Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 92

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 1
Chunk 92
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 estimated uncollectible reinsurance(1,673)(1,045)Insurance and reinsurance receivables18,524 16,120 Unearned premium reserve, reinsurers’ share3,494 4,770 Reserves for claims and claims’ adjustment expenses, reinsurers’ share4,500 4,032 Total assets from insurance activity$26,518 $24,922 As of December 31, 2024, and March 31, 2024, liabilities from the Group's insurance activity comprised the following:December 31, 2024March 31, 2024Liabilities:Amounts payable to reinsured $7,317 $2,771 Amounts payable to insurers6,597 4,294 Amounts payable to agents and brokers3,294 6,334 Insurance and reinsurance payables:17,208 13,399 Unearned premium reserve64,824 60,088 Reserves for claims and claims’ adjustment expenses325,845 223,693 Total liabilities from insurance activity$407,877 $297,180 As of December 31, 2024, and March 31, 2024, liabilities from insurance activity increased mainly due to the increase of reserves for claims and claims' adjustment expenses and the increase of unearned premium reserve as a result of the expansion of operations.

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Table of ContentsNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)(All amounts in thousands of United States dollars, except share data, unless otherwise stated)

NOTE 14 – FEE AND COMMISSION INCOME

Fee and commission income is recognized when, or as, the Group satisfies its performance obligations by transferring the promised services to the customers. A service is transferred to a customer when, or as, the customer obtains control of that service. A performance obligation may be satisfied at a point in time or over time. Revenue from a performance obligation satisfied at a point in time is recognized at the point in time that the Group determines the customer obtains control over the promised service. Revenue from a performance obligation satisfied over time is recognized by measuring the Group’s progress in satisfying the performance obligation in a manner that depicts the transfer of the services to the customer. The amount of revenue recognized reflects the consideration the Group expects to receive in exchange for those promised services (i.e., the “transaction price”). In determining the transaction price, the Group considers multiple factors, including the