	English [member]
Start Date	2018-07-01	2017-07-01
End Date	2018-09-30	2017-09-30
Filing information [line items]
Disclosure of entity information [abstract]
Name of reporting entity	Gulf Union Cooperative Insurance Co.
Company symbol code\| ISIN code	8120 \| SA000A0MR898
Sector\| Industry group	Financials \| Insurance
Disclosure of document information [abstract]
Whether entity wants to report opening statement of financial position	No
Period covered by financial statements	Quarter 3
Reporting period start date	2018-07-01	2017-07-01
Reporting period end date	2018-09-30	2017-09-30
Description of nature of financial statements	Standalone
Status of financial statements	Reviewed
Description of presentation currency	Saudi Arabia, Riyals
Level of rounding used in financial statements	Actuals

	Primary auditor [member]	Second primary auditor [member]
	English [member]	English [member]
Start Date	2018-07-01	2018-07-01
End Date	2018-09-30	2018-09-30
Auditors information [line items]
Details of auditors signing report [abstract]
Name of auditor signing report	Abdullah Hamad Al Fozan	Abdullah M.Al Basri
Registration number of auditor	348	171
Details of audit firm [abstract]
Name of audit firm	KPMG al Fozan & Partners Certified Public Accountants	Aldar Audit Bureau Abdullah Al Basri & co
Address of audit firm	P.O. Box 4803AlKhobar 31952Kingdom of Saudi Arabia	P.O. Box 2195Riyadh 11451Kingdom of Saudi Arabia

	English [member]
Start Date	2018-07-01
End Date	2018-09-30
Auditors report [line items]
Contents of auditors report [abstract]
Nature of auditors opinion	Unmodified opinion
Auditors opinion	Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim condensed financial information as at September 30, 2018 of Gulf Union Cooperative Insurance Company is not prepared, in all material respects, in accordance with IAS 34, ‘Interim Financial Reporting’ as modified by SAMA for the accounting of zakat and income tax.
Responsibilities of management and those charged with governance for financial statements	Management is responsible for the preparation and presentation of this interim condensed financial information in accordance with IAS 34, ‘Interim Financial Reporting’ as modified by the Saudi Arabian Monetary Authority (“SAMA”) for the accounting of zakat and income tax. Our responsibility is to express a conclusion on this interim condensed financial information based on our review.
Auditors responsibilities for audit of financial statements	Management is responsible for the preparation and presentation of this interim condensed financial information in accordance with International Accounting Standard 34 - “Interim Financial Reporting” (“IAS 34”), as endorsed in the Kingdom of Saudi Arabia. Our responsibility is to express a conclusion on this interim condensed financial information based on our review.
Date of signing audit report by auditor	2018-10-31

Start Date	2018-01-01	2017-01-01	2017-01-01
End Date	2018-09-30	2017-12-31	2017-09-30
Statement of financial position [abstract]
Assets [abstract]
Insurance/ takaful operations assets [abstract]
Property and equipment, net, insurance/ takaful operations assets	5,828,531	3,591,038	3,649,683
Due from related parties, insurance/ takaful operations assets	14,762,146	14,762,146	29,072,126
Deferred policy acquisition costs	6,734,821	9,544,276	11,261,800
Reinsurers/ retakaful share of unearned premiums/ contributions	37,705,808	46,791,671	53,516,678
Prepayments and other assets, insurance/ takaful operations assets	12,107,290	11,905,375	12,283,895
Due from shareholders operations		2,558,064	5,282,888
Premiums/ insurance receivables/takaful contributions receivable, net	84,112,659	72,905,330	69,297,159
Reinsurers/ retakaful share of outstanding claims/ benefits, net	102,723,201	87,027,971	82,021,656
Time (Murabaha) deposits, insurance/ takaful operations assets	90,987,167	67,591,653	136,154,090
Deferred excess of loss premiums	1,091,997	0
Available-for-sale investments, insurance/ takaful operations assets	16,353,723	7,037,883	7,015,596
Cash and cash equivalents, insurance/ takaful operations assets	7,081,929	57,209,916	5,643,425
Other assets, insurance/ takaful operations assets	2,519,348	3,729,812	4,163,325
Total insurance/ takaful operations assets	382,008,620	384,655,135	419,362,321
Shareholders assets [abstract]
Due from related parties			2,359,192
Investments held-to-maturity, shareholders assets	33,934,513	23,064,698	24,064,698
Statutory deposit	22,500,000	33,000,000	33,000,000
Prepayments and other assets, shareholders assets	38,645	22,452	122,451
Time (Murabaha) deposits, shareholders assets	88,788,569	37,514,450	26,344,800
Available-for-sale investments, shareholders assets	10,376,037	24,072,736	16,727,692
Due from insurance/ takaful operations assets	3,225,289		0
Cash and cash equivalents, shareholders assets	40,882	61,094,630	66,453,629
Other assets, shareholders assets	2,938,778	2,416,771	2,290,070
Total shareholders assets	161,842,713	181,185,737	171,362,532
Total assets	543,851,333	565,840,872	590,724,853
Liabilities and equity [abstract]
Insurance/ takaful operations liabilities and surplus (deficit) [abstract]
Insurance/ takaful operations liabilities [abstract]
Gross unearned premiums/ contributions	104,127,072	132,002,714	139,802,116
Unearned commission income	6,275,323	7,403,897	9,017,901
Employees end of service benefits, insurance/ takaful operations liabilities	12,100,023	11,846,468	12,663,360
Surplus distribution payable	10,769,286	10,770,493	9,127,006
Technical reserve for insurance/takaful operations	3,609,755	3,954,557	3,240,308
Due to shareholders operations	3,225,289	0	0
Due to related parties, insurance/ takaful operations liabilities			14,309,980
Reinsurers/ retakaful balance payable	14,305,866	20,910,766	51,584,828
Gross outstanding claims/ benefits including IBNR payable	165,515,818	154,201,734	141,765,233
Other technical reserves	1,552,098	4,220,267	2,310,565
Other liabilities, insurance/ takaful operations	61,665,968	38,937,855	35,156,927
Total insurance/ takaful operations liabilities	383,146,498	384,248,751	418,978,224
Insurance/ takaful operations surplus (deficit) [abstract]
Fair value reserves on investments	-1,137,878	406,384	384,097
Total insurance/ takaful operations surplus (deficit)	-1,137,878	406,384	384,097
Total insurance/ takaful operations liabilities and surplus (deficit)	382,008,620	384,655,135	419,362,321
Shareholders liabilities and equity [abstract]
Shareholders liabilities [abstract]
Zakat payable	5,201,734	5,103,031	3,460,552
Due to insurance/ takaful operations			5,282,888
Due to related parties, shareholders liabilities		2,558,064	2,359,192
Accrued expenses payable, shareholders liabilities	313,290	3,213,748	1,346,455
Other liabilities, shareholders liabilities	2,938,778	2,416,771	2,290,070
Total shareholders liabilities	8,453,802	13,291,614	14,739,157
Shareholders equity [abstract]
Equity attributable to owners of parent [abstract]
Share capital	150,000,000	150,000,000	150,000,000
Statutory reserve	4,998,634	4,377,360	2,145,026
Fair value reserve on investments, shareholders equity	314,411	371,832	262,754
Retained earnings (accumulated losses)	-1,924,134	13,144,931	4,215,595
Total equity attributable to equity holders of company	153,388,911	167,894,123	156,623,375
Total shareholders liabilities and equity	161,842,713	181,185,737	171,362,532
Total insurance/ takaful operations liabilities, surplus (deficit) and shareholders liabilities and equity	543,851,333	565,840,872	590,724,853

