6.6 Other assets
6.6 Other assets
Other assets | ||
in EUR thousand | 2013 | 2012 |
---|---|---|
Present value of future profits on acquired life reinsurance portfolios | 85,270 | 92,100 |
Other intangible assets | 30,843 | 32,136 |
Insurance for pension commitments | 71,622 | 64,631 |
Own-use real estate | 70,396 | 67,843 |
Tax refund claims | 181,326 | 30,580 |
Fixtures, fittings and equipment | 30,220 | 24,011 |
Other receivables | 8,921 | 3,397 |
Other | 125,029 | 87,957 |
Total | 603,627 | 402,655 |
Of this, other assets of EUR 4.2 million (EUR 4.0 million) are attributable to affiliated companies.
With regard to the rise in tax refund claims please see our remarks in Section 7.5 “Taxes on income”.
The item “Other” includes receivables of EUR 73.6 million (EUR 54.8 million) which correspond to the present value of future premium payments in connection with derivative financial instruments arising from transactions in the life and health reinsurance business group. For further explanation please see Section 8.1 “Derivative financial instruments and financial guarantees”.
Present value of future profits (PVFP) on acquired life reinsurance portfolios
Development of the present value of future profits (PVFP) on acquired life reinsurance portfolios | ||
in EUR thousand | 2013 | 2012 |
---|---|---|
Net book value at 31 December of the previous year | 92,100 | 94,985 |
Currency translation at 1 January | 233 | 178 |
Net book value after currency translation | 92,333 | 95,163 |
Amortisation | 3,420 | 3,119 |
Disposals | 3,761 | – |
Currency translation at 31 December | 118 | 56 |
Net book value at 31 December of the year under review | 85,270 | 92,100 |
This item consists of the present value of future cash flows recognised on business acquired in 2009 in the context of the acquisition of the ING life reinsurance portfolio. This intangible asset is amortised over the term of the underlying reinsurance contracts in proportion to the future premium income. The period of amortisation amounts to altogether 30 years. Due to renegotiation of part of the portfolio a partial amount of EUR 3.8 million was derecognised through profit or loss. For further information please refer to our explanatory notes on intangible assets in Section 3.2 “Summary of major accounting policies”.
Insurance for pension commitments
Effective 1 July 2003 Hannover Rück SE took out insurance for pension commitments. The commitments involve deferred annuities with regular premium payment under a group insurance policy. In accordance with IAS 19 “Employee Benefits” they were carried as a separate asset at fair value as at the balance sheet date in an amount of EUR 71.6 million (EUR 64.6 million).
Fixtures, fittings and equipment
Fixtures, fittings and equipment | ||
in EUR thousand | 2013 | 2012 |
---|---|---|
Gross book value at 31 December of the previous year | 121,815 | 113,487 |
Currency translation at 1 January | (2,584) | (318) |
Gross book value after currency translation | 119,231 | 113,169 |
Additions | 17,272 | 9,620 |
Disposals | 6,272 | 908 |
Reclassification | – | 18 |
Changes in consolidated group | 69 | – |
Currency translation at 31 December | (472) | (84) |
Gross book value at 31 December of the year under review | 129,828 | 121,815 |
Cumulative depreciation at 31 December of the previous year | 97,804 | 86,966 |
Currency translation at 1 January | (1,906) | (239) |
Cumulative depreciation after currency translation | 95,898 | 86,727 |
Disposals | 6,071 | 901 |
Depreciation | 9,880 | 12,072 |
Reclassification | – | 2 |
Changes in consolidated group | 18 | – |
Currency translation at 31 December | (117) | (96) |
Cumulative depreciation at 31 December of the year under review | 99,608 | 97,804 |
Net book value at 31 December of the previous year | 24,011 | 26,521 |
Net book value at 31 December of the year under review | 30,220 | 24,011 |
With regard to the measurement of fixtures, fittings and equipment, the reader is referred to our explanatory notes on the other assets in Section 3.2 “Summary of major accounting policies”.
The changes in the consolidated group refer to the first-time inclusion of Glencar underwriting Managers, Inc.; please see our explanatory remarks in Section 4.3 “Major acquisitions and new formations”.
Other intangible assets
Development of other intangible assets | ||
in EUR thousand | 2013 | 2012 |
---|---|---|
Gross book value at 31 December of the previous year | 184,725 | 175,867 |
Currency translation at 1 January | (847) | 191 |
Gross book value after currency translation | 183,878 | 176,058 |
Changes in the consolidated group | (8) | – |
Additions | 13,243 | 10,194 |
Disposals | 405 | 1,473 |
Currency translation at 31 December | (19) | (54) |
Gross book value at 31 December of the year under review | 196,689 | 184,725 |
Cumulative depreciation at 31 December of the previous year | 152,589 | 140,195 |
Currency translation at 1 January | (544) | 126 |
Cumulative depreciation after currency translation | 152,045 | 140,321 |
Disposals | 308 | 551 |
Appreciation | 25 | 10 |
Depreciation | 14,130 | 12,848 |
Currency translation at 31 December | 4 | (19) |
Cumulative depreciation at 31 December of the year under review | 165,846 | 152,589 |
Net book value at 31 December of the previous year | 32,136 | 35,672 |
Net book value at 31 December of the year under review | 30,843 | 32,136 |
The item includes EUR 3.2 million (EUR 4.5 million) for self-created software and EUR 19.1 million (EUR 25.2 million) for purchased software as at the balance sheet date. Scheduled depreciation is taken over useful lives of three to ten years. The additions can be broken down into EUR 5.0 million (EUR 7.9 million) for purchased software and EUR 0.9 million (EUR 0.9 million) for capitalised development costs for self-created software.
As in the previous year, the other receivables do not include any items that were overdue but unadjusted as at the balance sheet date. Value adjustments were taken on other receivables in an amount of EUR 0.3 million in the year under review (previous year: minimal amount) on the basis of specific impairment analyses.
Credit risks may result from other financial assets that were not overdue or adjusted as at the balance sheet date. In this regard, the reader is referred in general to our comments on the credit risk contained in the risk report.