PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
d. Deposits from other banks consist of:
2014 2013
Demand deposits 85,772
201,481 Time deposits
378,500 35,200
Call Money 206,925
20,000 Certificate of Sharia Interbank
Mudharabah Investment 95,000
- Total
766,197 256,681
a. Demand deposits consist of:
2014 2013
Related parties Note 50 Foreign currencies Note 51
17,336 36,199
Third parties Rupiah
68,436 165,282
Total 85,772
201,481
Interest rates per annum are as follows:
2014 2013
Rupiah 0.00 - 3.00
0.00 - 5.00 Foreign currencies
0.00 - 0.15 0.00 - 0.15
As of December 31, 2014 and 2013, demand deposits are managed by Sharia unit, amounting to Rp 6,910 and Rp 7, respectively.
b. Time deposits represent time deposits which are placed by third parties in Rupiah.
As of December 31, 2014 and 2013, time deposits are managed by Sharia unit, amounting to Rp 55,000 and nil, respectively.
Interest rates for deposits from other banks per annum are 7.50 - 10.75 and 7.60 - 7.75, as of December 31, 2014 and 2013, respectively.
c. Call Money consist of:
2014 2013
Third parties less than 1 month Rupiah
145,000 20,000
Foreign currencies Note 51 61,925
- Total
206,925 20,000
Interest rates per annum for call money in Rupiah are 5.90 - 6.80 and 7.05 in 2014, while in foreign currencies are 0.30 in 2014.
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
23. Insurance Payable
Consist of:
2014 2013
Related parties Note 50 Commissions payable
18,270 6,893
Reinsurance payable 10,315
4,954 Insurance claims payable
3,710 520
Premiums payable 1,430
342 Total
33,725 12,709
Third parties Reinsurance payable
387,818 245,080
Insurance claims payable 73,383
88,825 Commissions payable
90,175 41,562
Premiums payable 80,157
33,395 Total
631,533 408,862
Total 665,258
421,571
The details of insurance payable based on currency:
2014 2013
Rupiah Reinsurance payable
37,756 58,410
Insurance claims payable 56,659
67,129 Commissions payable
92,876 39,284
Premiums payable 31,719
20,421 Total
219,010 185,244
Forreign currencies Note 51 Reinsurance payable
360,377 191,624
Insurance claims payable 20,434
22,216 Commissions payable
15,569 9,171
Premiums payable 49,868
13,316 Total
446,248 236,327
Total 665,258
421,571
The details of insurance payable based on type of insurance: Reinsurance
Claim Commission
Premium Fire
255,025 3,403
14,088 20,852
Health 985
10,902 4,463
- Motor Vehicles
1,463 17,045
50,183 18,484
Marine Hull 6,899
75 1,851
1,029 Engineering
53,040 1
4,775 27,650
Marine Cargo 807
119 1,096
118 Death
1,918 812
10,195 -
Accident 47
- -
- Miscellaneous
77,949 44,736
21,794 13,454
Total 398,133
77,093 108,445
81,587 2014
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
Reinsurance Claim
Commission Premium
Fire 137,831
1,645 9,838
13,467 Health
12,087 31,123
3,978 -
Motor Vehicles 5,572
9,974 9,795
16,350 Marine Hull
22,550 641
2,674 1,105
Engineering 49,538
- 1,341
942 Marine Cargo
12,807 230
978 106
Death 965
- 2,026
- Accident
86 -
- -
Miscellaneous 8,598
45,732 17,825
1,767 Total
250,034 89,345
48,455 33,737
2013
Reinsurance payables represent insurance premiums due to the reinsurance companies based on the reinsurance contract treaty for certain amount of insurance policies.
Commissions payable represent commissions due to brokers and insurance agencies while insurance claims payable represent liabilities to policyholders in relation to claims which have
been approved but the payments of which are still in process.
Premiums payable represent co-insurance premium payable to co-insurance member arising from life insurance transaction.
24. Premiums Received in Advance This account represents premiums received in advance by ASM, a subsidiary, in relation to
insurance policies issued with coverage period of more than one 1 year. Premiums received in advance by type of insurance are as follows:
2014 2013
Motor Vehicles 986,982
583,676 Fire
109,534 666,058
Engineering 89,173
40,631 Miscellaneous
79,007 47,146
Marine Cargo 3,300
5,759 Marine Hull
5 106
Health 31
153 Total
1,268,032 1,343,529
25. Liability for Future Policy Benefits
a. Liability for future policy benefits represents the amount set aside to provide the benefits
promised to policyholders under the terms of life insurance policies in force, which are stated in the policies and determined in accordance with the actuarial calculation.
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
b. The details of liability for future policy benefits based on type of coverage are as follows:
2014 2013
Individual: Combined endowment
8,011,198 7,349,104
Whole life combined 221,777
222,826 Whole life
51,717 49,897
Endowment 9,679
9,347 Non-traditional
1,660 1,415
Death 5,633
269 Subtotal
8,301,664 7,632,858
Group: Death
290,816 290,856
Non-traditional 6
11 Subtotal
290,822 290,867
Total 8,592,486
7,923,725
c. As of December 31, 2014 and 2013, AJSM, a subsidiary, liability for future policy benefits is
recorded by AJSM based on actuarial calculation. The assumptions used in the computation are as follows:
Mortality Method of Reserve
Table IDR
USD Computation
a. Individual: Death
Reinsurance + TMI93 7.04 - 8.56
1.28 - 4.95 GPV
Endowment Reinsurance + TMI93
8.09 - 8.47 GPV
Combined endowment Reinsurance + TMI93
7.04 - 8.58 1.28 - 5.17
GPV Whole life
Reinsurance + TMI93 7.75 - 8.58
4.24 - 5.17 GPV
Combined whole life Reinsurance + TMI93
7.61 - 8.58 3.84 - 5.17
GPV b. Group:
Death Reinsurance + CSO 58
7.04 - 8.56 1.28 - 5.05
GPV Type of Insurance
Actuarial Interest
The above liability for future policy benefits are prospective with linear interpolation. d.
