AVBOB Financial Statements 2018

103 AVBOB MUTUAL ASSURANCE SOCIETY AND ITS SUBSIDIARIES NOTES TO THE SUMMARISED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2018 (continued) SOCIETY GROUP 2018 2017 2018 2017 R 000 R 000 R 000 R 000 7. CONTRACT BENEFITS AND CLAIMS Long-term insurance contracts and investment contracts with discretionary participation features 1 060 317 921 025 1 060 317 921 025 Death and disability claims 862 848 718 432 862 848 718 432 Maturities 637 727 637 727 Surrenders/lapses 196 832 201 866 196 832 201 866 Group scheme contracts Death and disability claims 99 258 76 260 99 258 76 260 Expenses 200 349 161 784 63 605 23 246 Insurance claims recovered from reinsurance Long-term insurance contracts ( 488) ( 1 005) ( 488) ( 1 005) NET BENEFITS 1 359 436 1 158 064 1 222 692 1 019 526 8. EXPENSES BY FUNCTION Comprising: - - 450 571 420 049 - - 24 010 22 255 - - 426 561 397 794 373 334 294 898 400 887 321 996 178 989 146 083 190 858 158 858 194 345 148 815 210 029 163 138 539 885 483 827 633 023 577 181 298 663 274 358 350 481 325 256 241 222 209 469 282 542 251 925 913 219 778 725 1 484 481 1 319 226 Number of full-time employees at 30 June 1 419 1 264 1 858 1 682 Number of representatives at 30 June 5 906 5 613 5 906 5 613 Other expenses Cost of sales Marketing expenses Employee benefit expenses Other expenses Employee benefit expenses Other expenses Operating and administrative expenses Employee benefit expenses 103