A GREAT INSURANCE CORPORATION OF CANADA REPORTS AND PROGRESS OF THE SUN LIFE ASSURANCE COMPANY Directors' Report for 1917 In presenting their Forty-seventh Annual Statement it is a pleasure to your directors to report that the operations of the Company continue to expand with ever-increasing rapidity, while the testing of another year of war has but served to emphasize its financial strength. New policies to the number of 22,895, assuring $47,811,567.48 were issued and paid for. This is an increase of $5,039,270.67 over the highest previous record in the history of the Company. The total assurance in force is now $311,870,945.71, a net increase of $30,436,245.77 after deducting cancellations from all causes. It is a remarkable and gratifying fact, testifying to the popularity of the Company and the satisfaction of its policyholders, that this increase is equal to 63.7 per cent. of the amount issued during the year. The income for the year amounted to $19,288,997.68, an increase of $789,866.06, notwithstanding the large reduction in annuity premiums due to the existing conditions in Great Britain. The sum of $8,840,245.42 was paid to policyholders and their beneficiaries in death claims, endowments, profits, etc. This is larger by $1,262,228.55 than the amount for the preceding year, due in great measure to claims resulting from the war. Notwithstanding the heavy extra mortality it is particularly pleasing to note that the total claims by death were slightly under eighty per cent. of the sum predicted by the mortality tables. Our usual rate has been about sixty per cent. The loss of our gallant men who on the battle-fields of Europe have added glory to the name of Canada, has been a misfortune too great and too tragic to be measured; yet it is a source of satisfaction that the wives, children and other dependants of many of them are being aided in their time of trouble by the proceeds of policies in this Company to an aggregate exceeding $1,700,000. The assets now amount to $90,160,174.24, an addition of $7,211,178.18. The sum of $1,560,389.04 has been distributed to the policyholders as profits, and there still remains an undivided net surplus over all liabilities and capital stock of $8,550,761.64 after providing for a considerable shrinkage in the market value of securities, and taking account of the increased reserves on policies payable in silver currencies due to the enhanced value of that metal. Preceding Annual Reports with an Historical record of the Company may be consulted in preceding issues of The Canadian Annual Review. [899] 54 The distribution of profits for the coming year has engaged our most careful consideration. Life companies everywhere are being tested as they never before were. Few indeed four years ago would have believed it possible that in this stage of such a war the business would be in its present prosperous position. But what of the future? The duration of the war, future war mortality, future financial conditions, are all unknown. Your directors believe that under these circumstances it is the duty of all life offices to be conservative, and to prepare for contingencies by retaining until conditions become normal a portion of the profits they would otherwise pay out. This is a war measure which we are sure our policyholders will approve. The reduction in profit payments to the individual will be but slight, and if later this precaution shall be found to have been unnecessary, a special or extra bonus will then be given. At the inception of the war, your Directors decided to place the financial resources of the Company as far as possible at the disposal of the Governments of the Dominion and the Mother Country, and to a less extent of our Allies. It is a matter of patriotic pride that the Company has thus been able to take the leadership in subscribing to all the Canadian Government domestic loans, besides purchasing large amounts of issues of other parts of the Empire. This Annual Meeting is unique, in that it is the first to be held in the Company's new Head Office building. The growth of the business has made the increased office accommodation a pressing necessity, while the improvement in working conditions will add to the efficiency of the staff. Mr. H. Warren K. Hale having accepted the position of Comptroller of the Company, resigned his directorship. Mr. John W. Ross has been appointed to the vacant seat. T. B. MACAULAY, S. H. EWING, FREDERICK G. COPE, Vice-President. Report of the Annual Meeting President. Secretary. The Annual Meeting of the Shareholders and Policyholders of the Company was held on March 5, 1918, in the new Head Office Building, Dominion Square, Montreal. The President, Mr. T. B. Macaulay, occupied the chair. The President, in moving the adoption of the Directors' Report for the year 1917, emphasized the remarkable progress made during the past year, and welcomed his hearers to the new home of the Company, which was designed not merely to meet the present requirements of the business, but to provide for the great expansion which the future unquestionably has in store, for the land owned by the Company in the rear and at the side of the new building will permit of large extensions when these become necessary. He also pointed out with pride that the amount of Assets held for the Policyholders, together with payments made to Policyholders since organization, exceeded by $5,893,264 the total premium receipts for the entire period. The motion was seconded by the Vice-President, Mr. S. H. Ewing, who briefly reviewed the Company's history, comparing the struggles and vicissitudes of the early days, forty-five years ago, and the position of power and security now attained. |