Year 2007

More documents

Recommendations

Info

4. Significant Accounting Policies 4.1 Revenue recognition (a) Premium For insurance policies with coverage periods of up to 1 year, premium income is recognised on the date the insurance policy comes into effect, after deducting a premium ceded and cancelled. For long-term insurance policies with coverage periods of longer than 1 year, related revenues are recorded as unearned items and amortised to income over the coverage period. (b) Reinsurance premium Reinsurance premium income is recognised when the reinsurer places the reinsurance application or statement of accounts with the Company. (c) Interest and dividends Interest is recognised on an accrual basis based on the effective interest rate. Dividends are recognised when the right to receive the dividends is established. 4.2 Investments in securities (a) Investments in available-for-sale securities are determined at fair value. The change in value of securities is recorded as a separate item in shareholders’ equity until securities are sold, the change shall be included in determining income. (b) Bonds which are pledged as a security with the Office of Insurance Commission, are government bonds which are determined at fair value. (c) Investments in non-marketable equity securities, which the Company holds as other investment, are valued at cost net of allowance for loss on diminution in value (if any). (d) Investments in associated companies are accounted for under the equity method (investments in associated companies are valued at cost in separate financial statements). The fair value of equity securities is based on the latest bid price of the working day of the year as quoted on the Stock Exchange of Thailand. The fair value of debt securities is based on the price quoted by the Thai Bond Market Association or discounted cash flow with appropriated risk. Fair value of unit trust is valued at net assets value. Weighted average method is used for computation of cost of investments. Loss on impairment (if any) of investments in available-for-sale securities, held-to-maturity debt securities, and other investments is included in determining income. 4.3 Premium due and uncollected Premium due and uncollected is carried at its net realisable value. The Company set up an allowance for doubtful accounts based on the estimated loss that may incur in collection of the premium due, on the basis of collection experiences, analysis of debtor aging and a review of current status of the premium due as at the balance sheet date. 66
4.4 Related party transactions Related parties comprise enterprises and individuals that control, or are controlled by, the Company, whether directly or indirectly, or which are under common control with the Company. They also include associated companies and individuals which directly or indirectly own a voting interest in the Company that gives them significant influence over the Company, key management personnel, directors and officers with authority in the planning and direction of the Company’s operations. 4.5 Premises and equipment and depreciation Land is stated at cost. Building and equipment are stated at cost less accumulated depreciation and allowance for loss on impairment of assets (if any). Depreciation of building and equipment are calculated by reference to their costs on a straight-line basis over the following estimated useful lives of assets: - Building - 20 years, 30 years (over the period of lease) - Office Furniture, Fixture and Equipment - 3, 5 years - Motor vehicles - 5 years Depreciation is included in determining income. No depreciation is provided for land and construction in progress. The Company recognizes loss on impairment of premises and equipment (if any) in the income statements. 4.6 Intangible assets and amortisation Intangible assets are stated at cost less accumulated amortisation. Amortisation of intangible assets are calculated by reference to their cost, on a straight-line method over the period of lease and the estimated useful lives as follows: - Leasehold Right - Land - 30 years (over the period of lease) - Computer Software - 10 years The amortisation is included in determining income. No amortisation is calculated for computer software development. 4.7 Impairment of assets The Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any such indication exists, the Company makes an estimate of the asset’s recoverable amount. Where the carrying amount of the asset exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. Impairment losses are recognised in the income statement. An asset’s recoverable amount is the higher of fair value less costs to sell and value in use. 4.8 Foreign currencies Foreign currency transactions are translated into Baht at the exchange rates ruling on the transaction dates. Assets and liabilities denominated in foreign currencies outstanding at the balance sheet date are translated into Baht at the exchange rates ruling on the balance sheet date. Gains and losses on exchange are included in determining income. 67
Page 3 and 4:
CONTENTS FINANCIAL HIGHLIGHTS MESSA
Page 5 and 6:
2007 2006 Change 2007 For The Year
Page 7 and 8:
The year 2008, therefore, is anothe
Page 9 and 10:
In 2007, the Company developed a nu
Page 11 and 12:
Marketing and Competition in 2007 F
Page 13 and 14:
Nevertheless, there are still many
Page 15 and 16: 2. Underwriting Risks Thailand has
Page 17 and 18: 6.2 Interest Rate Risk As at Decemb
Page 19 and 20: Active Care Uniform Care Service Un
Page 21 and 22: (Baht : million) 2007 2006 Change N
Page 23 and 24: The net investment income in 2007 w
Page 25 and 26: to industrial all risks insurance.
Page 27 and 28: Investments in non-listed securitie
Page 29 and 30: INVESTMENTS IN SECURITIES Investmen
Page 31: THREE YEARS REVIEW (Baht’000) 200
Page 34 and 35: BOARD OF DIRECTORS AND BOARD OF DIR
Page 36 and 37: Mr. Suvarn Thansathit Independent D
Page 38 and 39: MANAGEMENT COMMITTEE AND MANAGEMENT
Page 40 and 41: Miss Pagamas Charusathien Senior Vi
Page 42 and 43: Mr. Boonkird Chirapathama Senior Vi
Page 44 and 45: FIRST VICE PRESIDENT AND VICE PRESI
Page 46 and 47: ASSISTANT VICE PRESIDENT 1. Mr. Cha
Page 48 and 49: SOCIAL ACTIVITIES IN 2007 Continuin
Page 50 and 51: Scholarship Grants to Poor Students
Page 52 and 53: REPORT OF THE AUDIT COMMITTEE The B
Page 54 and 55: REPORT ON THE BOARD OF DIRECTOR’S
Page 56 and 57: BALANCE SHEETS As at December 31, 2
Page 58 and 59: INCOME STATEMENTS Financial stateme
Page 60 and 61: INCOME STATEMENTS Separate financia
Page 62 and 63: STATEMENTS OF CHANGES IN SHAREHOLDE
Page 64 and 65: STATEMENTS OF CASH FLOWS For the ye
Page 68 and 69: 4.9 Unearned premium reserve Unearn
Page 70 and 71: Investments in debt securities as a
Page 72 and 73: 7.2 Summarised financial informatio
Page 74 and 75: (Baht’000) 2007 2006 Investments
Page 76 and 77: 12. Intangible Assets (Baht’000)
Page 78 and 79: 18. Basic Earnings Per Share Basic
Page 80 and 81: Foreign Currency Risk The Company
Page 82 and 83: Debtors, overdue under 3 months, fo
Page 84 and 85: FINANCIAL RATIO 2007 2006 2005 Fina
Page 86 and 87: SHAREHOLDING IN OTHER COMPANIES Inv
Page 88 and 89: THE MANAGEMENT Management Structure
Page 90 and 91: Name Position No. Of Attendance/ An
Page 92 and 93: The Management Committee is made up
Page 94 and 95: SHAREHOLDINGS STRUCTURE Breakdown o
Page 96 and 97: Shareholding of Management Committe
Page 98 and 99: PRINCIPLES OF GOOD CORPORATE GOVERN
Page 100 and 101: For every shareholder’s meeting,
Page 102 and 103: Customers The Company offers variou
Page 104 and 105: 4.3 Role and Duty Performance of th
Page 106 and 107: (4) The Company’s Secretary The C
Page 108 and 109: - The Use of Insider Information In
Page 110 and 111: 5.5 Procedure on the Determination
Page 112 and 113: North Eastern Region: Khon Kaen 345
Page 114: LINES OF BUSINESS Fire & Allied Lin
show all

Year 2007

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?