Start Date	2018-07-01	2017-07-01	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30	2018-09-30	2017-09-30
Statement of insurance/ takaful operations [abstract]
Statement of insurance/ takaful operations and accumulated surplus (deficit) [abstract]
Income from insurance/ takaful operations [abstract]
Net premiums/ contributions earned [abstract]
Net premiums/ contributions written [abstract]
Gross premiums/ contributions written	48,493,405	32,477,039	178,895,612	272,126,682
Excess of loss expense	1,216,943	604,790	3,275,989	2,510,700
Reinsurance/ retakaful premiums ceded	17,761,909	14,702,225	70,545,184	108,992,620
Net premiums/ contributions written	29,514,553	17,170,024	105,074,439	160,623,362
Changes in unearned premiums/ contributions	-7,956,504	-36,669,033	-18,789,779	8,041,041
Reinsurance/ retakaful share of unearned premiums/ contributions	0	0
Net premiums/ contributions earned	37,471,057	53,839,057	123,864,218	152,582,321
Reinsurance/ retakaful commissions	4,272,923	6,714,923	13,694,641	21,764,274
Investment income from insurance/ takaful operations, net	288,612	48,460	448,952	48,460
Fees and other income from insurance/ takaful operations	25,751	487,125	799,058	4,312,825
Other non-operating expenses, insurance/ takaful operations	544,076	0	1,667,111	1,504,892
Total income from insurance/ takaful operations	41,514,267	61,089,565	137,139,758	177,202,988
Cost and expenses [abstract]
Net claims/ benefits incurred [abstract]
Net claims/ benefits paid [abstract]
Gross claims/ benefits paid	40,560,622	50,374,047	136,279,792	137,019,319
Reinsurance/ retakaful share of gross claims/ benefits paid	14,437,916	24,680,121	51,327,217	62,255,911
Net claims/ benefits paid	26,122,706	25,693,926	84,952,575	74,763,408
Changes in outstanding claims/ benefits including IBNR	-2,633,643	4,849,187	-4,381,145	17,230,455
Changes in reinsurance/ retakaful share of outstanding claims/ benefits	0	0
Changes in other technical reserves	-919,558	1,366,551	-2,668,169	-523,729
Changes in other reserves	71,035	72,679	-344,802	294,980
Net claims/ benefits incurred	22,640,540	31,982,343	77,558,459	91,765,114
Policy acquisition costs	3,884,566	6,285,367	13,364,242	17,324,181
General and administrative expenses, insurance/ takaful operations	23,881,279	22,595,893	63,419,625	58,003,956
Other underwriting income	1,582,082	2,863,603	5,306,532	7,436,021
Total cost and expenses	48,824,303	58,000,000	149,035,794	159,657,230
Surplus (deficit) for period from insurance/ takaful operations	-7,310,036	3,089,565	-11,896,036	17,545,758
Shareholders appropriation from insurance/ takaful operations surplus (deficit)	0	2,780,609	-11,896,036	15,791,182
Net result for period from insurance/ takaful operations after shareholders appropriation	-7,310,036	308,956	0	1,754,576
Policyholders share of accumulated surplus, at start of period		0
Policyholders share of accumulated surplus, at end of period	-7,310,036	308,956	0	1,754,576

Start Date	2018-07-01	2017-07-01	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30	2018-09-30	2017-09-30
Statement of shareholders operations [abstract]
Profit (loss) [abstract]
Income (loss) from continuing operations [abstract]
Shareholders appropriation of surplus (deficit) transferred from insurance/ takaful operations		2,780,609	-11,896,036	15,791,182
Revenue [abstract]
Investment income	788,057	301,591	2,127,370	1,777,109
Total revenue	788,057	301,591	2,127,370	1,777,109
Expenses [abstract]
General and administrative expenses, shareholders operations	564,296	1,073,273	2,320,489	3,195,568
Total expenses	564,296	1,073,273	2,320,489	3,195,568
Income (loss) from continuing operations before zakat and income tax	223,761	2,008,927	-12,089,155	14,372,723
Profit (loss) from continuing operations	223,761	2,008,927	-12,089,155	14,372,723
Profit (loss) for the period	223,761	2,008,927	-12,089,155	14,372,723
Profit (loss), attributable to [abstract]
Profit (loss), attributable to saudi shareholders of company	223,761	2,008,927	-12,089,155	14,372,723
Profit (loss), attributable to non-saudi shareholders of company	0	0
Earnings per share [abstract]
Basic earnings (loss) per share [abstract]
Basic earnings (loss) per share from continuing operations	0.4724	0.1339	-0.81	0.96
Total basic earnings (loss) per share	0.4724	0.1339	-0.81	0.96

Start Date	2018-07-01	2017-07-01	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30	2018-09-30	2017-09-30
Statement of other comprehensive income, before tax [abstract]
Net result for period from insurance/ takaful operations after shareholders appropriation	-7,310,036	308,956	0	1,754,576
Other comprehensive income [abstract]
Components of other comprehensive income that will not be reclassified to profit or loss [abstract]
Share of other comprehensive income of associates and joint ventures accounted for using equity method that will not be reclassified to profit or loss	-546,386	22,326	-1,544,262	69,189
Total other comprehensive income that will not be reclassified to profit or loss	-546,386	22,326	-1,544,262	69,189
Total other comprehensive income (loss)	-546,386	22,326	-1,544,262	69,189
Total comprehensive income (loss) for period	-7,856,422	331,282	-1,544,262	1,823,765

Start Date	2018-07-01	2017-07-01	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30	2018-09-30	2017-09-30
Statement of other comprehensive income, before tax [abstract]
Statement of comprehensive income [abstract]
Profit (loss) for the period	223,761	2,008,927	-12,089,155	14,372,723
Other comprehensive income [abstract]
Components of other comprehensive income that will be reclassified to profit or loss [abstract]
Available-for-sale financial assets [abstract]
Gains (losses) on remeasuring available-for-sale financial assets	16,132	-66,767	-57,421	86,964
Total other comprehensive income (loss), available-for-sale financial assets	16,132	-66,767	-57,421	86,964
Total other comprehensive income (loss), that will be reclassified to profit or loss	16,132	-66,767	-57,421	86,964
Total other comprehensive income (loss)	16,132	-66,767	-57,421	86,964
Total comprehensive income (loss) for period	239,893	1,942,160	-12,146,576	14,459,687
Total comprehensive income (loss) attributable to [abstract]
Total comprehensive income (loss), attributable to saudi shareholders of company	239,893	1,942,160	-12,146,576	14,459,687

