	English [member]
Start Date	2018-04-01	2017-04-01
End Date	2018-06-30	2017-06-30
Filing information [line items]
Disclosure of entity information [abstract]
Name of reporting entity	Trade Union Cooperative Insurance Co.
Company symbol code\| ISIN code	8170 \| SA11T053VL18
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 2
Reporting period start date	2018-04-01	2017-04-01
Reporting period end date	2018-06-30	2017-06-30
Description of nature of financial statements	Consolidated
Status of financial statements	Reviewed
Description of presentation currency	Saudi Arabia, Riyals
Level of rounding used in financial statements	Actuals

	Primary auditor [member]	Primary auditor [member]	Second primary auditor [member]	Second primary auditor [member]
	English [member]		English [member]
Start Date	2018-04-01	2018-04-01	2018-04-01	2018-04-01
End Date	2018-06-30	2018-06-30	2018-06-30	2018-06-30
Auditors information [line items]
Details of auditors signing report [abstract]
Name of auditor signing report	Ibrahim A. Al Bassam		Mazin Mohammed Batterjee
Registration number of auditor	337		217
Details of audit firm [abstract]
Name of audit firm	PKF Al-Bassam & Al-Nemer Allied Accountants		Sindi & Batterjee
Registration number of audit firm	520/11/323		323/11/76
Address of audit firm	Al Khobar 31952 P.O.Box 4636		Jeddah 21446 P.O Box 24361

	English [member]
Start Date	2018-04-01
End Date	2018-06-30
Auditors report [line items]
Contents of auditors report [abstract]
Nature of auditors opinion	Unmodified opinion
Auditors opinion	INTRODUCTION We have reviewed the accompanying interim condensed statement of financial position of Trade Union Cooperative Insurance Company, (A Saudi Joint Stock Company) (the “Company”) as at 30 June 2018 and the related interim condensed statements of income and other comprehensive income for the three and six month periods then ended and the condensed statements of changes in equity and cash flows for the six month period then ended and the related notes which form an integral part of these interim condensed financial statements. Management is responsible for the preparation and fair presentation of these interim condensed financial statements in accordance with International Accounting Standard 34, “Interim Financial Reporting” (IAS 34) as modified by Saudi Arabian Monetary Authority (“SAMA”) for the accounting for zakat and income tax. Our responsibility is to express a conclusion on these interim condensed financial statements based on our review. SCOPE OF REVIEW We conducted our review in accordance with International Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” that is endorsed in the Kingdom of Saudi Arabia. A review of these interim condensed financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing that are endorsed in the Kingdom of Saudi Arabia and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. CONCLUSION Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim condensed financial statements are not prepared, in all material respects, as at 30 June 2018, in accordance with International Accounting Standard 34, “Interim Financial Reporting” (IAS 34) as modified by Saudi Arabian Monetary Authority (“SAMA”) for the accounting for zakat and income tax.
Date of signing audit report by auditor	2018-08-01

Start Date	2018-01-01	2017-01-01	2017-01-01
End Date	2018-06-30	2017-12-31	2017-06-30
Statement of financial position [abstract]
Assets [abstract]
Insurance/ takaful operations assets [abstract]
Property and equipment, net, insurance/ takaful operations assets	6,786,240	7,328,781	6,773,745
Due from related parties, insurance/ takaful operations assets	174,548	130,647	135,154
Deferred policy acquisition costs	25,051,931	23,893,516	29,086,204
Reinsurers/ retakaful share of unearned premiums/ contributions	43,765,261	49,737,244	68,096,224
Prepayments and other assets, insurance/ takaful operations assets	30,856,596	38,562,672	53,876,248
Premiums/ insurance receivables/takaful contributions receivable, net	218,723,766	159,882,478	256,151,949
Reinsurers/ retakaful share of outstanding claims/ benefits, net	210,324,979	215,981,355	222,890,767
Time (Murabaha) deposits, insurance/ takaful operations assets	461,511,853	247,931,955	337,433,992
Available-for-sale investments, insurance/ takaful operations assets	0	7,118,190	4,955,426
Cash and cash equivalents, insurance/ takaful operations assets	174,646,576	345,606,344	336,532,430
Total insurance/ takaful operations assets	1,171,841,750	1,096,173,182	1,315,932,139
Shareholders assets [abstract]
Goodwill	4,496,500	4,496,500	4,496,500
Statutory deposit	27,500,000	27,500,000	27,500,000
Statutory deposit commission	3,249,162	2,988,861	2,658,113
Prepayments and other assets, shareholders assets	13,446,441	11,119,633	1,970,617
Time (Murabaha) deposits, shareholders assets	152,499,850	92,499,850	55,000,000
Available-for-sale investments, shareholders assets	136,613,682	96,008,482	95,110,551
Due from insurance/ takaful operations assets	47,828,185	66,631,667	90,027,539
Cash and cash equivalents, shareholders assets	66,906,792	100,089,254	89,134,734
Total shareholders assets	452,540,612	401,334,247	365,898,054
Total assets	1,624,382,362	1,497,507,429	1,681,830,193
Liabilities and equity [abstract]
Insurance/ takaful operations liabilities and surplus (deficit) [abstract]
Insurance/ takaful operations liabilities [abstract]
Gross unearned premiums/ contributions	443,474,080	399,514,260	499,042,216
Unearned commission income	4,687,451	4,461,397	7,605,029
Accounts payable	55,682,905	41,230,845	32,012,186
Employees end of service benefits, insurance/ takaful operations liabilities	10,376,812	9,855,362	8,265,398
Due to shareholders operations	47,828,185	66,631,667	90,027,539
Reinsurers/ retakaful balance payable	27,631,971	12,127,202	38,194,545
Gross outstanding claims/ benefits including IBNR payable	463,238,760	446,297,645	506,202,789
Other technical reserves	8,933,601	8,477,874	8,787,738
Additional premiums reserve	20,526,721	21,143,928	24,106,966
Accrued expenses payable, insurance/ takaful operations liabilities	77,047,714	79,333,695	91,419,212
Total insurance/ takaful operations liabilities	1,159,428,200	1,089,073,875	1,305,663,618
Insurance/ takaful operations surplus (deficit) [abstract]
Surplus (deficit) from insurance/ takaful fund	12,717,762	7,403,519	10,268,521
Accumulated actuarial loss on end of service benefits	-304,212	-304,212	0
Total insurance/ takaful operations surplus (deficit)	12,413,550	7,099,307	10,268,521
Total insurance/ takaful operations liabilities and surplus (deficit)	1,171,841,750	1,096,173,182	1,315,932,139
Shareholders liabilities and equity [abstract]
Shareholders liabilities [abstract]
Zakat payable	41,620,542	40,525,863
Due to related parties, shareholders liabilities	459,532	0	0
Accrued expenses payable, shareholders liabilities	87,330	1,497,468	31,489,213
Statutory deposit commission payable	3,249,162	2,988,861	2,658,113
Total shareholders liabilities	45,416,566	45,012,192	34,147,326
Shareholders equity [abstract]
Equity attributable to owners of parent [abstract]
Share capital	275,000,000	275,000,000	275,000,000
Statutory reserve	29,254,253	29,254,253	18,850,228
Fair value reserve on investments, shareholders equity	9,279,255	1,036,467	276,790
Retained earnings (accumulated losses)	93,590,538	51,031,335	37,623,710
Total equity attributable to owners of parent	407,124,046	356,322,055	331,750,728
Total equity attributable to equity holders of company	407,124,046	356,322,055	331,750,728
Total shareholders liabilities and equity	452,540,612	401,334,247	365,898,054
Total insurance/ takaful operations liabilities, surplus (deficit) and shareholders liabilities and equity	1,624,382,362	1,497,507,429	1,681,830,193

Start Date	2018-04-01	2017-04-01	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30	2018-06-30	2017-06-30
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	220,800,184	288,700,216	452,914,720	517,907,710
Excess of loss expense	3,198,750	2,210,250	6,316,229	4,929,091
Reinsurance/ retakaful premiums ceded	26,422,588	41,452,887	50,771,508	80,516,979
Net premiums/ contributions written	191,178,846	245,037,079	395,826,983	432,461,640
Changes in unearned premiums/ contributions	18,439,994	56,069,550	49,931,803	58,694,299
Net premiums/ contributions earned	172,738,852	188,967,529	345,895,180	373,767,341
Reinsurance/ retakaful commissions	2,939,097	4,609,529	5,805,640	9,256,680
Fees and other income from insurance/ takaful operations	1,885,923	1,409,127	3,270,399	3,324,944
Total income from insurance/ takaful operations	177,563,872	194,986,185	354,971,219	386,348,965
Cost and expenses [abstract]
Net claims/ benefits incurred [abstract]
Net claims/ benefits paid [abstract]
Gross claims/ benefits paid	114,673,282	135,080,518	238,471,905	264,219,956
Reinsurance/ retakaful share of gross claims/ benefits paid	14,668,335	17,964,332	27,717,618	32,963,283
Net claims/ benefits paid	100,004,947	117,116,186	210,754,287	231,256,673
Changes in outstanding claims/ benefits including IBNR	14,149,777	507,935	22,597,491	22,346,347
Changes in other technical reserves	265,835	127,113	455,727	1,186,672
Net claims/ benefits incurred	114,420,559	117,751,234	233,807,505	254,789,692
Policy acquisition costs	16,141,280	15,730,358	25,392,383	31,304,586
General and administrative expenses, insurance/ takaful operations	18,888,719	16,372,427	36,903,711	31,791,159
Allowance for doubtful debts	227,142	16,339,018	3,595,628	22,969,104
Unrealized loss on held for trading investments	-473,872	319,650	0	319,650
Other underwriting income	-631	8,064	-16,711	35,054
Other underwriting expenses	5,118,562	7,045,426	10,426,975	15,706,319
Realised gain (loss) on available-for-sale investments	518,826	171,727	1,033,272	171,727
Commission income on bank deposits	3,575,748	3,369,906	6,663,643	7,535,755
Additional Premium Reserves	-1,254,119	-472,697	617,207	854,426
Total cost and expenses	151,482,566	170,481,113	301,828,791	348,283,548
Surplus (deficit) for period from insurance/ takaful operations	26,081,306	24,505,072	53,142,428	38,065,417
Shareholders appropriation from insurance/ takaful operations surplus (deficit)	23,473,175	22,054,564	47,828,185	34,258,875
Net result for period from insurance/ takaful operations after shareholders appropriation	2,608,131	2,450,508	5,314,243	3,806,542
Policyholders share of accumulated surplus, at start of period	12,717,762	10,268,566	12,717,762	10,268,566
Policyholders share of accumulated surplus, at end of period	15,325,893	12,719,074	18,032,005	14,075,108

