20 Investment Contracts

In CHF million  
Notes  31.12.2012 31.12.2011
Investment contracts with discretionary participation with deposit accounting
  9 694 9 605
Investment contracts with discretionary participation with actuarial valuation
  1 678 1 463
Investment contracts without discretionary participation at amortised cost
33  43 53
Investment contracts without discretionary participation at fair value through profit or loss
  138 237
Total investment contracts
  11 553 11 358
of which for the account and risk of the Swiss Life Group's customers
 
investment contracts with discretionary participation
  2 903 2 623
investment contracts without discretionary participation
  91 205


Investment contracts with discretionary participation with deposit accounting
In CHF million  
  2012 2011
Balance as at 1 January
  9 605 9 694
Deposits received
  1 551 1 797
Interest credited
  98 95
Participating bonuses
  164 187
Policy fees
  –107 –108
Deposits released
  –1 209 –1 188
Other movements
  494
Reclassifications and other disposals
  –826 –626
Foreign currency translation differences
  –76 –246
Balance as at end of period
  9 694 9 605


Investment contracts with discretionary participation with actuarial valuation
In CHF million  
Notes  2012 2011
Balance as at 1 January
  1 463 1 179
Additions from acquisition of insurance portfolio
31  15
Savings premiums
  660 684
Accretion of interest
  23 25
Liabilities released for payments on death, surrender and other terminations during the year
  –374 –437
Effect of changes in actuarial assumptions and other movements
  2 0
Reclassifications and other disposals
  –95
Foreign currency translation differences
  –1 –3
Balance as at end of period
  1 678 1 463


In the case of contracts that do not have significant insurance risk but contain discretionary participation features, the Swiss Life Group primarily bases its accounting policies on the requirements of the Generally Accepted Accounting Principles in the United States (US GAAP).

For investment-type contracts, savings premiums collected are reported as deposits (deposit accounting). These amounts relate to contracts issued in France and Luxembourg.

In the case of traditional contracts in the life insurance business, future life policy benefit liabilities are determined by using the net-level-premium method on the basis of actuarial assumptions as to mortality, persistency, expenses and investment return, including a margin for adverse deviation. For participating contracts where the contribution prin­ciple applies to the allocation of the policyholder bonus, future life policy benefit liabilities are determined by using the net-level-premium method on the basis of appropriate mortality and interest rate assumptions. These amounts relate to contracts issued in Switzerland and France.

Certain contracts that do not contain significant insurance risk and do not have discretionary participation features are carried at amortised cost or fair value.

Investment contracts without discretionary participation at amortised cost
In CHF million  
  2012 2011
Balance as at 1 January
  53 170
Deposits received
  36 20
Interest credited
  1 2
Policy fees
  0 0
Deposits released
  –28 –136
Other movements
  0 –1
Reclassifications and other disposals
  –18
Foreign currency translation differences
  0 –2
Balance as at end of period
  43 53


Investment contracts without discretionary participation at fair value through profit or loss
In CHF million  
  2012 2011
Balance as at 1 January
  237 236
Deposits received
  15 16
Fair value changes
  6 6
Policy fees
  0 –2
Deposits released
  –7 –20
Other movements
  0 6
Reclassifications and other disposals
  –111
Foreign currency translation differences
  –2 –5
Balance as at end of period
  138 237


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