MEW ZEALAND 



sive conditions, and, in fact, from practically all 

 conditions of any sort. The conditions appear to be that 

 the premiums must be paid and the assured must not 

 commit suicide within six months after the insurance is 

 taken out. The policy is world-wide. ** The assured may 

 go where he will and do what he likes, get himself shot in 

 battle, smoke cigarettes, drink ice water and eat mince pie, 

 or commit suicide in the ordinary forms after six months 

 and the money will still be paid to his relatives." Even 

 the condition as to the payment of the premiums is not the 

 cast-iron arrangement it often is with us. If a man fails 

 to pay the department his premium when it is due, he does 

 not lose bis insurance. The government pays the premium 

 out of the surrender value of the policy, and will do this 

 over and over again as long as there is any surrender value 

 left. The system is entirely co-operative. The profits of 

 the business goes to the insured. They are divided tri- 

 ennially. In five divisions of profits the total returned to 

 policy holders was about $35,000,000. There is a temper- 

 ance section established in 1882 in which total abstainers 

 are insured in a group by themselves~-a mutual society of 

 non-drinkers with their own bonuses. The government 

 will loan money on the policies at 6 per cent, below $500 

 and 5 per cent. be3'ond that sum. The funds of the 

 department are invested in mortgages on real estate, mun- 

 icipal bonds, good securities and loans on policies. The 

 department is free from any taint of the spoils system, and 

 even the competing private insurance companies admit that 

 it is well managed. Experts are in charge of the business 

 and the}' have made it a complete success. 



A large portion of the advanced legislation of the 

 Colony has been enacted since 1890. 



UndertheLandandlncome Assessment Act of 1891, and 

 amendments thereto, the property tax is abolished and a 

 graduated taxation of land values and incomes established. 

 The avowed objects of the law are " to tax according to 



