Schedule of analysis of portfolio of insurance and reinsurance (RI) contract assets and liabilities

Excluding JVs and associates $m

Including JVs and associates $m

Assets

Liabilities

Net liabilities (assets)

Assets

Liabilities

Net liabilities (assets)

Insurance

RI

Insurance

RI

Insurance

RI

Insurance

RI

Insurance

RI

Insurance

RI

note (i)

note (ii)

note (i)

note (ii)

As at 31 Dec 2024

Best estimate liabilities (BEL)

4,566

2,624

127,942

423

123,376

(2,201)

4,799

2,783

148,867

461

144,068

(2,322)

Risk adjustment for non-financial risk (RA)

(791)

99

1,655

(44)

2,446

(143)

(803)

128

1,940

(47)

2,743

(175)

Contractual service margin (CSM)

(2,462)

667

17,968

157

20,430

(510)

(2,599)

645

19,862

144

22,461

(501)

Insurance contract balances ^{notes C3.2 C3.3}

1,313

3,390

147,565

536

146,252

(2,854)

1,397

3,556

170,669

558

169,272

(2,998)

Assets for insurance acquisition cash flows

32

–

1

–

(31)

–

32

–

1

–

(31)

–

Insurance and reinsurance contract (assets) liabilities

1,345

3,390

147,566

536

146,221

(2,854)

1,429

3,556

170,670

558

169,241

(2,998)

As at 31 Dec 2023

Best estimate liabilities (BEL)

3,952

1,175

120,115

1,182

116,163

7

3,998

1,315

139,673

1,222

135,675

(93)

Risk adjustment for non-financial risk (RA)

(631)

(84)

1,713

(21)

2,344

63

(630)

(67)

1,969

(24)

2,599

43

Contractual service margin (CSM)

(2,173)

1,335

18,011

(10)

20,184

(1,345)

(2,176)

1,321

20,176

(19)

22,352

(1,340)

Insurance contract balances ^{notes C3.2 C3.3}

1,148

2,426

139,839

1,151

138,691

(1,275)

1,192

2,569

161,818

1,179

160,626

(1,390)

Assets for insurance acquisition cash flows

32

–

1

–

(31)

–

32

–

1

–

(31)

–

Insurance and reinsurance contract (assets) liabilities

1,180

2,426

139,840

1,151

138,660

(1,275)

1,224

2,569

161,819

1,179

160,595

(1,390)

Notes

(i)	The Group’s investments in joint ventures and associates are accounted for using the equity method. The Group’s share of insurance and reinsurance contract liabilities and assets as shown above relate to the life business of Mainland China, India and Takaful business in Malaysia.

(ii)	At 31 December 2024 and 2023, the Group’s exposure to credit risk arising from insurance contracts issued is not material to the Group as premiums receivable from an individual party (policyholders and intermediaries) is not material to the Group.

Schedule of analysis of movements in insurance and reinsurance contract balances by measurement component

Excluding JVs and associates

2024 $m

Insurance

Reinsurance

BEL

RA

CSM

Total

BEL

RA

CSM

Total

note (b)

Opening assets

(3,952)

631

2,173

(1,148)

(1,175)

84

(1,335)

(2,426)

Opening liabilities

120,115

1,713

18,011

139,839

1,182

(21)

(10)

1,151

Net (assets) liabilities at 1 Jan

116,163

2,344

20,184

138,691

7

63

(1,345)

(1,275)

Changes that relate to future service

Changes in estimates that adjust the CSM

(178)

25

153

–

(475)

(216)

691

–

Changes in estimates that result in losses or reversal of losses on onerous contracts

100

24

–

124

49

–

49

New contracts in the year

(2,709)

315

2,401

7

(10)

(5)

14

(1)

(2,787)

364

2,554

131

(436)

(221)

705

48

Changes that relate to current service

Release of CSM to profit or loss

–

(2,286)

–

159

Release of risk adjustment to profit or loss

–

(257)

–

(257)

–

16

–

16

Experience adjustments

(153)

–

(153)

112

–

112

(153)

(257)

(2,286)

(2,696)

112

16

159

287

Changes that relate to past service

Adjustments to assets and liabilities for incurred claims

(34)

