Suh-Managers: Ad. Ammann, Oh. Burnens, 0. 0. Calburn, G. de Bardel, W. Habicht, Gh. Ochsenbein, P. Simon, 0. Weidenmann, H. Wüst
We have the honour to present to you the Seventy-ninth Annual Report and Statement of Accounts of the Company for the year 1942.
The premium income for the past year again shows a considerable rise which emanates for the main part from Fire, Marine und Life Insurance business, whilst the Hail and Liability premiums have somewhat receded, chiefly in consequence of currency depreciations. With gross premiums at Sfrs. 360,940,429.— and net at Sfrs. 274,052,822.— the year closes with the highest premium income ever recorded since the foundation of the Company.
In Fire Insurance the experience was satisfactory, although the profit, as has been the case for some years, remains below the pre-war average, particularly on the Continent where a number of large losses adversely affected the results.
Marine Insurance produced a gratifying surplus. The delays occasioned by the war in the settlement of losses have been taken into consideration by the constitution of increased reserves. In the insurance of war risks, which we transact only to a limited extent and chiefly for neutral interests and on neutral ships, no heavy losses occurred.
The important production of new Life Assurances reported in the previous year continued in an even greater measure in 1942. In spite of the reduction brought about by the depreciation in certain currencies, business in force at the end of the year reveals a considerable rise owing to the unusually large amount of new business written. The number of war casualties was greater and entailed higher expenditure than in the previous year. The favourable mortality experienced over the business as a whole produced results which were again very satisfactory.
Listed securities have, as usual, been entered at or below the average market prices ruling in December. Unquoted investments were valued in accordance with legal require­ ments. In fixing the rates of exchange of foreign currencies for these accounts consideration was given to the possibilities of transfer and to the exchange risk on both assets and liabilities. Although we were faced with increased difficulties in the sphere of international payments we succeeded in transferring to Switzerland in a satisfactory measure the equivalent of the yield obtained abroad.
The Profit and Loss Account closed with a profit of . . Frs. 12,826,380.42 which at the General Meeting of the Shareholders it was decided to distribute as follows: Special Reserve Frs. 2,000,000. — Staff Life Insurance and Pension Fund » 500,000. — Dividend Frs. 127.70 per share » 7,406,600. — Social Welfare Contribution. ......... » 200,000.— Directors' Remuneration . » 172,870.— Carry Forward » 2,547,410.42
PROFIT AND LOSS ACCOUNT for the year ending 31st December, 1942.
Premium Reserve from 1941 Reserve for Unsettled Claims from 1941 Reserve for Extraordinary Losses Premiums, less cancellations Frs. 248,069,519.43 Premiums for which no reserve is necessary „ 28,821,287.36
Life DepL. Premium Reserve from 1941 including Portfolios assumed Annuity Fund from 1941 Reserve for Unsettled Claims from 1941 Premiums, less cancellations Consideration for Annuities Interest Interest, after deduction of interest due to Life Dep^
Premiums for Retrocession, less cancellations Frs. 65,181,444.27 Premiums for Retrocession for which no reserve is necessary „ 4,960,788.48 Commission, less Retrocession Claims paid Frs. 131,524,898.82 less Retrocession „ 34,995,545.62 Premium Reserve, less Retrocession Reserve for Unsettled Claims, less Retrocession Reserve for Extraordinary Losses
Life BepL. Premiums for Retrocession . . . Commission, less Retrocession Surrenders, less Retrocession Losses paid, less Retrocession Annuities paid, less Retrocession . Premium Reserve, less Retrocession . Annuity Fund, less Retrocession . Reserve for Unsettled Claims, less Retrocession Management Expenses . . . Taxes Depreciation of Investments Balance
Life Dep^ Premium Reserve Frs. 421,207,803 Annuity Fund ^ 8,566,415 Reserve for Unsettled Claims „ 7,909,052