| Notes forming part of accounts [line items] | | |
| Disclosure of notes and other explanatory information [text block] | | |
| Disclosure of general information about reporting entity [abstract] | | |
| Disclosure of general information about reporting entity [text block] | Allianz Saudi Fransi Cooperative Insurance Company (a Joint Stock Company incorporated in the Kingdom of Saudi Arabia), the “Company”, was formed pursuant to Royal Decree No. 60/M dated 18 Ramadan 1427H (corresponding to 11 October 2006). The Company operates under Commercial Registration no. 1010235601 dated 26 Jumada Thani 1428H corresponding to 12 July 2007. The Company operates through its eight branches in the Kingdom of Saudi Arabia. The registered address of the Company's head office is as follows:Allianz Saudi Fransi Cooperative Insurance CompanyAl Safwa Commercial Building, Khurais Road.P.O. Box 3540Riyadh 11481, Saudi Arabia.The Company’s ultimate parent is Allianz SE, a European financial services company headquartered in Munich, Germany.The purpose of the Company is to transact cooperative insurance operations and all related activities. Its principal lines of business include Medical, Protection and saving, Motor, Engineering, Property and Other general insurance.On 31 July 2003, corresponding to 2 Jumada II 1424H, the Law on the Supervision of Cooperative Insurance Companies (“Insurance Law”) was promulgated by Royal Decree Number (M/32). During March 2008, the Saudi Arabian Monetary Authority (“SAMA”), as the principal authority responsible for the application and administration of the Insurance Law and its Implementing Regulations, granted the Company a license to transact insurance activities in the Kingdom of Saudi Arabia.On 1 January 2016, the Company’s management approved the distribution of the surplus from insurance operations in accordance with the Implementing Regulations issued by SAMA, whereby the shareholders of the Company are to receive 90% of the annual surplus from insurance operations and the policyholders are to receive the remaining 10%. Any deficit arising on insurance operations is transferred to the shareholders’ operations in full.Seasonality of operationsThe Company operates in an industry where significant seasonal or cyclical variations in operating income are experienced during the financial year. | 1 |
| Disclosure of basis of preparation of financial statements [text block] | The interim condensed financial statements of the Company as at and for the period ended 30 June 2019 has been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting (“IAS 34”) as endorsed in the Kingdom of Saudi Arabia and other standards and pronouncements issued by the Saudi Organization for Certified Public Accountants (“SOCPA”).The financial statements of the Company as at and for the period and year ended 31 March 2019 and 31 December 2018, respectively, were prepared in compliance with the IAS 34 and the International Financial Reporting Standards (“IFRS”) respectively, as modified by SAMA for the accounting of zakat and income tax (relating to the application of IAS 12 – “Income Taxes” and IFRIC 21 – “Levies” so far as these relate to zakat and income tax).On 17 July 2019, SAMA issued the instruction to account for the zakat and income taxes in the statement of income. This aligns with the IFRS and its interpretations as issued by the International Accounting Standards Board (“IASB”) and as endorsed in the Kingdom of Saudi Arabia and with the other standards and pronouncements that are issued by the Saudi Organization for Certified Public Accountants (“SOCPA”) (collectively referred to as “IFRS as endorsed in KSA”).Accordingly, the Company changed its accounting treatment for zakat and income tax by retrospectively adjusting the impact in line with International Accounting Standard 8, Accounting Policies, Changes in Accounting Estimates and Errors (as disclosed in note 3 and the effects of this change are disclosed in note 15 to the interim condensed financial statements).The interim condensed financial statements are prepared under the going concern basis and the historical cost convention, except for the measurement at fair value of available-for-sale investments and recording of end of service benefits at present value under actuarial method. The Company’s interim statement of financial position is not presented using a current/non-current classification. However, the following balances would generally be classified as non-current: available for sale investments, property and equipment, statutory deposit, accrued income on statutory deposit and end-of-service obligations. All other financial statement line items would generally be classified as current.The Company’s management has made an assessment of its ability to continue as a going concern and is satisfied that it will be able to continue as a going concern in the foreseeable future. Furthermore, the management is not aware of any material uncertainties that may cast significant doubt upon the Company’s ability to continue as a going concern. As required by the Saudi Arabian Insurance Regulations, the Company maintains separate books of accounts for Insurance Operations and Shareholders’ Operations and prepares the financial information accordingly. Assets, liabilities, revenues and expenses clearly attributable to either activity are recorded in the respective accounts. The basis of allocation of expenses from joint operations is determined and approved by the management and the Board of Directors.The interim statement of financial position, statements of income, comprehensive income and cash flows of the insurance operations and shareholders operations which are presented in Note 18 of the financial information have been provided as supplementary financial information to comply with the requirements of the guidelines issued by SAMA implementing regulations. Until 31 December 2017, this information was shown in the main statements. SAMA implementing regulations requires the clear segregation of the assets, liabilities, income and expenses of the insurance operations and the shareholders operations. Accordingly, the interim statements of financial position, statements of income, comprehensive income and cash flows prepared for the insurance operations and shareholders operations as referred to above, reflect only the assets, liabilities, income, expenses and comprehensive gains or losses of the respective operations. In preparing the Company’s financial statements in compliance with IFRS, the balances and transactions of the insurance operations are amalgamated and combined with those of the shareholders’ operations. Interoperation balances, transactions and unrealized gains or losses, if any, are eliminated in full during amalgamation. The accounting policies adopted for the insurance operations and shareholders operations are uniform for similar transactions and events in similar circumstances.The inclusion of separate information of the insurance operations with the financial information of the Company in the interim statement of financial position, the statements of income, comprehensive income and cash flows as well as certain relevant notes to the financial statements represents additional supplementary information as required by the implementing regulations (Note 18).The interim condensed financial statements do not include all of the information required for full annual financial statements and should be read in conjunction with the annual financial statements as at and for the year ended December 31, 2018. These interim condensed financial statements are expressed in Saudi Arabian Riyals (SR). | 2 |
