Annual Report | 2015 -16 3 BOARD OF DIRECTORS

Mr. Ishaat Hussain (Chairman) Mr. Madhusudan Kannan Mr. Kishor Chaukar Mr. Simeon Preston Mr. William Lisle Mr. Janki Ballabh Mr. Pratip Kar Mr. D K Mehrotra Ms. Roopa Kudva Mr. Naveen Tahilyani (Managing Director & CEO)

COMPLIANCE OFFICER

S. Swaminathan (Sr. VP- Legal, Compliance & Company Secretary)

STATUTORY AUDITORS

M/s. N M Raiji & Co. M/s. Walker Chandiok & Co LLP

REGISTERED OFFICE ADDRESS

14TH FLOOR, TOWER A,PENINSULA BUSINESS PARK SENAPATI BAPAT MARG LOWER PAREL MUMBAI 400 013

REGISTRARS AND SHARE TRANSFER AGENTS

Link Intime India Pvt Ltd.C-13, Pannalal Silk Mills Compound, Lal Bahadur Shastri Marg, Subhash Nagar, Bhandup West, Mumbai 400078 Message from the Chairman Our multi-channel strategy saw tremendous progress this year, leading us to an overall aggregate Annualized Premium growth of 187% over the previous year, the highest growth rate in the industry. Our Agency business was one of the fastest growing in the industry, and especially pleasing was the improvement in key metrics such as Activation rate and Agent earnings. We equipped our Advisors with Tablets and Smartphones loaded with custom-built apps, and in the space of a year, saw paperless sales jump to nearly 60% from a standing start the year before. We made good progress with our Citibank partnership, particularly in having a more balanced portfolio that fulfilled multiple customer needs. Our new partnership with IndusInd Bank got off to a very swift start, and we are excited by the roadmap that we have with the bank to make this truly India’s best bancassurance partnership. We started a few select relations with high-quality brokers who are aligned with us on the focus on quality and putting the consumer first. Mr. Ishaat Hussain Our Direct Sales Force team expanded and I am confident will continue setting productivity benchmarks Dear Shareholders, in this space. I am pleased to share with you the Annual Report for Tata We were delighted to welcome the employees of Tata AIA Life for the Financial Year 2015-16. Consultancy Services as our consumers, and look Our strong leadership team, relentless focus on the forward to working with them and other Tata group consumer, exposure to the best global practices from companies in closing the Protection Gap in the country. AIA, and the guiding principles of the Tata Group, OUR PEOPLE helped us make substantial progress towards our vision Our committed and hard working team are our of becoming a pre-eminent player in the Life Insurance biggest differentiator, and the company is committed space in India. to ensuring that we develop and nurture our talent to During the course of the year, the shareholders become the employer of choice in the Life Insurance concluded a transaction whereby AIA took a 49% stake industry. in the company, with Tata Sons holding the rest. This is a During the year, we rolled out our Values, which form vote of confidence by both shareholders for the future of the guiding principles through which we conduct all the industry and company. our activities. There were several highlights during the year, and I Our Values are would like to enumerate some of them in this letter. • We act with integrity OUR CONSUMERS • We value performance We are fully focused on ensuring a best-in-class experience for our consumers, and made significant • We nurture entrepreneurship progress in key areas this year. • We are market facing We made significant changes to our internal processes • We deliver on our promise. to ensure that we are able to improve the percentage of We were delighted that our efforts were recognized by cases that are processed Straight-Through (STP). In the AON Hewitt, which named us a ‘Best Employer’, the month of March, the percentage of non-medical cases only Life Insurance company to be given this accolade processed straight-through touched 88%. We worked hard to ensure that our consumers experience a smooth LOOKING FORWARD on-boarding process and I was particularly happy that The future of Tata AIA Life has never been brighter. our claims settlement ratio reached 96.8% and our With our multi-channel capabilities, investments in persistency improved to over 76%. smart technology and analytics capabilities, and best Our Net Promoter Score reflects the progress we made in in class leadership and people, I am confident that the these areas, which is very pleasing. coming year, and years ahead, will see the company make a mark in the Life insurance space in India. OUR CUSTOMERS We work with our Individual Agents, Corporate Agents, Brokers and other Distribution Partners as Customers. Sincerely, It is very important to us that they become India’s best Ishaat Hussain trained and best equipped life insurance distribution Chairman force. Tata AIA Life Insurance Company Ltd. BOARD OF DIRECTORS Sixteenth Annual Report 2015-2016

