§ Sir HAROLD ELVERSTONasked the Chancellor of the Exchequer what special rate of profit, if any, Lloyd's underwriters are allowed to deduct when calculating the amount of excess profits payable to the Government?
§ Mr. BONAR LAWUnder the provisions of Section 42 of the Finance (No. 2) Act, 1915, the Board of Referees have ordered that in the business of insurance by underwriters, as carried on by members of Lloyd's, the percentage standard shall be calculated upon the capital at stake, which capital shall be taken to be equivalent to the nett premium income of the year at the end whereof capital is to be reckoned. It has therefore followed that, upon the general addition of 3 per cent. to the statutory percentage for increased capital granted by the Finance Act, 1917, the allowance in respect of additional capital at stake for the year 1917 and later accounting periods, amounts to 11 per cent., being the same rate as is allowed in the case of additional capital employed by other businesses not owned by companies.
§ Sir H. ELVERSTONasked the President of the Board of Trade how many Lloyd's underwriters have complied with the requirements laid down in Schedule 8, paragraphs B and C (1) (b) of the Assurance Companies Act as regards the furnishing to the Board of Trade of a statement showing the extent and 1562W character of the business effected by them; and how many Lloyd's underwriters, in lieu of complying with paragraph B (1) (a) and (b), have elected to comply with paragraphs B and C (2) of the Schedule and supply to the Board of Trade an auditor's certificate in lieu of a full statement showing the extent and character of the business transacted?
§ Mr. WARDLENo Lloyd's underwriters have furnished the Board of Trade with a statement showing the extent and character of the business effected by them in accordance with Schedule 8, B and C (1) (b), of the Assurance Companies Act, 1909. Five hundred and eighty-nine Lloyd's underwriters elected to comply with the alternative requirements contained in Schedule 8, B and C (2), and furnished the Board with Auditors' certificates.
§ Sir H. ELVERSTONasked the President of the Board of Trade what is the amount of the deposits, if any, furnished in accordance with the Eighth Schedule, B and C (2), (3), of the Assurance Companies Act, 1909, by Lloyd's underwriters as security for the due fulfilment of their fire and accident insurance contracts; the amount of the security furnished in the form of guarantees; and whether any of the guarantees which may be furnished as an alternative to a deposit are given by persons who are not members of Lloyd's Underwriters' Association, and, if so, to what extent?
§ Mr. WARDLEThe amounts of the deposits furnished in accordance with Schedule 8, B and C (2) (b), of the Assurance Companies Act, 1909, by Lloyd's underwriters as security for claims in connection with fire, accident, and other non-marine business is £390,000. The amount of the security furnished in accordance with the provisions referred to in the form of guarantees is £5,375,000, none of which has been furnished by guarantors who are not members of Lloyd's.