| Disclosure of new standards and amendments in standards [text block] | Amendments to IASs’-“Disclosure Initiative” applicable from 1 January 2019.IFRS 16 LeasesIFRS 16 specifies how to recognize, measure, present and disclose leases. The standard provides a single lessee accounting model, requiring lessees to recognize assets and liabilities for all major leases. Effective January 1, 2019, the Company adopted IFRS 16 using the modified retrospective approach and accordingly the information presented for 2018 has not been restated. It remains as previously reported under IAS 17 and related interpretations.On initial application, the Company has elected to record right-of-use assets based on the corresponding lease liability. Right-of-use assets and lease obligations of SR 9.8 million and SR 8.1 million respectively as of January 1, 2019, with no material impact on retained earnings. When measuring lease liabilities, the Company discounted lease payments using incremental borrowing rate.The Company has elected to use assumptions proposed by the standard on lease contracts for which the lease term ends within 12 months as of the date of initial application and lease contracts for which the underlying assets are of low value.The Company has elected to apply the practical expedient to grandfather the assessment of which transactions are leases on the date of initial application, as previously assessed under IAS 17 and IFRIC 4. The Company applied the definition of a lease under IFRS 16 to contracts entered into or changed on or after January 1, 2019.Reconciliation of lease liabilities SROff-balance sheet lease obligations as of December 31, 2018 8,784,057 Current leases with a lease term of 12 months or less & low-value leases -Discounting to present value (608,081)Operating lease obligations as of January 1, 2019 (net, discounted) 8,175,976 Standards issued but not yet effectiveIn addition to the above-mentioned standards, the following standards and interpretations that are issued, but not yet effective, up to the date of issuance of the Company’s interim condensed financial statements are disclosed below. The Company intends to adopt these standards, if applicable, when they become effective. Further, the Company has chosen not to early adopt the amendments and revisions to the International Financial Reporting Standards, which have been published and are mandatory for compliance for the Company with effect from future dates.In July 2014, the IASB published IFRS 9 Financial Instruments which will replace IAS 39 Financial Instruments: Recognition and Measurement. The standard incorporates new classification and measurements requirements for financial assets, the introduction of an expected credit loss impairment model which will replace the incurred loss model of IAS 39, and new hedge accounting requirements. Under IFRS 9, all financial assets will be measured at either amortised cost or fair value. The basis of classification will depend on the business model and the contractual cash flow characteristics of the financial assets. The standard retains most of IAS 39’s requirements for financial liabilities except for those designated at fair value through profit or loss whereby that part of the fair value changes attributable to own credit is to be recognised in other comprehensive income instead of the income statement. The hedge accounting requirements are more closely aligned with risk management practices and follow a more principle based approach.In September 2016, the IASB published amendments to IFRS 4 Insurance Contracts that address the accounting consequences of the application of IFRS 9 to insurers prior to the publication of the forthcoming accounting standard for insurance contracts. The amendments introduce two options for insurers: the deferral approach and the overlay approach. The deferral approach provides an entity, if eligible, with a temporary exemption from applying IFRS 9 until the earlier of the effective date of a new insurance contract standard or 2021.The overlay approach allows an entity to remove from profit or loss the effects of some of the accounting mismatches that may occur before the new insurance contracts standard is applied.The Company is eligible and have chosen to apply the deferral approach under the amendments to IFRS 4. The impact of the adoption of IFRS 9 on the Company’s financial information will, to a large extent, have to take into account the interaction with the forthcoming insurance contracts standard. As such, it is not possible to fully assess the effect of the adoption of IFRS 9. IFRS 17 - Insurance ContractsIFRS 17 - “Insurance Contracts”, applicable for the period beginning on or after 1 January 2021, and will supersede IFRS 4 “Insurance Contracts”. Earlier adoption permitted if both IFRS 15 'Revenue from Contracts with Customers' and IFRS 9 'Financial Instruments' have also been applied. The Company expects a material impact on measurement and disclosure of insurance and reinsurance that will affect both the statement of income and the statement of financial position. The Company has decided not to early adopt this new standard. Change in accounting policy in relation to accounting for zakat and income taxAs mentioned in note 2(a), the basis of preparation has been changed for the period ended 30 June 2019 as a result of the issuance of latest instructions from SAMA dated 17 July 2019. Previously, zakat and income tax were recognized in the statement of changes in equity as per the SAMA circular no 381000074519 dated 11 April 2017. With the latest instructions issued by SAMA dated 17 July 2019, the zakat and income tax shall be recognized in the statement of income. The Company has accounted for this change in the accounting for zakat and income tax retrospectively and the effects of the above changes are disclosed in note 15 to the interim condensed financial statements. The change has resulted in reduction of reported income of the Company for the three month and six month periods ended 30 June 2018 by SR 2 million and SR 1.3 million, respectively. The change has had no impact on the interim statement of cash flows for the period ended 30 June 2018.Income Tax:The income tax expense or credit for the period is the tax payable on the current period’s taxable income, based on the applicable income tax rate for each jurisdiction, adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the end of the reporting period in the country where the company operate and generate taxable income. Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions, where appropriate, on the basis of amounts expected to be paid to the tax authorities.Adjustments arising from the final income tax assessments are recorded in the period in which such assessments are made. The income tax expense or credit for the period is the tax payable on the current period’s taxable income based on the applicable tax rate adjusted for the changes in deferred tax assets and liabilities attributable to the temporary differences and to the unused tax lossesThe Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: Whether an entity considers uncertain tax treatments separately The assumptions an entity makes about the examination of tax treatments by taxation authorities How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates How an entity considers changes in facts and circumstances An entity has to determine whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments. The approach that better predicts the resolution of the uncertainty needs to be followed. Deferred income tax:Deferred income tax is recognised using the liability method on temporary differences arising between the carrying amounts of assets and liabilities for financial reporting purposes and amounts used for the taxation purposes. The amount of deferred tax recognised is based on the expected manner of realization or settlement of the carrying amounts of assets and liabilities using the tax rates enacted or substantively enacted at the reporting date. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the deductible temporary differences and the tax credits can be utilized. Deferred tax asset is reduced to the extent that it is no longer probable that the related tax benefits will be realized. Deferred tax liabilities and assets are not recognised for temporary differences between the carrying amount and tax bases of investments in foreign operations where the Company is able to control the timing of the reversal of the temporary differences and it is probable that the differences will not reverse in the foreseeable future.Deferred tax assets and liabilities are offset where there is a legally enforceable right to offset current tax assets and liabilities and where the deferred tax balances relate to the same taxation authority. Current tax assets and tax liabilities are offset where the entity has a legally enforceable right to offset and intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously.Current and deferred tax is recognised in the statement of income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in equity.Zakat:The Company is subject to Zakat in accordance with the regulations of the General Authority of Zakat and Tax (“GAZT”). Zakat expense is charged to the statement of income. Zakat is not accounted for as income tax and as such no deferred tax is calculated relating to zakat. | 3 |