4

–

(30)

(33)

–

(33)

Insurance service result

(2,974)

111

268

(2,595)

(357)

(205)

864

302

Net finance (income) expense

Accretion of interest on GMM contracts ^{note (i)}

(24)

49

270

295

(73)

(6)

(30)

(109)

Other net finance (income) expense

3,849

3

7

3,859

435

5

7

447

3,825

52

277

4,154

362

(1)

(23)

338

Total amount recognised in income statement ^{note (iv)}

851

163

545

1,559

5

(206)

841

640

Effect of movements in exchange rates

(1,423)

(41)

(299)

(1,763)

15

–

(6)

9

Total amount recognised in comprehensive income

(572)

122

246

(204)

20

(206)

835

649

Cash flows

Premiums received net of ceding commissions paid

24,283

–

24,283

(2,837)

–

(2,837)

Insurance acquisition cash flows

(4,798)

–

(4,798)

–

Claims and other insurance service expenses net of recoveries from reinsurance received ^{note (ii)}

(11,427)

–

(11,427)

612

–

612

Total cash flows

8,058

–

8,058

(2,225)

–

(2,225)

Other changes ^{note (iii)}

(273)

(20)

–

(293)

(3)

–

(3)

Closing assets

(4,566)

791

2,462

(1,313)

(2,624)

(99)

(667)

(3,390)

Closing liabilities

127,942

1,655

17,968

147,565

423

(44)

157

536

Net (assets) liabilities at 31 Dec

123,376

2,446

20,430

146,252

(2,201)

(143)

(510)

(2,854)


	Excluding JVs and associates
	2023 $m
	Insurance				Reinsurance
	BEL	RA	CSM	Total	BEL	RA	CSM	Total
			note (b)				note (b)
Opening assets	(3,540)	505	1,929	(1,106)	(508)	39	(1,387)	(1,856)
Opening liabilities	107,582	1,418	17,239	126,239	1,162	(44)	57	1,175
Net (assets) liabilities at 1 Jan	104,042	1,923	19,168	125,133	654	(5)	(1,330)	(681)
Changes that relate to future service
Changes in estimates that adjust the CSM	(1,181)	343	838	–	57	43	(100)	–
Changes in estimates that result in losses or reversal of losses on onerous contracts	196	(6)	–	190	(98)	–	–	(98)
New contracts in the year	(2,461)	295	2,173	7	75	(5)	(70)	—
	(3,446)	632	3,011	197	34	38	(170)	(98)
Changes that relate to current service
Release of CSM to profit or loss	–	–	(2,193)	(2,193)	–	–	203	203
Release of risk adjustment to profit or loss	–	(228)	–	(228)	–	24	—	24
Experience adjustments	(176)	–	–	(176)	45	–	–	45
	(176)	(228)	(2,193)	(2,597)	45	24	203	272
Changes that relate to past service
Adjustments to assets and liabilities for incurred claims	144	(2)	–	142	(3)	–	–	(3)
Insurance service result	(3,478)	402	818	(2,258)	76	62	33	171

Net finance (income) expense
Accretion of interest on GMM contracts ^{note (i)}	(43)	47	229	233	6	(2)	(49)	(45)
Other net finance (income) expense	8,650	(32)	(12)	8,606	(156)	10	–	(146)
	8,607	15	217	8,839	(150)	8	(49)	(191)
Total amount recognised in income statement	5,129	417	1,035	6,581	(74)	70	(16)	(20)
Effect of movements in exchange rates	225	4	(19)	210	1	(2)	1	–
Total amount recognised in comprehensive income	5,354	421	1,016	6,791	(73)	68	(15)	(20)

Cash flows
Premiums received net of ceding commissions paid	22,294	–	–	22,294	(1,032)	–	–	(1,032)
Insurance acquisition cash flows	(4,270)	–	–	(4,270)	–	–	–	—
Claims and other insurance service expenses net of recoveries from reinsurance received ^{note (ii)}	(11,082)	–	–	(11,082)	458	–	–	458
Total cash flows	6,942	–	–	6,942	(574)	–	–	(574)

Other changes ^{note (iii)}	(175)	–	–	(175)	–	–	–	–

Closing assets	(3,952)	631	2,173	(1,148)	(1,175)	84	(1,335)	(2,426)
Closing liabilities	120,115	1,713	18,011	139,839	1,182	(21)	(10)	1,151
Net (assets) liabilities at 31 Dec	116,163	2,344	20,184	138,691	7	63	(1,345)	(1,275)

Notes

(i)	Accretion of interest includes interest on policy loans.

