NTUC Income AR 2018

Notes to the Financial Statements For the Financial Year Ended 31 December 2018 15. Insurance contract provisions (continued) Movements in insurance contract provisions (net) Life Insurance Par Fund Provision for future participating / non-participating benefits 2018 $’000 2017 $’000 At 1 January 25,529,694 23,370,979 Premium received 2,055,749 2,019,875 Income: – Investment income 110,113 2,202,507 – Other income 14,624 15,171 Claims and surrenders (1,616,871) (1,879,010) Expenses (170,143) (152,374) Other movements 102,490 (39,603) Transfer to Shareholders’ Fund (8,283) (7,851) At 31 December 26,017,373 25,529,694 Life Insurance Non-Par Fund (a) Provision for unexpired risks 2018 $’000 2017 $’000 At 1 January 199,757 174,805 Increase in insurance provision for unexpired risk 34,393 24,952 At 31 December 234,150 199,757 (b) Provisions for future non-participating benefits and claims 2018 $’000 2017 $’000 At 1 January 2,132,995 1,867,304 (Decrease) / increase in provision for claims 14,712 7,447 Increase in insurance contract provision – Business movements 156,623 190,332 Change in valuation basis – Discount rate 1,570 20,369 – Assumption and other changes 30,194 47,543 At 31 December 2,336,094 2,132,995 At 31 December (a) + (b) 2,570,244 2,332,752 116 HAND IN HAND