BIMB Integrated Annual Report 2017

31. NET INCOME FROM TAKAFUL BUSINESS (CONTINUED) (b) Net benefits and claims GROUP 2017 2016 RM’000 RM’000 Gross benefits/claims paid (1,003,654) (1,127,519) Retakaful recoveries 163,996 244,762 Net benefits/claims paid (839,658) (882,757) Gross change in contract liabilities: At 31 December (545,134) (582,184) Less: At 1 January (582,184) (741,069) Effect of movement in exchange rates (2,439) 575 34,611 159,460 Change in contract liabilities ceded to retakaful companies: At 31 December 254,804 261,426 Less: At 1 January 261,426 404,205 Effect of movement in exchange rates 1,159 (202) (5,463) (142,981) (810,510) (866,278) 32. NET ALLOWANCE FOR IMPAIRMENT ON FINANCING AND ADVANCES GROUP 2017 2016 RM’000 RM’000 Allowance for impaired financing, advances and others – collective assessment allowance 34,706 161,667 – individual assessment allowance 71,735 30,662 Bad debts and financing recovered (122,054) (100,224) (15,613) 92,105 33. ALLOWANCE FOR IMPAIRMENT ON INVESTMENTS GROUP 2017 2016 RM’000 RM’000 Financial assets: – available-for-sale – 255 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 237 Overview Value Creation Accountability Financial Statements Sustainability Performance Data Shareholders Information 21 st AGM Information Management Discussion & Analysis