Start Date	2018-04-01	2017-04-01	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30	2018-06-30	2017-06-30
Statement of shareholders operations [abstract]
Profit (loss) [abstract]
Income (loss) from continuing operations [abstract]
Shareholders appropriation of surplus (deficit) transferred from insurance/ takaful operations	23,473,175	22,054,564	47,828,185	34,258,875
Revenue [abstract]
Commission/ profit on deposits	918,760	547,152	2,859,598	2,003,631
Investment income	1,090,592	3,476,687	-8,438	-2,067,396
Total revenue	2,009,352	4,023,839	2,851,160	-63,765
Expenses [abstract]
General and administrative expenses, shareholders operations	88,368	943,427	120,142	986,638
Total expenses	88,368	943,427	120,142	986,638
Income (loss) from continuing operations before zakat and income tax	25,394,159	25,134,976	50,559,203	33,208,472
Profit (loss) from continuing operations	25,394,159	25,134,976	50,559,203	33,208,472
Profit (loss) for the period	25,394,159	25,134,976	50,559,203	33,208,472
Profit (loss), attributable to [abstract]
Profit (loss), attributable to saudi shareholders of company	17,143,596.7409	16,968,622.2976	34,132,517.9453	22,419,039.4472
Profit (loss), attributable to non-saudi shareholders of company	8,250,562.2591	8,166,353.7024	16,426,685.0547	10,789,432.5528
Earnings per share [abstract]
Basic earnings (loss) per share [abstract]
Basic earnings (loss) per share from continuing operations	1.02	1	2.03	1.35
Total basic earnings (loss) per share	1.02	1	2.03	1.35
Diluted earnings (loss) per share [abstract]
Diluted earnings (loss) per share from continuing operations	1.02	1	2.03	1.35
Total diluted earnings (loss) per share	1.02	1	2.03	1.35
Weighted average number of equity shares outstanding	27500000	27500000	27500000	27500000

Start Date	2018-04-01	2017-04-01	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30	2018-06-30	2017-06-30
Statement of other comprehensive income, before tax [abstract]
Net result for period from insurance/ takaful operations after shareholders appropriation	2,608,131	2,450,508	5,314,243	3,806,542
Total comprehensive income (loss) for period	2,608,131	2,450,508	5,314,243	3,806,542

Start Date	2018-04-01	2017-04-01	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30	2018-06-30	2017-06-30
Statement of other comprehensive income, before tax [abstract]
Statement of comprehensive income [abstract]
Profit (loss) for the period	25,394,159	25,134,976	50,559,203	33,208,472
Total comprehensive income (loss) for period	25,394,159	25,134,976	50,559,203	33,208,472
Total comprehensive income (loss) attributable to [abstract]
Total comprehensive income (loss), attributable to saudi shareholders of company	17,143,596.7409	16,968,622.2976	34,132,517.9453	22,419,039.4472
Total comprehensive income (loss), attributable to non-saudi shareholders of company	8,250,562.2591	8,166,353.7024	16,426,685.0547	10,789,432.5528

Start Date	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30
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	5,314,243	3,806,542
Adjustments to reconcile net income to net cash from insurance/ takaful operations after shareholders appropriation
Adjustments for depreciation, insurance/ takaful operations cash flow	968,568	903,771
Adjustments for unrealised (gains) losses on investments held as fair value through statement of income	0	319,650
Adjustments for employees end of service benefits	1,000,000	1,384,944
Adjustments for allowance for doubtful receivables	3,595,628	22,969,104
Adjustments for (gains) losses on disposal of property and equipment, net	13,659	-6,433
Total adjustments to reconcile net income to net cash from insurance/ takaful operations after shareholders appropriation	5,577,855	25,571,036
Changes in operating assets and liabilities [abstract]
Adjustments for decrease (increase) in premium receivables, net	-62,436,916	-30,235,242
Adjustments for decrease (increase) in prepayments and other assets	7,706,076	-654,618
Adjustments for increase (decrease) in outstanding claims including IBNR	16,941,115	15,839,850
Adjustments for increase (decrease) in reinsurers/ retakaful balance payable	15,504,769	-8,970,979
Adjustments for increase (decrease) in accrued expenses and other liabilities	-2,285,981	-62,551,554
Adjustments for decrease (increase) in reinsurers/ retakaful share of outstanding claims, net	5,656,376	-5,286,650
Adjustments for decrease (increase) in deferred policy acquisition costs	-1,158,415	-1,101,847
Adjustments for decrease (increase) in unearned commission income	226,054	6,074
Adjustments for increase (decrease) in due to shareholders operations	-18,803,482	34,258,875
Adjustments for movement in gross unearned premiums/ contributions	43,959,820	53,585,721
Adjustments for reinsurance/ retakaful share of unearned premiums/ contributions	5,971,983	5,108,578
Adjustment for changes in other technical reserves	455,727	1,186,672
Adjustments for changes in additional premium reserve	-617,207	-854,426
Adjusments in due from related parties	-43,901	1,268,004
Adjustments for accounts payable	14,452,060	5,022,444
Adjustments for surplus distribution paid	-478,550	-372,899
Adjustments for End of service benefits paid	0	-263
Total changes in operating assets and liabilities	25,049,528	6,247,740
Net cash flows from (used in) insurance/ takaful operations	35,941,626	35,625,318
Net cash flows from (used in) operating activities, insurance/ takaful operations	35,941,626	35,625,318
Cash flows from (used in) investing activities, insurance/ takaful operations [abstract]
Time (Murabaha) deposits, insurance/ takaful operations cash flow	-213,579,898	-180,002,693
Proceeds from sales of available-for-sale investments, insurance/ takaful operations cash flow	7,118,190	-5,275,076
Purchase of property and equipment, insurance/ takaful operations cash flow	439,686	726,519
Net cash flows from (used in) investing activities, insurance/ takaful operations	-206,901,394	-186,004,288
Cash flows from (used in) financing activities, insurance/ takaful operations [abstract]
Adjustments for decrease (increase) in due from shareholders operations	0	0
Net cash flows from (used in) financing activities, insurance/ takaful operations	0	0
Increase (decrease) in cash and cash equivalents before effect of exchange rate changes	-170,959,768	-150,378,970
Net increase (decrease) in cash and cash equivalents	-170,959,768	-150,378,970
Cash and cash equivalents at beginning of period	345,606,344	486,911,400
Cash and cash equivalents at end of period	174,646,576	336,532,430

Start Date	2018-01-01	2017-01-01
End Date	2018-06-30	2017-06-30
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	50,559,203	33,208,472
Net profit (loss) for period (before zakat expenses and income tax)	50,559,203	33,208,472
Adjustments to reconcile profit (loss) [abstract]
Adjustments for unrealised loss (gain) on investments held as fair value through statement of income, shareholders cash flow	1,790,989	3,544,250
Total adjustments to reconcile profit (loss)	1,790,989	3,544,250
Changes in operating assets and liabilities [abstract]
Adjustments for increase (decrease) in accrued expenses and other liabilities, shareholders cash flow	-1,410,138	0
Adjustments for net change in dues from related parties	459,532	0
Adjustments for decrease (increase) in due from insurance/ takaful operations	18,803,482	-34,258,875
Adjustments for decrease (increase) in prepayments and other assets, shareholders assets	-2,326,808	-1,222,340
Total changes in operating assets and liabilities	15,526,068	-35,481,215
Net cash flows from (used in) operations	67,876,260	1,271,507
Zakat expenses	6,905,321	5,581,026
Net cash flows from (used in) operating activities	60,970,939	-4,309,519
Cash flows from (used in) investing activities [abstract]
Purchase of investments held at fair value through statement of income	34,153,401	8,145,502
Purchase of term deposits investments	60,000,000	29,137,912
Net cash flows from (used in) investing activities	-94,153,401	-37,283,414
Cash flows from (used in) financing activities [abstract]
Due to reinsurance/ retakaful operations	0	0
Net cash flows from (used in) financing activities	0	0
Increase (decrease) in cash and cash equivalents before effect of exchange rate changes	-33,182,462	-41,592,933
Net increase (decrease) in cash and cash equivalents	-33,182,462	-41,592,933
Cash and cash equivalents at beginning of period	100,089,254	130,727,667
Cash and cash equivalents at end of period	66,906,792	89,134,734

[400100] Notes forming part of accounts

English [member]

Note No.

