The Latest Reported Stock Insurance Company Expenses for 1961

A previous paper l generated a number of comments and requests that expenses by company size of premium volume for each 15ne of business be analyzed for lines of business such as fire, extended coverage, multiple peril, etc. Accordingly, calendar year 1961 expenses for almost every line. of business have been reviewed and summarized for stock insurance companies as will be set forth later. The description of premium range used and expense items (sections A through E) is identical to that of the previous paper and will not be repeated here. A review of the individual figures in Exhibits 1 through 20 indicates a somewhat erratic pattern of expenses by premium volume for many of the lines of business, particularly the fire lines. This might be related to the effects of reinsurance, allocation methods, mix of different types of risks within the line of business, etc.