{"id":2648,"date":"2019-10-24T09:00:26","date_gmt":"2019-10-24T09:00:26","guid":{"rendered":"https:\/\/commerceiets.com\/?p=2648"},"modified":"2019-10-24T09:00:26","modified_gmt":"2019-10-24T09:00:26","slug":"final-accounts-of-general-insurance-companies","status":"publish","type":"post","link":"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/","title":{"rendered":"FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES"},"content":{"rendered":"\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#FINAL_ACCOUNTS_OF_GENERAL_INSURANCE_COMPANIES\" title=\"FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES\">FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#FEATURES_OF_GENERAL_INSURANCE\" title=\"FEATURES OF GENERAL INSURANCE\">FEATURES OF GENERAL INSURANCE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#PRINCIPLES_OF_GENERAL_INSURANCE\" title=\"PRINCIPLES OF GENERAL INSURANCE\">PRINCIPLES OF GENERAL INSURANCE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#FINAL_ACCOUNTS_OF_GENERAL_INSURANCE_COMPANIES-2\" title=\"FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES\">FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#REVENUE_ACCOUNT\" title=\"REVENUE ACCOUNT\">REVENUE ACCOUNT<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#PROFIT_AND_LOSS_ACCOUNT\" title=\"PROFIT AND LOSS ACCOUNT\">PROFIT AND LOSS ACCOUNT<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/#BALANCE_SHEET_OF_GENERAL_INSURANCE_COMPANIES\" title=\"BALANCE SHEET OF GENERAL INSURANCE COMPANIES\">BALANCE SHEET OF GENERAL INSURANCE COMPANIES<\/a><\/li><\/ul><\/nav><\/div>\n<h3 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"FINAL_ACCOUNTS_OF_GENERAL_INSURANCE_COMPANIES\"><\/span><strong>FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-medium-font-size\">All the insurances other than the <a href=\"https:\/\/commerceiets.com\/types-of-life-insurance-policies\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\"life insurance (opens in a new tab)\">life insurance<\/a> is covered under General Insurance. It includes fire insurance, marine insurance, cargo insurance, mobile insurance etc. The General insurance Corporation of India is the apex general insurance institution of India. The Final Accounts of General Insurance Companies include Revenue Account, Profit and Loss Account, and Balance Sheet.<\/p>\n\n\n\n<h4 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"FEATURES_OF_GENERAL_INSURANCE\"><\/span><strong>FEATURES OF GENERAL INSURANCE<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<ul><li>General Insurance contract are generally made for one year or 12 months.<\/li><li>Insurance contracts can be made at any time during the financial year.<\/li><li>Premiums in respect of general insurance are paid in the advance.<\/li><li>Unexpired amount of premium is carried forward in the next year as \u2018Reserve for Unexpired Risks\u2019.<\/li><\/ul>\n\n\n\n<h4 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"PRINCIPLES_OF_GENERAL_INSURANCE\"><\/span><strong>PRINCIPLES OF GENERAL INSURANCE<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<p>The following are the various principles of General Insurance:<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2020\/06\/PRINCIPLES-OF-GENERAL-INSURANCE-1.jpg\" alt=\"GENERAL INSURANCE\" class=\"wp-image-4366\"\/><\/figure>\n\n\n\n<p><strong>PRINCIPLES OF UTMOST GOOD FAITH<\/strong><\/p>\n\n\n\n<p>This is a very basic and primary principle of insurance contracts because the insurance company has to provide a certain level of security to the insured person\u2019s life. This principles states that:<strong><\/strong><\/p>\n\n\n\n<ul><li>Both parties involved in an insurance contract\u2014the insured (policy holder) and the insurer (the company)\u2014should act in good faith towards each other.<\/li><li>The insurer and the insured must provide clear and concise information regarding the terms and conditions of the contract<\/li><\/ul>\n\n\n\n<p>If the insurance company provides the falsified or misrepresented information, then they are liable in situations where this misrepresentation or falsification has caused the loss to the insured.<\/p>\n\n\n\n<p><strong>PRINCIPLES OF INSURABLE INTEREST<\/strong><\/p>\n\n\n\n<p>Insurable interest means that the insured must have some interest in the subject matter of the insurance contract. The subject matter of the contract must provide some financial gain to the policyholder and would lead to a financial loss if damaged, destroyed, stolen, or lost. This principles states that:<\/p>\n\n\n\n<ul><li>The insured must have an insurable interest in the subject matter of the insurance contract.<\/li><li>The owner of the subject is said to have an insurable interest until he or she is no longer the owner.<\/li><\/ul>\n\n\n\n<p><strong>PRINCIPLE OF INDEMNITY<\/strong><\/p>\n\n\n\n<p>Indemnity is a guarantee to restore the insured to the position he or she was in before the&nbsp;<em>uncertain<\/em>&nbsp;incident that caused a loss for the insured. The insurance company i.e. the insurer compensates the insured or policyholder against the loss arises from the uncertain event.