Start Date

2018-04-01

End Date

2018-06-30

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]

Trade Union Cooperative Insurance (A Saudi Joint Stock Company incorporated in Kingdom of Saudi Arabia), “the Company”, was formed pursuant to Royal Decree No. M/25 dated 15 Rabea I 1428H corresponding to 3 April 2007. The Company operates under Commercial Registration no. 2051036304 dated 21 Muharram 1429H corresponding to 30 January 2008. The registered address of the Company's head office is as follows:

Trade Union Cooperative Insurance Company

Head Office

King Fahad Road

P.O. Box 1022

Khobar 31952, Saudi Arabia

The purpose of the Company is to transact cooperative insurance operations and all related activities in accordance with the Law on Supervision of Cooperative Insurance Companies (the “Law”) and it’s implementing regulations in the Kingdom of Saudi Arabia. Its principal lines of business include medical, motor, property, engineering, general accident and others.

On 31 July 2003, corresponding to 2 Jumada II 1424 H, the Law on the Supervision of Cooperative Insurance Companies (“Insurance Law”) was promulgated by Royal Decree Number (M/32). On 23 Rabea I 1429H, corresponding to 31 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 18 April 2018 corresponding to 2 Sha’ban 1439, an Extraordinary General Assembly meeting was held to approve changing the name of the Company from “Trade Union Cooperative Insurance Company” to “Al-Etihad Cooperative Insurance Company”. SAMA’s approval on the change was obtained on 5 November 2017 corresponding to 16 Safar 1439H. The Company is in the process of amending Commercial Registration and completing the remaining legal requirements.

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

(a) Basis of presentation

The interim condensed financial information of the Company have 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. 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, premiums and reinsurers’ receivable - net, prepaid expenses and other assets, accrued and other liabilities, reinsurers’ balances payable, outstanding claims and reserves, unearned premiums, zakat and tax payable and surplus payable. The following balances would generally be classified as non-current: end-of-service indemnities, statutory deposit, property and equipment, accrued commission on statutory deposit.

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 (Note 16) 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 Board of Directors.

The interim condensed statement of financial position, statements of income and statement of comprehensive income and cash flows of the insurance operations and shareholders operations which are presented in note 16 of the financial information have been provided as supplementary financial information 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, 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-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).

2.1

Disclosure of critical accounting judgements, estimates and assumptions, general [text block]

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 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.

2.2

Disclosure of other general disclosures about reporting entity [text block]

(c) Seasonality of operations

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

2.3

Disclosure of summary of significant accounting policies [abstract]

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

The accounting policies, estimates and assumptions used in the preparation of these 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:

A. Standards, interpretations and amendments to published standards that became effective for the periods commencing on January 1, 2018 and have no material impact on the Company:

Amendments to IAS 40 Investment Property: Amends paragraph 57 to state that an entity shall transfer a property to, or from, investment property when, and only when, there is evidence of a change in use. A change of use occurs if property meets, or ceases to meet, the definition of investment property. A change in management’s intentions for the use of a property by itself does not constitute evidence of a change in use. The paragraph has been amended to state that the list of examples therein is non-exhaustive.

IFRS 15 Revenue from Contracts with Customers:

In May 2014, IFRS 15 was issued which established a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. IFRS 15 will supersede the current revenue recognition guidance including IAS 18 Revenue, IAS 11 Construction Contracts and the related interpretations when it becomes effective.

Amendment to standard IFRS 2 – Classification and Measurement of Share-based Payment Transactions:

These amendments relate to the following areas: the accounting for the effects of vesting conditions on cash-settled share-based payment transactions; the classification of share-based payment transactions with net settlement features for withholding tax obligations; and the accounting for a modification to the terms and conditions of a share-based payment that changes the transaction from cash-settled to equity-settled.

The amendments apply prospectively to annual periods beginning on or after January 1, 2018, with specific transitional requirements. The amendments may be applied retrospectively only if it is possible to do so without using hindsight. Early application is permitted.

Amendments to IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures (2011):

Relating to the treatment of the sale or contribution of assets from an investor to its associate or joint venture.

IFRIC 22 Foreign Currency Transactions and Advance Consideration:

The interpretation addresses foreign currency transactions or parts of transactions where:

there is consideration that is denominated or priced in a foreign currency;

the entity recognizes a prepayment asset or a deferred income liability in respect of that consideration, in advance of the recognition of the related asset, expense or income; and

the prepayment asset or deferred income liability is non-monetary

B – Standards issued but not yet effective:

IFRS 16 Leases – effective for periods beginning on or after January 1, 2019:

IFRS 16 specifies how an IFRS reporter will recognize, measure, present and disclose leases. The standard provides a single lessee accounting model, requiring lessees to recognize assets and liabilities for all leases unless the lease term is 12 months or less or the underlying asset has a low value. Lessors continue to classify leases as operating or finance, with IFRS 16’s approach to lessor accounting substantially unchanged from its predecessor, IAS 17.

IFRS 9 Financial Instruments:

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 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.

Amendments to IFRS 7 Financial Instruments – effective when IFRS 9 is adopted:

Disclosures relating to disclosures about the initial application of IFRS 9. In addition, disclosures relating to the additional hedge accounting disclosures (and consequential amendments) resulting from the introduction of the hedge accounting chapter in IFRS 9.

Disclosure of notes forming part of accounts [abstract]

Disclosure of investments [text block]

Investment are classified as follows:

	Insurance operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Held as FVSI	-	7,118,190
Total	-	7,118,190

	Shareholders’ operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Available for sale	116,094,143	96,008,482
Held for trading	1,769,539	-
Held to maturity	18,750,000	-
Total	136,613,682	96,008,482

Movement in the investment balance is as follows:

	Insurance operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Opening balance	7,118,190	-
Purchases	-	7,254,438
Disposals	(7,118,190)	-
Changes in fair value of investments	-	(136,248)
Closing balance	-	7,118,190

Movement in the investment balance is as follows – (Continued)

	Shareholders’ operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Opening balance	96,008,482	84,492,117
Purchases	59,487,800	51,091,771
Disposals	(27,125,388)	(45,183,277)
Impairment of investments	-	(1,168,988)
Changes in fair value of investments	8,242,788	6,776,859
Closing balance	136,613,682	96,008,482

Investments include the following:

	June 30, 2018
SAR	Quoted	Unquoted	Total

Investment[WA1] in companies[WA2]	55,404,149	52,914,353	108,318,502
Held to maturity bonds	-	18,750,000	18,750,000
Held for trading	1,769,539	-	1,769,539
Mutual funds	-	7,775,641	7,775,641
Total	57,173,688	79,439,994	136,613,682

	December 31, 2017
SAR	Quoted	Unquoted	Total

Investment in companies	46,124,889	49,226,142	95,351,031
Mutual funds	-	7,775,641	7,775,641
Total	46,124,889	57,001,783	103,126,672

[WA1]Investment in companies, bonds, funds pending

[WA2]

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

Receivables comprise amounts due from the following:

SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Policyholders	288,408,653	219,226,740
Brokers and agents	19,560,447	18,675,349
Related parties	166,317	1,601,145
Receivables from reinsurers	7,561,826	13,757,093
	315,697,243	253,260,327
Provision for doubtful receivables	(96,973,477)	(93,377,849)
Premiums and reinsurers’ receivable – net	218,723,766	159,882,478

Disclosure of cash and cash equivalents [text block]

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

	Insurance operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)
Bank balances and cash	174,646,576	191,008,011
Deposits maturing within 3 months from the acquisition date	-	154,598,333
Total	174,646,576	345,606,344

	Shareholders’ operations
SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)
Bank balances and cash	66,906,792	100,089,254
Total	66,906,792	100,089,254

Disclosure of zakat [text block]

Provision for Zakat and income tax

Provision for zakat has been made at 2.5% of approximate Zakat base attributable to the Saudi shareholders of the Company.

Provision for income tax has been made at 20% of the adjusted net income attributable to the foreign shareholders of the Company.

The movement in zakat and income tax provision is as follows:

	June, 30 2018 SR	December 31, 2017 SR

At January 1	40,525,863	31,106,891
Provision for the period / year	8,000,000	15,000,000
Paid during the period / year	(6,905,321)	(5,581,028)

At December 31	41,620,542	40,525,863

12. ZAKAT AND INCOME TAX – (Continued)

Status of zakat and income tax certificate

The Company has submitted its zakat and tax returns up to the year ended 31 December 2016.

In 2014, the Company received zakat assessments for the years 2007 to 2012 from the General Authority of Zakat and Tax (GAZT) claiming zakat and income tax liability amounting to SR 30.9 million and SR 21.4 million for withholding tax. The Management has filed an objection against the above assessments and is expecting to receive a favorable ruling.In addition, during 2017, GAZT issued an assessment for years 2013 and 2014 claiming an additional zakat differences amounting to SR 4.3 million and SR 4.8 million respectively. Later to that, GAZT issued another assessment for the years 2013-2015 claiming a total amount of SR 18.9 million consisting of SR 3.4 million for Zakat and income tax and SR 15.5 million for withholding tax. The Company has already appealed against these assessment and management expects to receive a favorable ruling.

Additionally, the zakat assessments of Trade Union Insurance Company (B.S.C.) (closed) have been finalized by the GAZT for the years 2000 to 2008 claiming zakat and income tax liability amounting to SR 10.6 million and withholding tax dues amounting to SR 8.9 million. Management has filed an objection against these assessments and the primary objection committee concluded the same in favor of GAZT. However, the management filed an objection to the Appeal Committee of Zakat and Income Tax following the regulatory procedures.

