Page 139 - TGIA_AnnualReport2015

Thai General Insurance Association
Note to Financial Statement

As at December 31, 2015
(Translation Only)

1. General Information
Thai General Insurance Association (TGIA)’s objectives are to promote general insurance business,
to coordinate with the Office of Insurance Commission, Ministry of Finance, to support the operation of the
insurance institute, to conduct public relations activities to promote the business and to create public awareness
and fairness for all and to serve as a non-profit organization.

TGIA was established and located at the registered address at 223 Soi Ruamruedee, Wireless Road,
Lumpini Sub-District, Pathumwan District, Bangkok.
TGIA has 61 general insurance companies as members.

2. Basis of Financial Statements Preparation
This financial statement is prepared in compliance with the generally accepted accounting principles of
Non-Public Accountable Entities, issued by the Federation of the Accounting Professions. The association also
complied with the accounting principles of Public Accountable Entities accounting, i.e. the IAS No.19: Employee
Benefits.
This financial statement was based on the principle of historical cost, unless presented otherwise
according to the accounting standard.
In preparing a financial statement in compliance with the generally accepted accounting principles of

Non-Public Accountable Entities, the management must use various judgment, estimation and assumption that
affect the formulation accounting policies and the report of the amounts of money related to assets, liabilities,
incomes and expenses. The actual results, therefore, may be different from the estimation.

3. Summary of Significant Accounting Policies
3.1 Cash and Cash Equivalent
Cash and cash equivalent mean cash and bank deposits whose period of payback is not longer than 3
months after the acquired date and without a limit on withdrawal.
Deposit at financial institutions with limitation on use is shown separately in “Deposit with Guaranteeing
Obligations” under other non-current assets in the balance sheet.

3.2 Temporary Investment Fund
Temporary investment fund means fixed deposit whose period of deposit is longer than 3 to 12 months.
3.3 Equipment and Vehicle
Equipment and Vehicle have been recognized at the beginning base on cost. The value of equipment
and vehicle present on the cost less accumulated depreciation.
TGIA calculated depreciation value of fixed assets by straight-line method according to the useful lives
of the assets as follow:-
Office Equipment 5 years
Vehicle 5 years

136 รายงานประจาปี 2558 | Annual Report 2015
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