1. AIA’s third fiscal quarter of 2020 and 2019 ended on 30 September 2020 and 30 September 2019 respectively.
2. All figures are presented in actual reporting currency (US dollars) and based on actual exchange rates (AER) unless otherwise stated. Change is shown on constant exchange rates (CER) unless otherwise stated, calculated using constant average exchange rates for each period.
3. Long-term economic assumptions used in the embedded value (EV) basis for the third quarter 2020 results are the same as at 30 June 2020 shown in the supplementary embedded value information in our Interim Report 2020. Non-economic assumptions used in the EV basis are based on those as at 31 December 2019, updated to reflect AIA’s latest view of expected future experience.
4. VONB is calculated based on assumptions applicable at the point of sale.
In the third quarter of 2020, ANP and VONB for Other Markets include the results from our 49 per cent shareholding in Tata AIA Life Insurance Company Limited (Tata AIA Life).
The total reported VONB for the Group in the third quarter of 2020 excludes VONB attributable to non-controlling interests of US$7 million.
For the third quarter of 2019, ANP and VONB have not been restated and do not include any contribution from Tata AIA Life or a deduction for the amount attributable to non-controlling interests. As previously disclosed, the VONB attributable to non-controlling interests for the third quarter of 2019 was US$8 million.
5. VONB includes pension business. ANP and VONB margin exclude pension business and are before deduction of non-controlling interests.
6. ANP represents 100 per cent of annualised first year premiums and 10 per cent of single premiums, before reinsurance ceded and excluding pension business.
7. TWPI consists of 100 per cent of renewal premiums, 100 per cent of first year premiums and 10 per cent of single premiums, before reinsurance ceded.
8. In the context of our reportable market segments, Hong Kong refers to operations in Hong Kong Special Administrative Region (SAR) and Macau SAR; Singapore refers to operations in Singapore and Brunei; and Other Markets refers to operations in Australia (including New Zealand), Cambodia, India, Indonesia, Myanmar, the Philippines, South Korea, Sri Lanka, Taiwan (China) and Vietnam.
9. The results of Tata AIA Life are accounted for the three-month period ended 30 June 2020 in AIA’s consolidated results for the third quarter of 2020. For clarity, TWPI does not include any contribution from Tata AIA Life.
AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific – wholly-owned branches and subsidiaries in Mainland China, Hong Kong SAR, Thailand, Singapore, Malaysia, Australia, Cambodia, Indonesia, Myanmar, the Philippines, South Korea, Sri Lanka, Taiwan (China), Vietnam, Brunei, Macau SAR, New Zealand, and a 49 per cent joint venture in India.
The business that is now AIA was first established in Shanghai more than a century ago in 1919. It is a market leader in the Asia-Pacific region (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its markets. It had total assets of US$291 billion as of 30 June 2020.
AIA meets the long-term savings and protection needs of individuals by offering a range of products and services including life insurance, accident and health insurance and savings plans. The Group also provides employee benefits, credit life and pension services to corporate clients. Through an extensive network of agents, partners and employees across Asia-Pacific, AIA serves the holders of more than 36 million individual policies and over 16 million participating members of group insurance schemes.
AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code “1299” with American Depositary Receipts (Level 1) traded on the over-the-counter market (ticker symbol: “AAGIY”).