Contents Pages

Notice 1

Directors’ Report and Annexure 6

Annexure to Directors’ Report • Corporate Governance Report 16 • Secretarial Auditor Report 22 • MGT 9 – Extract of Annual Report 24

Independent Auditor Report 32

Independent Auditor’s Certificate 37

Management Report 40

Balance Sheet 44

Revenue Account 48

Profit and Loss Account 52

Receipt and Payment Account 56

Schedules 60 Notice is hereby given that the Sixteenth Annual General Meeting of the Members of Tata AIA Life Insurance Company Limited will be held on Wednesday, 27th July 2016 at 02.00 p.m. in the Board Room of the Registered Office on the 14th Floor, Tower A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. ORDINARY BUSINESS SPECIAL BUSINESS 1. To receive, consider and adopt the Audited Balance 5. To consider and, if thought fit, to pass the following Sheet as at 31st March, 2016 and Profit & Loss Account resolution with or without modification(s) as a Special for the Financial Year ended 31st March, 2016 and the Resolution: Reports of the Directors and the Auditors thereon. “RESOLVED THAT pursuant to Circular No. F&A/ rd 2. To appoint a Director in place of Mr. Kishor Chaukar, CIR/011/MAR-04 dated 23 March, 2004 issued by who retires by rotation and, being eligible, offers himself the Insurance Regulatory and Development Authority for re-election. of India the sum of ` 757,257,000/- (Rupees Seventy five Crore seventy two lakhs fifty seven thousand only) 3. To ratify the appointment of M/s. N M Raiji & Co., (Previous year 1,263,799,000/- (Rupees One Hundred Chartered Accountants as Joint Auditors of the Twenty Six Crore thirty seven lakhs ninety nine thousand Company, who shall hold office from the conclusion of only) be and is hereby transferred from Shareholders’ 16th Annual General Meeting until the conclusion of the Account (Non Technical Account) to Policyholders’ 17th Annual General Meeting of the Company. Account (Technical Account).” “RESOLVED THAT pursuant to the provisions of 6. To Consider and, if thought fit, to pass, with or Section 139 and other applicable provisions of the without modification(s), the following resolution as an Companies Act, 2013 and the guidelines issued by Ordinary Resolution Insurance Regulatory and Development Authority “RESOLVED THAT Mr. William Lisle who was appointed of India (IRDAI) regarding appointment of Statutory as an Additional Director by the Board of Directors with Auditors, M/s. N M Raiji & Co. (Reg. No: 108296W) effect from August 13, 2015 in respect of whom the who were appointed as Joint Statutory Auditors at the Company has received a notice from the member as Meeting held on 13th August, 2015, be and is hereby per Section 160 of the Companies Act, 2013, in writing, ratified.” proposing his candidature for the office of Director, who holds office under Section 161 of the Companies Act, “RESOLVED FURTHER THAT the Board of Directors 2013, up to the date of the Annual General Meeting, be or Audit Committee thereof, be and is hereby authorised and is hereby appointed as a Director of the Company, to decide and finalise the terms and conditions of who shall be subject to retirement by rotation under the re-appointment, including the remuneration of the Articles of Association of the Company.” Statutory Auditors. NOTES: 4. To appoint M/s. Kalyaniwalla & Mistry, Chartered Accountants as Joint Auditors of the Company, who 1. A MEMBER ENTITLED TO ATTEND AND VOTE AT shall hold office from the conclusion of 16th Annual THE MEETING IS ENTITLED TO APPOINT A PROXY TO ATTEND AND VOTE INSTEAD OF HIMSELF AND General Meeting until the conclusion of 21st Annual A PROXY NEED NOT BE A MEMBER. General Meeting of the Company subject to ratification by the member at each Annual General Meeting. Proxies, in order to be effective, must be received at the Company’s Registered Office not less than 48 “RESOLVED THAT pursuant to the provisions of Section hours before the meeting. 139 of the Companies Act, 2013 and the guidelines issued by Insurance Regulatory and Development 2. The Statement to be annexed to the Notice pursuant Authority of India (IRDAI) regarding appointment of to Section 102(1) of the Companies Act, 2013, setting out all material facts relating to Business mentioned at Statutory Auditors, M/s. Kalyaniwalla & Mistry (Reg. item No 5 to 6 of the Notice, is annexed hereto, and No: 104607W) who were appointed as Joint Statutory should be considered as part thereof. Auditors at the Board Meeting held on 3rd May 2016, be and are hereby appointed as the Joint Auditors 3. Corporate Members intending to send their of the Company for the period of 5 years, subject to authorised representative(s) to attend the meeting are ratification of their appointment by the member each requested to send to the Company, a certified copy of year.” the Board resolution authorising such representative(s) to attend and vote on their behalf at the meeting. “RESOLVED FURTHER THAT the Board of Directors or 4. Proxy shall not vote, except on a Poll. Audit Committee thereof, be and is hereby authorised to decide and finalise the terms and conditions of 5. In case of joint holders attending the meeting, only re-appointment, including the remuneration of the such joint holder who is higher in the order of names Statutory Auditors. will be entitled to vote on a Poll.