| Disclosure of notes forming part of accounts [abstract] | | |
| Disclosure of reinsurers/ retakaful share of unearned premium/ contributions, net [text block] | Movement in unearned premiumsMovement in unearned premiums comprise of the following: Three month period ended June 30, 2019(Unaudited)SR Gross Reinsurance Net Balance as at the beginning of the period – April 1, 2019 522,304,127 (146,603,990) 375,700,137 Premium written during the period 288,390,092 *(133,466,712) 154,923,380 Premium earned during the period (242,635,976) 73,057,166 (169,578,810)Balance as at the end of the period 568,058,243 (207,013,536) 361,044,707 *This amount includes SR 130,104,250 for reinsurance premium ceded abroad, SR 1,678,684 for reinsurance premium ceded locally and SR 1,683,778 for excess of loss expenses. Six month period ended June 30, 2019(Unaudited)SR Gross Reinsurance Net Balance as at the beginning of the period 390,422,335 (148,911,143) 241,511,192 Premium written during the period 647,312,061 *(203,668,790) 443,643,271 Premium earned during the period (469,676,153) 145,566,397 (324,109,756)Balance as at the end of the period 568,058,243 (207,013,536) 361,044,707*This amount includes SR 197,275,909 for reinsurance premium ceded abroad, SR 3,362,080 for reinsurance premium ceded locally and SR 3,030,801 for excess of loss expenses Three month period June 30, 2018(Unaudited)SR Gross Reinsurance Net Balance as at the beginning of the period – April 1, 2018 496,971,846 (180,539,535) 316,432,311Premium written during the period 224,828,765 *(117,169,728) 107,659,037 Premium earned during the period (224,758,115) 76,595,584 (148,162,531)Balance as at the end of the period 497,042,496 (221,113,679) 275,928,817 *This amount includes SR 111,161,385 for reinsurance premium ceded abroad, SR 5,294,683 for reinsurance premium ceded locally and SR 713,660 for excess of loss expenses. Six month period June 30, 2018 (Unaudited)SR Gross Reinsurance Net Balance as at the beginning of the period 415,612,645 (180,184,370) 235,428,275 Premium written during the period 523,309,703 *(181,727,166) 341,582,537Premium earned during the period (441,879,852) 140,797,857 (301,081,995)Balance as at the end of the period 497,042,496 (221,113,679) 275,928,817 *This amount includes SR 169,633,589 for reinsurance premium ceded abroad, SR 9,238,937 for reinsurance premium ceded locally and SR 2,854,640 for excess of loss expenses Twelve month period December 31, 2018 (Audited)SR Gross Reinsurance Net Balance as at the beginning of the year 415,612,645 (180,184,370) 235,428,275Premium written during the year 870,716,183 *(264,590,355) 606,125,828Premium earned during the year (895,906,493) 295,863,582 (600,042,911)Balance as at the end of the year 390,422,335 (148,911,143) 241,511,192* This amount includes SR 243,423,381 for reinsurance premium ceded abroad, SR 16,561,189 for reinsurance premium ceded locally and SR 4,605,785 for excess of loss expenses. | 10.2 |
| Disclosure of investments in available-for-sale investments [text block] | . Investments are classified as followsInsurance operations: Domestic International Total June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SRDebt instruments 106,988,576 105,737,381 5,014,961 4,804,898 112,003,537 110,542,279Mutual funds 4,803,691 4,664,240 - - 4,803,691 4,664,240 111,792,267 110,401,621 5,014,961 4,804,898 116,807,228 115,206,519Shareholders’ operations: Domestic International Total June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SRDebt instruments 178,002,138 183,561,970 23,624,410 24,628,886 201,626,548 208,190,856Equities and mutual funds 3,223,078 3,223,078 5,229,298 4,758,571 8,452,376 7,981,649 181,225,216 186,785,048 28,853,708 29,387,457 210,078,924 216,172,505Total Domestic International Total June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SR June 30, 2019(Unaudited)SR December 31, 2018(Audited)SRDebt instrument 284,990,714 289,299,351 28,639,371 29,433,784 313,630,085 318,733,135Equities and mutual funds 8,026,769 7,887,318 5,229,298 4,758,571 13,256,067 12,645,889 293,017,483 297,186,669 33,868,669 34,192,355 326,886,152 331,379,024 | 8.1 |
| Disclosure of premiums/ contributions and insurance/ reinsurance or takaful/ retakaful balance receivables [text block] | . Reinsurers balance receivable, netSR June 30, 2019(Unaudited) December 31, 2018(Audited) Receivables from reinsurers 81,927,449 76,074,402Provision for doubtful reinsurers receivables (3,855,956) (4,420,962)Reinsurers receivable, net 78,071,493 71,653,440 | 6 |
| Disclosure of prepayments and other assets [text block] | Right-of-use assetsThe following table presents the right-of-use assets for the Company:SR June 30, 2019(Unaudited) Balance at the beginning of the period 9,849,530Amortization (1,532,024)Balance at the end of the period 8,317,506 | 7 |
| Disclosure of other receivables, net [text block] | . Premiums receivable, netPremiums receivable comprise amounts due from the following:SR June 30, 2019(Unaudited) December 31, 2018(Audited) Policyholders 359,465,475 325,252,773Brokers and agents 163,728,649 111,678,279Related parties (Note 13) 85,945,358 24,739,135 609,139,482 461,670,187Provision for doubtful receivable (53,118,178) (52,766,429)Premiums receivable, net 556,021,304 408,903,758 | 5 |
| Disclosure of cash and cash equivalents [text block] | Cash and cash equivalentsCash and cash equivalents included in the statement of cash flows comprise the following: Insurance operationsSR June 30, 2019(Unaudited) December 31, 2018(Audited)Bank balances and cash 25,977,128 39,902,503Deposits maturing within 3 months from the acquisition date 68,162,815 7,820,000 94,139,943 47,722,503 Shareholders’ operations June 30, 2019(Unaudited) December 31, 2018(Audited)Bank balances and cash 107,501,550 45,412,035Total cash and cash equivalents 201,641,493 93,134,538 | 4 |
| Disclosure of gross outstanding claims/ benefits [text block] | Net outstanding claims and reservesNet outstanding claims and reserves comprise of the following:SR June 30, 2019(Unaudited) December 31, 2018(Audited)Gross outstanding claims 485,645,588 374,034,564 Less: Realizable value of salvage and subrogation (50,176,569) (39,662,082) 435,469,019 334,372,482Claims incurred but not reported 184,003,905 200,132,876Premium deficiency reserves 8,454,145 4,852,555Additional premium reserves 1,211,085 1,006,819Unit linked liabilities 542,618,603 557,723,772 1,171,756,757 1,098,088,504Less: - Reinsurers’ share of outstanding claims (355,790,230) (269,420,744)- Reinsurers’ share of claims Incurred but not reported (100,643,606) (99,412,249) (456,433,836) (368,832,993)Net outstanding claims and reserves 715,322,921 729,255,511 | 10.1 |