In 2015, the GAZT has issued an adjusted assessment for the same years 2000-2008 claiming the same amount as per the Preliminary Committee’s decision. The Company has appealed against these assessments and management expects to receive a favorable ruling. Subsequently, the Company paid an additional amount of SR 8.8 million and also submitted a bank guarantee for an amount of SR 10.6 million as needed requirement for Appellate Committee. Case is still under discussion of the Appellate Committee.

In September 2017, after having a meeting with GAZT the Company paid an amount of SR 46.9 million, which represents the withholding tax differences amounting to SR 36.9 million and SR 10.0 million represents down payment on the account of penalties, to avoid the increase of delay penalties.

Payment has been made with the provision of continuation of the appeals, keeping the right to refund or reconcile the excess payment when the company receives a favorable ruling for the cases.

Disclosure of fair value reserve on investments [text block]

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction takes place either:

- in the accessible principal market for the asset or liability, or

- in the absence of a principal market, in the most advantages accessible market for the asset or liability

The fair values of on-balance sheet financial instruments are not significantly different from their carrying amounts included in the interim condensed financial information.

Determination of fair value and fair value hierarchy

The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments:

Level 1: quoted prices in active markets for the same or identical instrument that an entity can access at the measurement date;

Determination of fair value and fair value hierarchy – (Continued)

Level 2: quoted prices in active markets for similar assets and liabilities or other valuation techniques for which all significant inputs are based on observable market data; and

Level 3: valuation techniques for which any significant input is not based on observable market data.

a. Carrying amounts and fair value

The following table shows the carrying amount and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy for financial instruments measured at fair value. It does not include fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation to fair value

INSURANCE OPERATIONS		Fair value
SAR	Carrying value	Level 1	Level 2	Level 3	Total
June 30, 2018 (Unaudited)
Financial assets measured at fair value
- Investments held as FVSI	-	-	-	-	-
	-	-	-	-	-

		Fair value
SAR	Carrying value	Level 1	Level 2	Level 3	Total
December 31, 2017 (Audited)
Financial assets measured at fair value
- Investments held as FVSI	7,118,190	7,118,190	-	-	7,118,190
	7,118,190	7,118,190	-	-	7,118,190

SHAREHOLDERS OPERATIONS:		Fair value
SAR	Carrying value	Level 1	Level 2	Level 3	Total
June 30, 2018 (Unaudited)
Financial assets measured at fair value
- Available for sale investments	116,094,143	55,404,149	48,868,102	11,821,892	116,094,143
- Held for trading	1,769,539	1,769,539	-	-	1,769,539
	117,863,682	57,173,688	48,868,102	11,821,892	117,863,682

Financial assets not measured at fair value
- Held to maturity investments	18,750,000	18,750,000	-	-	18,750,000
	18,750,000	18,750,000	-	-	18,750,000

		Fair value
SAR	Carrying value	Level 1	Level 2	Level 3	Total
December 31, 2017 (Audited)
Financial assets measured at fair value
- Available for sale investments	96,008,482	39,006,699	45,179,891	11,821,892	96,008,482
	96,008,482	39,006,699	45,179,891	11,821,892	96,008,482

b. Measurement of fair values

i. Valuation technique and significant unobservable inputs

The following table shows the valuation techniques used in measuring Level 2 and Level 3 fair values at June 30, 2018 and December 31, 2017, as well as the significant unobservable inputs used.

Type

Valuation technique

Available for sale equity securities (unquoted)

Market comparison technique:

The valuation model is based on market multiples derived from quoted prices of companies comparable to investee and the expected EBITDA of the investee. This estimate is adjusted for the effect of non-marketability of the equity securities.

Corporate debt securities

Market comparison technique:

The fair values are based on broker quotes. Similar contracts are traded in an active market and the quotes reflect the actual transactions in similar instruments.

ii. Transfer between Level 1 and Level 2

There were no transfers between the levels during the period.

iii) Level 3 fair values

Reconciliation of Level 3 fair values

The following table shows a reconciliation from the opening balances to the closing balances for Level 3 fair values.

SAR	Equity securities - available-for -sale (Unquoted)

Balance at January 1, 2018	11,821,892
Purchases	-
Sales	-
Gain/loss included in profit/loss	-
Gain/loss included in OCI	-
Balance at June 30, 2018	11,821,892

SAR	Equity securities - available-for -sale (Unquoted)

Balance at January 1, 2017	11,821,892
Purchases	-
Sales	-
Gain/loss included in profit/loss	-
Gain/loss included in OCI	-
Balance at December 31, 2017	11,821,892

Transfer out of level 3

The Company holds an investment in equity shares of Najem for insurance service, Arab Re and Marsa Al Seef investment co. Limited, which are classified as available-for-sale, with a total fair value of 11,821,892 SAR at June 30, 2018. The fair value of the investment was previously categorized as Level 3 at December 31, 2017 (for information on the valuation technique see (i) above. This was because the shares was not listed on an exchange and there were no recent observable transactions in the shares.

Disclosure of technical reserve for insurance/takaful/reinsurance/retakaful operations [text block]

7.1 Net outstanding claims and reserves

Net outstanding claims and reserves comprise of the following:

SAR	June 30, 2018 (Unaudited)	December 31, 2017 (Audited)

Outstanding claims	347,093,223	341,190,366
Less: Realizable value of salvage and subrogation	(58,593,038)	(67,291,822)
	288,500,185	273,898,544
Claims incurred but not reported	174,738,575	172,399,101
Additional premium reserves	20,526,721	21,143,928
Other technical reserves	8,933,601	8,477,874
	492,699,082	475,919,447
Less:
- Reinsurers’ share of outstanding claims	(159,024,601)	(165,238,049)
- Reinsurers’ share of claims incurred but not reported	(51,300,378)	(50,743,306)
	(210,324,979)	(215,981,355)
Net outstanding claims and reserves	282,374,103	259,938,092

7.2 Movement in unearned premiums

Movement in unearned premiums comprise of the following:

	Six months ended June 30, 2018 (Unaudited)
SAR	Gross	Reinsurance	Net

Balance as at the beginning of the period	399,514,260	(49,737,244)	349,777,016
Premium written during the period	452,914,720	(57,087,737)	395,826,983
Premium earned during the period	(408,954,900)	63,059,720	(345,895,180)
Balance as at the end of the period	443,474,080	(43,765,261)	399,708,819


	Year ended December 31, 2017 (Audited)
SAR	Gross	Reinsurance	Net

Balance as at the beginning of the year	445,456,495	(73,204,802)	372,251,693
Premium written during the year	831,249,406	(145,834,190)	685,415,216
Premium earned during the year	(877,191,641)	169,301,748	(707,889,893)
Balance as at the end of the year	399,514,260	(49,737,244)	349,777,016

Disclosure of earnings per share [text block]

Basic and diluted Income per share from shareholders’ income is calculated by dividing net income from shareholders’ operations for the period by weighted average number of ordinary shares outstanding during the year, unless there is a dilution effect.

Disclosure of related party transactions [text block]

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:

	Transactions for the period ended		Balance receivable / (payable) as at
	June 30,	June 30,	June 30,	December 31,
	2018	2017	2018	2017
	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
	SAR
Major shareholders
Gross premium written from Directors and their related parties	494,969	981,116	(252,337)	1,552,654
Amounts paid/charged to related parties	1,797,050	803,042	-	-
Claims charged to directors and their related parties	502,910	92,400	-	-
Due from related parties	-	-	174,548	130,647
Due to related parties	-	-	(459,532)	-

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

	June 30, 2018 (Unaudited)	June 30, 2017 (Unaudited)
	SAR
Salaries and other allowances	2,543,540	2,080,720
End of service indemnities	145,693	208,597
	2,689,233	2,289,317

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 condensed income statement. 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, 2017.

Segment assets do not include cash and cash equivalents, bank deposits, premiums and insurance balances receivable - net, accrued income on statutory deposit, prepaid expenses and other assets, property and equipment. Accordingly, they are included in unallocated assets.

Segment liabilities do not include accrued and other liabilities, reinsurance balances payable, end-of-service indemnities and end of service re-measurement loss and insurance operations’ surplus. Accordingly, they are included in unallocated liabilities.

These unallocated assets and liabilities are not reported to chief operating decision maker under related segments and are monitored on a centralized basis.