(ii)	Including investment component.

(iii)

Other changes include movements in insurance contract liabilities arising from adjustments to remove the incurred non-cash expenses (such as depreciation and amortisation) from insurance contract asset and liability balances as well as the net insurance and reinsurance liabilities at 31 December 2024 of businesses classified as held for sale. Comparative results are as published and include the results of these businesses.

(iv)

The Group does not utilise the risk mitigation option in its IFRS 17 VFA liability accounting except in connection with a short-term premium prepayment option available on certain participating products in Hong Kong effective from 1 January 2024, which has had a minor effect on the income statement.

Schedule of movements in insurance and reinsurance contract balances by remaining coverage and incurred claims

Excluding JVs and associates

2024 $m

Insurance

Reinsurance

Liabilities for remaining

coverage

Excluding

Liabilities

Excluding

Loss-

Liabilities

loss

Loss

for incurred

loss-

recovery

for incurred

component

claims

Total

recovery

component

claims

Total

note (i)

component

note (i)

Opening assets

(1,285)

20

117

(1,148)

(2,023)

(119)

(284)

(2,426)

Opening liabilities

137,019

805

2,015

139,839

1,200

(15)

(34)

1,151

Net (assets) liabilities at 1 Jan

135,734

825

2,132

138,691

(823)

(134)

(318)

(1,275)

Insurance revenue

Contracts measured under the modified retrospective approach

(415)

–

(415)

Contracts measured under the fair value approach

(1,176)

–

(1,176)

Other contracts ^{note (ii)}

(8,767)

–

(8,767)

(10,358)

–

(10,358)

Insurance service expense

–

Incurred claims and other directly attributable expenses

–

(46)

4,551

4,505

Amortisation of insurance acquisition cash flows

3,157

–

3,157

Losses or reversal of losses on onerous contracts

–

131

–

131

Adjustments to liability for incurred claims

–

(30)

3,157

85

4,521

7,763

Net (income) expense from reinsurance contracts held

–

832

48

(578)

302

Insurance service result

(7,201)

85

4,521

(2,595)

832

48

(578)

302

Investment components and premium refunds

(7,008)

–

7,008

–

240

–

(240)

–

Net finance (income) expenses from insurance and reinsurance contracts

4,007

47

100

4,154

338

–

338

Total amount recognised in income statement ^{note (v)}

(10,202)

132

11,629

1,559

1,410

48

(818)

640

Effect of movement in exchange rates

(1,695)

(18)

(50)

(1,763)

12

1

(4)

9

Total amount recognised in comprehensive income

(11,897)

114

11,579

(204)

1,422

49

(822)

649

Cash flows

Premiums received net of ceding commissions paid

24,283

–

24,283

(2,837)

–

(2,837)

Insurance acquisition cash flows

(4,798)

–

(4,798)

-

–

Claims and other insurance service expenses net of recoveries from reinsurance received ^{note (iii)}

–

(11,427)

-

–

612

Total cash flows

19,485

–

(11,427)

8,058

(2,837)

–

612

(2,225)

Other changes ^{note (iv)}

(241)

(20)

(32)

(293)

(4)

–

1

(3)

Closing assets

(1,480)

38

129

(1,313)

(2,783)

(66)

(541)

(3,390)

Closing liabilities

144,561

881

2,123

147,565

542

(20)

14

536

Net (assets) liabilities at 31 Dec

143,081

919

2,252

146,252

(2,241)

(86)

(527)

(2,854)