Annual Report | 2015 -16 1 6. All documents referred to in the Notice and the required for ensuring compliance with the above Statement annexed, and requiring Members’ approval, mentioned circular. and such statutory records and registers, as are ITEM NO. 6 required to be kept for inspection under the Companies Pursuant to the provisions of Section 161 Act, 2013, shall be available for inspection by the of the Companies Act 2013, the Board of Members at the Registered Office of the Company Directors of the Company had appointed during business hours and shall be accessible to the Mr. William Lisle, as an Additional Director, person attending the meeting. with effect from August 13, 2015, to hold 7. The Register of Directors’ and Key Managerial the office as such till the date of the ensuing Persons’ Shareholding maintained under Section Annual General Meeting of the Company. 170 of the Companies Act, 2013, will be available The Company has received a notice alongwith the for inspection by the Members at the time of Annual deposit of requisite amount under Section 160 of the General Meeting. Companies Act, 2013, from a Member signifying the 8. Member/Proxy, desirous of attending the Meeting, candidature of Mr. William Lisle, for the office of a Director must bring the Attendance Slip (enclosed herewith) of the Company. The Company has also received a to the Meeting duly completed and signed, and hand consent letter from Mr. William Lisle confirming that he over the same at the venue entrance. is not disqualified from being appointed as a Director in terms of Section 164 of the Companies Act, 2013.

Date: 3rd May 2016 By order of the Board The Board accordingly, recommends the Resolution Place: Mumbai set out in Item No. 6 of the Notice for approval of the Members. Except Mr. William Lisle, none of the Director, Manager or Key Managerial Personnel or their relatives is concerned or interested, financially or otherwise, in the S. Swaminathan proposed resolution. Sr. VP- Legal, Compliance The Board recommends the resolutions for approval of & Company Secretary members as an Ordinary resolution. Explanatory Statement All documents referred to in the Notice and the explanatory statement will be available for inspection STATEMENT TO BE ANNEXED TO THE NOTICE by the shareholders at the Registered Office of the PURSUANT TO SECTION 102 OF THE COMPANIES Company from 9.00 a.m. to 6.00 p.m on all working ACT, 2013 IN RESPECT OF THE SPECIAL BUSINESS days from the date hereof up to the date of the meeting. MENTIONED IN THE NOTICE Registered Office: ITEM NO. 5 14th Floor, Tower- A, The Insurance Regulatory and Development Authority Peninsula Business Park, had issued Circular No. F&A/CIR/011/MAR-04 dated Senapati Bapat Marg, Lower Parel, 23rd March, 2004 dealing with the “Preparation of Mumbai – 400013 financial statements of life insurers”. According to the circular, “the insurer shall make good the accumulated Date: 3rd May 2016 By order of the Board deficit in the Policyholders’ Account and also transfer Place: Mumbai adequate assets to cover the cost of bonus, prior to declaration of bonus to participating policyholders. Such transfer from the Shareholders Account can be out of Profit and Loss Account balance or reserves in the Shareholders Account and / or by drawing upon the paid-up capital of the insurer”. S. Swaminathan As the Company has decided to transfer the sum of Sr. VP- Legal, Compliance ` 757,257,000/- (Rupees Seventy five Crore seventy & Company Secretary two lakhs fifty seven thousand only) (Previous year ` 1,263,799,000/- [Rupees One Hundred Twenty Six Crore Thirty Seven Lakhs Ninety Nine Thousand Only] from Shareholders’ Account (Non Technical Account) to Policyholders’ Account (Technical Account), the passing of the above special resolution is

