53 Aviva plc 2011 Preliminary Announcement
Notes to the consolidated financial statements continued
A4 – Segmental information continued (i) Segmental income statement – products and services for the year ended 31 December 2011 Long-term business £m
General insurance and health** £m
Fund management £m
Other £m
Total £m
Gross written premiums* Premiums ceded to reinsurers
20,250 (1,085)
9,750 (588)
— —
— 30,000 — (1,673)
Net written premiums Net change in provision for unearned premiums
19,165 —
9,162 (236)
— —
— 28,327 — (236)
Net earned premiums Fee and commission income
19,165 715
8,926 54
— 377
— 28,091 333 1,479
Net investment income/(expense) Inter-segment revenue Share of (loss) of joint ventures and associates Profit/(loss) on the disposal of subsidiaries and associates
19,880 5,469 — (10) —
8,980 725 — — (28)
377 4 227 (2) 24
333 29,570 (207) 5,991 — 227 (111) (123) 569 565
25,339
Segmental income
9,677
630
584 36,230
Claims and benefits paid, net of recoveries from reinsurers Change in insurance liabilities, net of reinsurance Change in investment contract provisions Change in unallocated divisible surplus Amortisation of acquired value of in-force business on insurance contracts Depreciation and other amortisation expense Other operating expenses Impairment losses Inter-segment expenses Finance costs
(20,989) (5,945) (3,727) (3) 1,224 — 2,721 — (269) — (332) (19) (2,714) (2,994) (48) (60) (216) (11) (224) (36)
— — — — — (16) (483) — — (51)
— (26,934) — (3,730) — 1,224 — 2,721 — (269) (64) (431) (833) (7,024) (19) (127) — (227) (487) (798)
Segmental expenses
(24,574) (9,068)
(550) (1,403) (35,595)
Profit/(loss) before tax from continuing operations Tax attributable to policyholder returns
765 178
609 —
80 —
(819) —
635 178
Profit/(loss) before tax attributable to shareholders from continuing operations Adjusted for: Non-operating items from continuing operations (excluding Delta Lloyd as an associate) Share of Delta Lloyd’s non-operating items (before tax), as an associate Share of Delta Lloyd’s tax expense, as an associate
943
609
80
(819)
813
1,180 — —
326 — —
19 — —
(50) (10) 34
1,475 (10) 34
2,123
935
99
(845)
2,312
Operating profit/(loss) before tax attributable to shareholders’ profits from continuing operations Operating profit/(loss) before tax attributable to shareholders’ profits from discontinued operations Operating profit/(loss) before tax attributable to shareholders’ profits
185
1
11
(6)
191
2,308
936
110
(851)
2,503
* Gross written premiums includes inward reinsurance premiums assumed from other companies amounting to £243 million, of which £110 million relates to property and liability insurance and £133 million relates to long-term business. ** General insurance and health business segment includes gross written premiums of £1,107 million relating to health business. The remaining business relates to property and liability insurance.