<\/p>\n\n\n\n<p>The insurance company promises to compensate the policyholder for the amount of the loss up to the amount agreed upon in the contract.<\/p>\n\n\n\n<p>The amount of compensation is in direct proportion with the incurred loss. The insurance company will pay up to the amount of the incurred loss or the insured amount agreed on in the contract, whichever is less. For example, if the car is insured for Rs. 10,000 but damages are only Rs. 3,000. The insured will get Rs. 3,000 only and not the full amount.<\/p>\n\n\n\n<p><strong>PRINCIPLE OF CONTRIBUTION<\/strong><\/p>\n\n\n\n<p>Principle of contribution is an extension of principle of indemnity. Contribution allows for the insured to claim indemnity to the extent of actual loss from all the insurance contracts involved in his or her claim.<\/p>\n\n\n\n<p>It allows proportional responsibility for all insurance coverage on the same subject matter<\/p>\n\n\n\n<p><strong>PRINCIPLE OF SUBROGATION<\/strong><\/p>\n\n\n\n<p>The principle of subrogation states that after the insured has been compensated for the incurred loss on a piece of property that was insured, the rights of ownership of this property go to the insurer.<\/p>\n\n\n\n<p>This principle is applicable only when the damaged property has any value after the event causing the damage. The insurer can benefits out of the subrogation rights only to the extent of the amount he has paid to the insured as compensation.<\/p>\n\n\n\n<p><strong>PRINCIPLE OF PROXIMATE CAUSE<\/strong><\/p>\n\n\n\n<p>This principle is also known as \u2018causa proxima.\u2019 &nbsp;As per this principle, the loss of insured property can be caused by more than one incident even in succession to each other. The property may be insured against some but not all causes of loss. When a property is&nbsp;not&nbsp;insured against all causes, the nearest cause is to be found out. If the proximate cause is one in which the property is insured against, then the insurer must pay compensation. If it is not a cause the property is insured against, then the insurer doesn\u2019t have to pay.<\/p>\n\n\n\n<p><strong>PRINCIPLE OF LOSS MINIMIZATION<\/strong><\/p>\n\n\n\n<p>This principle states that in an uncertain event, it is the insured\u2019s responsibility to take all precautions to minimize the loss on the insured property.<\/p>\n\n\n\n<p>Insurance contracts shouldn\u2019t be about getting free stuff every time something bad happens. Therefore, a little responsibility lies with the insured to take all measures possible to minimize the loss on the property.<\/p>\n\n\n\n<h4 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"FINAL_ACCOUNTS_OF_GENERAL_INSURANCE_COMPANIES-2\"><\/span><strong>FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"REVENUE_ACCOUNT\"><\/span>REVENUE ACCOUNT<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>FORM B \u2013 RA<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Name of the Insurer:<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Registration No. and Date of Registration with the IRDA<\/strong><\/p>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>REVENUE ACCOUNT FOR THE YEAR ENDED 31<\/strong><sup><strong>ST<\/strong><\/sup><strong> MARCH, 20\u2026\u2026.<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td>\n  <strong>PARTICULARS<\/strong>\n  <\/td><td>\n  <strong>SCHEDULE NO.<\/strong>\n  <\/td><td>\n  <strong>CURRENT YEAR<\/strong>\n  <\/td><td>\n  <strong>PREVIOUS YEAR<\/strong>\n  <\/td><\/tr><tr><td>   Premium earned net<br \/>   Profit\/ Loss on sale\/ redemption of investments<br \/>   Other Incomes (to be specified)<br \/>   Interests, Dividends and Rent (Gross)<br \/>   <strong>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TOTAL (A)<\/strong>   <\/td><td>   &nbsp;   1<br \/><br \/><br \/><br \/><br \/>   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   Claims incurred (Net)<br \/>   Commission<br \/>   Operating expenses related to insurance business<br \/>   &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <strong>TOTAL (B)<\/strong>   <\/td><td>   2<br \/>   3<br \/>   4<br \/>   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>\n  Operating Profit\/ (Loss) from Fire\/ Marine\/ Miscellaneous Business (C)=\n  (A)-(B)\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   <strong>APPROPRIATIONS<\/strong><br \/>   Transfer to shareholder\u2019s account<br \/>   Transfer to Catastrophe Reserve<br \/>   Transfer to other reserve (to be specified)<br \/>   <strong>TOTAL (C)<\/strong>   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"PROFIT_AND_LOSS_ACCOUNT\"><\/span>PROFIT AND LOSS ACCOUNT<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>FORM B-PL<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Name of the Insurer:<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Registration No. and date of registration with IRDA<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31<\/strong><sup><strong>ST<\/strong><\/sup><strong> MARCH, 20\u2026..<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td>\n  <strong>PARTICULARS<\/strong>\n  <\/td><td>\n  <strong>SCHEDULE NO.