FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2017 1/9
REPORT OF THE ACCOUNTANTS TO THE MEMBERS OF THE INTERNATIONAL ASSOCIATION OF ENGINEERING INSURERS ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2017 In accordance with instructions given to us we have prepared without carrying out an audit the annexed financial statements from the accounting records of The International Association of Engineering Insureres and from information and explanations supplied to us. Traviss & Co Chartered Accountants Newtown House 38 Newtown Road Liphook Hampshire GU3O 7DX 2/9
BALANCE SHEET asat 2017 2016 in GBP in GBP CURRENT ASSETS Cash & Cash Equivalents Accounts Receivable Prepayments TOTAL ASSETS 1) 344,899 419,270 2) 19,900 11,907 3) 5,377 5,669 370,176 436,846 CURRENT LIABILITIES Accounts Payable Tax Payable Accrued Expenses TOTAL LIABILITIES 4) 0 1,430 5) 254 119 6) 31,594 86,738 31,848 88,287 RESERVES Brought Forward Result For The Year TOTAL RESERVES TOTAL LIABILITIES AND RESERVES 348,559 345,451-10,231 3,108 338,328 348,559 370,176 436,846 3/9
PROFIT & LOSS for the period ended 2017 in GBP 2016 in GBP INCOME Academy Income Conference Income Member Fee Income Financial Income 7) 8) 9) I 0) 4,165 268,528 108,477 676 55,750 81,216 I 04,246 75 TOTAL INCOME 381,846 241,287 EXPENSES Academy Expenses Conference Expenses Operating Expenses Other Expenses Financial Expenses TOTAL EXPENSES 7) 8) II) I 2) I 3) 0 37,392 265,567 137,979 113,486 52,745 10,133 8,868 2,891 1,195 392,077 238,179 RESULT -10,231 3,108 4/9
Organization IMIA is a network of experts in Engineering Insurance from around the world who share experience, investigate and discuss emerging and critical issues and elaborate papers discussing all kinds of topics of Engineering Insurance. IMIA Members are regional Insurance Association, Insurers, Reinsurers and Associate Members (Consultants, Loss Adjusters and Brokers) from all over the world. IMIA is a non-profit organisation presently having its location of bookkeeping and accounting in Great Britain with its tax registration there. The Secretariat is located at the General Secretary s office, which will move to the next Secretary following election of a new Secretary. Basis of Preparation Balance Sheet position Cash & Cash Equivalents Accounts Receivable Prepayments Accounts Payable Tax Payable Accrued Expenses Valuation principle at nominal value at nominal value, amounts not collected are written off at nominal value at nominal value at nominal value at best estimate Amounts in foreign currencies are translated based on the EX rates provided by FE.com. Profit & Loss position Income and Expense. at nominal value, transactions in foreign currency are... converted into GBP utilizing FX rates at the transaction date The disclosure and presentation has been re-worked in order to increase transparency of IMIA s accounts and to provide more meaningful insights. Presentation of prior year figures has been adjusted to align with the current year presentation. Additional details are provided with relevant notes hereafter. 1) Cash & Cash Equivalent 2017 (in GBP) 2016 (in GBP) Current Bank Account 137,290 186,124 Savings BankAccount 207,609 233,146 Total Cash & Cash Equivalents 344,899 419,270 The current bank account represents a GBP account utilized to process the usual transactions of IMIA. Savings account includes a GBP and a EUR account, which was opened to process the transactions in relation to the Conference and Academy thattook place in Germany in 2017. 2) Accounts Receivable 2017 (in GBP) 2016 (in GBP) %_ E0 Academy Fees - Singapore 2018 17,650 0 Total Accounts Receivable 19,900 11,907 At the end of 2017 the first set of invoices were raised relating to the 201 8 Academy in Singapore. Those unpaid as at 31 December 201 7 are disclosed as Accounts Receivable. 5/9
3) Prepayments 2017 (in GBP) 2016 (in GBP) Insurance 2,912 2,834 2OlfConferenceCosts 0 2,835 2018 Academy Speaker 2,465 0 Total Prepayments 5,377 5,669 Insurance includes premiums paid in respect of Professional Indemnity and Combined Liability Insurance. Part of the insurance coverage period falls into the following year and has been prepaid accordingly. At 31 December 201 6, an element of the entertainment costs for the 201 7 Conference in Munich were prepaid. 4) Accounts Payable 2017 (in GBP) 2016 (in GEP) Insurance 0 1,430 Total Accounts Payable 0 1,430 5) Tax Payable 2017 (in GBP) 2016 (in GBP) Corporation Tax 254 119 TotalTaxPayable 254 119 Corporation tax is due on the interest received in the year at the rate of 20%. 