v3.26.1
INSURANCE CONTRACTS ASSETS AND LIABILITIES FROM INSURANCE ACTIVITIES
 12 Months Ended
Mar. 31, 2026
Insurance [Abstract]  
INSURANCE CONTRACTS ASSETS AND LIABILITIES FROM INSURANCE ACTIVITIES INSURANCE CONTRACTS ASSETS AND LIABILITIES FROM INSURANCE ACTIVITIES
As of March 31, 2026, and March 31, 2025, the Company recognized insurance-related assets and liabilities arising from its underwriting and reinsurance activities. Effective April 1, 2025, the Company adopted LDTI (ASU 2018-12) using the modified retrospective transition method; the accounting policy change and transition impact are described in Note 2. The comparative balances as of March 31, 2025 have been recasted to reflect the disaggregated presentation required by LDTI.

The disclosures below relate solely to the Company's insurance operations and not to its other operating segments (Banking, Brokerage, and Other).

Nature of Insurance Products

The Company offers the following insurance products:
- Long-Duration Contracts: Life insurance and annuity contracts
- Short-Duration Contracts: Life insurance, general insurance products, including property (including automobile),
accident, casualty, and civil liability lines, compulsory employer liability insurance
As of March 31, 2026, and March 31, 2025, insurance and reinsurance receivables of the Group were comprised of the following:

Insurance contract assets
March 31, 2026
March 31, 2025 (Recasted)
Assets:
Amounts due from policyholders$9,802 $15,197 
Amounts due from reinsured7,782 5,583 
Advances paid for reinsurance
2,890 5,364 
Claims receivable from reinsurance25,235 3,023 
Less: provision for impairment losses(17,595)(2,432)
Insurance and reinsurance receivables:28,114 26,735 
Unearned premium reserve, reinsurers' share
3,790 7,028 
Reserves for claims and claims' adjustment expenses, reinsurers' share - short-duration4,945 3,420 
Total$36,849 $37,183 
Deferred acquisition costs - long-duration contracts$1,266 $1,100 
As of March 31, 2026, and March 31, 2025, insurance and reinsurance payables of the Company was comprised of the following:

Insurance contract liabilities
March 31, 2026
March 31, 2025 (Recasted)
Liabilities:
Amounts payable to insured
$5,058 9,417 
Amounts payable to agents and brokers334 6,287 
Amounts payable to reinsurers
2,248 1,669 
Insurance and reinsurance payables7,640 17,373 
Unearned premium reserve95,573 87,194 
Reserves for claims and claims' adjustment expenses - short-duration58,463 84,023 
Liability for future policy benefits328,288 211,384 
Deferred profit liability163,943 72,459 
Total$653,907 $472,433 
Long-Duration Contracts