<\/strong>\n  <\/td><td>\n  <strong>CURRENT YEAR<\/strong>\n  <\/td><td>\n  <strong>PREVIOUS YEAR<\/strong>\n  <\/td><\/tr><tr><td>   <strong>Operating Profit\/ (Loss)<\/strong><br \/>   Fire Insurance<br \/>   Marine Insurance<br \/>   Miscellaneous Insurance<br \/>   <strong>Income from investments<\/strong><br \/>   Interest, dividends and rent- gross<br \/>   Profit on sale\/ redemption of investments<br \/>   Less: (Loss on\/ redemption of investments)<br \/>   <strong>Other Incomes (to be   specified)<\/strong><br \/>   <strong>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TOTAL (A)<\/strong>   <\/td><td>\n  &nbsp;\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   Provision (other than taxation)<br \/>   &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; -For dimunition in   the value of investments (net)<br \/>   &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; -Provision for   doubtful debts<br \/>    &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; -Others (to be   specified)<br \/>   Other expenses<br \/>   Expenses other than those directly related to the Insurance business<br \/>   Bad debts written off<br \/>   Other (to be specified)<br \/>   &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <strong>TOTAL (B)<\/strong>   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   Profit\/ (Loss) before tax<br \/>   Provisions for taxation<br \/>   Profit\/ (Loss) After tax   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   <strong>APPROPRIATIONS<\/strong><br \/>   Interim dividends paid during the year<br \/>Proposed final dividend<br \/>Dividend distribution tax<br \/>Transfer to reserves\/ other accounts (to be   specified)<br \/>            Balance of profit\/ loss brought forward from last year<br \/>   Balance carried over to the balance sheet   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"has-medium-font-size\"><strong>GUIDELINES REGARDING PREPARATION OF REVENUE ACCOUNT AND PROFIT AND LOSS ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>Premium income received from business concluded\nin and outside India shall be separately disclosed.<\/li><li>Reinsurance premiums whether on business ceded\nor accepted are to be brought into account at gross value.<\/li><li>Claims incurred must include:<\/li><li>Claims paid<\/li><li>Specific claims settlement costs<\/li><li>Fees and incomes connected with claims shall be\nincluded in the claims.<\/li><li>Income from rent shall include only the realized\nrent. It shall not record any notional rent.<\/li><\/ul>\n\n\n\n<h3 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"BALANCE_SHEET_OF_GENERAL_INSURANCE_COMPANIES\"><\/span><strong>BALANCE SHEET OF GENERAL INSURANCE COMPANIES<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>FORM B- BS&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Name of the Insurer:<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Registration No. and date of registration with IRDA<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>BALANCE SHEET AS AT 31<\/strong><sup><strong>ST<\/strong><\/sup><strong> MARCH, 20\u2026..<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>   PARTICULARS   <\/strong><\/td><td><strong>   SCHEDULE   <\/strong><\/td><td><strong>   Current Year   <\/strong><\/td><td><strong>   Previous Year   <\/strong><\/td><\/tr><tr><td>   <strong>SOURCES OF FUNDS<\/strong><br \/>   Share Capital<br \/>   &nbsp;Reserve and Surplus<br \/>   Fair value change account<br \/>   Borrowings<br \/>   <strong>TOTAL<\/strong>   <\/td><td>5<br \/>6 <br \/>  &nbsp;<br \/>7<\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><tr><td>   <strong>APPLICATION OF FUNDS<\/strong><br \/><strong><br \/>   Investments<\/strong><br \/>   <strong>Loans<\/strong><br \/>   <strong>Fixed assets<\/strong><br \/>   <strong>Current assets:<\/strong><br \/>   Cash and Bank Balance<br \/>   Advances and other assets<br \/>   &nbsp;&nbsp;&nbsp; <strong><em>Sub-total (A)<\/em><\/strong><br \/>   <strong>Current liabilities<\/strong><br \/>   <strong>Provisions<\/strong><br \/>   <strong><em>&nbsp;&nbsp;&nbsp;&nbsp; Sub-total (B)<\/em><\/strong><br \/>   <strong>Net Current Assets (C)=   (A)-(B)<\/strong><br \/>   <strong>Miscellaneous Expenditure (to   the extent not written off or adjusted)<\/strong><br \/>   <strong>Debit Balance In Profit and Loss   Account (Shareholders\u2019 Account)<\/strong><br \/>   &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;   <strong>TOTAL<\/strong>   <\/td><td>8 <br \/>9<br \/>10<br \/><br \/>11<br \/>12<br \/><br \/>13<br \/>14<br \/><br \/><br \/>15<br \/>  &nbsp;   &nbsp;      &nbsp;   &nbsp;   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"has-medium-font-size\"><strong>GUIDELINES FOR PREPARATION OF BALANCE SHEET<\/strong><\/p>\n\n\n\n<ul><li>Investments in subsidiary\/ holding companies\/\njoint ventures and associates shall be separately disclosed, at cost.<\/li><li>Investments made out of catastrophe reserves\nshould be shown separately.<\/li><li>Aggregate amount of company\u2019s investments other\nthan listed equity securities and derivative instruments and also the market\nvalue thereof shall be disclosed.<\/li><li>Debt securities will be considered as \u2018held to\nmaturity\u2019 securities and will be measured at historical cost subject to amortization.