Start Date	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30
Statement of cash flows, indirect method [abstract]
Statement of cash flows, insurance/ takaful operations [abstract]
Cash flows from (used in) operating activities, insurance/ takaful operations [abstract]
Net result for period from insurance/ takaful operations after shareholders appropriation	0	1,754,576
Adjustments to reconcile net income to net cash from insurance/ takaful operations after shareholders appropriation
Adjustments for depreciation, insurance/ takaful operations cash flow	2,192,368	2,022,492
Adjustments for employees end of service benefits	1,242,512	1,418,246
Adjustments for allowance for doubtful receivables	5,954,882	11,266,270
Total adjustments to reconcile net income to net cash from insurance/ takaful operations after shareholders appropriation	9,389,762	14,707,008
Changes in operating assets and liabilities [abstract]
Adjustments for decrease (increase) in premium receivables, net	-17,162,211	-622,130
Adjustments for decrease (increase) in prepayments and other assets	-201,915	187,533
Adjustments for increase (decrease) in outstanding claims including IBNR	11,314,084	34,968,115
Adjustments for increase (decrease) in reinsurers/ retakaful balance payable	-6,604,900	7,381,946
Adjustments for increase (decrease) in retrocession balance payable	23,581,369	5,628,759
Adjustments for increase (decrease) in accrued expenses and other liabilities	-853,256	-5,599,907
Adjustments for decrease (increase) in reinsurers/ retakaful share of outstanding claims, net	-15,695,230	-17,737,659
Adjustments for decrease (increase) in deferred policy acquisition costs	2,809,455	-1,295,365
Adjustments for decrease (increase) in deferred excess of loss expense	-1,091,997	2,510,700
Adjustments for decrease (increase) in unearned commission income	-1,128,574	-2,884,381
Adjustments for movement in gross unearned premiums/ contributions	-27,875,642	5,913,759
Adjustments for reinsurance/ retakaful share of unearned premiums/ contributions	9,085,863	2,127,280
Adjustment for changes in other technical reserves	-2,668,169	-523,729
Adjustment for changes in other reserves	-344,802	294,980
Total changes in operating assets and liabilities	-26,835,925	30,349,901
Net cash flows from (used in) insurance/ takaful operations	-17,446,163	46,811,485
Other inflows (outflows) of cash classified as operating activities, insurance/ takaful operations cash flow	-990,164	-2,666,557
Net cash flows from (used in) operating activities, insurance/ takaful operations	-18,436,327	44,144,928
Cash flows from (used in) investing activities, insurance/ takaful operations [abstract]
Time (Murabaha) deposits, insurance/ takaful operations cash flow	-23,395,514	-47,840,208
Purchase of investments, insurance/ takaful operations cash flow	10,860,102
Purchase of property and equipment, insurance/ takaful operations cash flow	3,219,397	688,627
Net cash flows from (used in) investing activities, insurance/ takaful operations	-37,475,013	-48,528,835
Cash flows from (used in) financing activities, insurance/ takaful operations [abstract]
Adjustments for increase (decrease) in due to shareholders operations	5,783,353	-3,632,724
Net cash flows from (used in) financing activities, insurance/ takaful operations	5,783,353	-3,632,724
Increase (decrease) in cash and cash equivalents before effect of exchange rate changes	-50,127,987	-8,016,631
Net increase (decrease) in cash and cash equivalents	-50,127,987	-8,016,631
Cash and cash equivalents at beginning of period	57,209,916	13,660,056
Cash and cash equivalents at end of period	7,081,929	5,643,425

Start Date	2018-01-01	2017-01-01
End Date	2018-09-30	2017-09-30
Statement of cash flows, indirect method [abstract]
Statement of cash flows [abstract]
Cash flows from (used in) operating activities [abstract]
Net profit (loss) for period [abstract]
Income (loss) from continuing operations before zakat and income tax	-12,089,155	14,372,723
Net profit (loss) for period (before zakat expenses and income tax)	-12,089,155	14,372,723
Adjustments to reconcile profit (loss) [abstract]
Adjustments for realised loss (gain) on investments held as fair value through statement of income, shareholders cash flow	-57,421	86,964
Other adjustments for non-cash items	-2,127,370	-1,777,109
Total adjustments to reconcile profit (loss)	-2,184,791	-1,690,145
Changes in operating assets and liabilities [abstract]
Adjustments for increase (decrease) in accrued expenses and other liabilities, shareholders cash flow	-2,900,458	45,442
Adjustments for decrease (increase) in prepayments and other assets, shareholders assets	-16,193	107,740
Total changes in operating assets and liabilities	-2,916,651	153,182
Net cash flows from (used in) operations	-17,190,597	12,835,760
Zakat expenses	2,259,927	3,214,406
Net cash flows from (used in) operating activities	-19,450,524	9,621,354
Cash flows from (used in) investing activities [abstract]
Proceeds from sales of investments	2,826,878	2,666,874
Purchase of term deposits investments	51,274,119	-11,555,284
Amount paid for statutory deposit	-10,500,000	0
Other inflows (outflows) of cash	2,127,370	1,027,397
Net cash flows from (used in) investing activities	-35,819,871	15,249,555
Cash flows from (used in) financing activities [abstract]
Other inflows (outflows) of cash	-5,783,353	3,632,724
Net cash flows from (used in) financing activities	-5,783,353	3,632,724
Increase (decrease) in cash and cash equivalents before effect of exchange rate changes	-61,053,748	28,503,633
Net increase (decrease) in cash and cash equivalents	-61,053,748	28,503,633
Cash and cash equivalents at beginning of period	61,094,630	37,949,996
Cash and cash equivalents at end of period	40,882	66,453,629

[400100] Notes forming part of accounts

English [member]

Note No.

Start Date

2018-07-01

End Date

2018-09-30

Notes forming part of accounts [line items]

Disclosure of notes and other explanatory information [text block]

1. GENERAL

Gulf Union Cooperative Insurance Company (a Joint Stock Company incorporated in Kingdom of Saudi Arabia) (“the Company”) registered on Sha’aban 13, 1428H (August 26, 2007G) under Commercial Registration no. 2050056228. The registered address of the Company's head office is as follows:

Gulf Union Cooperative Insurance Company

Head Office

Al-Moajil Commercial Centre, Prince Mohammed Street crossing Dhahran Street

P.O. Box 5719

Dammam 31432, Saudi Arabia

The purpose of the Company is to transact cooperative insurance operations and all related activities. Its principal lines of business include medical, motor, marine, fire and engineering insurance.

On Jamad Al-Thani 2, 1424H, corresponding to (July 31, 2003G), the Law on the Supervision of Cooperative Insurance Companies (“Insurance Law”) was promulgated by Royal Decree Number (M/32). On Shaban 29, 1428 H, corresponding to September 11, 2007, 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. The Company received from SAMA on 27 Jumada II, 1435H (April 27, 2014), the approval of its request to change its license of transacting insurance and reinsurance business to insurance business.

The Company is required to distribute 10% of the net surplus from insurance operations to policyholders and the remaining 90% to be allocated to the shareholders’ of the Company in accordance with the Insurance Law and Implementation Regulations issued by the Saudi Arabian Monetary Authority (“SAMA”). Any deficit arising on insurance operations is transferred to the shareholders’ operations in full.

These interim condensed financial information include the accounts of the Company and its branches and point of sales (PoS) as disclosed in annual financial statements for the year ended December 31, 2017.

Changes in share capital and statutory deposit

Initially, the share capital of the Company was SR 220 million. On 16 Jumada I 1438H (February 13, 2017), the Company applied its application to SAMA for the approval of decrease in its share capital in order to absorb the accumulated losses by Saudi Riyal 70 million. On 19 Jumada I 1438H (February 16, 2017), the Company received SAMA’s approval to decrease its share capital by Saudi Riyals 70 million and on 27 Rajab 1438H (April 24, 2017), the Company received the approval from Capital Market Authority (CMA). The Shareholders approved reduction in share capital in their extra ordinary general assembly meeting held on Shaban 22, 1438H (corresponding to May 18, 2017). Following which other necessary approvals were obtained and the Company reduced its share capital by Saudi Riyals 70 million. There is no effect on the Company’s financial obligation due to such reduction in share capital.

