The insurance service result which represents the profit earned from providing insurance coverage. It is the excess of the insurance contract liability over the risk-adjusted present value (RAPV) of probability weighted estimates of future cash flows expected to arise from the insurance contract. These future cash flows- technically known as “fulfillment cash flows (FCF)”- include all the future cash flows that arise with the boundary of each affected insurance contract. Part of these cash flows may include other items such as certain tax amounts.

The future profit reflects the financial result of an insurance which captures: (i) investment income from managing financial assets and (ii) insurance finance expenses from insurance obligations- the effects of discount rates and other financial variables on the value of insurance obligations.