[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-1-en-105":3,"doc-seo-164816-105":53,"doc-detail-164816-en":126},{"code":4,"msg":5,"data":6},0,"success",[7,14,19,24,29,34,39,44,49],{"id":8,"doc_module":9,"doc_module_name":10,"category_name":11,"show_sort_weight":12,"slug":13},11,1,"Template","Presentations",90,"presentations",{"id":15,"doc_module":9,"doc_module_name":10,"category_name":16,"show_sort_weight":17,"slug":18},12,"Resumes",80,"resumes",{"id":20,"doc_module":9,"doc_module_name":10,"category_name":21,"show_sort_weight":22,"slug":23},14,"Invoices",70,"invoices",{"id":25,"doc_module":9,"doc_module_name":10,"category_name":26,"show_sort_weight":27,"slug":28},15,"Posters",60,"posters",{"id":30,"doc_module":9,"doc_module_name":10,"category_name":31,"show_sort_weight":32,"slug":33},16,"Social Media",50,"social-media",{"id":35,"doc_module":9,"doc_module_name":10,"category_name":36,"show_sort_weight":37,"slug":38},17,"Forms",40,"forms",{"id":40,"doc_module":9,"doc_module_name":10,"category_name":41,"show_sort_weight":42,"slug":43},18,"Letters",30,"letters",{"id":45,"doc_module":9,"doc_module_name":10,"category_name":46,"show_sort_weight":47,"slug":48},21,"Paper Templates",5,"papers-templates",{"id":50,"doc_module":9,"doc_module_name":10,"category_name":51,"show_sort_weight":4,"slug":52},158,"General","general-158",{"code":4,"msg":54,"data":55},"ok",{"site_id":56,"language":57,"slug":58,"title":59,"keywords":60,"description":61,"schema_data":62,"social_meta":119,"head_meta":121,"extra_data":123,"updated_unix":125},105,"en","final-accounts-of-insurance-companies-preparation-of-financial-statements","FINAL ACCOUNTS OF INSURANCE COMPANIES - Preparation of Financial Statements","","Insurance is a contract under which an insurer receives premium consideration to compensate the insured for loss, damage, or other uncertain events. The material distinguishes life insurance from general insurance and describes the regulatory basis under IRDA regulations for 2002 financial statement preparation. It details final accounts of life insurance companies, including Revenue Account, Profit and Loss Account, Shareholders’ (non-technical) account, and the vertical Balance Sheet format, along with key schedules and policy types.",{"@graph":63,"@context":118},[64,80,101],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":51,"@type":70,"position":76},"https://docshare.wps.com/template/general/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/final-accounts-of-insurance-companies-preparation-of-financial-statements/164816/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/final-accounts-of-insurance-companies-preparation-of-financial-statements/164816.png","ImageObject",442,249,{"name":88,"@type":89},"Anda","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/vnd.openxmlformats-officedocument.wordprocessingml.document","2026-09-22","2026-08-31",true,{"@type":98,"interactionType":99,"userInteractionCount":79},"InteractionCounter",{"@type":100},"ViewAction",{"@type":102,"mainEntity":103},"FAQPage",[104,110,114],{"name":105,"@type":106,"acceptedAnswer":107},"What is the purpose of final accounts in insurance companies?","Question",{"text":108,"@type":109},"Final accounts summarize the financial performance and position of the insurer for the year, showing income, expenses, profit, and assets and liabilities in the required formats.","Answer",{"name":111,"@type":106,"acceptedAnswer":112},"How do life insurance and general insurance differ?",{"text":113,"@type":109},"Life insurance guarantees a sum on reaching a specified age or on death, whichever is earlier, combining protection and investment. General insurance covers all other types such as fire, marine, accident, and theft and typically indemnifies losses for specific events.",{"name":115,"@type":106,"acceptedAnswer":116},"Which financial statements are included in the final accounts of a life insurance company?",{"text":117,"@type":109},"The final accounts include Revenue Account, Profit and Loss Account (P&L), and the Balance Sheet, with additional non-technical information presented under shareholders’ accounts.","https://schema.org",{"og:url":78,"og:type":120,"og:title":59,"og:site_name":91,"og:description":61},"article",{"robots":122,"canonical":78},"index,follow",{"doc_id":124,"site_id":56},164816,1788161766,{"code":4,"msg":5,"data":127},{"doc_id":124,"user_id":128,"nickname":88,"user_avatar":129,"doc_module":9,"category_id":50,"category_name":51,"doc_title":59,"doc_description":61,"doc_content":130,"file_id":131,"file_url":132,"file_type":133,"file_size":134,"view_count":79,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":135,"language":136,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":61,"update_tm":125,"read_time":140},962075006959,"https://ap-avatar.wpscdn.com/avatar/e0002397efbe92a78e?_k=1776741047341049297","FINAL ACCOUNTS OF INSURANCE COMPANIES\nInsurance is a form of contract under which one party agrees in return of a consideration    to pay an agreed amount of money to another party to compensate for a loss, damage or some uncertain event. \u000b\u000bThere are two types of insurance i.e., Life insurance and General Insurance.