	Excluding JVs and associates
	2023 $m
	Insurance				Reinsurance
	Liabilities for remaining				Liabilities for remaining
	coverage				coverage
	Excluding		Liabilities		Excluding	Loss-	Liabilities
	loss	Loss	for incurred		loss-	recovery	for incurred
	component	component	claims	Total	recovery	component	claims	Total
		note (i)			component	note (i)
Opening assets	(1,200)	14	80	(1,106)	(1,460)	(29)	(367)	(1,856)
Opening liabilities	123,855	622	1,762	126,239	1,220	(6)	(39)	1,175
Net (assets) liabilities at 1 Jan	122,655	636	1,842	125,133	(240)	(35)	(406)	(681)

Insurance revenue
Contracts measured under the modified retrospective approach	(247)	–	–	(247)
Contracts measured under the fair value approach	(733)	–	–	(733)
Other contracts ^{note (ii)}	(8,391)	–	–	(8,391)
	(9,371)	–	–	(9,371)
Insurance service expense
Incurred claims and other directly attributable expenses	–	(42)	4,071	4,029
Amortisation of insurance acquisition cash flows	2,745	–	–	2,745
Losses or reversal of losses on onerous contracts	–	197	–	197
Adjustments to liability for incurred claims	–	–	142	142
	2,745	155	4,213	7,113
Net (income) expense from reinsurance contracts held					640	(98)	(371)	171
Insurance service result	(6,626)	155	4,213	(2,258)	640	(98)	(371)	171

Investment components and premium refunds	(7,095)	–	7,095	–	(1)	–	1	–
Net finance (income) expenses from insurance and reinsurance contracts	8,792	15	32	8,839	(191)	–	–	(191)
Total amount recognised in income statement	(4,929)	170	11,340	6,581	448	(98)	(370)	(20)
Effect of movement in exchange rates	220	(4)	(6)	210	(1)	–	1	–
Total amount recognised in comprehensive income	(4,709)	166	11,334	6,791	447	(98)	(369)	(20)

Cash flows
Premiums received net of ceding commissions paid	22,294	–	–	22,294	(1,032)	–	–	(1,032)
Insurance acquisition cash flows	(4,270)	–	–	(4,270)	–	–	–	–
Claims and other insurance service expenses net of recoveries from reinsurance received ^{note (iii)}	–	–	(11,082)	(11,082)	–	–	458	458
Total cash flows	18,024	–	(11,082)	6,942	(1,032)	–	458	(574)

Other changes ^{note (iv)}	(236)	23	38	(175)	2	(1)	(1)	–

Closing assets	(1,285)	20	117	(1,148)	(2,023)	(119)	(284)	(2,426)
Closing liabilities	137,019	805	2,015	139,839	1,200	(15)	(34)	1,151
Net (assets) liabilities at 31 Dec	135,734	825	2,132	138,691	(823)	(134)	(318)	(1,275)

Notes

(i)

The Group establishes a loss component of the liability for remaining coverage for onerous groups of insurance contracts. The loss component determines the amounts of fulfilment cash flows that are subsequently presented in profit or loss as reversals of losses on onerous contracts and are excluded from insurance revenue when they occur.

(ii)	Other contracts represent groups of insurance and reinsurance contracts measured under the full retrospective approach at the transition date, 1 January 2022 and groups of contracts recognised on or after the transition date.

(iii)

Including investment component.

(iv)

Other changes include adjustments to remove the incurred non-cash expenses (such as depreciation and amortisation) from insurance contract asset and liability balances as well as the net insurance and reinsurance liabilities at 31 December 2024 of businesses classified as held for sale. Comparative results are as published and include the results of these businesses.

(v)

The Group does not utilise the risk mitigation option in its IFRS 17 VFA liability accounting except in connection with a short-term premium prepayment option available on certain participating products in Hong Kong effective from 1 January 2024, which has had a minor effect on the income statement.