| Disclosure of zakat [text block] | Zakat and income taxA summary of the Company’s share capital and percentages of ownership are as follows: June 30, 2019 December 31, 2018 SR % SR %Saudi and GCC Shareholders 93,820,000 46.91% 93,820,000 46.91%Non-Saudi Shareholders 106,180,000 53.09% 106,180,000 53.09% 200,000,000 100% 200,000,000 100%As at 30 June 2019 and 31 December 2018, the authorized, issued and fully paid-in share capital of the Company consists of 20 million shares of SR 10 each. The Company’s zakat and income tax calculations and corresponding accruals and payments of zakat and income tax are based on the above ownership percentages in accordance with the relevant provisions of the Saudi Arabian zakat and income tax regulations.Change in accounting treatment in relation to zakat and income taxThe change in the accounting treatment for zakat and income tax (as explained in note 3) has the following impact on the line items of the interim statements of income, statement of financial position and changes in equity. As at and for the three month period ended June 30, 2018: SRFinancial statement impacted Account As previously stated for three months ended June 30, 2018 Effect of restatement As restated for three months ended June 30, 2018Interim statement of income Zakat charge for the period - (813,062) (813,062)Interim statement of income Income tax charge for the period, net - (1,226,273) (1,226,273)Interim statement of income Basic and diluted earning per share 0.48 (0.10) 0.38Interim statement of comprehensive income Deferred tax relating to change in fair value - 97,130 97,130As at and for the six month period ended June 30, 2018: SRFinancial statement impacted Account As previously stated for six months ended June 30, 2018 Effect of restatement As restated as at and for six months ended June 30, 2018Interim statement of income Zakat charge for the period - (1,776,203) (1,776,203)Interim statement of income Income tax charge for the period, net - 524,972 524,972 Interim statement of income Basic and diluted earning per share 0.96 (0.06) 0.90Interim statement of changes in equity Net income for the period attributable to the shareholders 19,225,371 (1,251,231) 17,974,140Interim statement of changes in equity Zakat charge for the period (1,776,203) 1,776,203 -Interim statement of changes in equity Income tax charge for the period, net (2,001,662) 2,001,662 -Interim statement of changes in equity Deferred tax relating to changes in fair value - 748,834 748,834Interim statement of comprehensive income Deferred tax relating to change in fair value - 748,834 748,834The recognition of deferred tax as result in change in accounting treatment for zakat and income tax (as explained in note 3) has the following impact:As at 31 December 2018: SRFinancial statement impacted Account As previously stated as at 31 December 2018: Effect ofrestatement As restated as at 31 December 2018:Statement of financial position Deferred tax asset, net - 9,350,189 9,350,189Statement of financial position Fair value reserve on investments (11,673,980) 1,301,161 (10,372,819)Statement of financial position Retained earnings 41,575,546 8,049,028 49,624,574Statement of changes in equity Impact of adopting IAS 12 - 9,350,189 9,350,189As at 1 January 2018: SRFinancial statement impacted Account Before the restatement as at 1 January 2018: Effect ofrestatement As restated as at 1 January 2018:Statement of financial position Deferred tax asset, net - 5,587,701 5,587,701Statement of financial position Retained earnings 19,902,207 5,587,701 25,489,908Statement of changes in equity Impact of adopting IAS 12 - 5,587,701 5,587,701The zakat and income tax provision as at the period / year end is as follows:SR June 30, 2019(Unaudited) December 31, 2018(Audited) Provision for zakat 22,955,249 21,297,046Provision for income tax 1,607,724 2,549,628 24,562,973 23,846,674 The zakat and income tax charge for the six months period is as follows:SR June 30, 2019(Unaudited) June 30, 2018(Unaudited) Zakat for the six months period 2,099,518 1,776,203Income tax for the six months period - Current tax 2,312,129 2,001,662 - Deferred tax (185,492) (2,526,634) 4,226,155 1,251,231 The zakat and income tax charge for the three months period is as follows:SR June 30, 2019(Unaudited) June 30, 2018(Unaudited) Zakat for the three months period 1,009,265 813,062 Income tax for the three months period - Current tax 1,002,106 1,371,055 - Deferred tax (134,931) (144,782) 1,876,440 2,039,335 Status of assessmentsThe Company has filed tax and zakat declarations for the years ended 31 December 2014 to 31 December 2018 and the assessments for these years are still outstanding. The Company has filed appeals against the General Authority for Zakat and Tax (GAZT) assessments of additional zakat arising from disallowance of long term investments and the statutory deposits from zakat base for the years 2010 to 2013. The Company has accounted for the additional zakat provision in the financial statements, however has not paid the same. The finalisation of the assessment is not expected to have material impact on the financial statements. | 15 |
| Disclosure of deferred tax [text block] | Deferred tax assets, netSR June 30, 2019(Unaudited) December 31, 2018(Audited) (Restated) Deferred tax assets, net 7,466,516 9,350,189 Deferred tax movement 30 June 2019 31 December 2018 1 January2018At the beginning of the period 9,350,189 5,587,701 -Recognition of previously unrecognized tax losses - - 413,776Deferred tax income - statement of income 185,492 2,461,327 5,173,925Deferred tax (expense) / income - statement of comprehensive income (2,069,165) 1,301,161 -At the end of the period 7,466,516 9,350,189 5,587,701This deferred tax arises on end of service indemnities, provision against premium receivable, provision against reinsurance receivable, unabsorbed tax losses, fair value reserve on investment and property and equipment. | 9 |
| Disclosure of classes of share capital [text block] | Share capitalThe authorised and issued share capital of the Company is SR 200 million divided into 20 million shares of SR 10 each (31 December 2018: SR 200 million divided into 20 million shares of SR 10 each). The founding shareholders of the Company have subscribed and paid for 13 million shares with a nominal value of SR 10 each, which represents 65% of the shares of the Company's capital and the remaining 7 million shares with a nominal value of SR 10 each have been subscribed by general public.On 25th October 2017, Allianz Europe BV (a 100% subsidiary of Allianz SE) entered in a legally binding agreement with Banque Saudi Fransi (BSF) to purchase from BSF 57% of its shareholding in the Company, representing 18.5% of the share capital of the Company. This agreement received SAMA’s no-objection and was completed by Allianz Europe BV on 29 March 2018. Accordingly, Group holds 51.0% of the share capital of Allianz Saudi Fransi Cooperative Insurance Company (Allianz Europe BV holds 18.5%, Allianz France International holds 16.25% and Allianz Mena Holding Bermuda holds 16.25%) and BSF holds 14.0% of the share capital.Shareholding structure of the Company is as below. The shareholders of the Company are subject to zakat and income tax. June 30, 2019 No. of Shares Authorized, issued and paid up capital SRAllianz Europe BV 3.70 Million 37 MillionAllianz France International 3.25 Million 32.5 MillionAllianz Mena Holding Bermuda 3.25 Million 32.5 MillionBanque Saudi Fransi 2.80 Million 28 MillionPublic 7.00 Million 70 Million 20 Million 200 Million December 31, 2018 No. of Shares Authorized, issued and paid up capital SRAllianz Europe BV 3.70 Million 37 MillionAllianz France International 3.25 Million 32.5 MillionAllianz Mena Holding Bermuda 3.25 Million 32.5 MillionBanque Saudi Fransi 2.80 Million 28 MillionPublic 7.00 Million 70 Million 20 Million 200 MillionThe Board of Directors in its meeting on 4 June 2018 recommended to increase the Company’s share capital through rights issue with a total value of SR 400,000,000, subject to the approval of the regulatory authorities and the Extraordinary General Assembly. The Company has received SAMA non-objection through letter no. 89/18551 dated 22/03/1440H corresponding to 30 November 2018 on the Company's proposed capital increase from SR 200,000,000 to SR 600,000,000 through rights issue. The Company is in the process of submitting application to Capital Management Authority (CMA). | 16 |
