| 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] | Bupa Arabia for Cooperative Insurance Company (the “Company”) is a Saudi Joint Stock Company incorporated in the Kingdom of Saudi Arabia as per the Ministry of Commerce and Investment’s Resolution number 138/K dated 24 Rabi Thani 1429H (corresponding to 1 May 2008). The Commercial Registration number of the Company is 4030178881 dated 5 Jumad Awwal 1429H (corresponding to 11 May 2008). The Registered Office of the Company is situated at:Al-Khalediyah District, Prince Saud Al Faisal Street,Front of Saudi Airlines Cargo Building,P.O. Box 23807, Jeddah 21436, Kingdom of Saudi Arabia.The Company is licensed to conduct insurance business in the Kingdom of Saudi Arabia under cooperative principles in accordance with Royal Decree No. M/74 dated 29 Shabaan 1428H (corresponding to 11 September 2007) pursuant to the Council of Ministers’ Resolution No 279 dated 28 Shabaan 1428H (corresponding to 10 September 2007).The objective of the Company is to transact cooperative insurance operations and related activities in the Kingdom of Saudi Arabia in accordance with its articles of association, and applicable regulations in the Kingdom of Saudi Arabia. The Company underwrites medical insurance only. The Board of Directors approves the distribution of the surplus from insurance operations in accordance with the Implementing Regulations issued by the Saudi Arabian Monetary Authority (“SAMA”), whereby the shareholders of the Company are to receive 90% of the annual surplus from insurance operations and the policyholders are to receive the remaining 10%. Any deficit arising on insurance operations is transferred to the shareholders’ operations in full. | 1 |
| Disclosure of basis of preparation of financial statements [text block] | The interim condensed financial statements of the Company has been prepared in accordance with ‘International Accounting Standard 34 - Interim Financial Reporting ("IAS 34") as endorsed in the Kingdom of Saudi Arabia and other standards and pronouncement issued by Saudi Organisation for Certified Public Accountants (“SOCPA”). The financial statements of the Company as at and for the three-months period ended 31 March 2019 was prepared in compliance with IAS 34 as modified by SAMA for the accounting of zakat and income tax’ (relating to application of IAS 12 - “Income Taxes” and IFRIC 21 - “Levies” so far as these relate to zakat and income tax). The Company has updated its accounting policy to account for zakat and income taxes in the statement of income based on the recent instructions issued. This aligns with the IFRS that are endorsed in the Kingdom of Saudi Arabia and other pronouncements and standards endorsed by Saudi Organization of Certified Public Accountants (“SOCPA”). Accordingly, the Company changed its accounting treatment for zakat and income tax by retrospectively adjusting the impact in line with International Accounting Standard 8 Accounting Policies, Changes in Accounting Estimates and Errors. | 2 |
| Disclosure of accounting framework used in preparation of financial statements [text block] | As required by the Saudi Arabian Insurance Regulations (the Implementation Regulations), the Company maintains separate books of accounts for “Insurance Operations” and “Shareholders’ Operations”. Accordingly, assets, liabilities, revenues and expenses attributable to either operation, are recorded in the respective accounts. Note 20 to these interim condensed financial statements provides the statement of financial position, statements of income, comprehensive income and cash flows of the insurance operations and shareholders operations, separately.The interim condensed financial statements do not include all of the information required for full annual financial statements and should be read in conjunction with the annual financial statements as of and for the year ended 31 December 2019. The interim condensed financial statements may not be considered indicative of the expected results for the full year.These interim condensed financial statements are expressed in Saudi Arabian Riyals (SAR) and are rounded off to the nearest thousand. | |
| Disclosure of new standards and amendments in standards [text block] | The following new standards, amendments and revisions to existing standards, which were issued by the International Accounting Standards Board (IASB) have been effective from 1 January 2020 and accordingly adopted by the Company, as applicable:Standard / AmendmentsDescriptionAmendments to IAS 1 and IAS 8Definition of MaterialAmendments to IFRS 3Definition of a BusinessConceptual FrameworkAmendments to References to Conceptual Framework in IFRS StandardsThe adoption of the amended standards and interpretations applicable to the Company did not have any significant impact on these interim condensed financial statements. | |
| Disclosure of issued IFRS not yet adopted [text block] | Standards issued but not yet effective up to the date of issuance of the Company’s interim condensed financial statements are listed below. The Company intends to adopt these standards when they become effective.Standard/InterpretationDescriptionEffective from periods beginning on or after the following dateIFRS 17Insurance Contracts See note belowIFRS 9Financial InstrumentsSee note belowIFRS 17 – Insurance ContractsOverviewThis standard has been published on 18 May 2017, it establishes the principles for the recognition, measurement, presentation and disclosure of insurance contracts and supersedes IFRS 4 – Insurance contracts.The new standard applies to insurance contracts issued, to all reinsurance contracts and to investment contracts with discretionary participating features provided the entity also issues insurance contracts. It requires to separate the following components from insurance contracts:i)embedded derivatives, if they meet certain specified criteria;ii)distinct investment components; andiii)any promise to transfer distinct goods or non-insurance services.These components should be accounted for separately in accordance with the related standards (IFRS 9 and IFRS 15).MeasurementIn contrast to the requirements in IFRS 4, which permitted insurers to continue to use the accounting policies for measurement purposes that existed prior to January 2015, IFRS 17 provides the following different measurement models:The General model is based on the following “building blocks”:a)the fulfilment cash flows (FCF), which comprise:probability-weighted estimates of future cash flows,an adjustment to reflect the time value of money (i.e. discounting) and the financial risks associated with those future cash flows,and a risk