NTUC Income AR 2018

Notes to the Financial Statements For the Financial Year Ended 31 December 2018 13. Loans (continued) 2017 Life Insurance Par Fund $’000 Life Insurance Non-Par Fund $’000 Investment- Linked Fund $’000 General Insurance Fund $’000 Share holders’ Fund $’000 Total $’000 Term loan to joint venture – unsecured 81,251 – – – – 81,251 Consumer loans 23,542 – – 37 – 23,579 Loans on policies 591,210 51 – – – 591,261 Impairment loss (79) – – (37) – (116) 695,924 51 – – – 695,975 To be settled within 12 months 678,024 51 – – – 678,075 To be settled after 12 months 17,900 – – – – 17,900 695,924 51 – – – 695,975 At the reporting date, the carrying amounts of loans approximate their fair values. The balance of term loans to corporations as at the reporting date include loan granted to a joint venture company. Interest bearing loan to a joint venture company The balance of interest bearing loan to joint venture company as at the reporting date and the interest earned recognised in the statement of comprehensive income is as follows: 2018 Loan Balance $’000 Interest Rate % Interest Earned $’000 Scheduled Repayment Date Type Loan 1 81,251 7.00 5,688 On demand Unsecured 2017 Loan Balance $’000 Interest Rate % Interest Earned $’000 Scheduled Repayment Date Type Loan 1 81,251 7.00 5,688 On demand Unsecured Movements in allowance for impairment loss during the financial year are as follows: Life Insurance Par Fund $’000 Life Insurance Non-Par Fund $’000 Investment Linked Fund $’000 General Insurance Fund $’000 Share holders’ Fund $’000 Total $’000 2018 At 1 January 79 – – 37 – 116 Allowance written back during the year (39) – – (3) – (42) At 31 December 40 – – 34 – 74 2017 At 1 January 235 – – 54 – 289 Allowance written back during the year (156) – – (17) – (173) At 31 December 79 – – 37 – 116 109 2018 ANNUAL REPORT