| Disclosure of related party transactions [text block] | Related party transactions and balancesRelated parties represent major shareholders, directors and key management personnel of the Company, and companies of which they are principal owners and any other entities controlled, jointly controlled or significantly influenced by them. Pricing policies and terms of these transactions are approved by the Company’s management and Board of Directors. The following are the details of the major related party transactions during the period and the related balances: Transactions for the six months period ended Balance as at 2019 2018 June 30, 2019 December 31, 2018 SR SR SR SR Major shareholders - Insurance premium written 132,895,160 104,996,346 - Claims paid 21,379,923 26,556,434 - Commission expense 1,001,705 1,776,369 - Premium receivable, net 85,945,358 24,739,135- Outstanding claims 38,610,151 29,355,121- Cash and cash equivalents 128,073,832 70,449,496- Unit linked investments managed byrelated party 548,192,261 559,766,029- Receivable for unit linked investments 7,644,162 8,941,411 Entities controlled, jointly controlled or significantly influenced by related parties - Insurance premium ceded 93,810,996 29,386,638 - Reinsurers’ share of claims paid 27,687,180 17,532,492 - Commission income 4,673,889 2,906,391 - Third party administrator expenses 3,879,209 5,889,709 - Accrued third party administrator 5,266,902 8,457,690- Reinsurance balance payable, net 88,120,749 13,907,150- Investments in equity of Saudi NextCare 800,000 800,000Related parties include Allianz SNA, Allianz Mena Holding Bermuda, Allianz Risk Transfer A.G. Dubai, Allianz France, Allianz Global Corporate and Specialty AG, Allianz World Wide Care, Allianz Global risks U.S Insurance, Allianz Belgium, Euler Hermes, Allianz SE Zurich, Allianz Insurance Hong Kong, Allianz Global Risks Netherland, Allianz Insurance Singapore, Allianz Insurance New Zealand, Saudi Fransi Insurance Agency, Banque Saudi Fransi, Saudi Fransi Leasing Company, Saudi NextCare, Saudi Fransi Capital.Key management personnel are persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly and comprise top management executives including the Chief Executive Officer, and the Chief Financial Officer of the Company. The compensation of key management personnel during the period is as follows:June 30, 2019 BOD members Top executives including the CEO and CFO SR SRSalaries and compensation - 3,891,406Allowances 87,000 -Annual remuneration 450,000 -End of service obligations - 243,505 537,000 4,134,911 December 31, 2018 BOD members Top executives including the CEO and CFO SR SRSalaries and compensation - 5,945,484Allowances 279,000 -Annual remuneration 764,219 -End of service obligations - 456,532 1,043,219 6,402,016 | 14 |
| Disclosure of entity's operating segments [text block] | Operating segments are identified on the basis of internal reports about components of the Company that are regularly reviewed by the Company’s Board of Directors in their function as chief operating decision maker in order to allocate resources to the segments and to assess its performance. Transactions between the operating segments are on normal commercial terms and conditions. The revenue from external parties reported to the Board is measured in a manner consistent with that in the interim statement of income. Segment assets and liabilities comprise operating assets and liabilities.There have been no changes to the basis of segmentation or the measurement basis for the segment profit or loss since December 31, 2018.Segment assets do not include cash and cash equivalents, prepaid expenses and other assets, available for sale investments, reinsurance balances, property and equipment, statutory deposit and accrued income on statutory deposit. Accordingly, they are included in unallocated assets. Segment liabilities do not include accrued and other liabilities, surplus distribution payable, reinsurers’ balances payable, premium deficiency reserve, additional premium reserve, end-of-service obligations, zakat and income tax and accrued income payable to SAMA. Accordingly, they are included in unallocated liabilities.The unallocated assets and unallocated liabilities are reported to chief operating decision maker on the cumulative basis and not reported under the related segments.The segment information provided to the Company’s Board of Directors for the reportable segments for the Company’s total assets and liabilities as at June 30, 2019 and December 31, 2018, its total revenues, expenses, and net income for the three months and six months periods then ended, are as follows:Motor : Motor Medical : MedicalProperty and casualty : Fire, burglary, money, construction, liability and marineProtection and saving : Group retirement and individual protection and saving Motor Medical Property and Casualty Protection and Saving Insurance Operations Shareholders’ Operations Total SR SR SR SR SR SR SRAs at 30 June 2019 (Unaudited) Assets Premiums receivable, gross 305,565,535 119,515,862 158,325,583 25,732,502 609,139,482 - 609,139,482 Provision for doubtful debts - - - - (53,118,178) - (53,118,178)Reinsurers’ share of outstanding claims 5,669,177 - 346,033,952 4,087,101 355,790,230 - 355,790,230 Reinsurers’ share of claims incurred but not reported 19,920 35,638,599 60,771,867 4,213,220 100,643,606 - 100,643,606 Reinsurers’ share of unearned premiums 111,525 51,332,440 137,098,619 18,470,952 207,013,536 - 207,013,536 Deferred policy acquisition costs 22,160,539 4,137,055 9,067,892 (788,750) 34,576,736 - 34,576,736 Financial assets at fair value through statement of income (unit linked investments) - - - 548,192,261 548,192,261 - 548,192,261 Unallocated assets - - - - 375,927,792 331,904,892 707,832,684Total assets 2,510,070,357 Liabilities and Equities Outstanding claims 63,202,809 421,223 364,287,478 7,557,509 435,469,019 - 435,469,019 Claims incurred but not reported 47,695,377 63,720,108 65,761,758 6,826,662 184,003,905 - 184,003,905 Unearned premium 281,090,084 95,398,781 164,527,653 27,041,725 568,058,243 - 568,058,243 Unearned reinsurance commission 7,249 - 6,041,766 1,044,464 7,093,479 - 7,093,479 Unit linked liabilities - - - 542,618,603 542,618,603 - 542,618,603 Unallocated liabilities - - - - 438,587,615 26,147,632 464,735,247 Equity 2,334,601 305,757,260 308,091,861Total liabilities and equity 2,510,070,357 Motor Medical Property and Casualty Protection and Saving Insurance Operations Shareholders’ Operations Total SR SR SR SR SR SR SRFor the three months period ended 30 June 2019 (Unaudited) Gross written premiums – retail 21,953,971 - 816,115 46,380,511 69,150,597 - 69,150,597Gross written premiums – corporate 57,410,000 63,667,096 96,327,675 1,308,421 218,713,192 - 218,713,192Gross written premiums – very small entities - 11,064 - - 11,064 - 11,064Gross written premiums – small entities - 348,744 - - 348,744 - 348,744Gross written premiums – medium entities - 166,495 - - 166,495 - 166,495Reinsurance premiums ceded - (33,732,310) (80,487,593) (17,563,031) (131,782,934) - (131,782,934)Excess of loss expenses (1,359,882) - (323,896) - (1,683,778) - (1,683,778)Fee income from unit linked investments - - - 286,615 286,615 - 286,615Net written premiums 78,004,089 30,461,089 16,332,301 30,412,516 155,209,995 - 155,209,995Changes in unearned premiums, net 34,829,170 (12,326,127) (2,140,296) (5,707,317) 14,655,430 - 14,655,430Net premiums earned 112,833,259 18,134,962 14,192,005 24,705,199 169,865,425 - 169,865,425Reinsurance commissions 5,320 - 4,520,633 (365,202) 4,160,751 - 4,160,751Net claims and other benefits paid (77,234,450) (7,677,345) (2,224,083) (35,915,748) (123,051,626) - (123,051,626)Changes in outstanding claims, net (12,273,035) (113,672) 11,088 (1,105,552) (13,481,171) - (13,481,171)Changes in premium deficiency reserve - (2,609,450) - (247,601) (2,857,051) - (2,857,051)Changes in additional premium reserve - - (65,955) - (65,955) - (65,955)Changes in claims incurred but not reported, net 12,239,674 (7,578,149) (505,026) 162,996 4,319,495 - 4,319,495Change in unit linked liabilities - - - 7,414,320 7,414,320 - 7,414,320Unrealized gain on unit linked investments - - - 6,951,938 6,951,938 - 6,951,938Policy acquisition costs (9,145,378) (1,665,203) (3,886,333) (1,268,530) (15,965,444) - (15,965,444)Inspection and supervision fees - - - - (2,083,531) - (2,083,531)Net underwriting income 35,207,151 - 35,207,151Provision for doubtful debts (461,458) - (461,458)General and administrative expenses -(31,067,049) (182,220) (31,249,269)Investment income 829,038 1,471,881 2,300,919Other income 1,593,177 - 1,593,177Net income for the period before attribution and zakat and income tax 7,390,520 Motor Medical Property and Casualty Protection and Saving Insurance Operations Shareholders’ Operations Total SR SR SR SR SR SR SRFor the six months period ended 30 June 2019 (Unaudited) Gross written premiums – retail 32,673,613 - 1,256,487 70,084,937 104,015,037 - 104,015,037 Gross written premiums – corporate 278,770,222 108,170,893 151,495,920 3,926,551 542,363,586 - 542,363,586 Gross written premiums – very small entities - 23,653 - - 23,653 - 23,653 Gross written premiums – small entities - 673,854 - - 673,854 - 673,854 Gross written premiums – medium entities - 235,931 - - 235,931 - 235,931 Reinsurance premiums ceded - (59,907,234) (121,129,200) (19,601,555) (200,637,989) - (200,637,989)Excess of loss expenses (2,493,568) - (537,233) - (3,030,801) - (3,030,801)Fee income from unit linked investments - - - 576,345 576,345 - 576,345 Net written premiums 308,950,267 49,197,097 31,085,974 54,986,278 444,219,616 - 444,219,616 Changes in unearned premiums, net (94,075,017) (17,350,590) (3,283,946) (4,823,962) (119,533,515) - (119,533,515)Net premiums earned 214,875,250 31,846,507 27,802,028 50,162,316 324,686,101 - 324,686,101 Reinsurance commissions 10,581 - 7,854,291 (235,317) 7,629,555 - 7,629,555 Net claims and other benefits paid (157,377,542) (19,445,701) (4,488,885) (70,502,094) (251,814,222) - (251,814,222)Changes in outstanding claims, net (14,921,233) (105,839) 1,224,569 (924,548) (14,727,051) - (14,727,051)Changes in premium deficiency reserve - (3,009,872) - (591,718) (3,601,590) - (3,601,590)Changes in additional premium reserve - - (204,266) - (204,266) - (204,266)Changes in claims incurred but not reported, net 23,866,239 (7,055,936) 114,932 435,093 17,360,328 - 17,360,328Change in unit linked liabilities - - - 15,105,169 15,105,169 - 15,105,169 Unrealized gain on unit linked investments - - - 14,086,757 14,086,757 - 14,086,757 Policy acquisition costs (18,314,881) (4,138,956) (7,856,592) (1,849,915) (32,160,344) - (32,160,344)Inspection and supervision fees - - - - (4,400,716) - (4,400,716)Net underwriting income 71,959,721 - 71,959,721 Provision for doubtful debts 180,648 - 180,648 General and administrative expenses (59,235,713) (394,840) (59,630,553)Investment income 1,766,266 3,219,121 4,985,387 Other income 2,192,303 - 2,192,303 Net income for the period before attribution and zakat and income tax 19,687,506 Motor Medical Property and Casualty Protection and Saving Insurance Operations Shareholders’ Operations Total SR SR SR SR SR SR SRAs at 31 December 2018 (Audited) Assets Premiums receivable, gross 278,281,828 67,812,105 112,854,907 2,721,347 461,670,187 - 461,670,187 Provision for doubtful debts - - - - (52,766,429) - (52,766,429)Reinsurers’ share of outstanding claims 5,266,013 - 260,994,395 3,160,336 269,420,744 - 269,420,744 Reinsurers’ share of claims incurred but not reported 13,659 28,575,680 64,450,475 6,372,435 99,412,249 - 99,412,249 Reinsurers’ share of unearned premiums 274,316 24,855,760 117,417,670 6,363,397 148,911,143 - 148,911,143 Deferred policy acquisition costs 17,058,008 2,387,484 7,987,867 (431,066) 27,002,293 - 27,002,293 Financial assets at fair value through statement of income (unit linked investments) - - - 559,766,029 559,766,029 - 559,766,029 Unallocated assets 277,148,585 306,570,804 583,719,389Total assets 2,097,135,605 Liabilities and Equities Outstanding claims 47,878,413 315,383 280,472,490 5,706,196 334,372,482 - 334,372,482 Claims incurred but not reported 71,555,354 49,601,253 69,555,300 9,420,969 200,132,876 - 200,132,876 Unearned premium 187,177,858 51,571,511 141,562,759 10,110,207 390,422,335 - 390,422,335 Unearned reinsurance commission 17,831 - 7,300,421 291,028 7,609,280 - 7,609,280 Unit linked liabilities - - - 557,723,772 557,723,772 - 557,723,772 Unallocated liabilities 304,703,177 25,274,120 329,977,297Equity (4,399,121) 281,296,684 276,897,563Total liabilities and equity 2,097,135,605 | 13 |
| Disclosure of capital management [text block] | Capital management\Objectives are set by the Company to maintain stable capital ratios in order to support its business objectives and maximise shareholders’ value. The Company manages its capital requirements by assessing shortfalls between reported and required capital levels on a regular basis. Adjustments to current capital levels are made in light of changes in market conditions and risk characteristics of the Company’s activities. In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders or issue shares. \The operations of the Company are subject to local regulatory requirements within the jurisdiction where it is incorporated. Such regulations not only prescribe approval and monitoring of activities but also impose certain restrictive provisions e.g. capital adequacy to minimize the risk of default and insolvency on the part of the insurance companies and to enable them to meet unforeseen liabilities as these arise. The Company maintains its capital as per guidelines laid out by SAMA in Article 66 table 3 and 4 of the Implementing Insurance Regulations detailing the solvency margin required to be maintained. According to the said Article, the Company shall maintain solvency margin equivalent to the highest of the following three methods as per SAMA Implementing Regulations: - Minimum Capital Requirement of SR 100 million - Premium Solvency Margin - Claims Solvency Margin The Company has fully complied with the externally imposed capital requirements during the reported financial year. | 17 |
| Disclosure of commitments and contingencies, general [text block] | Commitments and contingenciesa) The Company’s commitments and contingencies are as follows:SR June 30, 2019(Unaudited) December 31, 2018(Audited)Letters of guarantee 14,050,000 11,760,000b) The Company operates in the insurance industry and is subject to legal proceedings in the normal course of business. While it is not practicable to forecast or determine the final results of all pending or threatened legal proceedings, management does not believe that such proceedings (including litigations) will have a material effect on its financial position and results as at and for the period ended 30 June 2019. There was no change in the status of legal proceedings as disclosed at 31 December 2018. | 11 |
| Disclosure of fair value of financial assets and liabilities [text block] | Insurance operationsSR June 30, 2019(Unaudited) December 31, 2018(Audited) Balance at the beginning of the period/year 14,582,533 5,000,000Purchases - 10,061,207Disposals (5,000,000) -Amortization (6,299) (9,882)Unrealized gain/(loss) on fair value of available for sale investments 619,343 (468,792)Balance at the end of the period/year 10,195,577 14,582,533 Shareholder operationsSR June 30, 2019(Unaudited) December 31, 2018(Audited) Balance at the beginning of the period/year 85,532,745 80,223,078Purchases - 10,098,000Disposals (17,000,000) -Amortization (7,146) (11,220)Unrealized gain/(loss) on fair value of available for sale investments 4,417,146 (4,777,113)Balance at the end of the period/year 72,942,745 85,532,745Sensitivity AnalysisThe sensitivity to a 1% increase in the risk adjusted discount rate with all other variables constant on the fair value of the level 3 available for sale investments of both insurance and shareholders’ operation is SR 317,398 and sensitivity to 1% decrease in the risk adjusted discount rate with all other variables constant on the fair value of the level 3 available for sale investments of both insurance and shareholders’ operation is SR 317,398. | 12 |
| Disclosure of comparative figures [text block] | Comparative figuresCertain prior period figures have been reclassified to conform to current period presentation. | 19 |
| Disclosure of board of director's approval of the financial statements [text block] | . Approval of the interim condensed financial statementsThe interim condensed financial statements have been approved by the Company’s Board of Directors on 7 Dhu al-Hijja 1440H, corresponding to 8 August 2019. | 20 |