adjustment for non-financial risk;b)the Contractual Service Margin (CSM). The CSM represents the unearned profit for a group of insurance contracts and will be recognized as the entity provides services in the future. The CSM cannot be negative at inception; any net negative amount of the fulfilment cash flows at inception will be recorded in profit or loss immediately. At the end of each subsequent reporting period the carrying amount of a group of insurance contracts is remeasured to be the sum of:the liability for remaining coverage, which comprises the FCF related to future services and the CSM of the group at that date;and the liability for incurred claims, which is measured as the FCF related to past services allocated to the group at that date.IFRS 17 – Insurance Contracts (continued)The CSM is adjusted subsequently for changes in cash flows related to future services but the CSM cannot be negative, so changes in future cash flows that are greater than the remaining CSM are recognized in profit or loss. Interest is also accreted on the CSM at rates locked in at initial recognition of a contract (i.e. discount rate used at inception to determine the present value of the estimated cash flows). Moreover, the CSM will be released into profit or loss based on coverage units, reflecting the quantity of the benefits provided and the expected coverage duration of the remaining contracts in the group.The Variable Fee Approach (VFA) is a mandatory model for measuring contracts with direct participation features (also referred to as ‘direct participating contracts’). This assessment of whether the contract meets these criteria is made at inception of the contract and not reassessed subsequently. For these contracts, the CSM is also adjusted for in addition to adjustment under general model;i)changes in the entity’s share of the fair value of underlying items,ii)changes in the effect of the time value of money and financial risks not relating to the underlying items.In addition, a simplified Premium Allocation Approach (PAA) is permitted for the measurement of the liability for the remaining coverage if it provides a measurement that is not materially different from the general model or if the coverage period for each contract in the group is one year or less. With the PAA, the liability for remaining coverage corresponds to premiums received at initial recognition less insurance acquisition cash flows. The general model remains applicable for the measurement of incurred claims. However, the entity is not required to adjust future cash flows for the time value of money and the effect of financial risk if those cash flows are expected to be paid/received in one year or less from the date the claims are incurred.Effective dateThe IASB issued an Exposure Draft Amendments to IFRS 17 during June 2019 and received comments from various stakeholders. The IASB is currently re-deliberating issues raised by stakeholders. For any proposed amendments to IFRS 17, the IASB will follow its normal due process for standard-setting. The effective date of IFRS 17 and the deferral of the IFRS 9 temporary exemption in IFRS 4, is currently 1 January 2021. Under the current exposure draft, it is proposed to amend the IFRS 17 effective date to reporting periods beginning on or after January 1, 2023. This is a deferral of 1 year compared to the previous date of 1 January 2021. Earlier application is permitted if both IFRS 15 – Revenue from Contracts with Customers and IFRS 9 – Financial Instruments have also been applied. The Company intend to apply the standard on its effective date.TransitionRetrospective application is required. However, if full retrospective application for a group of insurance contracts is impracticable, then the entity is required to choose either a modified retrospective approach or a fair value approach.Presentation and DisclosuresThe Company expects that the new standard will result in a change to the accounting policies for insurance contracts together with amendments to presentation and disclosures.ImpactThe Company is currently assessing the impact of the application and implementation of IFRS 17. The Company does not expect a significant financial impact from adopting the standard due to the short-term nature of its insurance contracts and the related settlement patterns of its cash flows. The company also does not expect a significant impact on its reinsurance arrangements from adopting the standard, given their immateriality. The Company, however, expects that adopting the standard will likely have an impact on IT systems, data requirements and accounting policies to address additional presentation and disclosure requirements. At the date of publication of these financial statements, it was not practicable to quantify the potential impact of adopting IFRS 17. IFRS 9 - Financial Instruments This standard was published on 24 July 2014 and has replaced IAS 39. The new standard addresses the following items related to financial instruments:Classification and measurementIFRS 9 uses a single approach to determine whether a financial asset is measured at amortized cost, fair value through other comprehensive income or fair value through profit or loss. A financial asset is measured at amortized cost if both:i)the asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows and;ii)the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding (“SPPI”).The financial asset is measured at fair value through other comprehensive income and realized gains or losses would be recycled through profit or loss upon sale, if both conditions are met:i)the asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows and for sale and;ii)the contractual terms of cash flows are SPPI.Assets not meeting either of these categories are measured at fair value through profit or loss. Additionally, at initial recognition, an entity can use the option to designate a financial asset at fair value through profit or loss if doing so eliminates or significantly reduces an accounting mismatch.For equity instruments that are not held for trading, an entity can also make an irrevocable election to present in other comprehensive income subsequent changes in the fair value of the instruments (including realized gains and losses), dividends being recognized in profit or loss.Additionally, for financial liabilities that are designated as at fair value through profit or loss, the amount of change in the fair value of the financial liability that is attributable to changes in the credit risk of that liability is recognized in other comprehensive income, unless the recognition of the effects of changes in the liability’s credit