Annual Report | 2015 -16 2 Location Map

Annual Report | 2015 -16 3 THIS PAGE IS INTENTIONALLY LEFT BLANK

Annual Report | 2015 -16 4 Annual Report | 2015 -16 5 DIRECTORS’ REPORT Regulations, 2000. The Solvency Margin Ratio as at 31st March 2016 was at 348%. The Directors have pleasure in presenting the Sixteenth Annual Report and Audited Accounts of the Company 2. Distribution review and outlook st for the year ended 31 March 2016. The life insurance industry has begun to recover in FY 16 post impact of economic slowdown and regulatory changes Outlook for the industry and the Company in last few years. FY 16 has been very exciting and enriching for the Company. The Company has registered an aggregate Given the current low insurance penetration level, wide Annualised Premium growth of 187% during FY 16 (highest geographical reach, favourable demographics, and in the industry). high rate of financial savings, the life insurance industry would continue to be one of the preferred financial The Agency channel has seen significant improvement instruments for long term savings and protection. during the year and grew by 52% on WNBP basis and The Company would continue to focus on its strategic registered case size growth of 22% over FY 15. During priorities identified in the business plan. The core of the year we launched our new Bancassurance partner the plan revolves around strengthening distribution, IndusInd and further cemented our relationship with completing the product bouquet, improving the Citibank. Bancassurance contributes 49% in FY 16 of customer facing processes, building a strong Individual ANP as compared to 16% in FY 15. performance culture, using technology as a competitive In order to achieve its goal, the company focused on its advantage and continuing to build the brand. strategic themes identified in the beginning of the year. 1. Combined Financial Results of Revenue Account A number of strategic and functional initiatives were (Policyholders’ Account) and Profit and Loss taken up to improve business quality, sustainability, Account (Shareholders’ Account) efficiency and agility. Some of the key initiatives Insurance Regulatory and Development Authority undertaken during the year were: (Assets, Liabilities, and Solvency Margin of Insurers)

Current Year Previous Year Particulars (2015-2016) (2014-2015) ` in ‘000 ` in ‘000 Premium earned 24,789,602 21,226,580 Premiums earned (net of reinsurance) 24,357,951 21,064,534 Total Investment Income ** 6,938,827 40,124,645 Other income 392,471 421,675 Commission paid 1,494,895 922,788 Operating expenses (related to insurance business) 5,175,012 5,409,375 Benefits paid (net of reinsurance) 28,919,524 33,705,134 Change in valuation of liabilities in respect of Life Policies 13,830,212 11,810,949 Transfer to Linked Fund (20,334,531) 7,033,474 Funds for Future Appropriation -PAR 247,033 (409,114) Other expenses 1,192,052 35,016 Provision for taxation 528,787 467,039 Profit / Loss for the year 636,265 2,636,193 ** Includes profit and loss on sale of investments