| Disclosure of other notes relevant to understanding of financial statements [text block] | Supplementary informationa) Interim statements of financial position SR June 30, 2019 December 31, 2018 Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations TotalASSETS Cash and cash equivalents 94,139,943 107,501,550 201,641,493 47,722,503 45,412,035 93,134,538Prepaid expenses and other assets 50,144,963 8,925,130 59,070,093 47,297,623 5,243,586 52,541,209Premiums receivable, net 556,021,304 - 556,021,304 408,903,758 - 408,903,758Reinsurers’ balance receivable, net 78,071,493 - 78,071,493 71,653,440 - 71,653,440Reinsurers’ share of outstanding claims 355,790,230 - 355,790,230 269,420,744 - 269,420,744Reinsurers’ share of claims incurred but not reported 100,643,606 - 100,643,606 99,412,249 - 99,412,249Reinsurers’ share of unearned premiums 207,013,536 - 207,013,536 148,911,143 - 148,911,143Deferred policy acquisition costs 34,576,736 - 34,576,736 27,002,293 - 27,002,293Right-of-use assets 8,317,506 - 8,317,506 - - -Financial assets at fair value through statement of income (unit linked investments) 548,192,261 - 548,192,261 559,766,029 - 559,766,029Available for sale investments 116,807,228 210,078,924 326,886,152 115,206,519 216,172,505 331,379,024Deferred tax assets, net - 7,466,516 7,466,516 - 9,350,189 9,350,189Property and equipment, net 5,077,131 - 5,077,131 4,570,353 - 4,570,353Statutory deposit - 20,000,000 20,000,000 20,000,000 20,000,000Accrued income on statutory deposit - 1,302,300 1,302,300 - 1,090,636 1,090,636Due to/from insurance operation/shareholdersoperation* 23,369,528 (23,369,528) - (9,301,853) 9,301,853 -TOTAL ASSETS 2,178,165,465 331,904,892 2,510,070,357 1,790,564,801 306,570,804 2,097,135,605 LIABILITIES Accrued and other liabilities 138,356,259 282,359 138,638,618 125,022,838 336,810 125,359,648Surplus distribution payable 13,490,226 - 13,490,226 12,344,873 - 12,344,873Reinsurers' balances payable 253,348,040 - 253,348,040 144,725,743 - 144,725,743Unearned premiums 568,058,243 - 568,058,243 390,422,335 - 390,422,335Unearned reinsurance commission 7,093,479 - 7,093,479 7,609,280 - 7,609,280Outstanding claims 435,469,019 - 435,469,019 334,372,482 - 334,372,482Claims incurred but not reported 184,003,905 - 184,003,905 200,132,876 - 200,132,876Lease liabilities 5,945,272 - 5,945,272 - - -Premium deficiency reserve 8,454,145 - 8,454,145 4,852,555 - 4,852,555Additional premium reserves 1,211,085 - 1,211,085 1,006,819 - 1,006,819Unit linked liabilities 542,618,603 - 542,618,603 557,723,772 - 557,723,772End-of-service obligations 17,782,588 - 17,782,588 16,750,349 - 16,750,349Zakat and income tax - 24,562,973 24,562,973 - 23,846,674 23,846,674Accrued income payable to SAMA - 1,302,300 1,302,300 - 1,090,636 1,090,636TOTAL LIABILITIES 2,175,830,864 26,147,632 2,201,978,496 1,794,963,922 25,274,120 1,820,238,042 EQUITY Share capital - 200,000,000 200,000,000 - 200,000,000 200,000,000Share premium - 22,711,315 22,711,315 - 22,711,315 22,711,315Statutory reserve - 14,393,656 14,393,656 - 14,393,656 14,393,656Retained earnings - 63,399,602 63,399,602 - 49,624,574 49,624,574Actuarial reserve for end-of-service obligations 540,837 - 540,837 540,837 - 540,837Fair value reserve on investments 1,793,764 5,252,687 7,046,451 (4,939,958) (5,432,861) (10,372,819)TOTAL EQUITY 2,334,601 305,757,260 308,091,861 (4,399,121) 281,296,684 276,897,563 TOTAL LIABILITIES AND EQUITY 2,178,165,465 331,904,892 2,510,070,357 1,790,564,801 306,570,804 2,097,135,605 * These items are not included in the interim statement of financial position.b) Interim statement of income SR For the six month period ended June 30, 2019 June 30, 2018 Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations Total REVENUES Gross premiums written 647,312,061 - 647,312,061 523,309,703 - 523,309,703 Reinsurance premiums ceded abroad (197,275,909) - (197,275,909) (169,633,589) - (169,633,589)Reinsurance premiums ceded locally (3,362,080) - (3,362,080) (9,238,937) - (9,238,937)Excess of loss expenses (3,030,801) - (3,030,801) (2,854,640) - (2,854,640)Fee income from unit linked investments 576,345 - 576,345 539,957 - 539,957Net premiums written 444,219,616 - 444,219,616 342,122,494 - 342,122,494Changes in unearned premiums (177,635,908) - (177,635,908) (81,429,851) - (81,429,851)Changes in reinsurers’ share of unearned premiums 58,102,393 - 58,102,393 40,929,309 - 40,929,309Net premiums earned 324,686,101 - 324,686,101 301,621,952 - 301,621,952 Reinsurance commissions 7,629,555 - 7,629,555 9,432,122 - 9,432,122NET REVENUES 332,315,656 - 332,315,656 311,054,074 - 311,054,074 UNDERWRITING COSTS AND EXPENSES Gross claims paid (230,074,641) - (230,074,641) (205,523,183) - (205,523,183)Surrenders and maturities (78,797,838) - (78,797,838) (69,722,906) - (69,722,906)Expenses incurred related to claims (14,733,106) - (14,733,106) (13,284,486) - (13,284,486)Reinsurers’ share of claims paid 71,791,363 - 71,791,363 57,160,595 - 57,160,595 Net claims and other benefits paid (251,814,222) - (251,814,222) (231,369,980) - (231,369,980)Changes in outstanding claims (101,096,537) - (101,096,537) (13,879,956) - (13,879,956)Changes in reinsurers’ share of outstanding claims 86,369,486 - 86,369,486 7,686,843 - 7,686,843Change in premium deficiency reserve (3,601,590) - (3,601,590) 5,687,731 - 5,687,731 Changes in additional premium reserve (204,266) - (204,266) 32,236 - 32,236 Changes in claims incurred but not reported 16,128,971 - 16,128,971 19,908,725 - 19,908,725Changes in reinsurers’ share of claim incurred but not reported 1,231,357 - 1,231,357 (16,400,975) - (16,400,975)Net claims and other benefits incurred (252,986,801) - (252,986,801) (228,335,376) - (228,335,376)Changes in unit linked liabilities 15,105,169 - 15,105,169 8,524,304 - 8,524,304Unrealized gain on unit linked investments 14,086,757 - 14,086,757 14,075,807 - 14,075,807 Policy acquisition costs (32,160,344) - (32,160,344) (27,189,219) - (27,189,219)Inspection and supervision fees (4,400,716) - (4,400,716) (3,204,977) - (3,204,977)TOTAL UNDERWRITING COSTS AND EXPENSES (260,355,935) - (260,355,935) (236,129,461) - (236,129,461)NET UNDERWRITING INCOME 71,959,721 - 71,959,721 74,924,613 - 74,924,613OTHER (EXPENSES) / INCOME Reversal / (provision) of doubtful debts 180,648 - 180,648 (3,631,173) - (3,631,173)General and administrative expenses (59,235,713) (394,840) (59,630,553) (56,399,122) (503,114) (56,902,236)Investment income 1,766,266 3,219,121 4,985,387 1,951,501 3,089,599 5,041,100Other income 2,192,303 - 2,192,303 1,641,832 - 1,641,832TOTAL OTHER EXPENSES (55,096,496) 2,824,281 (52,272,215) (56,436,962) 2,586,485 (53,850,477)Net income for the period before attribution and zakat and income tax 16,863,225 2,824,281 19,687,506 18,487,651 2,586,485 21,074,136 Net surplus transferred to shareholders’ operation (15,176,902) 15,176,902 - (16,638,886) 16,638,886 -Net income for the period after shareholders’ appropriations 1,686,323 18,001,183 19,687,506 1,848,765 19,225,371 21,074,136 Zakat charge for the period (2,099,518) (2,099,518) (1,776,203) (1,776,203)Income tax charge for the period (2,126,637) (2,126,637) 524,972 524,972Net income attributable to the shareholders after zakat and income tax 13,775,028 15,461,351 17,974,140 19,822,905b) Interim statement of income (continued) SR For the three month period ended June 30, 2019 June 30, 2018 Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations Total REVENUES Gross premiums written 288,390,092 - 288,390,092 224,828,765 - 224,828,765 Reinsurance premiums ceded abroad (130,104,250) - (130,104,250) (111,161,385) - (111,161,385)Reinsurance premiums ceded locally (1,678,684) - (1,678,684) (5,294,683) - (5,294,683)Excess of loss expenses (1,683,778) - (1,683,778) (713,660) - (713,660)Fee income from unit linked investments 286,615 - 286,615 273,329 - 273,329 Net premiums written 155,209,995 - 155,209,995 107,932,366 - 107,932,366 Changes in unearned premiums (45,754,116) - (45,754,116) (70,650) - (70,650)Changes in reinsurers’ share of unearned premiums 60,409,546 - 60,409,546 40,574,144 - 40,574,144Net premiums earned 169,865,425 - 169,865,425 148,435,860 - 148,435,860 Reinsurance commissions 4,160,751 - 4,160,751 1,924,706 - 1,924,706NET REVENUES 174,026,176 - 174,026,176 150,360,566 - 150,360,566 UNDERWRITING COSTS AND EXPENSES Gross claims paid (99,505,142) - (99,505,142) (84,533,912) - (84,533,912)Surrenders and maturities (49,572,434) - (49,572,434) (37,929,353) - (37,929,353)Expenses incurred related to claims (7,243,696) - (7,243,696) (7,992,757) - (7,992,757)Reinsurers’ share of claims paid 33,269,646 - 33,269,646 29,287,533 - 29,287,533 Net claims and other benefits paid (123,051,626) - (123,051,626) (101,168,489) - (101,168,489) Changes in outstanding claims 290,738 - 290,738 (18,421,215) - (18,421,215)Changes in reinsurers’ share of outstanding claims (13,771,909) - (13,771,909) 11,390,556 - 11,390,556Change in premium deficiency reserve (2,857,051) - (2,857,051) 3,514,448 - 3,514,448 Changes in additional premium reserve (65,955) - (65,955) (53,994) - (53,994)Changes in claims incurred but not reported 12,884,020 - 12,884,020 6,488,505 - 6,488,505Changes in reinsurers’ share of claim incurred but not reported (8,564,525) - (8,564,525) (9,473,842) - (9,473,842)Net claims and other benefits incurred (135,136,308) - (135,136,308) (107,724,031) - (107,724,031)Changes in unit linked liabilities 7,414,320 - 7,414,320 5,027,126 - 5,027,126 Unrealized gain on unit linked investments 6,951,938 - 6,951,938 6,983,582 - 6,983,582 Policy acquisition costs (15,965,444) - (15,965,444) (13,534,693) - (13,534,693)Inspection and supervision fees (2,083,531) - (2,083,531) (1,422,075) - (1,422,075)TOTAL UNDERWRITING COSTS AND EXPENSES (138,819,025) - (138,819,025) (110,670,091) - (110,670,091)NET UNDERWRITING INCOME 35,207,151 - 35,207,151 39,690,475 - 39,690,475 OTHER (EXPENSES) / INCOME Provision of doubtful debts (461,458) - (461,458) (3,655,550) - (3,655,550)General and administrative expenses (31,067,049) (182,220) (31,249,269) (28,299,333) (233,128) (28,532,461)Investment income 829,038 1,471,881 2,300,919 991,066 1,702,679 2,693,745Other income 1,593,177 - 1,593,177 253,015 - 253,015TOTAL OTHER EXPENSES (29,106,292) 1,289,661 (27,816,631) (30,710,802) 1,469,551 (29,241,251)Net income for the period before attribution and zakat and income tax 6,100,859 1,289,661 7,390,520 8,979,673 1,469,551 10,449,224 Net surplus transferred to shareholders’ operation (5,490,773) 5,490,773 - (8,081,706) 8,081,706 -Net income for the period after shareholders’ appropriations 610,086 6,780,434 7,390,520 897,967 9,551,257 10,449,224 Zakat charge for the period (1,009,265) (1,009,265) (813,062) (813,062)Income tax charge for the period (867,175) (867,175) (1,226,273) (1,226,273)Net income attributable to the shareholders after zakat and income tax 4,903,994 5,514,080 7,511,922 8,409,889) Interim statement of comprehensive income SR For the six month period ended June 30, 2019 June 30, 2018 Insurance operations Shareholders’ operations Total Insurance operations Shareholders’operations Total Net income for the period after zakat and income tax 1,686,323 13,775,028 15,461,351 1,848,765 17,974,140 19,822,905Other comprehensive income / (loss) Items that are or may be reclassified to statements of income in subsequent periods Available for sale investments: - Net change in fair value 6,733,723 12,754,712 19,488,435 (3,505,109) (3,547,790) (7,052,899)- Deferred tax relating to change in fair value (714,946) (1,354,219) (2,069,165) 372,151 376,683 748,834Total comprehensive income / (loss) for the period 7,705,100 25,175,521 32,880,621 (1,284,193) 14,803,033 13,518,840 SR For the three month period ended June 30, 2019 June 30, 2018 Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations Total Net income for the period after zakat and income tax 610,086 4,903,994 5,514,080 897,967 7,511,922 8,409,889Other comprehensive income / (loss) Items that are or may be reclassified to statements of income in subsequent periods Available for sale investments: - Net change in fair value 3,578,712 6,651,020 10,229,732 (277,333) (637,482) (914,815)- Deferred tax relating to change in fair value (379,966) (706,166) (1,086,132) 29,446 67,684 97,130 Total comprehensive income for the period 3,808,832 10,848,848 14,657,680 650,080 6,942,124 7,592,204d) Interim statement of cash flows SR For the six month period ended June 30, 2019 June 30, 2018 Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations TotalCASH FLOWS FROM OPERATING ACTIVITIES Net income for the period before attribution and zakat and income tax 1,686,323 18,001,183 19,687,506 1,848,765 19,225,371 21,074,136Adjustments for non-cash items and other items: Depreciation of property and equipment 1,471,474 - 1,471,474 893,717 - 893,717 Amortization of investments premium 133,014 160,793 293,807 131,089 378,720 509,809 Reversal of doubtful reinsurance receivables (565,006) - (565,006) - - - Gain on sale of property and equipment (33,075) - (33,075) - - - Reversal for doubtful receivables/write-offs 351,749 - 351,749 3,631,173 - 3,631,173 Provision for end-of-service obligations 2,012,858 - 2,012,858 2,682,240 - 2,682,240 Unrealized gain on unit linked investments (14,086,757) - (14,086,757) (14,075,807) - (14,075,807) Shareholders’ appropriation from insurance operations’ surplus* 15,176,902 (15,176,902) - 16,638,886 (16,638,886) - 6,147,482 2,985,074 9,132,556 11,750,063 2,965,205 14,715,268Changes in operating assets and liabilities: Reinsurers’ balance receivable (5,853,047) - (5,853,047) 16,510,637 - 16,510,637Premium receivable (147,469,295) - (147,469,295) (135,824,307) - (135,824,307)Reinsurers’ share of unearned premiums (58,102,393) - (58,102,393) (40,929,309) - (40,929,309)Reinsurers’ share of outstanding claims (86,369,486) - (86,369,486) (7,686,843) - (7,686,843)Reinsurers’ share of claims incurred but not reported (1,231,357) - (1,231,357) 16,400,975 - 16,400,975Deferred policy acquisition costs (7,574,443) - (7,574,443) (1,577,282) - (1,577,282)Right-of-use assets (8,317,506) - (8,317,506) - - -Unit linked investments 25,660,525 - 25,660,525 21,522,238 - 21,522,238 Prepaid expenses and other assets (2,847,340) (3,681,544) (6,528,884) (12,074,582) (4,093,817) (16,168,399)Accrued and other liabilities 13,333,421 (54,451) 13,278,970 18,308,006 67,000 18,375,006Reinsurers' balances payable 108,622,297 - 108,622,297 40,804,626 - 40,804,626Unearned premiums 177,635,908 - 177,635,908 81,429,851 - 81,429,851Unearned reinsurance commission (515,801) - (515,801) (2,039,396) - (2,039,396)Lease liabilities 5,945,272 - 5,945,272 - - -Unit linked liabilities (15,105,169) - (15,105,169) (8,524,304) - (8,524,304)Outstanding claims 101,096,537 - 101,096,537 13,879,956 - 13,879,956Claims incurred but not reported (16,128,971) - (16,128,971) (19,908,725) - (19,908,725)Premium deficiency reserve 3,601,590 - 3,601,590 (5,687,731) - (5,687,731)Additional premium reserves 204,266 - 204,266 (32,236) - (32,236) 92,732,490 (750,921) 91,981,569 (13,678,363) (1,061,612) (14,739,975)End-of-service obligations paid (980,619) - (980,619) (1,842,692) - (1,842,692)Surplus paid to policyholders (540,970) - (540,970) (449,771) - (449,771)Zakat and income tax paid - (3,695,348) (3,695,348) - (4,744,142) (4,744,142)Net cash generated from (used in) operating activities 91,210,901 (4,446,269) 86,764,632 (15,970,826) (5,805,754) (21,776,580)CASH FLOWS FROM INVESTING ACTIVITIES Additions in available for sale investments - - - (10,061,207) (56,020,254) (66,081,461)Proceed from sale of available for sale investments 5,000,000 18,687,500 23,687,500 - - -Proceeds from sale of property and equipment 33,075 - 33,075 - - -Additions in property and equipment (1,978,252) - (1,978,252) (1,307,396) - (1,307,396)Net cash from (used in) investing activities 3,054,823 18,687,500 21,742,323 (11,368,603) (56,020,254) (67,388,857) CASH FLOWS FROM FINANCING ACTIVITY Due from / to (insurance operations / shareholder operations)* (47,848,284) 47,848,284 - (40,484,240) 40,484,240 -Net cash used in financing activity (47,848,284) 47,848,284 - (40,484,240) 40,484,240 -Net change in cash and cash equivalents 46,417,440 62,089,515 108,506,955 (67,823,669) (21,341,768) (89,165,437)Cash and cash equivalents at the beginning of the period 47,722,503 45,412,035 93,134,538 107,246,209 26,084,656 133,330,865Cash and cash equivalents at the end of the period 94,139,943 107,501,550 201,641,493 39,422,540 4,742,888 44,165,428NON-CASH INFORMATION: Change in fair value of available for sale investments (6,018,777) (11,400,493) (17,419,270) 3,132,958 3,171,107 6,304,065* These items are not included in the interim statement of cash flows | 18 |