The Long-Duration Contracts represents the net present value of expected future benefit outflows less expected future net premium inflows for the Company's long-duration contracts, measured under ASC 944-40 as amended by LDTI. Measurement methodology is described in Note 2.
Rollforward Table
The table below presents the Long-Duration Contracts disaggregated into the present value of expected net premiums ("PVENP") and the present value of expected future policy benefits ("PVEFPB"). The net LFPB equals PVEFPB minus PVENP. All amounts are net of reinsurance.
Liability for Future Policy Benefits — Rollforward
March 31, 2026
March 31, 2025 (Recasted)
Present Value of Expected Net Premiums (PVENP)
Balance, beginning of period$4,787 $4,520 
Effect of discount rate change (to OCI)187 (328)
Effect of cash flow assumption changes(377)149 
Effect of actual vs. expected experience297 618 
Interest accrual 558 449 
Issuance expense129,511 129,231 
Net premiums collected(130,230)(129,303)
Effect of foreign currency translation252 (549)
Balance, end of period$4,985 $4,787 
Liability for Future Policy Benefits — Rollforward
March 31, 2026
March 31, 2025 (Recasted)
Present Value of Expected Future Policy Benefits (PVEFPB)
Balance, beginning of period$216,171 $128,973 
Effect of discount rate change (to OCI)1,068 (7,135)
Effect of cash flow assumption changes(1,872)888 
Effect of actual vs. expected experience28,571 18,665 
Interest accrual24,166 9,786 
Issuance expense131,127 129,731 
Benefit payments(34,997)(11,480)
Surrender / termination payments(50,563)(34,237)
Effect of foreign currency translation19,602 (19,020)
Balance, end of period$333,273 $216,171 
Liability for Future Policy Benefits, net$328,288 $211,384 
Life Insurance
March 31, 2026March 31, 2025 (Recasted)
Undiscounted PVEFPB40,62636,616
Undiscounted PVENP8,0837,913
Discounted PVEFPB18,77618,460
Discounted PVENP4,9854,787
Weighted-average duration of the liability (years)5.55.1
Weighted-average interest accretion (original locked-in) rate in KZT12 %11 %
Weighted-average current discount rate at balance sheet date in KZT14 %13 %
Annuity contracts
March 31, 2026March 31, 2025 (Recasted)
Undiscounted PVEFPB726,403409,097
Undiscounted PVENP— — 
Discounted PVEFPB314,350197,599
Discounted PVENP— — 
Weighted-average duration of the liability (years)3.12.9
Weighted-average interest accretion (original locked-in) rate14 %11 %
Weighted-average current discount rate at balance sheet date15 %13 %
Key Actuarial Assumptions
The reserve for long‑duration insurance contracts is measured using best‑estimate cash flow assumptions without any provision for adverse deviation, in accordance with ASC 944‑40‑30‑7. The significant assumptions include mortality rates, lapse rates, policy maintenance expenses, and the discount rate.
•Mortality assumptions for retirement annuity products and employer liability annuities are based on local mortality tables established by the regulatory framework of the Republic of Kazakhstan, while for other portfolios they are based on the reinsurer’s mortality tables.
•Lapse rates are determined based on the Company’s historical experience, analyzed by portfolio and policy duration.
•Policy maintenance expenses reflect the current level of per‑policy costs, adjusted for the expected rate of inflation.
•Discount curves for KZT‑denominated liabilities are derived using the parametric Nelson–Siegel curve with parameters published by KASE, while discount curves for USD‑denominated liabilities are based on the HQMYC discount curve from the FED.
•Cash‑flow assumptions are reviewed at least annually, and the results of such reviews are recognized in net income in the period in which the review is performed.

Deferred Acquisition Costs — Long-Duration Contracts

The following table presents the rollforward of DAC attributable to long-duration contracts. Effective April 1, 2025, DAC is amortized on a straight-line basis over the expected contract term. DAC attributable to short-duration contracts continues to be amortized over the one-year policy period and is not presented separately.

Deferred Acquisition Costs — Long-Duration Contracts
March 31, 2026
March 31, 2025 (Recasted)
Balance, beginning of period$1,100 $1,210 
Capitalizations — new business written499 456 
Amortization (straight-line, contract term)(170)(219)
Impairment / write-off(229)(209)
Foreign currency translation66 (138)
Balance, end of period$1,266 $1,100 

Prior to LDTI adoption, DAC on traditional life contracts was amortized over the premium-paying period using the net level premium method; DAC on participating and interest-sensitive contracts was amortized on the basis of estimated gross profits (EGP). The transition to straight-line amortization has been reflected in the opening balance adjustment described in Note 2.
Short-Duration Contracts