Capital Grow Premier Agency: The Company continued The Authorised Share Capital of the Company is focus on Premier Agency development which is based ` 2,500 crores. The Equity shareholders as at 31st on continuous engagement with distributors along with March 2016 stood at ` 1953.50 crores. robust and quality training architecture. The Company would continue to focus on building quality and Premier Solvency Agency. The Company has been continuously monitoring its Strengthen multi-channel strategy: As a part of solvency margins and has ensured that at all times multi-channel distribution strategy the Company it has acted, in keeping with the requirements of the strengthened its relationship with Citibank and entered Annual Report | 2015 -16 6 into the new partnership with IndusInd bank. The case of certain accidental death. The rider can be Company will continue focus on strengthening the attached to the individual linked products of the relationship further and increase penetration within the Company and the minimum rider coverage is banks’ customers. for 5 years. Complete Product Suite: During the year the Company Tata AIA Life Insurance Waiver launched new products & riders to further bolster our of Premium (Linked) rider Product Suite. The Company has a suite of products (UIN: 110A026V01) to meet an individual’s needs at different stages of life. This is an optional Unit Deducting Rider Technology focus: Our success lies in betterment which ensures insurance benefits continue of customers and best in class customer service by waiving all the future premiums of the base experience. We have successfully deployed technology plan in case the Life Assured becomes totally and in delivering a simplified and efficient sales experience. permanently disabled due to accident or sickness. The It has become an integral part of our organisation rider can be attached to the individual linked products and provides convenience and empowerment to the of the company and the minimum rider coverage is for customers. In Agency channel paperless submission 5 years. has reached 54% in the month of March 2016 basis Tata AIA Life Insurance Waiver of Premium Plus Weighted New Business Premium from virtually 0% in (Linked) rider (UIN: 110A025V01) the month of June 2015. Other channels are also in the process of technology embracement in similar manner. This is an optional Unit Deducting Rider which is The company is committed to enhance extensive use designed for the proposer of the base plan who is of technology to drive efficiency and better customer different from the Life Assured. In case of Total and experience with transparency. Permanent disability or death of the Proposer, the future premiums are waived till the premium paying Rural & Social Sector Obligations term of the base plan or till the age of Proposer is 65, Under the IRDA (Obligations of Insurers to Rural Social whichever is earlier. The rider can be attached to the Sectors) Regulations, 2000, an insurer is required to individual linked products of the Company and the meet the prescribed obligations pertaining to rural minimum rider coverage is for 5 years. and social sectors. The Company has covered 77,929 Tata AIA Life Insurance Money Back Plus lives in the social sector as against the requirement of (UIN: 110N119V01) 55,000 lives. It has also written individual policies at 26.94% of the Company’s policies in the rural sector as This is a Limited premium paying Non-Linked against the regulatory requirement of 20%. Participating Money Back Assurance Plan which provides Guaranteed Money Back every 4/5/6 years for 3. Products the policy term of 16/20/24 years respectively with an The Company offers a range of products across linked advantage of paying premiums for just half of the policy and traditional segments. In FY 2015 -16, the Company term and staying protected throughout the policy term. launched new products and riders across customer At maturity, policyholder gets lump sum benefit along and product segments. The Company largely focused with vested Compounded Reversionary Bonuses and on providing the consumer friendly savings and Terminal Bonus. Additionally, the plan offers protection protection solutions. through inbuilt Accidental Death Benefit. This is a fully underwritten plan. Products launched in FY 2015-16 Tata AIA Life Insurance Smart 7 (UIN: 110N118V01) Tata AIA Life Insurance Insta Wealth Plan (UIN: 110N117V01) This is a limited premium paying Non-Linked Participating Endowment Assurance Plan. It has a This is simple Limited premium paying Non-Linked fixed policy term of 12 years and premium payment Participating Endowment Assurance Plan which is easy term of just 7 years. The plan offers lump sum benefit to understand and easy to buy. It provides protection of along with Bonuses at Maturity and offers an option to life without the hassle of going through medical tests. attach riders for enhanced protection. This is a fully This plan offers policy term of 10/15/20 years with underwritten plan. premium paying term of 7/12/15 years respectively. The product offers Guaranteed Additions @ 1% of Tata AIA Life Insurance Accidental Death & Basic