Notwithstanding the continued unsettled state of world affairs the year under review has fortunately been marked by an absence of serious political disturbances and economic intercourse between the nations has been progressing somewhat more smoothly. In insur­ ance spheres the relatively favourable trend is evidenced by the production of new insurable values and an appreciable growth in the volume of business assumed. The gross pre­ mium income shows an increase from Sfrs. 567,638,818 to Sfrs. 635,948,895. This expansion is to be ascribed not only to the tendency outlined above but also to an ad­ justment of sums insured which proved necessary in certain branches in line with the general rise in prices.
The aggregate underwriting result is once again good. In the Fire account we have no changes of any importance to report as compared with the preceding year; the experience recorded may once more be considered very satisfactory. Claims arising out of the November 1950 windstorm in the United States of America, to which we referred in our last Report, still weigh heavily on the 1951 figures, as it was not possible for the American underwriters in closing their books for 1950 to estimate the full impact of this catastrophe. By virtue of the well-balanced spread of our portfolio these belated claims, however, had little material effect on the over-all showing of the Fire branch. Hail insurance again returns a deficit, though smaller than that of 1950. As opposed to all other branches, the premium revenue in Burglary and Theft insurance has re­ mained stationary; however, together with the Miscellaneous branches (Water Damage, Plate Glass and Machinery), the business ran well. In spite of the heavy pressure on premium rates, the result shown in the Marine section is still quite gratifying. How­ ever, a series of total losses has perceptibly lessened the margin of profit. In the Accident branch, the poor experience recorded in Workmen's Compensation insurance has tended
The production of new Life business represents an increase over last year's figures. By reason of the favourable mortality experience again recorded, this branch closes with a satisfactory operating gain.
PROFIT AND LOSS ACCOUNT for the year ending 31®» December, 1951. Swiss francs Cts. Swiss francs Cts.
Life Department. Premium Reserve from 1950 353,418,663 87 Annuity Fund from 1950 6,289,999 90 Reserve for Unsettled Claims from 1950 3,351,287 78 Premiums, less cancellations 86,124,215 57 Consideration for Annuities 466,934 77 Interest 10,964,487 26 460,615,589 15
Interest, after deduction of interest due to Life Department . . 18,424,872 58 1,417,312,465 81
Life Department. Premiums for Retrocession 12,822,243 32 Commission, less Retrocession 15,585,884 44 Surrenders, less Retrocession 8,869,946 09 Losses paid, less Retrocession . . ; 22,275,946 71 Annuities paid, less Retrocession 611,440 01 Premium Reserve, less Retrocession 387,858,969 52 Annuity Fund, less Retrocession ~ . 6,330,746 18 Reserve for Unsettled Claims, less Retrocession 3,118,946 29 457,474,122 56
Management Expenses 8,734,754 22 Taxes 6,691,718 29 Depreciation of Investments 5,542,214 79 Balance 19,196,627 64
Assets. Shareholders' Liability . 11,600,000 Real Estate . Frs. 14,662,430. —
Mortgages . , 25,112,151.38 Government and other Securities . , 514,088,768.80 Life and other funds deposited with ceding Companies . , 487,810,801.68 Bank Balances . , 55,281,210.72 Cash in hand . , 361,743.08 1,097,317,105 66 Due by other Companies 119,115,629 53 Sundry Debtors 441,880 55 Accrued Interest . 3,393,667 52