risk in other comprehensive income would create or enlarge an accounting mismatch in profit or loss.ImpairmentThe impairment model under IFRS 9 reflects expected credit losses, as opposed to incurred credit losses under IAS 39. Under the IFRS 9 approach, it is no longer necessary for a credit event to have occurred before credit losses are recognized. Instead, an entity always accounts for expected credit losses and changes in those expected credit losses. The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial recognition.Hedge accountingIFRS 9 introduces new requirements for hedge accounting that align hedge accounting more closely with Risk Management. The requirements establish a more principles-based approach to the general hedge accounting model. The amendments apply to all hedge accounting with the exception of portfolio fair value hedges of interest rate risk (commonly referred to as “fair value macro hedges”). For these, an entity may continue to apply the hedge accounting requirements currently in IAS 39. This exception was granted largely because the IASB is addressing macro hedge accounting as a separate project.Effective dateThe published effective date of IFRS 9 was 1 January 2018. However, amendments to IFRS 4 – Insurance Contracts: Applying IFRS 9 – Financial Instruments with IFRS 4 – Insurance Contracts, published on 12 September 2016, changes the existing IFRS 4 to allow entities issuing insurance contracts within the scope of IFRS 4 to mitigate certain effects of applying IFRS 9 before the IASB’s new insurance contract standard (IFRS 17 – Insurance Contracts) becomes effective. The amendments introduce two alternative options:1)apply a temporary exemption from implementing IFRS 9 until the earlier ofa)the effective date of a new insurance contract standard; orb)annual reporting periods beginning on or after 1 January 2021. The IASB is proposing to extend the effective date of IFRS 17 and the IFRS 9 temporary exemption in IFRS 4 to 1 January 2023. Additional disclosures related to financial assets are required during the deferral period. This option is only available to entities whose activities are predominately connected with insurance and have not applied IFRS 9 previously; or;2)adopt IFRS 9 but, for designated financial assets, remove from profit or loss the effects of some of the accounting mismatches that may occur before the new insurance contract standard is implemented. During the interim period, additional disclosures are required.The Company has performed a detailed assessment beginning 1 January 2017: (1) The carrying amount of the Company’s liabilities arising from contracts within the scope of IFRS 4 (including deposit components or embedded derivatives unbundled from insurance contracts) were compared to the total carrying amount of all its liabilities; and (2) the total carrying amount of the company’s liabilities connected with insurance were compared to the total carrying amount of all its liabilities. Based on these assessments the Company determined that it is eligible for the temporary exemption. Consequently, the Company has decided to defer the implementation of IFRS 9 until the effective date of the new insurance contracts standard. Disclosures related to financial assets required during the deferral period are included in the Company’s financial statements.Impact assessmentAs at 31 March, 2020, the Company has total financial assets and insurance related assets amounting to SR 7,722 million and SR 3,224 million, respectively. Financial assets mainly represents investments held to maturity which consist of cash and cash equivalents, term deposits and designated sukuk amounting to SR 6,932 million (2019: SR 5,511 million), Investments held at fair value through statement of income as at 31 March 2020 at SR 698 million (2019: SR 270 million) and investments held as available for sale investments amounting to SR 1,685 million (2019: SR 1,440 million). The Company is yet to fully assess changes from the application and implementation of IFRS 9, however at this stage, the Company does not expect the classification and measurement of financial assets to be impacted by IFRS9 implementation. | |
| Disclosure of critical accounting judgements, estimates and assumptions, general [text block] | The preparation of interim condensed financial statements 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 expenses. Actual results may differ from these estimates.In preparing these interim condensed financial statements, 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 statements as at and for the year ended 31 December 2019. | 2.b |
| Disclosure of functional and presentation currency [text block] | The preparation of interim condensed financial statements 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 expenses and the accompanying notes disclosures including disclosure of contingent liabilities. Actual results may differ from these estimates.In preparing these interim condensed financial statements, 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 statements as at and for the year ended 31 December 2019. However, the Company has reviewed the key sources of estimation uncertainties disclosed in the last annual financial statements against the backdrop of the COVID-19 pandemic. Management is unable at this time to reasonably quantify the estimation uncertainties as disclosed in note 21 to these interim condensed financial statements. Management will continue to assess the situation, and reflect any required changes in future reporting periods. | |
| Disclosure of going concern [text block] | The interim condensed financial statements are prepared under the going concern basis and the historical cost convention, except for the measurement of investments at their fair value through statement of income (FVIS) and available-for-sale investments. The Company’s interim condensed statement of financial position is presented in order of liquidity. Except for available-for-sale investments, fixtures, furniture and Right-of-use assets, intangible assets, goodwill, statutory deposit, accrued income on statutory deposit, provision for end-of-service benefits and accrued income payable to SAMA, all other assets and liabilities are of short-term nature, unless, stated otherwise. | |
| Disclosure of summary of significant accounting policies [abstract] | | |
| Disclosure of summary of significant accounting policies, general comment [text block] | The following new standards, amendments and revisions to existing standards, which were issued by the International Accounting Standards Board (IASB) have been effective from 1 January 2020 and accordingly adopted by the Company, as applicable: | 3 |
