Notes to the Financial Statements
The following tables summarise the maturity analysis of the Group and the Company’s financial liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Group and the Company can be required to pay. Consolidated
Less than 3 months
3 to 6 months
6 months to a year
1 year and over
Over 5 years
Total $'000 $'000 $'000 $'000 $'000 $'000
2024
Payables
11,782
—
—
—
— 11,782 — 5,979 — 36,254
Lease liabilities
767
767 1,549 2,896
420 420 840 34,574
Borrowings 1
1,935 1,935 3,870 30,963 86,611
125,314
Subordinated debt 1
14,904 3,122 6,259 68,433 86,611 179,329
Total
2023 Payables
22,072
—
—
—
— 22,072 — 9,145 — 18,649
Lease liabilities
810 803 1,553 5,979
213
213
426 17,797
Borrowings 1
1,907 1,907
3,813 30,507 94,067 132,201
Subordinated debt 1
25,002 2,923 5,792 54,283 94,067 182,067 Company
Total
Less than 3 months
3 to 6 months
6 months to a year
1 year and over
Over 5 years
Total $'000 $'000 $'000 $'000 $'000 $'000
2024
Payables 2023 Payables
4,313
—
—
—
— 4,313
2,486
—
—
—
— 2,486
1 Included contractual interest payments are undiscounted and calculated based on prevailing market floating rates as applicable at the reporting date. The following tables summarise the maturity analysis of the Group’s insurance contract liabilities and reinsurance contract assets. The tables have been drawn up based on the present value of the future cash flows. Consolidated
Less than 1 year
1 to 2 years
2 to 3 years
3 to 4 years
4 to 5 years
Over 5 years
Total $'000 $'000 $'000 $'000 $'000 $'000 $'000 (96,824) (25,605) (13,330) (9,608) (7,903) (361,486) (514,756)
2024
Insurance contract liabilities Reinsurance contract assets 2023 Insurance contract liabilities Reinsurance contract assets
(3,833)
(2,871) (2,428)
(1,337)
(205) 156,710 146,036
(87,638) (11,744)
(6,537)
(3,919)
(2,383) (292,436) (404,657)
(7,067) (8,903) (8,888) (8,220)
(7,372)
72,171
31,721
Interest rate risk management The Group’s activities expose it to the financial risk of changes in interest rates. Floating rate instruments expose the Group to cash flow risk and credit spread risks, whereas fixed interest rate instruments expose the Group to fair value interest rate risk. The Board monitors the Group’s exposures to interest rate risk. In December 2020, ClearView updated its investment strategy and appointed PIMCO with a specialist investment mandate to manage the shareholder funds in relation to the insurance liabilities (including inflation), claims and capital reserves and surplus capital in the life company. The PIMCO mandate is monitored on a periodic basis by the CIC. At 30 June 2024, $429.0 million including $422.3 million in interest securities and $6.7 million in cash (30 June 2023: $413.4 million including $393.7 million in interest securities and $19.7 million in cash) is invested in the PIMCO funds. An overall investment income of $14.1 million after tax was made in the year ended 30 June 2024 (2023: income of $10.4 million). ClearView entered into two incurred claims treaties with its main reinsurer Swiss Re Life and Health Australia (Swiss Re) for its lump sum and income protection portfolios to manage its financial exposure to its reinsurer and
113
ClearView Wealth Limited
Powered by FlippingBook