\nLife Insurance – under this type of insurance the corporation guarantees to pay a certain sum of money to the policy holder on reaching a certain age or on his death whichever is earlier. Life insurance has an element both of protection and investment.\nGeneral Insurance – it includes all other types of insurance except life insurance. e.g. – Fire, Marine, Accident, Theft.etc. Under this type of insurance the insurer undertakes to indemnify the loss suffered by the insured on happening of a certain event in consideration for a fixed premium. Insurance Regulatory and Development Authority (IRDA)\nIn order to regulate the insurance business, the government set up in 1996, the Insurance Regulatory Authority (IRA). Now this authority is known as the Insurance Regulatory and Development Authority. In 2002, the authority came with regulations for the preparation of the financial statement of insurance companies.\nPreparation of Financial Statements\nFinal Accounts of Life Insurance Companies\nThe final accounts of a life insurance company consist of (a) Revenue Account, (b) P&L A/c and (c) Balance Sheet.\nRevenue Account (Form A‐RA)\nRevenue Account is prepared as per the provisions of IRDA regulations 2002 and complies with the requirements of Schedule A as follows:\nFORM A – RA\nName of the insurer\nRegistration No. and Date of Registration with the IRDA\nRevenue Account for the year ended 31st March, 20….\nPolicyholders’ Account (Technical Account)\n\u0013 SHAPE  \\* MERGEFORMAT \u0014\n\u0015\nProfit And Loss Account (Form A‐PL)\nThe P&L A/c is prepared to calculate the overall profit of the life insurance business. The incomes or expenses that are not related to any particular fund are recorded in the P&L A/c.\nFORM A ‐ PL\nName of the insurer\nRegistration No. and Date of Registration with the IRDA\nst\nProfit and Loss Account for the year ended 31 March, 20….\nShareholders’ Account (Non‐technical Account)\nNotes to Form A‐RA and A‐PL:\nPremium income received from business concluded in and outside India shall be separately disclosed.\nReinsurance premiums whether on business ceded or accepted are to be brought into account gross (i.e., before deducting commissions) under the head reinsurance premiums\nClaims incurred shall comprise claims paid, specific claims settlement  costs  wherever applicable and change in the outstanding provisions for claims at the year‐end.\nItems of expenses and income in excess of one percent of the total premiums (less reinsurance)\nor Rs.500000 whichever is higher, shall be shown as a separate line item.\nFees and expenses connected with claims shall be included in claims.\nUnder the sub‐head “Others” shall be included items like foreign exchange gains or losses and other items.\nInterest, dividends and rentals receivable in connection with an investment should be stated at gross amount, the amount of income tax deducted at source  being  included  under  “advance taxes paid and taxes deducted at source”.\nIncome from rent shall include only the realized rent. It shall not include any notional rent.\n\u0013 SHAPE  \\* MERGEFORMAT \u0014\n\u0015\nBalance Sheet (Form A‐BS)\nBalance Sheet of Life Insurance Company is prepared in vertical format. The form of Balance Sheet is as follows:\nSCHEDULES FORMING PART OF FINANCIAL STATEMENTS SCHEDULE 1 ‐ PREMIUM\n\u0013 SHAPE  \\* MERGEFORMAT \u0014\n\u0015\nSCHEDULE 2 COMMISSION EXPENSES\nNote: The profit/commission, if any, are to be combined with the Re‐insurance accepted  or Re‐ insurance ceded figures.\nSCHEDULE 3\nOPERATING EXPENSES RELATED TO INSURANCE BUSINESS\nSCHEDULE  4 –\nBENEFITS  PAID [NET]\nNotes: (a) claims include specific claims settlement costs, wherever applicable. (b)Legal and other fees and expenses shall also form p","cbCaitUQZB6QQb96","https://ap.wps.com/l/cbCaitUQZB6QQb96","docx",93358,24,"English","# Final Accounts of Insurance Companies\n## Insurance Basics: Life vs General\n## Preparation of Financial Statements\n## Final Accounts of Life Insurance Companies\n## Revenue Account (Form A-RA)\n## Profit and Loss Account (Form A-PL)\n## Shareholders’ Account (Non-technical Account)\n## Balance Sheet (Form A-BS)\n## Schedules Forming Part of Financial Statements\n## Types of Life Insurance Policies\n## Explanation of Key Items","[{\"question\":\"What is the purpose of final accounts in insurance companies?\",\"answer\":\"Final accounts summarize the financial performance and position of the insurer for the year, showing income, expenses, profit, and assets and liabilities in the required formats.\"},{\"question\":\"How do life insurance and general insurance differ?\",\"answer\":\"Life insurance guarantees a sum on reaching a specified age or on death, whichever is earlier, combining protection and investment. General insurance covers all other types such as fire, marine, accident, and theft and typically indemnifies losses for specific events.\"},{\"question\":\"Which financial statements are included in the final accounts of a life insurance company?\",\"answer\":\"The final accounts include Revenue Account, Profit and Loss Account (P\\u0026L), and the Balance Sheet, with additional non-technical information presented under shareholders’ accounts.\"}]","FINAL ACCOUNTS OF INSURANCE COMPANIES - Preparation of Financial Statements | DOCX",8]