The issued and paid up share capital of the Company is Saudi Riyals 150 million at September 30, 2018 (December 31, 2017: Saudi Riyals 150 million) consisting of 15 million (December 31, 2017: 15 million) shares of Saudi Riyals 10 each.

The Company requested SAMA through letter number DAM/CD/1705/403 on Ramadan 02,1438H (corresponding to May 27, 2017) for release of statutory deposit in line with the reduced share capital approved by the Extra Ordinary General Assembly Meeting dated Shaban 22, 1438H (corresponding to May 18, 2017). The Company received a letter on Ramadan 20, 1438H (corresponding to June 14, 2017) from SAMA based on which release in statutory deposit was allowed after one year from the date of reduction in share capital, accordingly statutory deposit of SR 33 million has been reduced to SR 22.5 million during the period ended September 30, 2018.

Possible acquisition

The Company’s Board of Directors in their meeting held on 1 Jumada II 1438H (February 28, 2017), resolved to sign a non-binding memorandum of understanding for a possible merger with Al Ahlia Cooperative Insurance Company (Al Ahlia), a joint stock company registered in Saudi Arabia. Further, on 1 Jumada II 1438H (February 28, 2017), the Company entered into a non-binding memorandum of understanding with Al Ahlia Cooperative Insurance Company to start the discussions and studies on proposed merger. On Ramadan 25, 1438H (June 20, 2017) the Company signed a new non-binding memorandum of understanding with Al Ahlia Cooperative Insurance Company to formalize the potential terms of merger and agreed to conduct financial, legal and technical due diligence of respective companies.

1. GENERAL (Continued)

Possible acquisition (continued)

The Board of Directors of the Company and Al Ahlia reached an acquisition agreement on 24 Sha’aban 1439H (corresponding to May 10, 2018), regarding the conditions for acquisition of Al Ahlia (“the transaction”). The Company will acquire 100% share capital of Al Ahlia by share exchange of one for every 1.74035 shares of Al Ahlia at par value of SR 10 each. Accordingly, the Company will issue 9,193,548 new shares according to the closing price of the Company’s share of SR 15.41 on Sha'ban 23, 1439H (corresponding to May 9, 2018), which will constitute 38% of the total post-increase number of shares of the Company. Once the transaction will be approved by the shareholders in the extraordinary general meetings (EGMs) of the Company and Al Ahlia, shares of Al Ahlia will be delisted from Tadawul and it will be a wholly owned subsidiary of the Company till delisting of Al Ahlia Commercial Registration. The Company has received the approval from the Saudi Arabian Monetary Authority on Sha’ban 28, 1439 H (corresponding to May 14, 2018).

The transaction is subject to approval of shareholders EGMs of each company, approval of offering document by Capital Market Authority and approval of Tadawul for listing new shares of the Company and certain other legal requirements.

Shareholding percentage

The shareholding percentage of the Company at September 30, 2018 and December 31, 2017 was as follows:

	September 30, 2018	December 31, 2017
Shareholding percentage subject to Zakat	97%	96%
Shareholding percentage subject to income tax	3%	4%
	100%	100%

Disclosure of general information about reporting entity [abstract]

Disclosure of general information about reporting entity [text block]

1. GENERAL

Gulf Union Cooperative Insurance Company

Head Office

Al-Moajil Commercial Centre, Prince Mohammed Street crossing Dhahran Street

P.O. Box 5719

Dammam 31432, Saudi Arabia

The purpose of the Company is to transact cooperative insurance operations and all related activities. Its principal lines of business include medical, motor, marine, fire and engineering insurance.

Changes in share capital and statutory deposit

Possible acquisition

1. GENERAL (Continued)

Possible acquisition (continued)

Shareholding percentage

The shareholding percentage of the Company at September 30, 2018 and December 31, 2017 was as follows:

	September 30, 2018	December 31, 2017
Shareholding percentage subject to Zakat	97%	96%
Shareholding percentage subject to income tax	3%	4%
	100%	100%

Disclosure of basis of preparation of financial statements [text block]

1. BASIS OF PREPARATION

(a) Basis of presentation

The interim condensed financial information of the Company has been prepared in accordance with ‘International Accounting Standard 34 - Interim Financial Reporting ("IAS 34") as modified by SAMA for the accounting of Zakat and income tax’, which requires, adoption of all IFRSs as issued by the International Accounting Standards Board (“IASB”) except for the application of International Accounting Standard (IAS) 12 - “Income Taxes” and IFRIC 21 - “Levies” so far as these relate to Zakat and income tax. As per the SAMA Circular no. 381000074519 dated April 11, 2017 and subsequent amendments through certain clarifications relating to the accounting for zakat and income tax (“SAMA Circular”), the Zakat and income tax are to be accrued on a quarterly basis through shareholders equity under retained earnings.

The interim condensed financial information is prepared under the going concern basis and the historical cost convention, except for the measurement at fair value of available-for-sale investments and end-of-service indemnities. The Company’s interim condensed statement of financial position is not presented using a current/non-current classification. However, the following balances would generally be classified as current: cash and cash equivalents, short term deposits, premiums and reinsurers’ receivable - net, Premiums receivable-related parties, net, deferred excess of loss premiums, prepaid expenses and other assets, due from related parties, net, accrued income on statutory deposit, policyholders claims payable, accrued and other liabilities, reinsurers' balances payable, zakat and income tax. The following balances would generally be classified as non-current: investments, long term deposits, property and equipment, intangible assets, statutory deposit, reinsurers’ share of unearned premiums, reinsurers’ share of outstanding claims, reinsurers’ share of claims incurred but not reported, deferred policy acquisition costs, unearned premiums, unearned reinsurance commission, outstanding claims, claims incurred but not reported, additional premium reserves, other technical reserves, due to a related party, end-of-service indemnities, accrued commission income payable to SAMA.

2. BASIS OF PREPARATION (continued)

(a) Basis of presentation (continued)

As required by the Saudi Arabian Insurance Regulations, the Company maintains separate books of accounts for Insurance Operations and Shareholders’ Operations and presents 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, (refer Note 17).

The interim condensed statements of financial position, income, comprehensive income and cash flows of the insurance operations and shareholders operations are presented on pages 28 to 37 of the interim condensed financial information have been provided as supplementary financial information and to comply with the requirements of the guidelines issued by SAMA implementing regulations. 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 condensed statements of financial position, 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 these Company-level financial information 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 unrealised 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 like 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 condensed statement of financial position, the statement of income, statement of comprehensive income, cash flows as well as certain relevant notes to the financial information represents additional supplementary information required as required by the implementing regulations.

The interim condensed financial information do not include all of the information required for full annual financial information and should be read in conjunction with the annual financial information as of and for the year ended December 31, 2017.

These interim condensed financial information are expressed in Saudi Arabian Riyals (SAR).

(b) Critical accounting judgments, estimates and assumptions

The preparation of interim financial information requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

In preparing these interim condensed financial information, the significant judgments made by management in applying the Company’s accounting policies and the key sources of estimation uncertainty including the risk management policies were the same as those that applied to the annual financial information as at and for the year ended December 31, 2017.

(c) Seasonality of operations

There are no seasonal changes that may affect insurance operations of the Company.