The changes in liability for future policy benefits are as follows:
2014 2013
Balance at the beginning of the year 7,923,725
10,008,717 Increase decrease in liability for
future benefits Note 43 649,466
2,117,408 Increase in liability for future benefits - sharia
19,295 32,416
Balance at the end of year 8,592,486
7,923,725
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
26. Unearned Premiums and Estimated Liability Claims
2014 2013
Unearned premiums 1,087,316
1,276,711 Estimated liability claims
1,085,180 636,077
Total 2,172,496
1,912,788
a. Unearned Premiums
Unearned premiums by type of insurance are as follows:
2014 2013
Fire 175,089
426,951 Health
155,516 287,930
Motor vehicles 517,060
401,356 Miscellaneous
177,387 105,113
Marine cargo 6,557
5,188 Marine hull
19,759 29,860
Engineering 26,619
17,101 Accident
8,749 2,604
Death 580
608 Total
1,087,316 1,276,711
The changes in unearned premiums are as follows:
2014 2013
Balance at the beginning of the year 1,276,711
1,457,906 Increase in unearned premiums Note 39
31,697 123,190
Decrease in reinsurance assets 223,806
312,036 Increase in unearned premiums tabarru fund
2,714 7,651
Balance at the end of year 1,087,316
1,276,711
b. Estimated Claims Liability
The details of estimated claims liability by type of insurance are as follows:
2014 2013
Fire 750,469
267,909 Motor vehicles
124,802 101,964
Marine hull 34,114
62,999 Miscellaneous
86,134 88,778
Health 35,082
53,475 Death
15,861 10,173
Marine cargo 9,004
10,177 Engineering
29,714 40,602
Total 1,085,180
636,077
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
The changes in estimated claims liability are as follows:
2014 2013
Balance at the beginning of the year 636,077
512,001 Increase in estimated claims liability Note 43
11,117 32,449
Increase in reinsurance assets 430,568
90,483 Increase in estimated claims liability tabarru fund
7,418 1,144
Balance at the end of year 1,085,180
636,077
As of December 31, 2014 and 2013, the balance of unearned premiums and estimated claims liability to related parties amounted to Rp 755,426 and Rp 458,290, respectively Note 50.
27. Payables To Brokers
2014 2013
Payable to customers 192,261
80,192 Commission payable
1,666 1,149
Total 193,927
81,341
Payable to customers are liabilities of SMS, a subsidiary, in relation with purchase and sale transactions of customers’ shares of stock.
As of December 31, 2014 and 2013, the balance of payables to brokers to related parties amounted to nil and Rp 1,264, respectively Note 50.
28. Taxes Payable
2014 2013
Income taxes Article 29 Note 48
20,508 246,437
Article 4 2 16,593
11,747 Article 21
14,038 14,525
Article 25 6,642
7,245 Articles 23 and 26
5,194 1,831
Value Added Tax 2,354
1,206 Total
65,329 282,991
The tax returns filed are based on the Group’s own calculation of tax liabilities self-assessment. Based on the Law No. 28 Year 2007, regarding the third amendment of the
General Taxation Provisions and Procedures’ the time limit for the tax authorities to assess or amend taxes was reduced to 5 years previously 10 years, subject to certain exceptions, in
accordance with provisions of the Law.
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
29. Accrued Expenses
2014 2013
Interest 57,646
42,372 Others
46,450 45,632
Total 104,096
88,004
Others represent accruals of certain operating expenses. As of December 31, 2014 and 2013, the balance of accrued interest to related parties amounted
to Rp 3,252 and Rp 3,366, respectively Note 50.
30. Securities Issued
2014 2013
Medium term notes 800,000
800,000 Bonds
500,000 500,000
Unamortized issuance cost 6,546
9,096 Total
1,293,454 1,290,904
Medium Term Notes SMF, a subsidiary, issued Medium Term Notes Sinar Mas Multifinance Year 2012 with nominal
value of Rp 1,000,000 and made in 2 withdrawals as follows: a. Amounting to Rp 600,000 on November 13, 2012; and
b. Amounting to Rp 400,000 on November 29, 2012 MTN’ period is three 3 years or less if option is exercised by SMF. MTN’ interest rate is 11
per annum which will be paid every 3 months. The MTN will mature on November 13, 2015 and November 29, 2015, respectively.
These MTN’s are unsecured and not listed in any stock exchange. In relation to the issuance of the MTN, the Company ranked [Idr]A-A minus based on rating
made by PT ICRA Indonesia. SMS and BS, subsidiaries, acted as Arranger and Monitoring and Payment Agent¸ respectively
of MTN Sinar Mas Multifinance year 2012.
In July 2013, SMF had settled part of the principal loan amounting to Rp 200,000.
Bonds On March 28, 2013, SMF obtained the Notice of Effectivity from the Chairman of the Capital
Market Financial Services Authority in his Letter No. S-63D.042013 for its offering to the public of Bonds of Sinar Mas Multifinance II Year 2013 with Fixed Interest Rate with total nominal
amount of Rp 500,000 and with term of five 5 years. These bonds were issued without warrants and offered with 100 of the principal of bonds. Interest is at 10.75 per annum and payable
every 3 months since April 10, 2013. These bonds are secured by consumer financing receivables, net investments in finance lease and factoring receivables.
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