HSBC 2007 Annual Report Download - page 422

HSBC HOLDINGS PLC
Notes on the Financial Statements (continued)
Note 30
420
The movement of liabilities under insurance contracts during the year was as follows:
Non-life insurance liabilities
2007
Gross
Reinsurers’
share Net
US$m US$m US$m
Unearned premium reserve (‘UPR’)
At 1 January ..................................................................................................... 1,262 (176) 1,086
Changes in UPR recognised as (income)/expense .......................................... (2) 22 20
Gross written premiums .............................................................................. 1,853 (385) 1,468
Gross earned premiums ............................................................................... (1,855) 407 (1,448)
Exchange differences and other movements ................................................... 19 (27) (8)
At 31 December ............................................................................................... 1,279 (181) 1,098
Notified and incurred but not reported claims
At 1 January ..................................................................................................... 1,409 (413) 996
Notified claims ............................................................................................ 949 (355) 594
Claims incurred but not reported ................................................................. 460 (58) 402
Claims paid in current year .............................................................................. (1,017) 207 (810)
Claims incurred in respect of current year ...................................................... 1,035 (189) 846
Claims incurred in respect of prior years ........................................................ 64 18 82
Exchange differences and other movements ................................................... (8) (52) (60)
At 31 December ............................................................................................... 1,483 (429) 1,054
Notified claims ............................................................................................ 1,063 (380) 683
Claims incurred but not reported ................................................................. 420 (49) 371
Other ................................................................................................................ 92 (43) 49
Total non-life insurance liabilities ................................................................... 2,854 (653) 2,201
2006
Gross
Reinsurers’
share Net
US$m US$m US$m
UPR
At 1 January ..................................................................................................... 1,346 (202) 1,144
Changes in UPR recognised as (income)/expense .......................................... (122) 48 (74)
Gross written premiums .............................................................................. 1,824 (451) 1,373
Gross earned premiums ............................................................................... (1,946) 499 (1,447)
Exchange differences and other movements ................................................... 38 (22) 16
At 31 December ............................................................................................... 1,262 (176) 1,086
Notified and incurred but not reported claims
At 1 January ..................................................................................................... 1,296 (465) 831
Notified claims ............................................................................................ 872 (335) 537
Claims incurred but not reported ................................................................. 424 (130) 294
Claims paid in current year .............................................................................. (889) 228 (661)
Claims incurred in respect of current year ...................................................... 680 (147) 533
Claims incurred in respect of prior years ........................................................ 219 (24) 195
Exchange differences and other movements ................................................... 103 (5) 98
At 31 December ............................................................................................... 1,409 (413) 996
Notified claims ............................................................................................ 949 (355) 594
Claims incurred but not reported ................................................................. 460 (58) 402
Other ................................................................................................................ 268 (76) 192
Total non-life insurance liabilities ................................................................... 2,939 (665) 2,274