Rollforward Table
    
March 31, 2026
March 31, 2025 (Recasted)
Gross reserves, beginning of year$84,023 $55,678 
Less: reinsurers' share, beginning of year(3,420)(4,031)
Net reserves, beginning of year80,603 51,647 
Claims and CAE Incurred:
Current year80,105 80,473 
Prior years — (favorable) / adverse(23,661)(14,437)
Total incurred56,444 66,036 
Claims and CAE Paid:
Current year(74,206)(23,350)
Prior years(11,257)(6,363)
Total paid(85,463)(29,713)
Foreign exchange effect1,936 (7,367)
Net reserves, end of year53,520 80,603 
Plus: reinsurers' share, end of year4,943 3,420 
Gross reserves, end of year$58,463 $84,023 
The decrease in incurred claims and claim adjustment expenses attributable to prior fiscal years primarily reflects favorable development in the Insurance of Vehicle Owners line, driven by lower-than-expected claim frequency for those prior accident years, and lower incurred claims in the Accident Insurance line. Lower incurred claims in the Accident Insurance line were primarily driven by lower sales volumes in this line of business following changes in local regulatory requirements. No material assumption changes or premium adjustments were recorded as a result.
Allocation by Short-Duration Product Line
As of March 31, 2026
Gross reserves for claims and claims’ adjustment expensesReserves for claims and claims’ adjustment expenses, reinsurers’ shareReserves for claims and claims’ adjustment expenses, net of reinsurance
Life Insurance$4,631 $22 $4,609 
Accident Insurance438 — 438 
Civil Liability
8,367 339 8,028 
Vehicle Owners
14,030 — 14,030 
Compulsory employer liability insurance
8,189 491 7,698 
Property Damage
4,987 454 4,533 
Motor Vehicle
2,431 22 2,409 
Other11,775 
Total
$53,520 
Claims Development - Short-Duration Contracts
Life Insurance
Incurred losses and LAE, net of reinsurance for the years ended March 31
Accident
The information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year
201820192020202120222023202420252026
20186 11 — — — — — — — 
2019122 38 — — — — — — 
202052 22 1 1 1 1 1 
20218 2 — — — — 
2022106 211 203 25 — 
2023552 3,532 1,118 3 
202414,334 6,857 99 
202524,966 64 
20264,738 
Total
4,905 
Cumulative paid losses and LAE, net of reinsurance
2018— — — — — — — — — 
2019— — — — — — — — 
20201 1 1 1 1 1 1 
2021— — — — — — 
2022— — — — — 
20231 3 3 24 
202473 98 128 
202560 84 
202659 
Total
296 
Liabilities for loss and LAE, net of reinsurance
4,609 

The following table shows the average annual percentage payout of incurred losses for the Life Insurance line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
50.8%32.1%(4.4)%204.9%(233.5)%—%50.0%—%—%
Accident Insurance

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
20182 4 — — — — — — — 
2019106 38 1 1 1 1 1 1 
202085 95 1 1 1 1 1 
2021261 195 1 1 1 1 
2022426 243 4 4 4 
2023833 678 11 119 
20242,125 3,610 56 
20259,608 274 
2026227 
Total683 
Cumulative paid losses and LAE, net of reinsurance
2018— — — — — — — — — 
2019— 1 1 1 1 1 1 1 
2020— 1 1 1 1 1 1 
20211 1 1 1 1 1 
20222 4 4 4 4 
20235 11 11 11 
202432 37 39 
2025184 187 
20261 
Total245 
Liabilities for loss and LAE, net of reinsurance438 



The following table shows the average annual percentage payout of incurred losses for the Accident Insurance line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
37.2%41.3%2.2%2.3%18.6%0.3%(1.9)%—%—%
Civil Liability

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
20181 1 1 1 1 — 1 1 1 
2019— 27 9 — — — — — 
20202 2 2 — — — — 
202112 12 36 232 2 2 
2022754 727 678 766 832 
2023254 1,006 610 135 
20242,971 3,106 2,240 
20258,041 4,746 
20263,722 
Total11,678 
Cumulative paid losses and LAE, net of reinsurance
20181 1 1 1 1 1 1 1 1 
2019— — — — — — — — 
2020— — — — — — — 
20211 2 2 2 2 2 
2022676 676 676 676 676 
2023— 61 77 77 
2024— 1,448 1,459 
20251 1,186 
2026249 
Total3,650 
Liabilities for loss and LAE, net of reinsurance8,028 



The following table shows the average annual percentage payout of incurred losses for the Civil Liability line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
34%36%11%4%9%6%—%—%—%
Vehicle Owners