| Description of accounting policy for seasonality of operations [text block] | Due to the seasonality of operations, operating profits are expected to fluctuate from one period to another. | |
| Disclosure of notes forming part of accounts [abstract] | | |
| Disclosure of investments [text block] | Investments are classified as follows:31 March 2020 (Unaudited)31 December 2019 (Audited)Insurance operationsShareholders’ operationsTotalInsurance operationsShareholders’ operationsTotalSAR’000Held as FVIS 454,283243,579697,862161,548107,968269,516Available-for-sale 526,2411,158,2981,684,539564,003876,0631,440,066Held to maturity--131,250131,250--131,250131,250980,5241,533,1272,513,651725,5511,115,2811,840,832(i)Investments held as FVIS comprise of the following:31 March 2020 (Unaudited)Insurance operations Shareholders’ operationsDomesticInternationalDomesticInternationalTotalSR’000Sukuks25,025--78,079--103,104Funds429,258--165,500--594,758454,283--243,579--697,86231 December 2019 (Audited)Insurance operations Shareholders’ operationsDomesticInternationalDomesticInternationalTotalSR’000Sukuks25,025--78,078--103,103Funds136,523--29,890--166,413161,548--107,968--269,516(ii)Available-for-sale investments comprise of the following:31 March 2020 (Unaudited)Insurance operations Shareholders’ operationsDomesticInternationalDomesticInternationalTotalSR’000Sukuks233,576258,246655,104181,9641,328,890Funds--34,419110,7435,833150,995Equities----114,808--114,808Investments in discretionary portfolios----89,846--89,846233,576292,665970,501187,7971,684,53931 December 2019 (Audited)Insurance operations Shareholders’ operations DomesticInternationalDomesticInternationalTotalSR’000Sukuks238,899287,287461,248180,5451,167,979Funds--37,817112,3147,782157,913Investments in discretionary portfolios ----114,174--114,174238,899325,104687,736188,3271,440,066(iii)Held to maturity investments comprise of the following:31 March 2020 (Unaudited)Insurance operations Shareholders’ operationsDomesticInternationalDomesticInternationalTotalSR’000Sukuks----131,250--131,250----131,250--131,25031 December 2019 (Audited)Insurance operations Shareholders’ operations DomesticInternationalDomesticInternationalTotalSR’000Sukuks----131,250--131,250----131,250--131,250The movements in the investments balance are as follows:31 March 2020 (Unaudited)Insurance operationsShareholders’ operationsTotalSAR‘000Balance at the beginning of the period725,5511,115,2811,840,832Purchased during the period552,813609,4191,162,232Disposed during the period(283,790)(153,508)(437,298)Unrealized gain during the period, net(14,050)(38,065)(52,115)980,5241,533,1272,513,65131 December 2019 (Audited)Insurance operationsShareholders’ operationsTotalSAR‘000Balance at the beginning of the year810,175811,3161,621,491Purchased during the year2,037,4491,664,7123,702,161Disposed during the year(2,154,358)(1,402,277)(3,556,635)Unrealized losses during the year, net 32,28541,53073,815725,5511,115,2811,840,832 | 6 |
| Disclosure of investments held-to-maturity [text block] | The term deposits are held with reputable commercial banks and financial institutions. These deposits are predominately in Murabaha structure with a small allocation in Mudaraba structure. They are mostly denominated in Saudi Arabian Riyals and have an original maturity from more than Three-month to more than one year and yield financial income at rates ranging from 2% to 4.3% per annum. The movements in term deposits during the period ended 31 March 2020 as follows:31 March 2020 (Unaudited)Insurance operationsShareholders’ operationsTotalSAR‘000Balance at the beginning of the period3,347,9651,716,0115,063,976Matured during the period(634,000)(475,087)(1,109,087)Placed during the period314,105150,000464,1053,028,0701,390,9244,418,99431 December 2019 (Audited)Insurance operationsShareholders’ operationsTotalSAR‘000Balance at the beginning of the year3,033,7431,681,5384,715,281Matured during the year(2,162,343)(1,126,451)(3,288,794)Placed during the year2,476,5651,160,9243,637,4893,347,9651,716,0115,063,976 | 6 |
| Disclosure of premiums/ contributions and insurance/ reinsurance or takaful/ retakaful balance receivables [text block] | "Receivables amounts due from the following: 31 March 2020(Unaudited) 31 December 2019(Audited) SAR’000 SAR’000 Policyholders 1,550,786 1,287,810Brokers 969,312 598,754Related parties (note 14) 23,068 -- 2,543,166 1,886,564Provision for doubtful receivables (221,755) (197,187)Premiums receivable – net 2,321,411 1,689,377" | 5 |
| Disclosure of cash and cash equivalents [text block] | Cash and cash equivalents comprise of the following:31 March 2020 (Unaudited)Insurance operationsShareholders’ OperationsTotalSAR‘000Bank balances 429,453 190,990 620,443Term deposit168,454-168,454 597,907 190,990 788,89731 December 2019 (Audited)Insurance operationsShareholders’ operationsTotalSAR‘000Bank balances 230,946 118,767 349,713Term deposit215,996100,000315,996 446,942 218,767 665,709The amount payable to/receivable from shareholders’ operations is settled by transfer of cash at each reporting date. During the three-months period ended 31 March 2020, the insurance operations transferred cash of SR 29.9 million to the shareholders’ operations (31 December 2019: SR 99 million). | 4 |
| Disclosure of zakat [text block] | Breakup of zakat and income tax charge for the three-month period ended 31 March 2020 and 2019 are as follows: Three-months period ended 31 March 2020 (Unaudited) Three-month period ended 31 March2019 (Unaudited) SAR’000 SAR’000 Current zakat charge 14,970 11,026 Current tax charge 8,363 7,564Deferred tax charge (note 15.a) 2,589 5,696 10,952 13,260 25,922 24,286a) The reconciliation of deferred tax is as follows: 31 March 2020 31 December 2019 31 March 2019 SAR’000 SAR’000 SAR’000 Opening deferred tax asset 30,216 25,552 25,552Deferred tax (charge) / income (2,589) 4,664 (5,696) 27,627 30,216 19,856Movements in the Zakat and income tax accrued during the period ended 31 March 2020 and year ended 31 December 2019 respectively are as follows: Zakat Payable Income taxPayable Total 31 March 2020 (Unaudited) Total31 December2019 (Audited) SAR’000 SAR’000 SAR’000 SAR’000 Balance at beginning of the period/year 232,444 42,265 274,709 199,784Provided during the period/year 14,970 8,363 23,333 123,520Payments during the period/year (22) (10,551) (10,573) (48,595)Balance at end of the period/year 247,392 40,077 287,469 274,709Status of assessments The Company has filed its zakat and income tax returns for the financial years up to and including the year 2018 with the General Authority of Zakat and Tax (the “GAZT”). The Company has received assessments for the fiscal periods 2008 through 2010, 2013 through 2016 and 2018 of additional zakat, corporate income tax and withholding tax in addition to delay fines on various assessed items. The additional assessed amounts have mainly arisen due to the disallowance of investments and statutory deposits from the zakat base as well as not taking into consideration some taxes and zakats which have been already settled upon the annual declarations. The Company has filed appeals against all assessments raised with the GAZT and GSTC. For the years 2011 and 2012, the Company has received Preliminary Objection Committee’s decisions in favour of the GAZT for the additional zakat liability of SR 17 million and has filed an appeal with the Higher Appeal Committee.Following the recent change in Law, the cases were transferred to the General Secretariat of Tax Committees. A hearing is yet to be assigned to review the Company's case. | 15 |