Schedule of additional analysis of insurance and reinsurance contract balances by segment


	Insurance $m				Reinsurance $m
	BEL	RA	CSM	Total	BEL	RA	CSM	Total
As at 31 Dec 2024
Mainland China	14,033	168	1,484	15,685	3	(3)	(22)	(22)
Hong Kong	63,056	698	8,840	72,594	(1,220)	(84)	(738)	(2,042)
Indonesia	1,839	189	622	2,650	11	(8)	12	15
Malaysia	7,032	418	2,135	9,585	15	(12)	14	17
Singapore	34,235	815	5,160	40,210	(1,169)	(15)	267	(917)
Growth markets and other	23,873	455	4,220	28,548	38	(53)	(34)	(49)
Total insurance segments	144,068	2,743	22,461	169,272	(2,322)	(175)	(501)	(2,998)

As at 31 Dec 2023
Mainland China	13,029	152	1,652	14,833	4	(3)	(22)	(21)
Hong Kong	60,761	776	8,536	70,073	(44)	84	(1,429)	(1,389)
Indonesia	2,197	206	739	3,142	22	(7)	(6)	9
Malaysia	5,910	357	2,127	8,394	26	(7)	6	25
Singapore	31,770	687	4,962	37,419	(146)	3	149	6
Growth markets and other	22,008	421	4,336	26,765	45	(27)	(38)	(20)
Total insurance segments	135,675	2,599	22,352	160,626	(93)	43	(1,340)	(1,390)

Summarised movement analysis of insurance and reinsurance contract balances by segment


	Insurance $m
						Growth	Total
	Mainland					markets and	insurance
	China	Hong Kong	Indonesia	Malaysia	Singapore	other	segments
Net (assets) liabilities at 1 Jan 2023	12,837	62,686	3,277	8,027	33,903	23,473	144,203
Insurance service result	(98)	(755)	(146)	(254)	(598)	(573)	(2,424)
Net finance (income) expenses from insurance contracts
Accretion of interest on GMM contracts	227	(1)	43	100	6	142	517
Other net finance expense	692	3,646	145	498	2,657	2,709	10,347
	919	3,645	188	598	2,663	2,851	10,864
Total amount recognised in income statement	821	2,890	42	344	2,065	2,278	8,440

Effect of movements in exchange rates	(259)	(11)	46	(336)	621	(175)	(114)
Total amount recognised in comprehensive income	562	2,879	88	8	2,686	2,103	8,326
Total cash flows	1,434	4,509	(186)	364	884	1,273	8,278
Other changes	–	(1)	(37)	(5)	(54)	(84)	(181)
Net (assets) liabilities at 31 Dec 2023 / 1 Jan 2024	14,833	70,073	3,142	8,394	37,419	26,765	160,626
Insurance service result	(104)	(971)	(213)	(290)	(683)	(525)	(2,786)
Net finance (income) expenses from insurance contracts
Accretion of interest on GMM contracts	286	2	48	94	7	212	649
Other net finance (income) expense	811	(1,792)	54	857	3,672	1,800	5,402
	1,097	(1,790)	102	951	3,679	2,012	6,051
Total amount recognised in income statement	993	(2,761)	(111)	661	2,996	1,487	3,265
Effect of movements in exchange rates	(439)	376	(134)	252	(1,321)	(1,129)	(2,395)
Total amount recognised in comprehensive income	554	(2,385)	(245)	913	1,675	358	870
Total cash flows	298	4,907	(245)	279	1,170	1,661	8,070
Other changes	–	(1)	(2)	(1)	(54)	(236)	(294)
Net (assets) liabilities at 31 Dec 2024	15,685	72,594	2,650	9,585	40,210	28,548	169,272


	Reinsurance $m
						Growth	Total
	Mainland					markets and	insurance
	China	Hong Kong	Indonesia	Malaysia	Singapore	other	segments
Net (assets) liabilities at 1 Jan 2023	(22)	(923)	5	22	178	(60)	(800)
Insurance service result	8	135	2	9	17	18	189
Net finance (income) expenses from reinsurance contracts
Accretion of interest on GMM contracts	(1)	(38)	–	1	(8)	(7)	(53)
Other net finance (income) expense	–	(154)	(6)	–	1	13	(146)
	(1)	(192)	(6)	1	(7)	6	(199)
Total amount recognised in income statement	7	(57)	(4)	10	10	24	(10)