Disclosure of summary of significant accounting policies [abstract]

Disclosure of summary of significant accounting policies, general comment [text block]

1. ACCOUNTING POLICIES

The accounting policies, estimates and assumptions used in the preparation of this interim condensed financial information are consistent with those used in the preparation of the annual financial information for the year ended December 31, 2017 except as explained below:

3. ACCOUNTING POLICIES (continued)

a) New International Financial Reporting Standards (IFRS), International Financial Reporting and Interpretations Committee’s interpretations (IFRIC) and amendments thereof, adopted by the Company

The application of these new standards has no material impact on the Company’s interim condensed financial information.

IFRS 15 – “Revenue from Contracts with Customers” applicable from 1 January 2018 presents a five-step model to determine when to recognize revenue, and at what amount. The application of this standard could have a significant impact on how and when revenue is recognized (except for contracts that are within the scope of the Standards on lease insurance contracts and financial instruments), with new estimates and judgments, and the possibility of revenue recognition being accelerated or deferred.

Classification and Measurement of Share-based Payment Transactions (Amendments to IFRS 2) effective for annual period on or after January 1, 2018.

Transfers of Investment Property (Amendments to IAS 40) effective for annual period on or after January 1, 2018.

Annual Improvements to IFRSs 2014–2016 Cycle – various standards (Amendments to IFRS 1 and IAS 28) effective for annual period on or after January 1, 2018.

IFRIC 22 Foreign Currency Transactions and Advance Consideration effective for annual period on or after January 1, 2018.

b) Standards, interpretations and amendments to published standards that will be effective for the periods commencing after January 1, 2019 and have not been early adopted by the Company

The standards and interpretations that are issued, but not yet effective, up to the date of issuance of the Company’s interim condensed financial information are disclosed below. The Company intends to adopt these standards, if applicable, when they become effective.

The Company’s management decided not to choose the early adoption of the following new and amended standards and interpretations issued which will become effective for the period commencing after January 1, 2019;

The implementation of IFRS 9 is expected to result in a significant portion of financial assets currently classified as available-for-sale being re-classified as at fair value through profit or loss or fair value through other comprehensive income (OCI). Credit allowances for financial assets carried at amortized cost and debt securities measured at fair value, with changes in fair value recognized in OCI, are expected to increase due to the introduction of the expected credit loss methodology. The Company will avail of the exemptions available to insurers and is considering deferring the implementation of IFRS 9 until a later date, but no later than January 1, 2021. 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. At the date of publication of these financial information, it was not practicable to quantify what the potential impact would be on the financial statements once IFRS 9 will be adopted.

IFRS 16 – “Leases”, applicable for the period beginning on or after 1 January 2019. The new standard eliminates the current dual accounting model for lessees under IAS 17, which distinguishes between on-balance sheet finance leases and off-balance sheet operating leases. Instead, IFRS 16 proposes on-balance sheet accounting model. The management believes that the adoption of IFRS 16 will not have a material impact on the Company’s financial information.

IFRS 17 ‘Insurance contracts’ was published on May 18, 2017 with the effective date of 1 January 2021. IFRS 17 provides comprehensive guidance on accounting for insurance contracts and investment contracts with discretionary participation features. For non-life and short-term life insurance contracts IFRS 17 introduces mandatory discounting of loss reserves as well as a risk adjustment for non-financial risk, for which confidence level equivalent disclosure will be required. Further, IFRS 17 will change the presentation of insurance contract revenue, as gross premium written will no longer be presented in profit or loss. At the date of publication of this financial information, it was not practicable to quantify what the potential impact would be on the financial information once IFRS 17 will be adopted.

3. ACCOUNTING POLICIES (continued)

b) Standards, interpretations and amendments to published standards that will be effective for the periods commencing after January 1, 2019 and have not been early adopted by the Company (continued)

IFRIC 23 Uncertainty over Income Tax Treatments effective for annual period on or after January 1, 2019.

Long-term Interests in Associates and Joint Ventures (Amendments to IAS 28) effective for annual period on or after January 1, 2019.

Plan Amendments, Curtailment or Settlement (Amendments to IAS 19) effective for annual period on or after January 1, 2019.

Annual Improvements to IFRSs 2015–2017 Cycle (Amendments to IFRS 3, IFRS 11, IAS 12 and IAS 23) effective for annual period on or after January 1, 2019.

Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (Amendments to IFRS 10 and IAS 28) available for early adoption /effective date deferred indefinitely.

2. ASSETS AND LIABILITIES PURCHASE AGREEMENT AND COMMENCEMENT OF ACTIVITIES

The Company started its insurance operations on December 29, 2008. The Company’s shareholders approved on December 21, 2008 for the Company to enter into an agreement whereby it acquired the insurance portfolio and net assets of Gulf Union Insurance and Risk Management Company E.C. (“GUIRMC”), a related party, with effect from December 29, 2008 for a consideration of Saudi Riyals 65.7 million based on SAMA’s instructions. Under the initial instructions received from SAMA, the excess of the purchase consideration over the identifiable net assets acquired, which amounted to Saudi Riyals 47.1 million, was recorded as goodwill with a corresponding liability of the same amount. Any adjustment to such goodwill and settlement of related liability can only be made upon the receipt of final approval from SAMA.

During December 2015, the Company received a letter from SAMA (the “Letter”), providing clarification on the payments to be made by the Company to GUIRMC, against the insurance portfolio and net assets transferred from GUIRMC to the Company. SAMA reduced the Company’s liability, initially recorded against the goodwill of Saudi Riyals 47.1 million, to 50% of the net profits made by the Company during the years ended December 31, 2009 and 2010, amounting to Saudi Riyals 8.46 million. Accordingly, the Company reversed the remaining liability of Saudi Riyals 38.6 million against the initially recorded amount of goodwill. This resulted in a goodwill balance of Saudi Riyals 8.46 million, which was considered impaired by the Company at December 31, 2015 and has been charged to the statement of comprehensive income for the year ended December 31, 2015.

Further, the Company had initially recorded a liability of Saudi Riyals 18.64 million, against the net assets transferred from GUIRMC in 2008. SAMA instructed the Company to reduce the said liability to Saudi Riyals 8.21 million, as certain of the assets transferred were not collected by the Company till December 31, 2015. Accordingly, the Company has adjusted the balance due to GUIRMC.

SAMA has instructed the Company that the payments with respect to the goodwill amounting to Saudi Riyals 8.46 million and the balance due to GUIRMC against transfer of the net assets amounting to Saudi Riyals 8.21 million (Saudi Riyals 16.67 million in total) should only be made upon fulfilment of the following conditions:

The Company has completed the rights-issue, as explained in Note 1, and the cash raised is held by the Company;

All balances due from Gulf Union Insurance and Projects Management Holding Company B.S.C. (c.) (GUIPMC ) have been received by the Company in full and in cash. Also see Note 12(b) (ii); and

The Company has obtained specific no objection from SAMA for the aforementioned payments to be made.

Further, the Company also made certain adjustments, as of December 31, 2015, to the amounts receivable from GUIPMC based on SAMA's instructions which resulted in an increase in the balance from Saudi Riyals 22.29 million to Saudi Riyals 31.43 million.

The net balance of Saudi Riyal 14.47 million (receivable of Saudi Riyals 31.43 million and payable of Saudi Riyals 16.67 million) is presented in supplementary information in note 17 under insurance operations’ assets. Also see Note 12 (b) (ii).

