About 70 offices conduct fire insurance business in New Zealand, their head offices being domiciled in the same countries as the accident offices – that is, Great Britain, Australia, the United States of America, Hong Kong, and New Zealand. In 1959–60 their net revenue amounted to £5.6 million and their assets in respect of New Zealand business (including the assets of other departments – accident, life, marine, and so on) to over £36 million. New Zealand Government and local authority securities accounted for over one-third of total assets. Mortgages accounted for less than 10 per cent, in marked contrast to the high figure for life offices. In common with other classes of insurance, business underwritten has grown substantially, especially in recent years. In 1959–60 the gross amount of new and renewal business underwritten (excluding reinsurance) was nearly £3,600 million, which was over 36 per cent higher than five years earlier. Over the years the percentage of claims to premium income, as might be expected in view of the possibility of exceptionally severe losses, has fluctuated considerably. In the 10 years to 1959–60 it has been as low as 26·6 per cent and as high as 52·4 per cent. In 1959, 28,459 fire loss payments to a value of just over £2.6 million were made. The major causes of fire were fireplaces and stoves, electricity, and smoking and matches. Arson and incendiarism caused 76 payments.

Fire insurance is a highly competitive business and competition is reflected in average premium rates. From 11s. 11d. in 1920 the average premium rate per £100 of insurance had fallen in stages to 4s. 9d. some 40 years later.

In the fire and accident insurance business, local companies occupy a prominent place as the following diagram illustrates:

Total accident and fire insurance net revenue in 1959–60 was £22.3 million and local companies accounted for over half. Among the local companies the State offices and two of the long-established companies, the New Zealand Insurance Co. Ltd., founded in 1859, and the South British Insurance Co. Ltd., founded in 1872, are the largest.