2
d
81
Insurance Finance.
It is a noteworthy tribute to the solidity of British in-
surance finance that there is not a single case among the large and
moderately large companies where the dividend on the past year's
operations has suffered any reduction compared with the preceding
year. British insurance concerns, indeed, possess an earnings
record and a history of financial stability almost without parallel
and, in spite of recent difficulties in world economy, that high
standard has been fully maintained. In fact, in some cases it has
been carried even higher. Two large concerns actually increased
the dividends distributed to their shareholders on last year's
business.
The immediate prospect of further advance in profit-
earning by insurance concerns: must of necessity now remain somewhat
restricted until international economic life once more regains its
full vigour and health.
According to the latest figures, the volume of new assurances
transacted by British companies during 1938 was 248 millions.
This is slightly below the record total of 1937, but considerably
higher than the figure for 1956. Life insurance premiums received
by British companies in 1938 amounted to 391,500,000, a rise of
twenty per cent during the past ten years. Apart from the income
from life assurance premiums, the volume of funds annually at the
disposal of British insurance concerns is augmented by premiums on
other insured risks, the aggregate income of British companies
from fire and accident premiums, for instance, in 1938, being over
3105 millions. The investment of these immense funds is one of the
most important contributions to the strengthening of the British
financial market, while the general economic stability of the
country is enhanced by the constant increase in the number of
persons taking out insurances in Great Britain.
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