Disclosure of notes forming part of accounts [abstract]

Disclosure of reinsurers/ retakaful share of outstanding claims, net [text block]

1. TECHNICAL RESERVES

8.1 Net outstanding claims and reserves

Net outstanding claims and reserves comprise of the following:

	September 30, 2018	December 31, 2017
	(Unaudited)	(Audited)
Outstanding claims	106,017,080	89,300,928
Less: Realizable value of salvage and subrogation	(368,333)	(679,431)
	105,648,747	88,621,497
Claims incurred but not reported	59,867,071	65,580,237
Additional Premium reserves	1,552,098	4,220,267
Other technical reserves	3,609,755	3,954,557
	170,677,671	162,376,558
Less:
Reinsurers’ share of outstanding claims	71,465,926	55,755,038
Reinsurers’ share of claims incurred but not reported	31,257,275	31,272,933
	102,723,201	87,027,971
Net outstanding claims and reserves	67,954,470	75,348,587

Disclosure of reinsurers/ retakaful share of unearned premium/ contributions, net [text block]

8.2 Movement in unearned premiums

Movement in unearned premiums comprise of the following:

	September 30, 2018 (Unaudited)
	Gross	Reinsurance	Net
Balance as at the beginning of the period	132,002,714	(46,791,671)	85,211,043
Premium written during the period	178,895,612	(73,821,173)	105,074,439
Premium earned during the period	(206,771,254)	82,907,036	(123,864,218)
Balance as at the end of the period	104,127,072	(37,705,808)	66,421,264

8. TECHNICAL RESERVES (continued)

8.2 Movement in unearned premiums (continued)

	December 31, 2017 (Audited)
	Gross	Reinsurance	Net
Balance as at the beginning of the year	133,888,357	(55,643,958)	78,244,399
Premium written during the year	359,627,378	(143,477,360)	216,150,018
Premium earned during the year	(361,513,021)	152,329,647	(209,183,374)
Balance as at the end of the year	132,002,714	(46,791,671)	85,211,043

Disclosure of investments [text block]

7. INVESTMENTS (continued)

Movement in the investment balance is as follows:

	Insurance operations
	September 30, 2018	December 31, 2017
	(Unaudited)	(Audited)
Opening balance	7,037,883	6,946,407
Purchases	16,034,050	-
Disposals	(5,173,948)	-
Changes in fair value of investments	(1,544,262)	91,476
	16,353,723	7,037,883

	Shareholders’ operations
	September 30, 2018	December 31, 2017
	(Unaudited)	(Audited)
Opening balance	47,137,434	43,459,264
Purchases	89,345,613	299,190,057
Disposals	(92,115,076)	(295,707,929)
Changes in fair value of investments	(57,421)	196,042
	44,310,550	47,137,434

Disclosure of premiums/ contributions and insurance/ reinsurance or takaful/ retakaful balance receivables [text block]

1. PREMIUMS AND REINSURERS’ RECEIVABLE - NET

Receivables comprise amounts due from the following:

	September 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Policy holders	83,604,512	82,199,908
Brokers	11,761,921	6,845,619
Receivables from reinsurers	32,994,987	25,346,765
	128,361,420	114,392,292
Provision for doubtful receivables
Provision against insurance receivables	(37,793,442)	(36,881,211)
Provision against reinsurance receivables	(9,656,208)	(5,273,055)
	(47,449,650)	(42,154,266)
Premiums and reinsurers’ receivable – net	80,911,770	72,238,026

Disclosure of cash and cash equivalents [text block]

1. CASH AND CASH EQUIVALENTS

Cash and cash equivalents included in the statement of cash flows comprise the following:

	Insurance operations
	September 30, 2018	December 31, 2017
	(Unaudited)	(Audited)
Bank balances and cash in hand	7,081,929	57,209,916

	Shareholders’ operations
	September 30, 2018	December 31, 2017
	(Unaudited)	(Audited)
Bank balances and cash in hand	40,882	894,630
Deposits maturing within 3 months from the acquisition date	-	60,200,000
	40,882	61,094,630

Total cash and cash equivalents	7,122,811	118,304,546

Disclosure of zakat [text block]

1. ZAKAT AND INCOME TAX

Status of assessments

The Company had filed Zakat and income tax returns with the General Authority of Zakat and Tax (“GAZT”) up to 2017.

The Company has obtained Zakat and income tax certificates from the GAZT for the years through 2017. Zakat and income tax assessments for the years through 2017 have not yet been raised by the GAZT.

Disclosure of classes of share capital [text block]

1. SHARE CAPITAL

The authorized, issued and paid up capital of the Company is SAR 150 million at September 30, 2018 (December 31, 2017: SAR 150 million ) consisting of 15 million shares (December 31, 2017: 15 million shares) of SAR 10 each.

Shareholding structure of the Company is as below. The shareholders of the Company are subject to zakat and income tax.

	September 30, 2018 (Unaudited)
	Authorized and issued		Paid up
	No. of Shares	SAR
Gulf Union Insurance and Projects Management Holding Company B.S.C. (c.)	3,523,500	35,235,000	35,235,000
Others	11,476,500	114,765,000	114,765,000
	15,000,000	150,000,000	150,000,000

	December 31, 2017 (Audited)
	Authorized and issued		Paid up
	No. of Shares	SAR
Gulf Union Insurance and Projects Management Holding Company B.S.C. (c.)	3,523,500	35,235,000	35,235,000
Others	11,476,500	114,765,000	114,765,000
	15,000,000	150,000,000	150,000,000

Disclosure of statutory reserve [text block]

13. Statutory reserve

In accordance with By-laws of the Company and Article 70(2)(g) of the Insurance Implementing Regulations issued by SAMA, the Company is required to transfer not less than 20% of its annual profits, after adjusting accumulated losses, to a statutory reserve until such reserve amounts to 100% of the paid-up share capital of the Company. This reserve is not available for distribution to the shareholders until the liquidation of the Company.

Disclosure of earnings per share [text block]

1. BASIC AND DILUTED EARNINGS PER SHARE

Earnings per share for the period ended September 30, 2018 and 2017 is calculated by dividing the net income for the period attributable to the equity holders by 15 million shares.

Disclosure of related party transactions [text block]

1. RELATED PARTY TRANSACTIONS AND BALANCES

Related 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:

Nature of transactions	Transactions for the period ended		Balance receivable / (payable) as at
	September 30, 2018	September 30, 2017	September 30, 2018	December 31, 2017
	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
Major shareholders
Insurance premium written	8,870,496	12,084,885	4,564,651	1,392,467
Claims paid	(4,523,850)	(6,019,596)	(26,614)	(42,608)
Others
Rent charged	(41,025)	(669,665)	-	-
Services	(306,587)	(202,580)	-	-

The compensation of key management personnel during the period is as follows:

September 30, 2018

(Unaudited)

September 30, 2017

(Unaudited)

Salaries and other allowances

6,098,774

5,045,944

Meeting fees and Remuneration of Board of Directors and Board Committees

3,157,405

1,085,236

a) Premium receivable - related parties, net

	September 30, 2018 (Unaudited)	December 31, 2017 (Audited)
Premium receivable from related parties	4,564,651	1,392,467
Less: provision for doubtful debts	(1,363,762)	(725,163)
	3,200,889	667,304

b) Due from a related party, net

	September 30, 2018 (Unaudited)	December 31, 2017 (Audited)
Due from a related party (i)	31,431,318	31,431,318
Due to a related party (ii)	(16,669,172)	(16,669,172)
	14,762,146	14,762,146

i) Due from a related party

The Company had a net balance receivable from GUIPMC, a shareholder of the Company holding 23.24% of the shares of the Company, amounting to Saudi Riyals 22.29 million as it was under dispute till September 2015. Upon resolution of the dispute and certain adjustments as required in SAMA’s Letter (as mentioned in Note 4), this net balance receivable was reduced to SR14.76 million (receivable of Saudi Riyals 31.43 million and payable of Saudi Riyals 16.67 million).