The segment information provided to the Company’s Board of Directors for the reportable segments for the Company’s total assets and liabilities at June 30, 2018 and December 31, 2017, its total revenues, expenses, and net income for the the three and six month periods ended June 30, 2018 and June 30, 2017, are as follows:

10. OPERATING SEGMENTS – (Continued)

Statement of financial position – Condensed

	As at June 30, 2018
	(Unaudited)
	Insurance operations
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total - Insurance operations	Shareholders’ operations	Total
	SAR
Assets
Reinsurers’ share of unearned premiums	16,398,274	5,280,333	5,950,944	5,729,689	9,492,933	913,088	43,765,261	-	43,765,261
Reinsurers’ share of outstanding claims	7,667,825	21,154,004	20,785,873	4,668,850	101,971,844	2,776,205	159,024,601	-	159,024,601
Reinsurers’ share of claims incurred but not reported	9,845,026	3,026,095	3,370,757	1,754,635	32,870,310	433,555	51,300,378	-	51,300,378
Deferred policy acquisition costs	7,282,996	14,521,169	745,400	1,399,079	981,683	121,604	25,051,931	-	25,051,931
Unallocated assets							892,699,579	452,540,612	1,345,240,191
Total assets	41,194,121	43,981,601	30,852,974	13,552,253	145,316,770	4,244,452	1,171,841,750	452,540,612	1,624,382,362

Liabilities
Unearned premiums	81,095,681	312,557,849	6,795,093	31,311,887	10,626,623	1,086,947	443,474,080	-	443,474,080
Outstanding claims	23,861,560	101,835,096	24,098,814	24,306,177	106,984,409	7,414,129	288,500,185	-	288,500,185
Claims incurred but not reported	25,654,626	102,150,504	4,471,840	5,858,624	35,840,169	762,812	174,738,575	-	174,738,575
Additional premium reserves	-	8,262,592	3,399,133	8,864,996	-	-	20,526,721	-	20,526,721
Other technical reserves	-	7,650,249	165,212	180,117	893,324	44,699	8,933,601	-	8,933,601
Unearned reinsurance commission	-	1,320,243	1,406,356	330,894	1,436,198	193,760	4,687,451	-	4,687,451
Unallocated liabilities							230,981,137	45,416,566	276,397,703
Total liabilities	130,611,867	533,776,533	40,336,448	70,852,695	155,780,723	9,502,347	1,171,841,750	45,416,566	1,217,258,316

10. OPERATING SEGMENTS – (Continued)

	As at December 31, 2017
	(Audited)
	Insurance operations
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total - Insurance operations	Shareholders’ operations	Total
	SAR
Assets
Reinsurers’ share of unearned premiums	23,806,205	4,573,551	6,787,632	7,351,406	6,119,689	1,098,761	49,737,244	-	49,737,244
Reinsurers’ share of outstanding claims	8,044,655	22,105,196	28,095,512	3,274,355	101,272,247	2,446,084	165,238,049	-	165,238,049
Reinsurers’ share of claims incurred but not reported	10,652,634	1,663,511	4,455,362	4,443,794	29,182,146	345,859	50,743,306	-	50,743,306
Deferred policy acquisition costs	10,211,394	10,442,736	743,913	1,672,732	698,146	124,595	23,893,516	-	23,893,516
Unallocated assets							806,561,067	401,334,247	1,207,895,314
Total assets	52,714,888	38,784,994	40,082,419	16,742,287	137,272,228	4,015,299	1,096,173,182	401,334,247	1,497,507,429

Liabilities
Unearned premiums	107,487,860	234,996,367	7,850,396	40,788,278	7,084,070	1,307,289	399,514,260	-	399,514,260
Outstanding claims	21,882,708	90,059,412	31,615,232	16,899,975	106,335,083	7,106,134	273,898,544	-	273,898,544
Claims incurred but not reported	25,984,796	101,728,989	5,301,453	6,985,125	31,694,203	704,535	172,399,101	-	172,399,101
Additional premium reserves	-	8,262,592	3,683,024	8,864,996	333,316	-	21,143,928	-	21,143,928
Other technical reserves	-	7,221,239	211,091	154,351	848,617	42,576	8,477,874	-	8,477,874
Unearned reinsurance commission	-	1,128,234	1,662,963	431,282	1,012,765	226,153	4,461,397	-	4,461,397
Unallocated liabilities							216,278,078	45,012,192	261,290,270
Total liabilities	155,355,364	443,396,833	50,324,159	74,124,007	147,308,054	9,386,687	1,096,173,182	45,012,192	1,141,185,374

10. OPERATING SEGMENTS – (Continued)

	For the three months ended June 30, 2018 (Unaudited)
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total
	SAR
REVENUES
Gross premiums written	48,897,599	156,574,840	2,840,588	4,222,792	7,177,419	1,086,946	220,800,184
Reinsurance premiums ceded – local	-	(278,500)	(153,413)	(36,914)	(256,951)	(69,544)	(795,322)
Reinsurance premiums ceded – foreign	(11,496,810)	(2,506,505)	(2,439,257)	(2,296,903)	(6,044,247)	(843,544)	(25,627,266)
Excess of loss expenses	-	(2,520,000)	-	-	(463,250)	(215,500)	(3,198,750)
Net premiums written	37,400,789	151,269,835	247,918	1,888,975	412,971	(41,642)	191,178,846
Changes in unearned premiums, net	397,572	(23,857,628)	282,174	4,587,380	(160,110)	310,618	(18,439,994)
Net premiums earned	37,798,361	127,412,207	530,092	6,476,355	252,861	268,976	172,738,852
Reinsurance commissions	-	647,348	843,487	190,705	722,357	535,200	2,939,097
Other underwriting income	664,697	1,191,890	6,154	9,942	7,710	5,530	1,885,923
TOTAL REVENUES	38,463,058	129,251,445	1,379,733	6,677,002	982,928	809,706	177,563,872

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	28,934,686	81,396,888	3,362,324	397,356	137,920	444,108	114,673,282
Reinsurers’ share of claims paid	(10,175,235)	(797,419)	(3,204,509)	(20,834)	(113,123)	(357,215)	(14,668,335)
Net claims paid	18,759,451	80,599,469	157,815	376,522	24,797	86,893	100,004,947
Changes in outstanding claims, net	887,918	14,226,056	(113,424)	1,643,022	21,223	(72,025)	16,592,770
Changes in IBNR, net	(2,487,383)	(967,853)	105,751	729,573	169,379	7,540	(2,442,993)
Other technical reserves	-	245,462	(32,273)	28,368	23,030	1,248	265,835
Net claims incurred	17,159,986	94,103,134	117,869	2,777,485	238,429	23,656	114,420,559
Additional premium reserves	-	-	1,294,021	-	(39,902)	-	1,254,119
Policy acquisition costs	4,563,096	9,745,072	534,456	487,134	531,784	279,738	16,141,280
Other underwriting expenses	3,546,299	1,504,735	15,620	17,337	22,419	12,152	5,118,562
TOTAL UNDERWRITING COSTS AND EXPENSES	25,269,381	105,352,941	1,961,966	3,281,956	752,730	315,546	136,934,520

NET UNDERWRITING INCOME	13,193,677	23,898,504	(582,233)	3,395,046	230,198	494,160	40,629,352

OTHER OPERATING (EXPENSES)/ INCOME
General and administrative expenses							(18,977,087)
Allowance for doubtful debts							(227,142)
Commission income on deposits							4,494,508
Unrealized loss on investments							473,872
Dividend and realized gain on investments							1,609,418
Others							(631)
TOTAL OTHER OPERATING (EXPENSES)/ INCOME							(12,627,062)

NET SURPLUS							28,002,290
Surplus transferred to Shareholders							(25,394,159)
NET RESULT AFTER SHAREHOLDERS’ TRANSFER OF SURPLUS TO SHAREHOLDERS							2,608,131

10. OPERATING SEGMENTS – (Continued)

	For the six months ended June 30, 2018 (Unaudited)
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total
	SAR
REVENUES
Gross premiums written	80,873,777	337,863,987	7,309,881	8,751,843	14,235,262	3,879,970	452,914,720
Reinsurance premiums ceded – local	-	(343,581)	(198,053)	(39,873)	(433,959)	(84,195)	(1,099,661)
Reinsurance premiums ceded – foreign	(19,044,109)	(5,603,425)	(6,176,729)	(3,382,161)	(12,327,983)	(3,137,440)	(49,671,847)
Excess of loss expenses	-	(4,958,729)	-	-	(926,500)	(431,000)	(6,316,229)
Net premiums written	61,829,668	326,958,252	935,099	5,329,809	546,820	227,335	395,826,983
Changes in unearned premiums, net	18,984,248	(76,854,700)	218,615	7,854,674	(169,309)	34,669	(49,931,803)
Net premiums earned	80,813,916	250,103,552	1,153,714	13,184,483	377,511	262,004	345,895,180
Reinsurance commissions	-	1,294,736	1,785,758	414,944	1,484,423	825,779	5,805,640
Other underwriting income	1,236,797	1,968,188	14,189	22,995	16,535	11,695	3,270,399
TOTAL REVENUES	82,050,713	253,366,476	2,953,661	13,622,422	1,878,469	1,099,478	354,971,219

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	55,736,399	174,889,752	5,035,307	1,346,573	727,991	735,883	238,471,905
Reinsurers’ share of claims paid	(20,115,285)	(1,599,432)	(4,706,413)	(20,834)	(688,988)	(586,666)	(27,717,618)
Net claims paid	35,621,114	173,290,320	328,894	1,325,739	39,003	149,217	210,754,287
Changes in outstanding claims, net	2,355,682	12,726,876	(206,779)	6,011,707	(50,271)	(22,126)	20,815,089
Changes in IBNR, net	477,438	(941,069)	254,992	1,562,658	457,802	(29,419)	1,782,402
Other technical reserves	-	429,010	(45,879)	25,766	44,707	2,123	455,727
Net claims incurred	38,454,234	185,505,137	331,228	8,925,870	491,241	99,795	233,807,505
Additional premium reserves	-	-	(283,891)	-	(333,316)	-	(617,207)
Policy acquisition costs	9,877,680	12,123,323	956,686	977,891	1,055,979	400,824	25,392,383
Other underwriting expenses	7,137,544	3,069,770	32,832	47,596	120,254	18,979	10,426,975
TOTAL UNDERWRITING COSTS AND EXPENSES	55,469,458	200,698,230	1,036,855	9,951,357	1,334,158	519,598	269,009,656

NET UNDERWRITING INCOME	26,581,255	52,668,246	1,916,806	3,671,065	544,311	579,880	85,961,563

OTHER OPERATING (EXPENSES)/ INCOME
General and administrative expenses							(37,023,853)
Allowance for doubtful debts							(3,595,628)
Commission income on deposits							9,523,241
Unrealized loss on investments							-
Dividend and realized gain on investments							1,024,834
Others							(16,711)
TOTAL OTHER OPERATING (EXPENSES)/ INCOME							(30,088,117)

