gives a statement, showing the large
accumulations saved from the transactions of
the Company, to add to its ReserUe Fund.
V.-BUT THE AUTHOR TAKES UP YET MOTHER
SUBJECTIVE, THE SIMPLE EXPENDITURE
FOR MANAGEMENT, EXCLUSIVE OF THE
PAYMENT FOR LOSSES page 43).
Once more, the "ROYAL" stands pre-emi-
nently forward, as in all other matters under
examination, and exhibits its character for pru-
dence in managing its affairs.
The writer says 1.-THE ROYAL affords
"a prominent example of great and successful
progress at a moderate Expenditure, having
sin six years increased its annual Fire income
"by 9l6O, 122, and its annual Life Income by
"ef73,276; thus showing by far the largest
'total increase of any Company mentioned in
"the Government Returns"
He further states that no one Office has
APPROACHED THE "ROYAL" IN IT'S
PROGRESS in Fire business, and that in Life
only one has exceeded it-and even that was
effected by ''going to TREBLE THE RATE
OF EXPENSE and by AMALGAMATION
WITH FIFTEEN SEPARATE COMPA-
MES Page AS.
In the following page (46) he afirms that
"only -Four Fire Offices and TWO Life Offices
have kept down their Expenses within his con-
ception of a legitimate "RATIO." The
"ROYAL" is IN BOTH THESE LISTS.
And, even taking these select few, it will be
found that the increase obtained by the
"ROYAL", in its Fire and Life business, is more
than FOUR TIMES the added increase of these
Offices together, although the advance of one of
them is largely made up by the purchase of
another Company.
Finally, tits shown, at page s., that Fire
Insurance business has been anything but pro-
ftable for the last few years and that, were it
not that the favourable figures ofthe "ROYAL"
ood ;4c cnooacc efIoouovs 4hoe MACS - with rocnaot