Effect of movements in exchange rates	3	(2)	(1)	(1)	(1)	5	3
Total amount recognised in comprehensive income	10	(59)	(5)	9	9	29	(7)
Total cash flows	(9)	(407)	9	(6)	(181)	11	(583)
Other changes	–	–	–	–	–	–	–
Net (assets) liabilities at 31 Dec 2023 / 1 Jan 2024	(21)	(1,389)	9	25	6	(20)	(1,390)
Insurance service result	5	279	8	12	(11)	13	306
Net finance (income) expenses from reinsurance contracts
Accretion of interest on GMM contracts	(1)	(79)	–	1	(32)	(5)	(116)
Other net finance (income) expense	1	472	(1)	–	(23)	(6)	443
	–	393	(1)	1	(55)	(11)	327
Total amount recognised in income statement	5	672	7	13	(66)	2	633
Effect of movements in exchange rates	2	(11)	(1)	1	18	1	10
Total amount recognised in comprehensive income	7	661	6	14	(48)	3	643
Total cash flows	(8)	(1,314)	–	(22)	(875)	(29)	(2,248)
Other changes	–	–	–	–	–	(3)	(3)
Net (assets) liabilities at 31 Dec 2024	(22)	(2,042)	15	17	(917)	(49)	(2,998)

Schedule of insurance contract liabilities - expected recognition of BEL

(i)Insurance contract liabilities – expected cash flows (discounted)


	31 Dec 2024 $m
	Total as reported on the		Total including
	consolidated statement of	Group’s share relating to	Group’s share relating to
	financial position	JVs and associates	JVs and associates
1 year or less	(2,317)	(178)	(2,495)
After 1 year to 2 years	(910)	439	(471)
After 2 years to 3 years	1,140	943	2,083
After 3 years to 4 years	3,351	683	4,034
After 4 years to 5 years	4,707	772	5,479
After 5 years to 10 years	22,466	2,734	25,200
After 10 years to 15 years	21,715	2,686	24,401
After 15 years to 20 years	18,396	2,159	20,555
After 20 years^*	59,394	10,687	70,081
Total expected future cash flows from insurance contract liabilities	127,942	20,925	148,867


	31 Dec 2023 $m
	Total as reported on the		Total including
	consolidated statement of	Group’s share relating to	Group’s share relating to
	financial position	JVs and associates	JVs and associates
1 year or less	2,256	(477)	1,779
After 1 year to 2 years	2,262	94	2,356
After 2 years to 3 years	4,269	516	4,785
After 3 years to 4 years	5,272	973	6,245
After 4 years to 5 years	4,436	828	5,264
After 5 years to 10 years	18,726	3,076	21,802
After 10 years to 15 years	16,374	2,703	19,077
After 15 years to 20 years	14,560	2,016	16,576
After 20 years^*	51,960	9,829	61,789
Total expected future cash flows from insurance contract liabilities	120,115	19,558	139,673

*Including items that have no stated maturity.

(ii)	Reinsurance contract liabilities – expected cash flows (discounted)


	31 Dec 2024 $m
	Total as reported on the		Total including
	consolidated statement of	Group’s share relating to	Group’s share relating to
	financial position	JVs and associates	JVs and associates
1 year or less	136	11	147
After 1 year to 2 years	68	(1)	67
After 2 years to 3 years	30	(1)	29
After 3 years to 4 years	4	(1)	3
After 4 years to 5 years	4	(1)	3
After 5 years to 10 years	20	(1)	19
After 10 years to 15 years	8	1	9
After 15 years to 20 years	(6)	3	(3)
After 20 years	159	28	187
Total expected future cash flows from reinsurance contract liabilities	423	38	461


	31 Dec 2023 $m
	Total as reported on the		Total including
	consolidated statement of	Group’s share relating to	Group’s share relating to
	financial position	JVs and associates	JVs and associates
1 year or less	820	15	835
After 1 year to 2 years	58	–	58
After 2 years to 3 years	54	–	54
After 3 years to 4 years	26	–	26
After 4 years to 5 years	4	–	4
After 5 years to 10 years	(3)	1	(2)
After 10 years to 15 years	4	2	6
After 15 years to 20 years	5	3	8
After 20 years	214	19	233
Total expected future cash flows from reinsurance contract liabilities	1,182	40	1,222

Insurance contracts

Schedule of CSM transition approach

Insurance contracts (including JVs and associates)