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
2018842 1,213 1,226 1,233 1,236 1,260 1,224 1,273 1,250 
20191,010 1,455 1,479 1,489 1,565 1,496 1,556 1,533 
20201,718 2,456 2,551 2,759 2,579 2,707 2,644 
20213,584 4,671 5,289 4,725 4,902 4,747 
20227,215 10,245 9,290 9,349 8,976 
202312,006 12,280 12,158 11,377 
20248,636 6,570 6,342 
202519,840 19,502 
202661,203 
Total117,574 
Cumulative paid losses and LAE, net of reinsurance
2018842 1,213 1,226 1,233 1,236 1,236 1,236 1,236 1,250 
20191,010 1,455 1,479 1,489 1,509 1,514 1,514 1,533 
20201,548 2,418 2,515 2,592 2,592 2,624 2,644 
20212,837 4,539 4,656 4,688 4,709 4,747 
20225,778 8,650 8,808 8,915 8,976 
20238,343 11,044 11,209 11,293 
20244,217 5,988 6,070 
202512,532 18,298 
202648,733 
Total103,544 
Liabilities for loss and LAE, net of reinsurance14,030 


The following table shows the average annual percentage payout of incurred losses for the Vehicle Owners line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
67%29%2%1%—%—%—%—%1%
Compulsory employer liability insurance

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
2018451 530 670 757 805 928 1,100 1,224 1,277 
2019561 477 450 437 540 585 585 569 
2020901 825 722 808 907 932 1,059 
20211,094 1,125 1,474 1,137 945 1,082 
20221,067 1,166 1,240 1,076 1,269 
20231,429 1,338 1,329 1,877 
20242,761 3,055 3,048 
20258,106 14,048 
20263,624 
Total27,853 
Cumulative paid losses and LAE, net of reinsurance
2018199 377 575 669 709 761 936 1,165 1,244 
2019207 305 323 350 365 373 472 531 
2020207 400 475 520 581 632 793 
2021254 430 538 550 567 618 
2022433 628 667 700 774 
2023351 585 662 784 
20241,120 1,817 2,079 
20255,919 12,021 
20261,311 
Total20,155 
Liabilities for loss and LAE, net of reinsurance7,698 


The following table shows the average annual percentage payout of incurred losses for the Compulsory employer liability insurance line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
29.2%19.1%2.0%1.5%5.8%3.2%16.3%15.2%5.2%
Property Damage

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
2018458 496 543 540 540 399 523 544 540 
2019— 5 5 10 — 10 10 10 
20208 8 8 — 128 13 12 
202156 50 283 183 117 112 
2022110 118 141 121 117 
202345 187 120 23 
2024319 624 554 
20254,145 3,856 
20262,889 
Total8,113 
Cumulative paid losses and LAE, net of reinsurance
2018458 496 540 540 540 540 540 540 540 
2019— — — 10 10 10 10 10 
20208 8 8 8 12 12 12 
20212 8 112 112 112 112 
20227 26 117 117 117 
2023— 23 23 23 
202440 43 230 
202533 1,887 
2026649 
Total3,580 
Liabilities for loss and LAE, net of reinsurance4,533 


The following table shows the average annual percentage payout of incurred losses for the Property Damage line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
21%22%30%22%6%—%—%—%—%
Motor Vehicle

Incurred losses and LAE, net of reinsurance for the years ended March 31
AccidentThe information about incurred and paid claims development for the years ended March 31, 2018 to 2025, is presented as supplementary information.
Year201820192020202120222023202420252026
2018140 162 166 166 166 231 165 171 166 
2019175 195 195 195 252 194 202 195 
2020203 253 253 490 246 256 247 
2021288 337 581 345 359 346 
2022310 518 558 433 413 
2023938 824 989 768 
20244,937 4,029 3,081 
20254,661 3,635 
20263,205 
Total12,056 
Cumulative paid losses and LAE, net of reinsurance
2018140 162 166 166 166 166 166 166 166 
2019174 191 195 195 195 195 195 195 
2020178 246 246 247 247 247 247 
2021242 327 340 346 346 346 
2022243 403 403 413 413 
2023419 753 753 758 
20241,846 2,633 2,698 
20252,226 2,645 
20262,179 
Total9,647 
Liabilities for loss and LAE, net of reinsurance2,409 


The following table shows the average annual percentage payout of incurred losses for the Motor Vehicle line of business:

Average annual percentage payout of incurred losses by age, net of reinsurance (unaudited)
Years
123456789
Average annual percentage payout
69%24%4%3%—%—%—%—%—%