NET SURPLUS							55,873,446
Surplus transferred to Shareholders							(50,559,203)
NET RESULT AFTER SHAREHOLDERS’ TRANSFER OF SURPLUS TO SHAREHOLDERS							5,314,243

10. OPERATING SEGMENTS – (Continued)

	For the three months ended June 30, 2017 (Unaudited)
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total
	SAR
REVENUES
Gross premiums written	74,917,045	194,431,488	5,603,937	6,608,770	5,832,325	1,306,651	288,700,216
Reinsurance premiums ceded – local	-	(479,998)	(614,068)	(24,809)	(261,769)	(68,786)	(1,449,430)
Reinsurance premiums ceded – foreign	(21,670,958)	(4,319,986)	(4,263,049)	(3,838,890)	(4,883,919)	(1,026,655)	(40,003,457)
Excess of loss expenses	-	(1,575,000)	-	-	(430,750)	(204,500)	(2,210,250)
Net premiums written	53,246,087	188,056,504	726,820	2,745,071	255,887	6,710	245,037,079
Changes in unearned premiums, net	(1,804,165)	(59,602,062)	203,414	4,703,354	107,366	322,543	(56,069,550)
Net premiums earned	51,441,922	128,454,442	930,234	7,448,425	363,253	329,253	188,967,529
Reinsurance commissions	-	1,011,510	1,528,771	422,207	975,540	671,501	4,609,529
Other underwriting income	111,146	1,262,297	6,710	13,274	9,365	6,335	1,409,127
TOTAL REVENUES	51,553,068	130,728,249	2,465,715	7,883,906	1,348,158	1,007,089	194,986,185

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	32,571,206	98,632,796	1,450,555	1,552,967	385,494	487,500	135,080,518
Reinsurers’ share of claims paid	(15,128,056)	(294,401)	(1,269,566)	(900,927)	(330,628)	(40,754)	(17,964,332)
Net claims paid	17,443,150	98,338,395	180,989	652,040	54,866	446,746	117,116,186
Changes in outstanding claims, net	(1,629,239)	2,447,763	(148,736)	1,794,934	(194,105)	25,941	2,296,558
Changes in IBNR, net	636,446	(3,534,510)	207,048	381,234	513,970	7,189	(1,788,623)
Other technical reserves	-	127,113	-	-	-	-	127,113
Net claims incurred	16,450,357	97,378,761	239,301	2,828,208	374,731	479,876	117,751,234
Additional premium reserves	-	(977,171)	1,316,279	133,589	-	-	472,697
Policy acquisition costs	6,923,413	6,492,885	598,032	630,542	704,615	380,871	15,730,358
Other underwriting expenses	5,582,011	1,285,188	25,984	34,065	103,799	14,379	7,045,426
TOTAL UNDERWRITING COSTS AND EXPENSES	28,955,781	104,179,663	2,179,596	3,626,404	1,183,145	875,126	140,999,715

NET UNDERWRITING INCOME	22,597,287	26,548,586	286,119	4,257,502	165,013	131,963	53,986,470

OTHER OPERATING (EXPENSES)/ INCOME
General and administrative expenses							(17,315,854)
Allowance for doubtful debts							(16,339,018)
Commission income on deposits							3,917,058
Unrealized loss on investments							(319,650)
Dividend and realized gain on investments							3,648,414
Others							8,064
TOTAL OTHER OPERATING EXPENSES)/ INCOME							(26,400,986)

NET SURPLUS							27,585,484
Surplus transferred to Shareholders							(25,134,976)
NET RESULT AFTER SHAREHOLDERS’ TRANSFER OF SURPLUS TO SHAREHOLDERS							2,450,508

10. OPERATING SEGMENTS – (Continued)

	For the six months ended June 30, 2017 (Unaudited)
Operating segments	Medical	Motor	Engineering	General Accident	Property	Others	Total
	SAR
REVENUES
Gross premiums written	115,197,228	352,613,055	13,200,568	14,423,564	17,697,806	4,775,489	517,907,710
Reinsurance premiums ceded - local	-	(869,482)	(1,380,903)	(78,341)	(878,260)	(294,286)	(3,501,272)
Reinsurance premiums ceded – foreign	(33,587,800)	(7,825,341)	(9,955,168)	(7,229,426)	(14,621,733)	(3,796,239)	(77,015,707)
Excess of loss expenses	-	(3,336,618)	-	-	(1,126,695)	(465,778)	(4,929,091)
Net premiums written	81,609,428	340,581,614	1,864,497	7,115,797	1,071,118	219,186	432,461,640
Changes in unearned premiums, net	16,499,388	(82,900,329)	(119,428)	7,682,935	(680,288)	823,423	(58,694,299)
Net premiums earned	98,108,816	257,681,285	1,745,069	14,798,732	390,830	1,042,609	373,767,341
Reinsurance commissions	-	2,346,311	2,830,364	915,872	2,243,321	920,812	9,256,680
Other underwriting income	98,064	3,148,303	14,923	30,072	20,597	12,985	3,324,944
TOTAL REVENUES	98,206,880	263,175,899	4,590,356	15,744,676	2,654,748	1,976,406	386,348,965

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	53,038,290	201,103,043	2,138,597	2,929,956	3,060,478	1,949,592	264,219,956
Reinsurers’ share of claims paid	(25,080,760)	(888,533)	(1,859,336)	(1,508,690)	(2,750,766)	(875,198)	(32,963,283)
Net claims paid	27,957,530	200,214,510	279,261	1,421,266	309,712	1,074,394	231,256,673
Changes in outstanding claims, net	6,073,147	12,623,899	(614,463)	2,812,966	(417,029)	(1,215,769)	19,262,751
Changes in IBNR, net	5,991,324	(4,635,743)	116,750	715,194	971,074	(75,003)	3,083,596
Other technical reserves	-	1,186,672	-	-	-	-	1,186,672
Net claims incurred	40,022,001	209,389,338	(218,452)	4,949,426	863,757	(216,378)	254,789,692
Additional premium reserves	-	(1,907,937)	561,431	492,080	-	-	(854,426)
Policy acquisition costs	14,166,028	12,899,903	1,135,947	1,203,939	1,354,579	544,190	31,304,586
Other underwriting expenses	11,504,495	3,046,767	75,102	282,474	768,708	28,773	15,706,319
TOTAL UNDERWRITING COSTS AND EXPENSES	65,692,524	223,428,071	1,554,028	6,927,919	2,987,044	356,585	300,946,171

NET UNDERWRITING INCOME	32,514,356	39,747,828	3,036,328	8,816,757	(332,296)	1,619,821	85,402,794

OTHER OPERATING (EXPENSES)/ INCOME
General and administrative expenses							(32,777,797)
Allowance for doubtful debts							(22,969,104)
Commission income on deposits							9,539,386
Unrealized loss on investments							(319,650)
Dividend and realized gain/(loss) on investments							(1,895,669)
Others							35,054
TOTAL OTHER OPERATING EXPENSES)/ INCOME							(48,387,780)

NET SURPLUS							37,015,014
Surplus transferred to Shareholders							(33,208,472)
NET RESULT AFTER SHAREHOLDERS’ TRANSFER OF SURPLUS TO SHAREHOLDERS							3,806,542

Disclosure of capital management [text block]

The authorized, issued and paid up capital of the Company was SAR275,000,000 at June 30, 2018 (December 31, 2017: SAR275,000,000) consisting of 27,500,000 shares (December 31, 2017: 27,500,000 shares) of SAR10 each.

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

	June 30, 2018
	Authorized and issued		Paid up
	No. of Shares	SAR
Trade Union Holding Co. – Bahrain	6,149,000	61,490,000	61,490,000
Al Ahleia Insurance Co. – Kuwait	2,750,000	27,500,000	27,500,000
Others	18,601,000	186,010,000	186,010,000
	27,500,000	275,000,000	275,000,000

	December 31, 2017
	Authorized and issued		Paid up
	No. of Shares	SAR
Trade Union Holding Co. – Bahrain	6,149,000	61,490,000	61,490,000
Al Ahleia Insurance Co. – Kuwait	2,750,000	27,500,000	27,500,000
Others	18,601,000	186,010,000	186,010,000
	27,500,000	275,000,000	275,000,000

14. CAPITAL MANAGEMENT

Objectives are set by the Company to maintain healthy capital ratios in order to support its business objectives and maximize 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.

In the opinion of the Board of Directors, the Company has fully complied with the externally imposed capital requirements during the reported financial period.

13.14

Disclosure of commitments and contingencies, general [text block]

a) The Company’s commitments and contingencies are as follows:

SAR

June 30, 2018

(Unaudited)

December 31, 2017

(Audited)

Letters of guarantee

24,681,428

20,187,612

b) The Company is subject to legal proceedings in the ordinary course of business. There was no material change in the status of legal proceedings as disclosed at December 31, 2017.

Disclosure of comparative figures [text block]

Certain prior period figures have been reclassified to conform to current period presentation.

Disclosure of board of director's approval of the financial statements [text block]

The interim condensed financial information have been approved by the Board, on 23 July, 2018, corresponding to 10 Dhul Qadah, 1439.