GUIPMC had earlier confirmed that the balance will be settled by 30 September 2017, however, the amounts have not been settled till the date of interim condensed statement of financial position. GUIPMC is considering sale of their shareholding in the Company, to settle the net balance. GUIPMC has received necessary approval of the regulators to proceed with sale of its shareholding in the Company and is in the process of selling their shares to settle this balance. Accordingly, the Company’s management believes that such amount will be collected in due course.

The above receivable balance of Saudi Riyals 14.76 million is presented in supplementary financial information in note 17 under insurance operations’ assets.

ii) Due to a related party

Due to a related party mainly includes balances payable to GUIRMC in relation to portfolio transfer. Also see Note 4.

Disclosure of entity's operating segments [text block]

11. OPERATING SEGMENTS (continued)

	As at September 30, 2018 (Unaudited)
	Insurance operations
	Medical	Motor	Marine	Property	Engineering	General accident	Total - Insurance operations	Shareholders’ operations	Total
Assets
Reinsurers’ share of unearned premiums	9,049,878	17,840,515	2,235,736	4,387,109	2,425,725	1,766,845	37,705,808	-	37,705,808
Reinsurers’ share of outstanding claims	3,703,576	13,910,351	19,296,352	25,688,741	2,625,723	6,241,183	71,465,926	-	71,465,926
Reinsurers’ share of claims Incurred but not reported	4,267,289	9,175,639	2,843,129	7,452,593	4,847,140	2,671,485	31,257,275	-	31,257,275
Deferred policy acquisition costs	3,097,775	2,930,372	139,353	264,538	124,226	178,557	6,734,821	-	6,734,821
Deferred excess of loss premiums	192,500	616,487	58,444	224,566	-	-	1,091,997	-	1,091,997
Unallocated assets							230,710,851	161,842,714	392,553,565
Total assets	20,311,018	44,473,364	24,573,014	38,017,547	10,022,814	10,858,070	378,966,678	161,842,714	540,809,392

Liabilities and shareholders’ equity
Unearned premiums	45,203,389	44,264,779	3,210,466	5,115,228	3,146,248	3,186,962	104,127,072	-	104,127,072
Unearned reinsurance commission	-	3,178,615	476,786	1,109,598	827,936	682,388	6,275,323	-	6,275,323
Outstanding claims	12,345,253	30,854,063	20,439,451	28,215,712	3,159,127	10,635,141	105,648,747	-	105,648,747
Claims incurred but not reported	14,242,096	22,410,425	4,496,425	8,049,348	5,914,695	4,754,082	59,867,071	-	59,867,071
Additional premium reserves	-	690,276	-	290,087	571,735	-	1,552,098	-	1,552,098
Other technical reserves	2,685,150	390,287	147,162	221,572	74,943	90,641	3,609,755	-	3,609,755
Unallocated liabilities							97,886,612	161,842,714	259,729,326
Total liabilities and shareholders’ equity	74,475,888	101,788,445	28,770,290	43,001,545	13,694,684	19,349,214	378,966,678	161,842,714	540,809,392

Total assets of shareholders’ operation and total liabilities of insurance operations include, due from insurance operations and due to shareholders’ operations amounting SR 183,348 respectively. These interoperation balances have been eliminated in full during preparation of Company level Statement of Financial Position (Refer Note 2a).

11. OPERATING SEGMENTS (continued)

	As at December 31, 2017 (Audited)
	Insurance operations
	Medical	Motor	Marine	Property	Engineering	General accident	Total - Insurance operations	Shareholders’ operations	Total
Assets
Reinsurers’ share of unearned premiums	12,466,098	20,427,591	4,505,142	4,703,555	2,793,472	1,895,813	46,791,671	-	46,791,671
Reinsurers’ share of outstanding claims	2,642,060	12,631,489	18,712,655	10,410,518	4,214,969	7,143,347	55,755,038	-	55,755,038
Reinsurers’ share of claims Incurred but not reported	4,087,687	15,207,965	2,368,358	1,867,645	2,924,908	4,816,370	31,272,933	-	31,272,933
Deferred policy acquisition costs	4,620,871	4,096,746	318,769	214,513	120,092	173,285	9,544,276	-	9,544,276
Unallocated assets	-	-	-	-	-	-	241,291,217	181,185,737	422,476,954
Total assets	23,816,716	52,363,791	25,904,924	17,196,231	10,053,441	14,028,815	384,655,135	181,185,737	565,840,872

Liabilities and shareholders’ equity
Unearned premiums	62,361,464	50,827,308	6,353,698	5,749,419	3,518,011	3,192,814	132,002,714	-	132,002,714
Unearned reinsurance commission	-	3,432,257	1,110,904	1,244,547	944,662	671,527	7,403,897	-	7,403,897
Outstanding claims	8,806,868	28,416,753	20,394,765	13,871,112	5,394,265	11,737,734	88,621,497	-	88,621,497
Claims incurred but not reported	13,822,726	33,530,683	4,024,161	2,559,988	3,647,262	7,995,417	65,580,237	-	65,580,237
Additional premium reserves	-	4,127,820	-	-	92,447	-	4,220,267	-	4,220,267
Other technical reserves	2,475,614	1,298,208	-	144,731	36,004	-	3,954,557	-	3,954,557
Unallocated liabilities	-	-	-	-	-	-	82,871,966	181,185,737	264,057,703
Total liabilities and shareholders’ equity	87,466,672	121,633,029	31,883,528	23,569,797	13,632,651	23,597,492	384,655,135	181,185,737	565,840,872

Total assets of Insurance operation and total liabilities of shareholders’ operations include, Due from shareholders’ operations and Due to insurance operations amounting SR 2,558,064 respectively. These Interoperation balances have been eliminated in full during preparation of Company level Statement of Financial Position (Refer Note 2a).

11. OPERATING SEGMENTS (continued)

For the nine months period ended September 30, 2018 (Unaudited)

	Medical	Motor	Marine	Property	Engineering	General accident	Total
REVENUES
Gross premiums written	69,875,911	70,937,225	10,059,054	11,210,263	7,321,538	9,491,621	178,895,612
Reinsurance premiums ceded – local	-	(2,936,135)	(289,178)	(760,030)	(475,654)	(301,281)	(4,762,278)
Reinsurance premiums ceded – foreign	(14,288,720)	(25,438,955)	(7,044,282)	(9,163,807)	(5,082,295)	(4,764,847)	(65,782,906)
Excess of loss expenses	(577,499)	(1,849,461)	(175,331)	(673,698)	-	-	(3,275,989)
Net premiums written	55,009,692	40,712,674	2,550,263	612,728	1,763,589	4,425,493	105,074,439
Changes in unearned premiums, net	13,741,854	3,975,454	873,825	317,745	4,016	(123,115)	18,789,779
Net premiums earned	68,751,546	44,688,128	3,424,088	930,473	1,767,605	4,302,378	123,864,218
Reinsurance commission	-	6,054,103	2,412,045	2,470,735	1,907,218	850,540	13,694,641
Fee income from insurance	4,500	723,097	32,090	11,990	4,730	22,651	799,058
TOTAL REVENUE	68,756,046	51,465,328	5,868,223	3,413,198	3,679,553	5,175,569	138,357,917