| Disclosure of classes of share capital [text block] | The authorised, issued and paid-up capital of the Company was SAR 1,200 million at 31 March 2020 (31 December 2019: SAR 1,200 million) consisting of 120 million shares (31 December 2019: 120 million shares) of SAR 10 each. Shareholding structure of the Company is as below: 31 March 2020 (Unaudited)31 December 2019(Audited)Holding percentageSR‘000Holding percentage SR‘000Major shareholders52.3%628,06652.3%628,066General Public47.7%571,93447.7%571,934100.0%1,200,000100.0%1,200,000 | 16 |
| Disclosure of statutory reserve [text block] | As required by the Saudi Arabian Insurance Regulations, 20% of the shareholders’ income shall be set aside as a statutory reserve until this reserve amounts to 100% of the paid-up share capital. The Company makes this transfer on an annual basis at 31 December. As at 31 March 2020, SR 727.9 million (31 December 2019: SR 727.9 million) had been set aside as a statutory reserve, representing 61% (31 December 2019: 61%) of the paid-up share capital. | 17 |
| Disclosure of technical reserve for insurance/takaful/reinsurance/retakaful operations [text block] | 9.1 Movement in unearned premiumsMovements in unearned premiums are as follows:Three-month ended 31 March 2020 (Unaudited)GrossReinsuranceNetSAR‘000Balance at 1 January 20204,376,219(20,625)4,355,594Premium written/(ceded) during the period3,469,978(17,564)3,452,414Premium earned during the period(2,687,120)14,764(2,672,356)5,159,077(23,425)5,135,652Year ended 31 December 2019 (Audited)GrossReinsuranceNetSAR‘000Balance at 1 January 20193,428,131(6,320)3,421,811Premium written/(ceded) during the year10,410,868(105,794)10,305,074Premium earned during the year(9,462,780)91,489(9,371,291)4,376,219(20,625)4,355,5949.2 Net outstanding claims and reservesNet outstanding claims and other technical reserves comprise of the following:31 March 2020(Unaudited)31 December 2019(Audited)SAR’000SAR’000Outstanding claims441,811451,788Claims incurred but not reported 1,151,5641,157,428Claims handling reserves 18,40918,4921,611,7841,627,708Less:- Reinsurers’ share of outstanding claims(1,292)(1,218)- Reinsurers’ share of claims incurred but not reported(5,226)(3,972)(6,518)(5,190)Net outstanding claims and reserves1,605,2661,622,518 | 9.2 |
| Disclosure of earnings per share [text block] | The basic earnings per share have been calculated by dividing net income for the period by the weighted average number of ordinary shares issued and outstanding at the period end. Diluted earnings per share are not applicable to the Company.Basic earnings per share has also been revised due to change in accounting policy for the presentation of Zakat and Income tax as explained in note 3(a) to these interim condensed financial statements. | 19 |
| 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 their related balances:Related partyNature of transactionAmount of transactions for the period ended Receivable/(payable) balance as at31 March 2020(Unaudited)SR’00031 March 2019(Unaudited)SR’00031 March 2020(Unaudited)SR’00031 December 2019(Audited)SR’000ShareholdersInsurance premium written357,988143,72123,068**(285)**ShareholdersReinsurance Premium ceded 13,0444,033(55,932)*(55,319)*ShareholdersClaims paid15,68825,306(1,743)***(14,010)***ShareholdersMedical costs charged by providers18,81815,705(2,070)***(9,824)***ShareholdersExpenses charged to/from a related party - net13669163*779*ShareholdersTax equalisation - net--6,131----ShareholdersBoard members fees225225(225)*(700)*Bupa Middle East Holdings Two W.L.L. (Related party)Trade mark fee 6,6995,539(30,307)*(23,608)* * Amounts due to related parties amounted to SR 86,301 thousand (2019: SR 78,848 thousand).** Amounts included in premium receivables (note 5).*** Amounts are included in the outstanding claims.The remuneration of the key management personnel during the period ended 31 March is as follows: 31 March 2020 (Unaudited)31 March 2019 (Unaudited)SAR’000SAR’000Short-term benefits6,1336,080Long-term benefits2,8641,6448,9977,724Short-term benefits include salaries, allowances, annual bonuses and incentives whilst long-term benefits include employees’ end of service benefits and the LTIP.? | 14 |
| Disclosure of entity's operating segments [text block] | The Company only issues short-term insurance contracts for providing health care services (‘medical insurance’). All the insurance operations of the Company are carried out in the Kingdom of Saudi Arabia. For management reporting purposes, the operations are monitored in two customer categories, based on the number of members covered. Major customers represent members of large corporations, and all others are considered as non-major. Operating segments are reported in a manner consistent with internal reporting provided to the Chief Executive Team, who is responsible for allocating resources and assessing the performance of operating segments in line with the strategic decisions.Operating segments do not include shareholders’ operations of the Company.Segment results do not include investment and commission income, other income, selling and marketing expenses and general and administration expenses.Segment assets do not include cash and cash equivalents, term deposits, investments, and prepayments and other assets. Segment liabilities do not include reinsurance balance payable, accrued expenses and other liabilities, due to shareholders’ operations, share based payment and policyholders’ share of surplus from insurance operations.Consistent with the Company’s internal reporting, operating segments have been approved by the management in respect of the Company’s activities, assets and liabilities as stated below:As at 31 March 2020 (Unaudited)Insurance operationsOperating segmentsMajor customersNon-Major customersTotal Insurance operationsShareholders’ operationsTotalSAR’000SAR’000SAR’000Assets Premiums receivable – net1,363,763957,6482,321,411--2,321,411Reinsurers’ share of unearned premiums10,69512,73023,425--23,425Reinsurers’ share of outstanding claims5507421,292--1,292Reinsurers’ share of claims incurred but not reported2,1513,0755,226--5,226Deferred policy acquisition costs86,45555,274141,729--141,729Unallocated assets4,819,3813,633,0038,452,384Total assets 7,312,4643,633,00310,945,467LiabilitiesUnearned premiums3,214,0391,945,0385,159,077--5,159,077Outstanding claims316,112125,699441,811--441,811Claims incurred but not reported833,639317,9251,151,564--1,151,564Claims handling reserve13,2495,16018,409--18,409Unallocated liabilities544,542577,4111,121,953Total liabilities 7,315,403577,4117,892,81431 December 2019Insurance operationsOperating segments Major customers Non-major customers Total - Insurance operationsShareholders’ operationsTotalSR’000SR’000SR’000ASSETSPremiums receivable – net992,461696,9161,689,377--1,689,377Reinsurers’ share of unearned premiums10,8199,80620,625--20,625Reinsurers’ share of outstanding claims5266921,218--1,218Reinsurers’ share of claims incurred but not reported1,2132,7593,972--3,972Deferred policy acquisition costs81,75352,269134,022--134,022Unallocated assets4,742,8823,589,0008,331,882Total assets 6,592,0963,589,00010,181,096LIABILITIESUnearned premiums2,717,3871,658,8324,376,219--4,376,219Outstanding claims327,541124,247451,788--451,788Claims incurred but not reported845,862311,5661,157,428--1,157,428Claims handling reserve13,4605,03218,492--18,492Unallocated liabilities575,665556,6071,132,272Total liabilities 6,579,592556,6077,136,199Three-month period ended 31 March 2020(Unaudited) Operating segments Major customers Non-Major customers TotalSAR’000REVENUESGross written premium 2,315,2081,154,770 3,469,978 Reinsurance premiums ceded – Local(754)(376) (1,130)Reinsurance premiums ceded – International(10,965)(5,469) (16,434)Net premiums written2,303,4891,148,925 3,452,414 Changes in unearned premiums – net(496,776)(283,282) (780,058)Net premiums earned1,806,713865,643 2,672,356 UNDERWRITING COSTS AND EXPENSESGross claims paid (1,670,955)(667,095)(2,338,050)Reinsurers’ share of claims paid1,9067612,667Net claims paid (1,669,049)(666,334)(2,335,383)Changes in outstanding claims11,429(1,452)9,977Changes in claims incurred but not reported12,223(6,359)5,864Changes in claims handling reserves211(128)83Reinsurance share of changes in outstanding claims245074Reinsurance share of changes in claims incurred but not reported9383161,254Net claims incurred(1,644,224)(673,907)(2,318,131)Policy acquisition costs(37,747)(25,164)(62,911)TOTAL UNDERWRITING COSTS AND EXPENSES(1,681,971)(699,071)(2,381,042)NET UNDERWRITING INCOME124,742166,572291,314OTHER OPERATING (EXPENSES)/ INCOMEAllowance for doubtful receivables (26,110)Unallocated income 67,151Unallocated expenses(243,864)TOTAL OTHER OPERATING (EXPENSES)/INCOME(202,823)Income before Surplus, Zakat & Income Tax88,491Income attributed to insurance operations (transfer to surplus payable)(5,747)Income attributed to the shareholders before zakat and income tax82,744Zakat charge(15,043)Income tax charge (7,583)NET INCOME ATTRIBUTABLE TO THE SHAREHOLDERS AFTER ZAKAT AND INCOME TAX60,118Gross Written Premium details Three-month period ended 31 March 2020SAR’000Corporates2,614,930Medium Enterprises 626,692Small Enterprises 204,430Micro Enterprises 18,080Individuals5,846Total Gross Written Premium3,469,978Three months period ended 31 March 2019(Unaudited) Operating segments Major customers Non-major customers TotalSAR’000REVENUESGross written premium 1,789,2351,116,2122,905,447Reinsurance premiums ceded – Local(1,771)(724)(2,495)Reinsurance premiums ceded – International(12,904)(5,270)(18,174)Net premiums written1,774,5601,110,2182,884,778Changes in unearned premiums – net(353,864)(333,590)(687,454)Net premiums earned1,420,696776,6282,197,324UNDERWRITING COSTS AND EXPENSESGross claims paid (1,304,798) (627,083)(1,931,881)Reinsurers’ share of claims paid 8,408 4,041 12,449Net claims paid (1,296,390) (623,042)(1,919,432)Changes in outstanding claims 19,537 10,989 30,526Changes in claims incurred but not reported (14,352) (8,073) (22,425) Changes in claims handling reserves 224 126 350 Reinsurance share of changes in outstanding claims (28) (4) (32)Reinsurance share of changes in claims incurred but not reported(8) (1)(9)Net claims incurred(1,291,017)(620,005)(1,911,022)Policy acquisition costs (35,055) (22,826)(57,881)TOTAL UNDERWRITING COSTS AND EXPENSES(1,326,072)(642,831)(1,968,903)NET UNDERWRITING INCOME 94,624 133,797 228,421OTHER OPERATING (EXPENSES)/ INCOMEReversal of allowance for doubtful receivables 11,038Unallocated income 62,617Unallocated expenses(200,615)TOTAL OTHER OPERATING (EXPENSES)/INCOME(126,960)Income before Surplus, Zakat & Income Tax101,461Income attributed to insurance operations (transfer to surplus payable)(7,339)Income attributed to the shareholders before zakat and income tax94,122Zakat charge(11,026)Income tax charge (13,260)NET INCOME ATTRIBUTED TO SHAREHOLDER69,836 Gross Written Premium details Three months period ended 31 March 2019SAR’000Corporates 2,116,243Medium Enterprises 575,026Small Enterprises 194,009Micro Enterprises 16,540Individuals3,629Total Gross Written Premium 2,905,447 | 13 |
| Disclosure of capital management [text block] | Objectives are set by the Board of Directors of the Company to maintain healthy capital ratios to support its business objectives and maximise shareholders’ value. The Company manages its capital requirements by assessing shortfalls between reported and required capital levels on a regular basis. Adjustments to current capital levels are made in light of changes in market conditions and the risk characteristics of the Company’s activities. 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 regulatory capital requirements during the reported financial period. | 18 |
| Disclosure of commitments and contingencies, general [text block] | a)The Company’s commitments and contingencies are as follows:31 March 2020(Unaudited)31 December 2019(Audited)SAR’000SAR’000Letters of guarantee*18,60134,818Operating commitments ----Total18,60134,818i)As of 31 March 2020, total Letters of Guarantee issued by banks amounted to SR 110.3 million (2019: 134.8 million), of which SR 18.6 million (31 December 2019: SR 34.8 million) is restricted deposits with banks and has been recorded under prepayments and other assets.ii)The Company is subject to legal proceedings in the ordinary course of business. There was no material change in the status of legal proceedings from 31 December 2019. | 11 |
