Tim annual general court of the London Assurance was held on. May 1st at I King William Street, London, E.C.
Mr. R. Olaf Hambro (the Governor) said that there was a drop in the volume of business transacted in the life department. Right up to the early days of September new business production figures had given promise of producing a record, but had seriously diminished on the outbreak of hostilities. Since the beginning of the current year new business figures indicated a satisfactory standard.
Total new Dusiness expressed in sums assured for 1939 amounted to £2,100,256, a decrease of some 22 per cent.; when regard was had to the fact that quite a substantial ,volume of new life business was invariably transacted in the closing period of the year, the fall was not unduly large. In these difficult times they maintained their tradition of service and were anxious that those seeking life assurance with them should obtain it. Their additional rate for new assurances on civilian lives to include war risks in -this country was los. per cent. per annum of the sum assured, and for a moderate extra premium they were granting cover for actual service hazards.
The fire and accident departments again extaibited progress show- ing together an increase in premium income of £26,000. They had had an exceptionally good year in the accident department, making substantia 'progress, and each of the associated companies had made contribution to the excellent results. Motor business " had been seriously affected by taxation and petrol rationing.
From the marine account they were making a transfer to profit an,/ loss of L5o,000, leaving a marine fund of L1,260,653. The profit and loss total was £1,393,626, and the dividends paid had been within their interest-earning capacity, calling for no contribution from under- writing profits. The balance of £858,o92 was £57,054 in excess of the amount brought in, and was a free reserve in addition to the general reserve of L3,000,000. The market value of their investments showed a surplus of just over £200,000 above book values. Their total premium income for the year for all departments was £5,541,542 and their total assets stood at £21,797,712.
The report and accounts were unanimously adopted.