largely to strong earnings in their equity investment portfolios.

For the first six months ended September 30 the company saw a 30 percent jump in investment income due to the strong position of the equity investment portfolios. And the company declared a quarterly dividend of 20 cents per share.

The company said earnings increased 17.3 percent to $6,016,000 from $5,128,000 as underwriting results improved its health insurance operations.

According to a release from the company, income from commissions and management fees dropped 15.7 percent as property and casualty premium rates and therefore commission income, declined significantly.

The company noted that their life and pension business continued to do well in "a very competitive market''.

Operating expenses rose significantly as new staff were employed to help with the implementation of the mandatory pension legislation. The move caused commissions and operating expenses to increase almost $2 million rising from $5.8 million in the first six months of last year to $7.1 million in the same time period this year.

The company noted that in the absence of catastrophe claims, and deterioration of investment markets, they expect the growth in earnings experienced in the first six months to continue through the remainder of the financial year.