<\/li><li>Investments made within twelve months will be\nclassified as \u2018Short term Investments\u2019.<\/li><\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Also study:&nbsp;<\/strong><\/td><td><strong>Also study:&nbsp;<\/strong><\/td><td><strong>Also study:&nbsp;<\/strong><\/td><td><strong>Also study:&nbsp;<\/strong><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/joint-stock-company\/\">Meaning of company<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/types-of-companies\/\">Types of companies<\/a><\/td><td><a href=\"http:\/\/v\" target=\"_blank\">One person company<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-public-and-private-company\/\">Public VS Private Company<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/sweat-equity-shares\/\">Sweat Equity Shares<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/stock-and-shares\/\">Stock vs Shares<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/reserve-capital-and-capital-reserve\/\">Reserve Capital Vs Reserve Capital<\/a><\/td><td><a href=\"http:\/\/v\" target=\"_blank\">Different types of preference shares<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/different-types-of-preference-shares\/\">Equity vs Preference shares<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/slip-system-of-posting\/\">Slip System of Posting<\/a><\/td><td><a href=\"http:\/\/v\" target=\"_blank\">Redemption of preference shares<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/buy-back-of-shares\/\">Buy Back of shares<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/debentures\/\">Debentures<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/issue-of-debentures\/\">Issue of debentures<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/redemption-of-debentures\/\">Redemption of Debentures<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/sources-of-redemption-of-debentures\/\">Sources of redemption of debentures<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/balance-sheet-as-per-companies-act-2013\/\">Balance Sheet as per Companies Act 2013<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/divisible-profits\/\">Divisible Profits<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/amalgamation\/\">Amalgamation<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/purchase-consideration\/\">Purchase consideration<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/alteration-of-share-capital\/\">Alteration of share capital<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/internal-reconstruction\/\">Internal Reconstruction<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/provisions-of-banking-regulation-act-1949\/\">Provision of banking regulation act 1949<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/asset-classification-of-banking-company\/\">Asset classification of banking company<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/non-performing-assets\/\">Non-performing assets<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/advances-in-banking-company\/\">Advances in banking company<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/types-of-life-insurance-policies\/\">Life Insurance Accounting<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/valuation-balance-sheet\/\">Valuation balance sheet<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/financial-statements-of-life-insurance-business\/\">Financial statements of life insurance companies<\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/\">Final accounts of general insurance companies<\/a><\/td><td><\/td><td><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p><strong>CONNECT ON LINKEDIN<\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/www.linkedin.com\/in\/kajal-mahajan-7549b2197\/\" target=\"_blank\" rel=\"noopener\">https:\/\/www.linkedin.com\/in\/kajal-mahajan-7549b2197\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES All the insurances other than the life insurance is covered under General Insurance. It includes fire insurance, marine insurance, cargo insurance, mobile insurance etc. The General insurance Corporation of India is the apex general insurance institution of India. The Final Accounts of General Insurance Companies include Revenue Account, Profit&#8230;<\/p>\n<p class=\"more-link-wrap\"><a href=\"https:\/\/commerceiets.com\/final-accounts-of-general-insurance-companies\/\" class=\"more-link\">Read More<span class=\"screen-reader-text\"> &ldquo;FINAL ACCOUNTS OF GENERAL INSURANCE COMPANIES&rdquo;<\/span> &raquo;<\/a><\/p>\n","protected":false},"author":2,"featured_media":2650,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[102],"tags":[],"_links":{"self":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/2648"}],"collection":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/comments?post=2648"}],"version-history":[{"count":0,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/2648\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media\/2650"}],"wp:attachment":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media?parent=2648"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/categories?post=2648"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/tags?post=2648"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}