Page 32 - Insurance Times April 2022

Annexure A allocating the closing Technical Reserves (Aggregate of Net
Claims Outstanding and Reserve for Unexpired Risks and
Accounting Policy on Shareholder and other related items) to policyholders funds balance being
Policyholder Funds and Apportionment of reflected as Shareholders' funds.
Investment Income - Annual Reports 2019-20 Investment Income where directly identifiable with specific
segment is credited to that business segment and in all other
1. ACKO General Insurance Limited: cases is allocated to the respective Revenue Account and
Investments are segregated at Shareholders' level and Profit and Loss Account based on ratio of T'echnical Funds'
Policyholders' level notionally based on Sharholders' Funds and 'Shareholders' Funds' respectively.
and Policyholders' Funds at the end of the period on the
basis prescribed by IRDAI. 5. Edelweis General Insurance Company
Investment Income is apportioned between Revenue Limited
Account and Profit and Loss Account in the ratio of average Shareholders' and Policyholders' Fund are segregated on a
Shareholders' Funds and Policyholders' Funds. notional basis of IRDAI Circular No. IRDA/F&A/CIR/CPM/056/
03/2016 dated 4th April, 2016 and IRDAI Circular IRDA/F&A/
2. Aditya Birla Health Insurance Company
CIR/CPM/010/01/2017 dated 12th January, 2017 and on the
Limited basis of such segregation the investments are allocated to
Investments are allocated separately to policyholders and shareholders' and policyholders' on security level basis.
shareholders as applicable.
Investment income is directly allocated on actuals to
Investment income is allocated on actuals basis between Revenue Account(s) and Profit and Loss Account as
Revenue Account and Profit and Loss Account. applicable. Further investment income across segments
within the revenue account(s) has also been allocated on
3. Bajaj Allianz General Insurance Company the basis of segment wise policyholders' funds.
Limited
6. Future Generali India Insurance Company
Income earned from investments and gains or loss on sale
of investments is allocated to Revenue Account and Profit Limited
and Loss Account on the basis of actual holding of the Income earned from investments is allocated to the revenue
investments of the Policyholders and Shareholders as accounts and the profit and loss account on the basis of
bifurctaed according to the IRDAI Circular No. IRDA/F&A/ ratio of average policyholders' funds to average
CIR/CPM/056/03/2016 dated 4th April, 2016. The income shareholders' funds and are further allocated to the lines of
earned from investments, gains or loss on sale of investments business in proportion of their respective gross written
and other income are further allocated to the lines of premium. Other income related to insurance business which
business in proportion of net premium. are directly identifiable to the business segments are
The investment funds are segregated into Policyholders' and allocated on actual basis and the balance are apportioned
Shareholders' fund on security level basis in compliance with on net written premium basis.
IRDAI Circular No. IRDA/F&A/CIR/CPM/056/03/2016 dated
4th April, 2016. Subsequently IRDAI issued Circular IRDA/ 7. Go Digit General Insurance Limited
F&A/CIR/CPM/010/01/2017 dated 12th January, 2017 to Investment funds are segregated into policyholders' funds
bifurcate the Policyholders and Shareholders Funds at the and shareholders' funds at the security level in compliance
end of each quarter at the fund level on "notional basis". with circular no IRDA/F&A/CIR/CPM/056/03/2016 dated 4th
The Company continues to follow the practice of segregating April, 2016.
investments into Policyholders' and Shareholders' funds at Policyholders' fund is the sum of a) Outstanding claims
security level on quarterly basis in compliance with Circular including IBNR & IBNER b) Unexpired premium reserve c)
No. IRDA/F&A/CIR/CPM/056/03/2016 dated 4th April, 2016. Premium deficiency, if any d) Catastrophe reserve, if any e)
The said practice has been communicated to IRDAI.
Other liabilities net of other assets. Other liabilities comprised
of premium received in advance unallocated premium,
4. Chola MS General Insurance Company balance due to other insurance companies due to the other
Limited members of the motor third party pool and due to
Segregation of invested assets is done by notionally policyholders. Other assets comprise of outstanding

32 The Insurance Times, April 2022