Disclosure of other notes relevant to understanding of financial statements [text block]

Interim condensed financial information

	SAR
	As at June 30, 2018 - (Unaudited)			As at December 31, 2017 - (Audited)
	Insurance operations	Share-holders’ operations	Total	Insurance operations	Share-holders’ operations	Total
ASSETS
Cash and cash equivalents	174,646,576	66,906,792	241,553,368	345,606,344	100,089,254	445,695,598
Premiums and reinsurers’ receivable - net	218,723,766	-	218,723,766	159,882,478	-	159,882,478
Reinsurers’ share of unearned premiums	43,765,261	-	43,765,261	49,737,244	-	49,737,244
Reinsurers’ share of outstanding claims	159,024,601	-	159,024,601	165,238,049	-	165,238,049
Reinsurers’ share of claims incurred but not reported	51,300,378	-	51,300,378	50,743,306	-	50,743,306
Deferred policy acquisition costs	25,051,931	-	25,051,931	23,893,516	-	23,893,516
Investments	-	136,613,682	136,613,682	7,118,190	96,008,482	103,126,672
Due from insurance operations	-	47,828,185	47,828,185	-	66,631,667	66,631,667
Due from related parties	174,548	-	174,548	130,647	-	130,647
Prepaid expenses and other assets	30,856,596	13,446,441	44,303,037	38,562,672	11,119,633	49,682,305
Long term/fixed income deposits	461,511,853	152,499,850	614,011,703	247,931,955	92,499,850	340,431,805
Property and equipment	6,786,240	-	6,786,240	7,328,781	-	7,328,781
Goodwill	-	4,496,500	4,496,500	-	4,496,500	4,496,500
Statutory deposit	-	27,500,000	27,500,000	-	27,500,000	27,500,000
Accrued income on statutory deposit	-	3,249,162	3,249,162	-	2,988,861	2,988,861
TOTAL ASSETS	1,171,841,750	452,540,612	1,624,382,362	1,096,173,182	401,334,247	1,497,507,429

16. SUPPLEMENTARY INFORMATION – (Continued)

	SAR
	As at June 30, 2018 - (Unaudited)			As at December 31, 2017 - (Audited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total
LIABILITIES
Accounts payable	55,682,905	-	55,682,905	41,230,845	-	41,230,845
Accrued and other liabilities	77,047,714	87,330	77,135,044	79,333,695	1,497,468	80,831,163
Reinsurers' balances payable	27,631,971	-	27,631,971	12,127,202	-	12,127,202
Unearned premiums	443,474,080	-	443,474,080	399,514,260	-	399,514,260
Unearned reinsurance commission	4,687,451	-	4,687,451	4,461,397	-	4,461,397
Outstanding claims	288,500,185	-	288,500,185	273,898,544	-	273,898,544
Claims incurred but not reported	174,738,575	-	174,738,575	172,399,101	-	172,399,101
Additional premium reserves	20,526,721	-	20,526,721	21,143,928	-	21,143,928
Other technical reserves	8,933,601	-	8,933,601	8,477,874	-	8,477,874
Due to shareholders’ operations	47,828,185	-	47,828,185	66,631,667	-	66,631,667
Due to related parties	-	459,532	459,532	-	-	-
End-of-service indemnities	10,376,812	-	10,376,812	9,855,362	-	9,855,362
Zakat and income tax	-	41,620,542	41,620,542	-	40,525,863	40,525,863
Accrued commission income payable to SAMA	-	3,249,162	3,249,162	-	2,988,861	2,988,861
TOTAL LIABILITIES	1,159,428,200	45,416,566	1,204,844,766	1,089,073,875	45,012,192	1,134,086,067

Accumulated surplus-insurance operations
Surplus distribution payable	12,717,762	-	12,717,762	7,403,519	-	7,403,519
End of service re-measurement loss recognized in OCI	(304,212)	-	(304,212)	(304,212)	-	(304,212)
TOTAL LIABILITIES AND ACCUMULATED SURPLUS	1,171,841,750	45,416,566	1,217,258,316	1,096,173,182	45,012,192	1,141,185,374


SHAREHOLDERS’ EQUITY
Share capital	-	275,000,000	275,000,000	-	275,000,000	275,000,000
Statutory reserve	-	29,254,253	29,254,253	-	29,254,253	29,254,253
Retained earnings	-	93,590,538	93,590,538	-	51,031,335	51,031,335
Fair value reserve gain on investments	-	9,279,255	9,279,255	-	1,036,467	1,036,467

TOTAL EQUITY	-	407,124,046	407,124,046	-	356,322,055	356,322,055
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	1,171,841,750	452,540,612	1,624,382,362	1,096,173,182	401,334,247	1,497,507,429

16. SUPPLEMENTARY INFORMATION – (Continued)

Interim condensed statement of income

	SAR
	For the three months period ended June 30, 2018 - (Unaudited)			For the three months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total

REVENUES
Gross premiums written	220,800,184	-	220,800,184	288,700,216	-	288,700,216
Reinsurance premiums ceded-local	(795,322)	-	(795,322)	(1,449,430)	-	(1,449,430)
Reinsurance premiums ceded-foreign	(25,627,266)	-	(25,627,266)	(40,003,457)	-	(40,003,457)
Excess of loss expenses	(3,198,750)	-	(3,198,750)	(2,210,250)	-	(2,210,250)
Net premiums written	191,178,846	-	191,178,846	245,037,079	-	245,037,079
Changes in unearned premiums, net	(18,439,994)	-	(18,439,994)	(56,069,550)	-	(56,069,550)
Net premiums earned	172,738,852	-	172,738,852	188,967,529	-	188,967,529
Reinsurance commissions	2,939,097	-	2,939,097	4,609,529	-	4,609,529
Other underwriting income	1,885,923	-	1,885,923	1,409,127	-	1,409,127
TOTAL REVENUES	177,563,872	-	177,563,872	194,986,185	-	194,986,185

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	(114,673,282)	-	(114,673,282)	(135,080,518)	-	(135,080,518)
Reinsurers’ share of claims paid	14,668,335	-	14,668,335	17,964,332	-	17,964,332
Net claims and other benefits paid	(100,004,947)	-	(100,004,947)	(117,116,186)	-	(117,116,186)
Changes in outstanding claims, net	(16,592,770)	-	(16,592,770)	(2,296,558)	-	(2,296,558)
Changes in IBNR, net	2,442,993	-	2,442,993	1,788,623	-	1,788,623
Other technical reserves	(265,835)	-	(265,835)	(127,113)	-	(127,113)
Net claims and other benefits incurred	(114,420,559)	-	(114,420,559)	(117,751,234)	-	(117,751,234)
Additional premium reserves	(1,254,119)	-	(1,254,119)	(472,697)	-	(472,697)
Policy acquisition costs	(16,141,280)	-	(16,141,280)	(15,730,358)	-	(15,730,358)
Other underwriting expenses	(5,118,562)	-	(5,118,562)	(7,045,426)	-	(7,045,426)
TOTAL UNDERWRITING COSTS AND EXPENSES	(136,934,520)	-	(136,934,520)	(140,999,715)	-	(140,999,715)

NET UNDERWRITING INCOME	40,629,352	-	40,629,352	53,986,470	-	53,986,470

16. SUPPLEMENTARY INFORMATION – (Continued)

	SAR
	For the three months period ended June 30, 2018 - (Unaudited)			For the three months period ended June 30, 2017 - (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total

OTHER OPERATING (EXPENSES)/ INCOME
Allowance for doubtful debts	(227,142)	-	(227,142)	(16,339,018)	-	(16,339,018)
General and administrative expenses	(18,888,719)	(88,368)	(18,977,087)	(16,372,427)	(943,427)	(17,315,854)
Commission income on deposits	3,575,748	918,760	4,494,508	3,369,906	547,152	3,917,058
Unrealized loss on investments	473,872	-	473,872	(319,650)	-	(319,650)
Dividend and realized gain on investments	518,826	1,090,592	1,609,418	171,727	3,476,687	3,648,414
Others	(631)	-	(631)	8,064	-	8,064
TOTAL OTHER OPERATING (EXPENSES)/ INCOME	(14,548,046)	1,920,984	(12,627,062)	(29,481,398)	3,080,412	(26,400,986)

NET (DEFICIT)/ SURPLUS FROM INSURANCE OPERATIONS	26,081,306	1,920,984	28,002,290	24,505,072	3,080,412	27,585,484
Surplus transferred to Shareholders	(23,473,175)	23,473,175	-	(22,054,564)	22,054,564	-
NET RESULT FROM INSURANCE OPERATIONS AFTER TRANSFER OF SURPLUS TO SHAREHOLDERS	2,608,131	25,394,159	28,002,290	2,450,508	25,134,976	27,585,484

Earnings per share
Basic EPS			1.02			1.00

16. SUPPLEMENTARY INFORMATION – (Continued)

Interim condensed statement of comprehensive income

	SAR
	For the three months period ended June 30, 2018 - (Unaudited)			For the three months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total
Surplus transferred to Shareholders	2,608,131	25,394,159	28,002,290	2,450,508	25,134,976	27,585,484

Other comprehensive income

*Items that are or may be reclassified to statement of income in subsequent periods*
- Available for sale investments:	-	1,275,093	1,275,093	-	738,630	738,630

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD	2,608,131	26,669,252	29,277,383	2,450,508	25,873,606	28,324,114

SUPPLEMENTARY INFORMATION – (Continued)

Interim condensed statement of income

	SAR
	For the six months period ended June 30, 2018 - (Unaudited)			For the six months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total