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	(60,604,797)	(59,985,528)	(3,655,212)	(5,599,631)	(2,760,112)	(919,957)	(133,525,237)
Expenses incurred related to claims	(2,754,555)	-	-	-	-	-	(2,754,555)
Reinsurers’ share of claims paid	18,179,283	23,952,961	2,838,217	3,375,701	2,493,618	487,437	51,327,217
Net claims paid	(45,180,069)	(36,032,567)	(816,995)	(2,223,930)	(266,494)	(432,520)	(84,952,575)
Changes in outstanding claims, net	(2,476,870)	(1,115,171)	539,012	933,622	645,892	157,152	(1,316,363)
Changes in IBNR, net	(239,768)	5,087,932	2,507	95,588	(345,201)	1,096,450	5,697,508
Net claims incurred	(47,896,707)	(32,059,806)	(275,476)	(1,194,720)	34,197	821,082	(80,571,430)
Additional premium reserves	-	3,437,544	-	(290,087)	(479,288)	-	2,668,169
Other technical reserves	(209,536)	907,921	(147,162)	(76,841)	(38,939)	(90,641)	344,802
Policy acquisition costs	(5,835,052)	(5,564,526)	(470,578)	(621,098)	(557,061)	(315,927)	(13,364,242)
Other underwriting expenses	(651,404)	(647,821)	(95,177)	(114,692)	(62,569)	(95,448)	(1,667,111)
TOTAL UNDERWRITING COSTS AND EXPENSES	(54,592,699)	(33,926,688)	(988,393)	(2,297,438)	(1,103,660)	319,066	(92,589,812)
NET UNDERWRITING INCOME	14,163,347	17,538,640	4,879,830	1,115,760	2,575,893	5,494,635	45,768,105

11. OPERATING SEGMENTS (continued)

For the nine months period ended September 30, 2018 (Unaudited) (continued)

							Total
NET UNDERWRITING INCOME							45,768,105
OTHER OPERATING (EXPENSES) / INCOME
General and administrative expenses							(59,785,232)
Provision for doubtful debts							(5,954,882)
Commission income on deposits/sukuk							2,829,882
Dividend and realized gain on investments							2,576,322
Other income							2,476,651
TOTAL OTHER OPERATING EXPENSES							(57,857,259)

NET DEFICIT							(12,089,154)

Shareholders’ absorption of deficit							12,089,154

NET RESULT AFTER SHAREHOLDERS’ ABSORPTION OF DEFICIT							-

11. OPERATING SEGMENTS (continued)

For the nine months period ended September 30, 2017 (Unaudited)

	Medical	Motor	Marine	Property	Engineering	General accident	Total
REVENUES
Gross premiums written	89,871,041	128,469,315	19,652,745	14,461,884	7,654,016	12,017,681	272,126,682
Reinsurance premiums ceded – local	-	(6,814,808)	(833,835)	(1,213,606)	(730,634)	(652,281)	(10,245,164)
Reinsurance premiums ceded – foreign	(17,326,245)	(44,588,877)	(14,184,785)	(11,404,325)	(5,093,624)	(6,149,600)	(98,747,456)
Excess of loss expenses	(577,500)	(1,236,668)	(174,083)	(522,449)	-	-	(2,510,700)
Net premiums written	71,967,296	75,828,962	4,460,042	1,321,504	1,829,758	5,215,800	160,623,362
Changes in unearned premiums, net	(14,509,348)	4,215,969	1,183,175	883,918	298,423	(113,178)	(8,041,041)
Net premiums earned	57,457,948	80,044,931	5,643,217	2,205,422	2,128,181	5,102,622	152,582,321
Reinsurance commission	-	10,985,602	4,220,662	3,315,907	1,954,454	1,287,649	21,764,274
Fee income from insurance	2,500	4,204,430	54,790	16,930	5,205	28,970	4,312,825
TOTAL REVENUE	57,460,448	95,234,963	9,918,669	5,538,259	4,087,840	6,419,241	178,659,420

UNDERWRITING COSTS AND EXPENSES

Gross claims paid and loss adjustment expenses	(20,652,691)	(92,312,706)	(5,784,338)	(4,314,377)	(10,367,122)	(2,001,089)	(135,432,323)
Expenses incurred related to claims	(1,586,996)	-	-	-	-	-	(1,586,996)
Reinsurers’ share of claims paid	5,895,251	36,483,972	4,706,993	3,925,543	10,028,662	1,215,490	62,255,911
Net claims paid	(16,344,436)	(55,828,734)	(1,077,345)	(388,834)	(338,460)	(785,599)	(74,763,408)
Changes in outstanding claims, net	(1,246,165)	(4,182,127)	(68,968)	(1,652,544)	(445,376)	(622,154)	(8,217,334)
Changes in IBNR, net	(1,478,398)	(5,324,958)	(123,051)	(114,897)	(316,040)	(1,655,777)	(9,013,121)
Net claims incurred	(19,068,999)	(65,335,819)	(1,269,364)	(2,156,275)	(1,099,876)	(3,063,530)	(91,993,863)
Additional premium reserves	-	499,486	-	-	24,243	-	523,729
Other technical reserves	(294,980)	-	-	-	-	-	(294,980)
Policy acquisition costs	(5,043,859)	(9,572,079)	(769,934)	(936,108)	(487,049)	(515,152)	(17,324,181)
Other underwriting expenses	(496,997)	(710,450)	(108,681)	(79,976)	(42,328)	(66,460)	(1,504,892)
TOTAL UNDERWRITING COSTS AND EXPENSES	(24,904,835)	(75,118,862)	(2,147,979)	(3,172,359)	(1,605,010)	(3,645,142)	(110,594,187)
NET UNDERWRITING INCOME	32,555,613	20,116,101	7,770,690	2,365,900	2,482,830	2,774,099	68,065,233

11. OPERATING SEGMENTS (continued)

For the nine months period ended September 30, 2017 (Unaudited) (continued)

							Total
NET UNDERWRITING INCOME							68,065,233
OTHER OPERATING (EXPENSES) / INCOME
General and administrative expenses							(49,933,254)
Allowance for doubtful debts							(11,266,270)
Commission income on deposits / sukuk							3,767,397
Dividend and realized gain on investments							1,825,569
Other income							3,668,624
TOTAL OTHER OPERATING EXPENSES							(51,937,934)

NET SURPLUS							16,127,299

Surplus transferred to Shareholders							(14,372,723)

NET RESULT AFTER TRANSFER OF SURPLUS TO SHAREHOLDERS							1,754,576

Disclosure of commitments and contingencies, general [text block]

4. Contingencies and commitments

i) The Company, in common with significant majority of insurers, is subject to litigation in the normal course of its business. The Company, based on independent legal advice, does not believe that the outcome of these cases will have a material impact on the Company’s financial performance.

[100010] Filing information	[200100] Independent auditors report	[300100] Statement of financial position, order of liquidity
[300200] Statement of insurance/ takaful operations, nature of expense	[300300] Statement of shareholders operations, nature of expense	[300400] Statement of other comprehensive income, before tax, insurance operations
[300500] Statement of other comprehensive income, before tax, shareholders operations	[300600] Statement of cash flows, indirect method, insurance operations	[300700] Statement of cash flows, indirect method, shareholders operations
[300800] Statement of changes in equity	[400100] Notes forming part of accounts