NTUC Income AR 2019

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2019 15. INSURANCE CONTRACT PROVISIONS (CONTINUED) Movements in insurance contract provisions (net) (continued) Investment-Linked Fund (a) Provision for investment-linked contracts (unit reserves) 2019 $’000 2018 $’000 At 1 January 2,122,207 2,117,719 Premiums 311,463 349,033 Income 283,278 (97,467) Claims and surrenders (259,594) (237,862) Expenses (8,397) (9,216) At 31 December 2,448,957 2,122,207 (b) Provision for investment-linked contracts (non-unit reserves) 2019 $’000 2018 $’000 At 1 January 519 259 (Decrease) / Increase in insurance contract provision – Business movements (242) 239 Change in valuation basis – Discount rate 27 – – Assumption and other changes 818 21 At 31 December 1,122 519 At 31 December (a) + (b) 2,450,079 2,122,726 General Insurance Fund (a) Provision for unexpired risk 2019 $’000 2018 $’000 At 1 January 188,039 187,766 Increase in insurance provision for unexpired risk 13,192 273 At 31 December 201,231 188,039 (b) Provision for claims and loss adjustment expenses 2019 $’000 2018 $’000 At 1 January 437,080 444,831 Increase / (Decrease) in insurance provision for claims and loss adjustment expenses 11,305 (7,751) At 31 December 448,385 437,080 At 31 December (a) + (b) 649,616 625,119 ANNUAL REPORT 2019 125