REVENUES
Gross premiums written	452,914,720	-	452,914,720	517,907,710	-	517,907,710
Reinsurance premiums ceded-local	(1,099,661)	-	(1,099,661)	(3,501,272)	-	(3,501,272)
Reinsurance premiums ceded-foreign	(49,671,847)	-	(49,671,847)	(77,015,707)	-	(77,015,707)
Excess of loss expenses	(6,316,229)	-	(6,316,229)	(4,929,091)	-	(4,929,091)
Net premiums written	395,826,983	-	395,826,983	432,461,640	-	432,461,640
Changes in unearned premiums, net	(49,931,803)	-	(49,931,803)	(58,694,299)	-	(58,694,299)
Net premiums earned	345,895,180	-	345,895,180	373,767,341	-	373,767,341
Reinsurance commissions	5,805,640	-	5,805,640	9,256,680	-	9,256,680
Other underwriting income	3,270,399	-	3,270,399	3,324,944	-	3,324,944
TOTAL REVENUES	354,971,219	-	354,971,219	386,348,965	-	386,348,965

UNDERWRITING COSTS AND EXPENSES
Gross claims paid	(238,471,905)	-	(238,471,905)	(264,219,956)	-	(264,219,956)
Reinsurers’ share of claims paid	27,717,618	-	27,717,618	32,963,283	-	32,963,283
Net claims and other benefits paid	(210,754,287)	-	(210,754,287)	(231,256,673)	-	(231,256,673)
Changes in outstanding claims, net	(20,815,089)	-	(20,815,089)	(19,262,751)	-	(19,262,751)
Changes in IBNR, net	(1,782,402)	-	(1,782,402)	(3,083,596)		(3,083,596)
Other technical reserves	(455,727)	-	(455,727)	(1,186,672)	-	(1,186,672)
Net claims and other benefits incurred	(233,807,505)	-	(233,807,505)	(254,789,692)	-	(254,789,692)
Additional premium reserves	617,207	-	617,207	854,426	-	854,426
Policy acquisition costs	(25,392,383)	-	(25,392,383)	(31,304,586)	-	(31,304,586)
Other underwriting expenses	(10,426,975)	-	(10,426,975)	(15,706,319)	-	(15,706,319)
TOTAL UNDERWRITING COSTS AND EXPENSES	(269,009,656)	-	(269,009,656)	(300,946,171)	-	(300,946,171)

NET UNDERWRITING INCOME	85,961,563	-	85,961,563	85,402,794	-	85,402,794

16. SUPPLEMENTARY INFORMATION – (Continued)

	SAR
	For the six months period ended June 30, 2018- (Unaudited)			For the six months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total

OTHER OPERATING (EXPENSES)/ INCOME
Allowance for doubtful debts	(3,595,628)	-	(3,595,628)	(22,969,104)	-	(22,969,104)
General and administrative expenses	(36,903,711)	(120,142)	(37,023,853)	(31,791,159)	(986,638)	(32,777,797)
Commission income on deposits	6,663,643	2,859,598	9,523,241	7,535,755	2,003,631	9,539,386
Unrealized loss on investments	-	-	-	(319,650)	-	(319,650)
Dividend and realized gain/(loss) on investments	1,033,272	(8,438)	1,024,834	171,727	(2,067,396)	(1,895,669)
Others	(16,711)	-	(16,711)	35,054	-	35,054
TOTAL OTHER OPERATING (EXPENSES)/ INCOME	(32,819,135)	2,731,018	(30,088,117)	(47,337,377)	(1,050,403)	(48,387,780)

NET SURPLUS / (DEICIT) FROM INSURANCE OPERATIONS	53,142,428	2,731,018	55,873,446	38,065,417	(1,050,403)	37,015,014
Surplus transferred to Shareholders	(47,828,185)	47,828,185	-	(34,258,875)	34,258,875	-
NET RESULT FROM INSURANCE OPERATIONS AFTER TRANSFER OF SURPLUS TO SHAREHOLDERS	5,314,243	50,559,203	55,873,446	3,806,542	33,208,472	37,015,014

Earnings per share
Basic EPS			2.03			1.35

16. SUPPLEMENTARY INFORMATION – (Continued)

Interim condensed statement of comprehensive income

	SAR
	For the six months period ended June 30, 2018- (Unaudited)			For the six months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total

Surplus transferred to Shareholders	5,314,243	50,559,203	55,873,446	3,806,542	33,208,472	37,015,014

Other comprehensive income

*Items that are or may be reclassified to statement of income in subsequent periods*
- Available for sale investments	-	8,242,788	8,242,788	-	6,017,182	6,017,182

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD	5,314,243	58,801,991	64,116,234	3,806,542	39,225,654	43,032,196

16. SUPPLEMENTARY INFORMATION – (Continued)

Interim condensed statement of cash flows

	SAR
	For the six months period ended June 30, 2018- (Unaudited)			For the six months period ended June 30, 2017- (Unaudited)
	Insurance operations	Shareholders’ operations	Total	Insurance operations	Shareholders’ operations	Total
CASH FLOWS FROM OPERATING ACTIVITIES
Net profit for the period	5,314,243	50,559,203	55,873,446	3,806,542	33,208,472	37,015,014

Adjustments for non-cash items:
Depreciation of property and equipment	968,568	-	968,568	903,771	-	903,771
Loss on disposal of property and equipment	13,659	-	13,659	(6,433)	-	(6,433)
Allowance for doubtful debts	3,595,628	-	3,595,628	22,969,104	-	22,969,104
Unrealized loss on investments	-	1,790,989	1,790,989	319,650	3,544,250	3,863,900
Provision for end-of-service indemnities	1,000,000	-	1,000,000	1,384,944	-	1,384,944

Changes in operating assets and liabilities:
Premiums and reinsurers’ receivable	(62,436,916)	-	(62,436,916)	(30,235,242)	-	(30,235,242)
Reinsurers’ share of unearned premiums	5,971,983	-	5,971,983	5,108,578	-	5,108,578
Reinsurers’ share of outstanding claims	6,213,448	-	6,213,448	14,833,166	-	14,833,166
Reinsurers’ share of claims incurred but not reported	(557,072)	-	(557,072)	(20,119,816)	-	(20,119,816)
Deferred policy acquisition costs	(1,158,415)	-	(1,158,415)	(1,101,847)	-	(1,101,847)
Due from related parties	(43,901)	-	(43,901)	1,268,004	-	1,268,004
Prepaid expenses and other assets	7,706,076	(2,326,808)	5,379,268	(654,618)	(1,222,340)	(1,876,958)
Accounts payables	14,452,060	-	14,452,060	5,022,444	-	5,022,444
Accrued and other liabilities	(2,285,981)	(1,410,138)	(3,696,119)	(62,551,554)	-	(62,551,554)
Reinsurers' balances payable	15,504,769	-	15,504,769	(8,970,979)	-	(8,970,979)
Unearned premiums	43,959,820	-	43,959,820	53,585,721	-	53,585,721
Unearned reinsurance commission	226,054	-	226,054	6,074	-	6,074
Outstanding claims	14,601,641	-	14,601,641	(7,363,562)	-	(7,363,562)
Claims incurred but not reported	2,339,474	-	2,339,474	23,203,412	-	23,203,412
Additional premium reserves	(617,207)	-	(617,207)	(854,426)	-	(854,426)
Other technical reserves	455,727	-	455,727	1,186,672	-	1,186,672
Due to related parties	-	459,532	459,532	-	-	-
Due from insurance operations	-	18,803,482	18,803,482	-	(34,258,875)	(34,258,875)
Due to shareholders’ operations	(18,803,482)	-	(18,803,482)	34,258,875	-	34,258,875
	36,420,176	67,876,260	104,296,436	35,998,480	1,271,507	37,269,987
End-of-service indemnities paid	(478,550)	-	(478,550)	(372,899)	-	(372,899)
Surplus paid to policy holders	-	-	-	(263)	-	(263)
Zakat and income tax paid	-	(6,905,321)	(6,905,321)	-	(5,581,026)	(5,581,026)
Net cash generated from/ (used in) operating activities	35,941,626	60,970,939	96,912,565	35,625,318	(4,309,519)	31,315,799

CASH FLOWS FROM INVESTING ACTIVITIES
Additions/disposals in investments	7,118,190	(34,153,401)	(27,035,211)	(5,275,076)	(8,145,502)	(13,420,578)
Additions/disposals in long term/fixed income deposits	(213,579,898)	(60,000,000)	(273,579,898)	(180,002,693)	(29,137,912)	(209,140,605)
Additions/disposals in property and equipment	(439,686)	-	(439,686)	(726,519)	-	(726,519)
Net cash used in investing activities	(206,901,394)	(94,153,401)	(301,054,795)	(186,004,288)	(37,283,414)	(223,287,702)

Net change in cash and cash equivalents	(170,959,768)	(33,182,462)	(204,142,230)	(150,378,970)	(41,592,933)	(191,971,903)
Cash and cash equivalents, beginning of the period	345,606,344	100,089,254	445,695,598	486,911,400	130,727,667	617,639,067
Cash and cash equivalents, end of the period	174,646,576	66,906,792	241,553,368	336,532,430	89,134,734	425,667,164

[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

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Interim condensed financial information

16. SUPPLEMENTARY INFORMATION – (Continued)

16. SUPPLEMENTARY INFORMATION – (Continued)

16. SUPPLEMENTARY INFORMATION – (Continued)

16. SUPPLEMENTARY INFORMATION – (Continued)

Other comprehensive income

SUPPLEMENTARY INFORMATION – (Continued)

16. SUPPLEMENTARY INFORMATION – (Continued)

16. SUPPLEMENTARY INFORMATION – (Continued)

Other comprehensive income

16. SUPPLEMENTARY INFORMATION – (Continued)