6) Accrued Expenses and deferred income 2017 (in GBP) 2016 (in GBP) qo soo, IT & Website Costs 2,785 1,800 ConferenceCosts 0 15,932 AcadernyFees2oi8 Other 9 5,773 Total Accrued Expenses 31,594 86,738 The 2016 position was presented as Trade Creditors and Other Creditors in the financial statements. Academy fees invoiced in 2017 in respect ofthe 2018 Academy have been deferred to the balance sheet. 7) Academy Income & Expense 2017 (in GBP) 2016 (in GBP) Academy Fees 4,165 55,750 total Academy Income 4,165 55,750 The 2017 Academy took place in Berlin, Germany and IMIA utilized a third party event management service provider named Deutsche Versicherungsakademie. This results in a different presentation of the income and expenses relating to the Academy in 2017 as only a net position was received by IMIA as represented by the above income. 2017 (in GBP) 2016 (in GBP) HotelCosts 0 15,193 Travel Costs 0 22,200 Total Academy Expense 0 37,392 The 2016 financial statements included a casting error of GBP 7 which resulted in overstated Academy Expenses by that amount. The amount disclosed as the 2016 balance has been corrected in the 2017 financial statements. 6/9
8) Conference Income & Expense 2017 (in GBP) 2016 (in GBP) Split by Type Association 27,013 25,488 Insurer 40,175 23,400 Reinsurer 21,212 19,800 Associate Member 19,500 10,200 Guest 600 1,200 Total Conference Participation Fee Income 108,500 80,088 Conference Sponsorship Fee 160,028 1,128 Total Conference Income 268,528 81,216 In 2017 IMIA hosted its 50th Anniversary Conference in Munich, Germany. As a result of this anniversary the income and expenses for the 201 7 Conference have been higher than in the previous year. The current year s disclosure has been amended to show Delegate Fees wihtin the Participation Fees and not separately. Conference Participation Fee Income - Association split by Country 2017 (in GBP) 201 6 (in GBP) Australia 0 0 Austria 900 900 Brazil 900-900 Canada 900 1,800 Denmark 900 900 Finland 0 0 France 900 900 59!Y India 900 900 Italy Japa Mexico I 800 900 Netherlands 0 0 Russia 2,700 3,600 South Africa 2,700 1,800 South Korea I 800 1,800 Spa Sweden 900 1,188 Switzerland 0 0 Taiwan 1,800 0 Turkey 1,800 1,800 UnitedKinQdom 1,800 0 United States of America 900 1,800 Total Conference Fee Association 27,013 25,488 2017 (in GBP) 2016 (in GBP) li?i 192?L. l?9.9p IMlATrave I 6,737 3q54 IMIA Marketing Expenses (md. Printing) 1 1 594 0 Total Conference Expenses 265,567 137,979 Conference Venue Expenses include all costs incurred from the venue provider, such as accommodation, meeting room facilities, catering, etc. Entertainment expenses include costs for guest speakers, excursions, presents, prizes, etc. IMIA Travel Expenses refer to costs incurred by the IMIA Secretariat. IMIA Marketing Expenses include costs for printing & stationery, as well as PR Consultancy. 7/9
9) Member Fee Income 2017 (in GBP) 2016 (in GBP) Split by Type Association 37,183 37,121 Insurer 35,994 32,250 Reinsurer 18,750 19,125 Associate Member 16,550 15,750 Total Member Fee Income 108,477 104,246 Association split by Country 201 7 (in GBP) 201 6 (in GBP) Australia 1,500 1,500 Austria 1,500 1,500 Brazil 750-1,500 Canada 1,500 1,500 Denmark I,500 I 500 Finland 0 1,500 France 3,500 3,500 r:ny c oo India 1,500 1,500 Italy 1,500 1,500 Japan 1,500 1,500 Mexico 1,500 1,500 Netherlands 1,500 1,500 Russia I 600 1,600 South Africa I 500 1,500 South Korea 3,000 3,000 Spain 1,500 1,500 Sweden 1,500 1,500 Switzerland 0 1,500 Taiwan 1,500 1,500 ItI:ly 1,500 1,500 UnitedKH,dom 33 1,5?1 United States of America I 500 1,500 Total Member Fee Association 37,183 37,121 10) Financial Income 2017 (in GBP) 2016 (in GBP) Interest on Savings Bank Account 676 75 Total Financial Income 676 75 11) Operating Expenses 2017 (in GBP) 2016 (in GBP) 78 I?L1 SecretariatExpenses 75,000 Web Hosting Expenses 18,437 24,554 Total Operating Expenses 113,486 52,745 The 2016 Secretariat compensation payment of GBP 30,000 was only recognised in the year ending 31 December 2017 resulting in a higher overall spend in the year. LQ 8/9
12) Other Expenses 2017 (in GBP) 2016 (in GBP) Accountancy & Bookkeeping (prior year) 3,233 2,500 Total Other Expenses 10,133 8,868 13) Financial Expenses 2017 (in GBP) 2016 (in GBP) 56 1,180 Gross Interest Taxation I 35 15 Total Financial Expenses 2,891 1,195 Bank Charges represent a higher expense in 2017 compared to previous year due to an increase in the volume of banking transactions resulting from the anniversary conference. Signed on behalf of The International Association of Engineering Insurers ji Max Benz (Treasurer) 10. Juni 2018 Date 9/9