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4 * ; ; Ehieping Board Makes Survey Of Ocean Marine Insurance States shipping board has just Te bureau of finance of the United completed a survey of marine in- - surance written by American and for- eign companies in the United States during the calendar year 1930. Reports have been received from 64 American companies and 33 admitted foreign companies. These represent practically all companies’. writing ocean marine insurance in the United States. All American companies with one exception engage in fire and auto- mobile insurance. Marine insurance constitutes only a small proportion of their total business. The marine de- partments of these companies are grouped together under’ various agencies, with reinsurance arrange- ments whereby risks are redistributed; this distribution of reinsurance appears to be about equally divided between American and foreign companies. Total premiums received by Ameri- can and foreign companies in the United States for hull and cargo insur- ance amounted to $50,740,000. This is $10,000,000 less than reported last year. There had been a corresponding drop in cargo premiums as compared with last year, while total hull pre- miums remained about the same. Hull premiums received by American com- panies, however, increased by about $1,000,000, whereas cargo premiums re- ceived by these companies dropped $6,000,000. American insurance companies re- ported $40,315,000 as original premi- ums. Of this amount 52 per cent was for cargo insurance and 48 per cent for hull; a decrease in percentage of cargo insurance and an increase in percent- age of hull insurance, as against 60 per cent and 40 per cent, respectively, for the previous year. Of the total hull insurance premiums $19,4000,000, approximately $11,000,000 was distrib- uted as reinsurance with various Amer- ican and foreign companies. Of.the to- tal cargo premiums of $21,000,000 there was distributed as reinsurance $16,500- 000. As indicated above, this reinsur- ance on hull and cargo* business is about evenly divided between Ameri- can and foreign companies. Out of a total of $40,315,000 premiums received by American companies, 10 per cent was sent abroad for reinsurance, as compared with 12 per cent last year. This amount, however, repesented only about one-sixth of all reinsurance by American companies. In other words, out of the total of $27,500,000 reinsur- ance premiums, $4,400,000 went to for- eign non-admitted companies, $9,400,- 000 to foreign admitted companies, and $13,800,000 to American companies. Foreign insurance companies admit- ted to do business in United States re- ported total original premiums as $10,- 425,000, of which 70 per cent was for cargo premiums and 30 per cent for hull. Cargo premiums were $7,300,000, representing a decrease from previous year of about $4,000,000. The hull pre- miums, $3,000,000, were half a million dollars less than last year. The accompanying table indicates comparative amounts of hull and cargo premiums as between American and foreign admitted companies, in United States, during calendar year 1930. These figures may appear complicated by reason of difference in classes of reinsurance, and by way of clarifica- tion the figures are re-stated in an- other form, as follows: Questionnaire reports from Ameri- can companies indicated a total of $60,- 069,000 premiums. As this sum in- cluded all premiums received by each company, the reinsurance as between these companies was duplicated. Ac- cordingly, the amount of ‘“American-to- American” reinsurance premium is deducted ($13,663,000), indicating a to- tal premium in American companies of $46,406,000. From this amount there is a further deduction of premiums re- ceived by way of reinsurance from for- eign admitted companies ($6,091,000), leaving a total original premium by American companies of $40,315,000. On the other hand, foreign admitted companies reported a total premium of . $25,300,000 from which is deducted the duplicated “foreign to foreign” rein- surance of $5,393,000, indicating a total premium for foreign admitted com- panies of $19,907,000. From this figure there is a further deduction of $9,482,- 000 representing reinsurance received from American companies, leaving a total original premium amounting to $10,425,000. These figures do not include insur- ance on American ships placed directly abroad with foreign companies; an at- tempt is being made to ascertain the amount of this class of insurance from the annual reports of shipowning com- panies, as submitted on the new ship- ping board annual report form. It is noted that the American marine insurance syndicates, which represent the American hull insurance market, and which includes both American and foreign admitted insurance companies, received a net amount of $6,809,318 for ocean hull premiums, and $1,249,603 for lake hull premiums, a total of ap- proximately $7,100,000. Total syndi- MARINE REvieEw—September, 1931 cate premium last year was approxi- mately $8,000,000. The total net premiums remaining within United States for hull and cargo insurance in 1930 were $44,202,000, as compared with $51,746,000 for 1929. Insurance Premiums Reported 1930 By American companies....$60,069,000 Reinsurance (deduct).... 19,754,000 Total American premiums..$40,315,000 By Foreign companies........ $25,300,000 Reinsurance (deduct).... 14,875,000 Total Foreign premiums....$10,425,000 Total original premiums American and Foreign....$50,740,000 Cargo Premiums Reported By American companies....$33,468,000 Reinsurance (deduct).... 12,560,000 Total American Cargo Pre- MATUNIS® Sas ccecsestss cesses ONO SOOO By Foreign companies........$16,770,000 Reinsurance 0k ee 9,382,000 Total Foreign Cargo pre- POTWMIS 3 eye ee a ee $ 7,388,000 Total Cargo premium......... $28,296,000 Hull Premiums Reported By American companies....$26,601.000 Reinsurance (deduct).... 7,194,000 Total American Hull pre- TOPUNIGE Sic ee $19,407,000 By Foreign companies........$ 8,530,000 REINSUTANCE |. cccsegssices eee 5,493,000 Total Foreign Hull pre- TATMINS seca oieos ecko ee oca ee eee $ 3,037,000 Total Hull premiums ........ $22,444,000 Grand Total Cargo and Pull -Premitms 5... 63.8; $50,740,000 Reinsurance with For- eign Non- Admitted COS. eRe $ 6.538,000 Net Premiums Within United: States: :.04....5 22 $44,202,000 American Companies PREMIUM 1930 Reinsurance on Hull with American Companies...... $ 5,281,671 Foreign Admitted Com- MEANISS is ois oskes ds vasuaeeumacrens 4,336,224 Foreign Non-Admitted COMIPaNies. ork cscs 1,347,655 otal Hal sa nee $10,965,550 Reinsurance on Cargo with American Companies...... $ 8,381,080 Foreign Admitted Com- PANICS. 5 u.d aceccsucsccesssenssnnee 5,145,282 Foreign Non - Admitted COMPANIES ois.cho in aseee 3,060,660 Total: Cargo. c:.sscuses- $16,587,022 Foreign Comvanies Reinsurance on Hull with American Companies...... $ 1,911,849 Foreign Admitted Com- PANIES occ. ..cessencccecseneeerers 1,156,635 Foreign Non - Admitted COMPANIES ....ceedeerereeeee 735,808 Total EUULE sess cscsceun ses $ 3,804,292 Reinsurance on Cargo with American Companies...... $ 4,179,484 Foreign Admitted Com- PANIES «2. .ccsceccecsseereeeeceeees 4,236,378 Foreign Non - Admitted COMPANIES ....ceecreosesecvece 1,393,803 Total Cargo ..2...cssesere $ 9,809,665 17