2024 $m

2023 $m

Contracts

Other

Contracts

Other

under MRA

under FVA

contracts*

Total CSM

under MRA

under FVA

contracts*

Total CSM

Balance at 1 Jan

1,922

4,143

16,287

22,352

2,033

4,102

15,169

21,304

Changes that relate to future service

Changes in estimates that adjust the CSM

(81)

131

(24)

26

117

496

188

801

New contracts in the year

–

2,585

–

2,429

(81)

131

2,561

2,611

117

496

2,617

3,230

Changes that relate to current service

Release of CSM to profit or loss

(209)

(442)

(1,860)

(2,511)

(247)

(458)

(1,709)

(2,414)

(290)

(311)

701

100

(130)

38

908

816

Net finance (income) expenses from insurance contracts

73

(53)

337

357

66

9

220

295

Effect of movements in exchange rates

(22)

(89)

(237)

(348)

(47)

(6)

(10)

(63)

Balance at 31 Dec

1,683

3,690

17,088

22,461

1,922

4,143

16,287

22,352

*	Other contracts represent groups of insurance contracts measured under the full retrospective approach at the transition date, 1 January 2022, and groups of contracts recognised on or after the transition date.

The majority of the CSM on transition on insurance contracts under MRA arises from the Mainland China joint venture, while the majority of the CSM on transition under FVA arises from the Hong Kong and Singapore businesses.

The transition approach adopted by the Group’s main business segments for the different cohorts of their insurance contracts is summarised in the table below. The overlap between approaches reflects the fact that the approaches used vary by insurance contract portfolio and year of issue (cohort).


	FRA	MRA	FVA
	Cohort	Cohort	Cohort
Mainland China	n/a	2016 – 2021	Pre-2016
Hong Kong	2010 – 2021	n/a	Pre-2010
Singapore	2009 – 2021	n/a	Pre-2009
			Pre-1999
			(Unit-linked)
			Pre-2009
	2010 – 2021		(Non-
	(Unit-linked)		participating)
	2010-2021	2000 – 2009	Pre-2021
Malaysia	(Non-participating)	(Unit-linked)	(Other)
Indonesia ^note(i)	2010 – 2021	2007 – 2009	Pre-2007
Growth markets and other	See note (ii)	See note (ii)	See note (ii)

Notes

(i)	The cohorts shown are in respect of Indonesia’s unit-linked portfolios.

(ii)

CSM on transition for Growth markets primarily arises from Vietnam, Taiwan and the Philippines. Vietnam has applied the FRA for cohorts from 2013 – 2021 (all businesses), MRA for cohorts from 2008 – 2012 (Participating only) and FVA for cohorts prior to 2008 (Participating) and prior to 2013 (Non - participating). Taiwan and the Philippines have applied the FRA for cohorts from 2010 – 2021 and FVA for all cohorts prior to 2010.

Reinsurance contracts (including JVs and associates)

2024 $m

2023 $m

Contracts

Other

Contracts

Other

under MRA

under FVA

contracts*

Total CSM

under MRA

under FVA

contracts*

Total CSM

Balance at 1 Jan

–

(63)

(1,277)

(1,340)

–

(55)

(1,260)

(1,315)

Changes that relate to future service

Changes in estimates that adjust the CSM

–

8

690

698

–

(17)

(88)

(105)

New contracts in the year

–

11

–

—

(81)

–

8

701

709

–

(17)

(169)

(186)

Changes that relate to current service

Release of CSM to profit or loss

–

7

152

159

–

10

196

206

–

15

853

868

–

(7)

27

20

Net finance (income) expenses from reinsurance contracts

–

(2)

(19)

(21)

–

(2)

(45)

(47)

Effect of movements in exchange rates

–

1

(9)

(8)

–

1

2

Balance at 31 Dec

–

(49)

(452)

(501)

–

(63)

(1,277)

(1,340)

*.	Other contracts represent groups of reinsurance contracts measured under the full retrospective approach at the transition date, 1 January 2022, and groups of contracts recognised on or after the transition date.

The CSM on transition on reinsurance contracts held primarily arises from the Hong Kong segment, which has predominantly applied the FRA to transition reinsurance cohorts from 2010 – 2021 and the FVA for reinsurance cohorts prior to 2010.