| Disclosure of fair value of financial assets and liabilities [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 advantageous accessible market for the asset or liability.a) Determination of fair value and fair value hierarchyThe 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;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; andLevel 3: valuation techniques for which any significant input is not based on observable market data.b) Carrying amounts and fair valueThe following table shows the carrying amount and fair value 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. Fair value Level 1 Level 2 Level 3 Total Carrying value SAR’000 SAR’000 SAR’00031 March 2020 (Unaudited) Financial assets measured at fair value - Investments held as FVIS-- 697,862 -- 697,862 697,862- Available-for-sale investments 1,131,050 553,489 -- 1,684,539 1,684,539 1,131,050 1,251,351 -- 2,382,401 2,382,401 Fair value Level 1 Level 2 Level 3 Total Carrying value SAR’000 SAR’000 SAR’00031 December 2019 (Audited) Financial assets measured at fair value - Investments held as FVIS990 268,526 -- 269,516 269,516- Available-for-sale investments 883,099 556,967 -- 1,440,066 1,440,066 884,089 825,493 -- 1,709,582 1,709,582c) Measurement of fair valueValuation technique and significant unobservable inputsThe following table shows the valuation techniques used in measuring Level 2 fair value at 31 March 2020 and 31 December 2019, as well as the significant unobservable inputs used. Type Valuation technique Significant unobservable inputs Inter-relationship between significant unobservable inputs and fair value measurement Floating rate sukuks and mutual funds Valuations are based on quotations as received by the custodians at the end of each period and on published net asset value (NAV) closing prices. Not applicable Not applicable | |
| Disclosure of board of director's approval of the financial statements [text block] | The interim condensed financial statements have been approved by the Board of Directors, on 21 Ramadan1441H corresponding to 14 May 2020. | |
| Disclosure of other notes relevant to understanding of financial statements [text block] | 20. SUPPLEMENTARY INFORMATIONInterim condensed financial position 31 March 2020 (Unaudited) 31 December 2019 (Audited) (Restated) Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000ASSETS Cash and cash equivalents 597,907 190,990 788,897 446,942 218,767 665,709 Premiums receivables – net 2,369,092 -- 2,369,092 1,689,377 -- 1,689,377Reinsurers’ share of unearned premiums 23,425 -- 23,425 20,625 -- 20,625Reinsurers’ share of outstanding claims 1,292 -- 1,292 1,218 -- 1,218Reinsurers’ share of claims Incurred but not reported 5,226 -- 5,226 3,972 -- 3,972Deferred policy acquisition costs 141,729 -- 141,729 134,022 -- 134,022Investments 980,524 1,533,127 2,513,651 725,551 1,115,281 1,840,832Prepaid expenses and other assets 212,880 36,680 249,560 222,424 54,219 276,643 Term deposits 3,028,070 1,390,924 4,418,994 3,347,965 1,716,011 5,063,976 Fixtures, Furniture and Right-of-use assets – net -- 165,051 165,051 -- 169,441 169,441 Intangible assets – net -- 55,257 55,257 -- 56,245 56,245Deferred tax asset -- 27,627 27,627 -- 30,216 30,216Goodwill -- 98,000 98,000 -- 98,000 98,000 Statutory deposit -- 120,000 120,000 -- 120,000 120,000 Accrued income on statutory deposit -- 11,604 11,604 -- 10,820 10,820 TOTAL ASSETS 7,360,145 3,629,260 10,989,405 6,592,096 3,589,000 10,181,096 NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 2020 20. SUPPLEMENTARY INFORMATION (continued) Interim condensed financial position (continued) 31 March 2020 (Unaudited) 31 December 2019 (Audited) Insurance operations Shareholders’ operations Total Insurance operations Shareholders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000LIABILITIES Accrued and other liabilities 320,183 92,979 413,162 352,798 95,889 448,687Insurance operations’ surplus payable 170,195 -- 170,195 168,454 -- 168,454Reinsurers’ balances payable 58,932 -- 58,932 54,413 -- 54,413Unearned premiums 5,159,077 -- 5,159,077 4,376,219 -- 4,376,219Outstanding claims 441,811 -- 441,811 451,788 -- 451,788Claims incurred but not reported 1,151,564 -- 1,151,564 1,157,428 -- 1,157,428Claims handling reserve 18,409 -- 18,409 18,492 -- 18,492Due to related parties -- 86,301 86,301 -- 78,848 78,848Provision for end-of-service benefits -- 98,611 98,611 -- 96,341 96,341Provision for zakat and income tax -- 287,469 287,469 -- 274,709 274,709Accrued income payable to SAMA -- 11,604 11,604 -- 10,820 10,820TOTAL LIABILITIES 7,320,171 576,964 7,897,135 6,579,592 556,607 7,136,199 EQUITY Share capital -- 1,200,000 1,200,000 -- 1,200,000 1,200,000Statutory reserve -- 727,871 727,871 -- 727,871 727,871Share based payments -- 18,265 18,265 -- 25,525 25,525Shares held under employees share scheme -- (48,779) (48,779) -- (57,538) (57,538)Retained earnings -- 1,228,708 1,228,708 -- 1,128,973 1,128,973Re-measurement reserve of end-of-service benefits -- (10,473) (10,473) -- (10,473) (10,473)Investments fair value reserve (2,939) (20,383) (23,322) 12,504 18,035 30,539TOTAL EQUITY (2,939) 3,095,209 3,092,270 12,504 3,032,393 3,044,897TOTAL LIABILITIES AND EQUITY 7,317,232 3,672,173 10,989,405 6,592,096 3,589,000 10,181,096 NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 202020. SUPPLEMENTARY INFORMATION (continued)Interim condensed statement of income For the three-month period ended 31 March (Unaudited) 2020 2019 (Restated) Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 REVENUES Gross premiums written 3,469,978 -- 3,469,978 2,905,447 -- 2,905,447Reinsurance premiums ceded – Local (1,130) -- (1,130) (2,495) -- (2,495)Reinsurance premiums ceded – International (16,434) -- (16,434) (18,174) -- (18,174)Net premiums written 3,452,414 -- 3,452,414 2,884,778 -- 2,884,778Changes in unearned premiums – net (780,058) -- (780,058) (687,454) -- (687,454)Net premiums earned 2,672,356 -- 2,672,356 2,197,324 -- 2,197,324 UNDERWRITING COSTS AND EXPENSES Gross claims paid (2,338,050) -- (2,338,050) (1,931,881) -- (1,931,881)Reinsurers’ share of claims paid 2,667 -- 2,667 12,449 -- 12,449Net claims paid (2,335,383) -- (2,335,383) (1,919,432) -- (1,919,432)Changes in outstanding claims 9,977 -- 9,977 30,526 -- 30,526Changes in claims incurred but not reported 5,864 -- 5,864 (22,425) -- (22,425)Changes in claims handling reserves 83 -- 83 350 -- 350Reinsurance share of changes in outstanding claims 74 -- 74 (32) -- (32)Reinsurance share of changes in claims incurred but not reported 1,254 -- 1,254 (9) -- (9)Net claims incurred (2,318,131) -- (2,318,131) (1,911,022) -- (1,911,022)Policy acquisition costs (62,911) -- (62,911) (57,881) -- (57,881)TOTAL UNDERWRITING COSTS AND EXPENSES (2,381,042) -- (2,381,042) (1,968,903) -- (1,968,903) NET UNDERWRITING INCOME 291,314 -- 291,314 228,421 -- 228,421 NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 2020 20. SUPPLEMENTARY INFORMATION (continued)Interim condensed statement of income (continued) For the three-month period ended 31 March (Unaudited) 2020 2019 (Restated) Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000OTHER OPERATING (EXPENSES)/ INCOME (Allowance)/reversal for doubtful debts provision 21,571 -- 21,571 11,038 -- 11,038General and administrative expenses (139,131) (3,096) (142,227) (106,340) (2,265) (108,605)Selling and marketing expenses (101,637) -- (101,637) (92,010) -- (92,010)Investment income – net 34,249 26,556 60,805 33,689 23,139 56,828Other income / (loss) – net (1,212) 7,558 6,346 (1,404) 7,193 5,789Total Other Operating (Expenses)/ Income (186,160) 31,018 (155,142) (155,027) 28,067 (126,960) Income before Surplus, Zakat & Income Tax 105,154 31,018 136,172 73,394 28,067 101,461 Transfer of surplus to shareholders (94,639) 94,639 -- (66,055) 66,055 -- Income Attributed To The Shareholders Before Zakat And Income Tax 10,515 125,657 136,172 7,339 94,122 101,461Zakat charge -- (14,970) (14,970) -- (11,026) (11,026)Income tax charge -- (10,952) (10,952) -- (13,260) (13,260)NET INCOME ATTRIBUTED TO THE SHAREHOLDERS AFTER ZAKAT AND INCOME TAX 10,515 99,735 110,250 7,339 69,836 77,175 Weighted average number of ordinary outstanding shares (in thousands) 119,346 119,550 Basic earnings per share (Expressed in SAR per share) 0.83 0.58 NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 202020. SUPPLEMENTARY INFORMATION (continued)Interim condensed statement of comprehensive income (continued) For the three-month period ended 31 March (Unaudited) 2020 2019 (Restated) Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 Net income attributed to the shareholders after zakat and income tax 10,515 99,735 110,250 7,339 69,836 77,175 Other comprehensive income / (loss) Items that are or may be reclassified to interim condensed statements of income in subsequent periods Net movement in fair value of available-for-sale investments (15,443) (38,418) (53,861) 9,641 20,636 30,277 TOTAL COMPREHENSIVE INCOME (4,928) 61,317 56,389 16,980 90,472 107,452 Reconciliation: Less: Net income attributable to insurance operations (transferred to surplus payable) (10,515) (7,339) TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 45,874 100,113 NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 202020. SUPPLEMENTARY INFORMATION (continued)Interim condensed statement of cash flows Three-month period ended 31 March (Unaudited) 2020 2019 (Restated) Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000CASH FLOWS FROM OPERATING ACTIVITIES Net income attributed to the shareholders after zakat and income tax -- 99,735 99,735 -- 69,836 69,836Adjustments for non-cash items: Net income attributed to the insurance operations 10,515 -- 10,515 7,339 -- 7,339Zakat charge -- 14,970 14,970 -- 11,026 11,026Income tax charge -net -- 10,952 10,952 -- 13,260 13,260Depreciation and amortization of Fixtures, Furniture and Right-of-use assets 8,125 -- 8,125 7,582 -- 7,582Amortization of intangible assets 4,466 -- 4,466 3,582 -- 3,582Provision for LTIP -- 1,499 1,499 2,249 2,249(Allowance) / reversal for doubtful receivables (21,571) -- (21,571) (11,038) -- (11,038)Unrealized loss / (gains) on investments held as FVIS 735 931 1,666 (2,169) (275) (2,444)Realized (gains) / loss on investments (2,128) (1,284) (3,412) (1,018) 4,416 3,398Provision for end-of-service benefits -- 4,322 4,322 -- 3,764 3,764Finance cost -- 1,283 1,283 -- 1,405 1,405 142 132,408 132,550 4,278 105,681 109,959Changes in operating assets and liabilities: Premiums receivable (658,144) -- (658,144) (749,314) -- (749,314)Reinsurers’ share of unearned premiums (2,800) -- (2,800) 189 -- 189Reinsurers’ share of outstanding claims (74) -- (74) 32 -- 32Reinsurers’ share of claims incurred but not reported (1,254) -- (1,254) 9 -- 9Deferred policy acquisition costs (7,707) -- (7,707) (3,493) -- (3,493)Prepaid expenses and other assets 9,544 17,539 27,083 (27,838) (5,905) (33,743)Accrued and other liabilities (32,617) 84 (32,533) (3,479) (563) (4,042)Reinsurers’ balances payable 4,519 -- 4,519 16,636 -- 16,636Unearned premiums 782,858 -- 782,858 687,265 -- 687,265Outstanding claims (9,977) -- (9,977) (30,526) -- (30,526)Claims incurred but not reported (5,864) -- (5,864) 22,425 -- 22,425Claims handling reserve (83) -- (83) (350) -- (350)Due to related parties -- 7,453 7,453 -- 9,369 9,369Due to shareholders’ operations 30,324 (30,324) -- (11,164) 11,164 -- 108,867 127,160 236,027 (95,330) 119,746 24,416End-of-service benefits paid -- (2,052) (2,052) -- (2,432) (2,432)Surplus paid to policyholders (8,774) -- (8,774) (889) -- (889)Zakat and income tax paid -- (10,573) (10,573) -- (1,998) (1,998)Net cash generated from operating activities 100,093 114,535 214,628 (96,219) 115,316 19,097NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (continued)At 31 March 202020. SUPPLEMENTARY INFORMATION (continued)Interim condensed statement of cash flows (continued) Three-month period ended 31 March (Unaudited) 2020 2019 (Restated) Insurance operations Share-holders’ operations Total Insurance operations Share-holders’ operations Total SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 SAR‘000 CASH FLOWS FROM INVESTING ACTIVITIES Placement in term deposits (314,105) (150,000) (464,105) (492,000) (492,118) (984,118)Proceeds from maturity of term deposits 634,000 475,087 1,109,087 668,562 534,449 1,203,011Additions in investments (552,813) (609,419) (1,162,232) (156,000) (136,000) (292,000)Disposals of investments 283,790 153,508 437,298 122,880 42,961 165,841Additions to Fixtures, Furniture and Right-of-use assets -- (3,735) (3,735) -- (529) (529)Disposal of Fixtures, Furniture and Right-of-use assets -- -- -- -- 101 101Intangible assets acquired -- (3,478) (3,478) -- (11,532) (11,532)Net cash generated from/(used in) investing activities 50,872 (138,037) (87,165) 143,442 (62,668) 80,774 CASH FLOWS FROM FINANCING ACTIVITIES Lease liability paid -- (4,275) (4,275) -- (159) (159)Net cash used in financing activities -- (4,275) (4,275) -- (159) (159) Net change in cash and cash equivalents 150,965 (27,777) 123,188 47,223 52,489 99,712Cash and cash equivalents at beginning of the period 446,942 218,767 665,709 272,527 17,886 290,413Cash and cash equivalents at end of the period 597,907 190,990 788,897 319,750 70,375 390,125 | 21 & 20 |
