The Life Assurance Fund at 31st December 2010 amounted to Rs. 20.8 billion (Rs. 18.4 billion in 2009) increasing by Rs. 2.4 billion during the year (Rs. 2.7 billion increase in 2009).

The Life Assurance Fund includes a fair value reserve of Rs. 4.3 billion in 2010 (Rs. 3.6 billion in 2009). The increase in fair value reserve of Rs. 0.7 billion made during the year (Rs. 1.5 billion increase in 2009) is due to the unrealised profit of our equities portfolio on the stock exchange.

The premiums receivable net of re-assurances and annuity considerations amounted to Rs. 1.8 billion in 2010 (Rs. 1.6 billion in 2009), including Rs. 744.0 million for the linked business (Rs. 581.2 million in 2009).

The Company sustained during the year death and disablement claims of Rs. 76.2 million as compared to Rs. 64.9 million in 2009. Maturities paid amounted to Rs. 805.0 million as compared to Rs. 840.1 million last year.

During the year, surrenders increased from Rs. 194.1 million to Rs. 284.5 million. Realised capital appreciation of Rs. 157.5 million was made on the non-linked account during the year as compared to Rs. 37.1 million in 2009, and realised capital appreciation of Rs. 11.0 million was made on the linked account in 2010 as compared to an appreciation of Rs. 15.2 million last year.

Loss on exchange of Rs. 22.7 million was made on the non-linked account in 2010 as compared to a loss of Rs. 38.7 million last year, and loss on exchange of Rs. 0.2 million was made on the linked account during the year as compared to a profit of Rs. 0.5 million in 2009.

Dividends paid in 2010 amounted to Rs. 57 million (Rs. 52 million in 2009).