ANNUAL REPORT AND ACCOUNTS 2012 - RSA, Annual Report ...

CONSOLIDATED INCOME STATEMENT
for the year ended 31 December 2012
Income
Gross written premiums 9,397 9,131
Less: reinsurance premiums (1,044) (993)
Net written premiums 1 8,353 8,138
Change in the gross provision for unearned premiums (188) (273)
Less: change in provision for unearned premiums, reinsurers’ share 2 (9)
Change in provision for unearned premiums (186) (282)
Net earned premiums 8,167 7,856
Net investment return 2 534 745
Other operating income 4 141 134
Total income 8,842 8,735
Expenses
Gross claims incurred (5,829) (5,595)
Less: claims recoveries from reinsurers 448 382
Net claims and benefits 3 (5,381) (5,213)
Underwriting and policy acquisition costs (2,543) (2,399)
Unwind of discount (84) (94)
Other operating expenses 4 (234) (291)
Total expenses (8,242) (7,997)
Finance costs 4 (115) (117)
Acquisitions and disposals 30 – 1
Net share of loss after tax of associates 11 (6) (9)
Profit before tax 1 479 613
Income tax expense 5 (128) (186)
Profit for the year 351 427
Notes
2012
£m
2011
£m
Attributable to:
Equity holders of the Parent Company 344 426
Non controlling interests 7 1
351 427
Earnings per share on profit attributable to the ordinary shareholders of the Parent Company
Basic 6 9.5p 11.9p
Diluted 6 9.4p 11.8p
Ordinary dividends paid and proposed for the year
Interim dividend paid (per share) 7 3.41p 3.34p
Final dividend proposed (per share) 7 3.90p 5.82p
The attached notes form an integral part of these consolidated financial statements.
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