SA every year from the policy anniversary Dismemberment (Long Scale) (ADDL) Linked Rider following the end of premium paying term of the policy (UIN: 110A027V01) till policy term. On maturity, the policyholder gets lump This is an optional Unit Deducting Rider which offers sum benefit i.e. Basic Sum Assured along with the an amount equal to the rider sum assured in case of accrued Guaranteed Additions, Vested Compounded accidental death or a percentage of the rider sum Reversionary Bonuses and Terminal Bonus. This plan assured in case of severe dismemberment or burns has no medical or financial underwriting. due to accident. The benefits will be doubled in Annual Report | 2015 -16 7 Tata AIA Life Insurance Fortune Guarantee Tata AIA Life Insurance Monthly Insurance Plan (UIN: 110N120V01) (UIN: 110N125V01) This is a Limited premium paying Non-Linked Non- This is a Non-Linked Participating Endowment Participating Endowment Assurance Plan. The plan Assurance Plan primarily designed for customers offers fixed policy term of 10 and premium paying term looking for simple and affordable savings plan. This of 5 years. The Policyholder gets Guaranteed Maturity product has only monthly premium option which offers Benefit which is a percentage of the Total Premiums savings starting from just ` 2,000 a month. In this plan, paid. The plan also offers higher benefits for females the policyholder pays 12 monthly premiums and the and option to attach riders. This is a fully underwritten Company adds one monthly premium i.e. Guaranteed plan. Yearly Additions at the beginning of each policy year. Besides this, policyholder also gets Compounded Tata AIA Life Insurance Accidental Death & Reversionary Bonuses and Terminal Bonus to enhance Dismemberment (Long Scale) (ADDL) Rider the lump sum benefit at Maturity. It has a policy term (UIN: 110B028V01) of 15/20 years with premium paying term of 7/10 years This is an optional Premium Paying Rider which offers respectively. This is a fully underwritten plan. an amount equal to the Rider Sum Assured in case of accidental death or a percentage of the Rider Sum Tata AIA Life Insurance Smart Income Plus Assured in case of severe dismemberment or burns (UIN: 110N126V01) due to accident. The benefits will be doubled in case of This is a Non-Linked Non-Participating Endowment certain accidental death or dismemberments. The rider Assurance Plan. This plan offers two options under can be attached to the individual non linked products one plan where policyholder can choose between of the Company. Guaranteed Regular Income and Endowment Benefit. The first option offers Guaranteed Regular Income Tata AIA Life Insurance InvestOne (UIN: 110L121V01) every year @ 130% to 175% of Annualised Premium This is a Unit Linked Single Premium Plan which offers starting at the end of policy year 9/12/14 for premium policy term of 15 to 30 years with a flexibility to choose paying terms 7/10/12 years respectively along with from 8 different funds and 2 portfolio strategies, besides lump sum at Maturity and the second option offers Guaranteed Maturity Additions and Loyalty Additions lump sum benefits in the last two policy years. It has to boost the Fund Value at Maturity. a policy term of 15/21/25 years with premium paying Tata AIA Life Insurance Super Achiever term of 7/10/12 years respectively. Besides this, there (UIN: 110L122V01) is 11 times life cover and option to enhance protection through riders. This is a fully underwritten plan. This is a Unit Linked Child Plan where benefits continue even after the demise of the parent by funding of future Tata AIA Life Insurance Waiver of Premium Plus premiums by the Company. The plan offers flexibility to rider (UIN:110B029V01) choose the policy term of 10 to 20 years with a fixed This is an optional Premium Paying Rider which is premium paying term of 10 years. It provides options to designed for the Proposer of the base plan who is choose from 8 different funds and 2 portfolio strategies different from the Life Assured. In case of Total and besides Guaranteed Maturity Additions to boost the Permanent disability or death of the Proposer, the Fund Value at Maturity. future premiums are waived till the premium paying Tata AIA Life Insurance Saat Saath (UIN: 110N123V01) term of the base plan or till age 65, whichever is earlier. The rider can be attached to the specified individual This is a Non-Linked Non-Participating Micro Insurance products of the Company and the minimum rider term Endowment Plan designed principally for the weaker is 5 years. sections of the society. This product offers a fixed policy term of 10 years and premium paying term of 7 years. Our product strategy for financial year 16-17 is to The Policyholder gets Maturity Sum Assured which is a create innovative segment specific solutions based on percentage of the Total Premiums paid. thorough market research which gives value proposition to the customers and shareholders and decent earning Tata AIA Life Insurance Freedom (UIN: 110N124V01) opportunity to the distributors. This is a Non-Linked Participating Endowment 4. Operations and Systems Assurance Plan, primarily designed to fulfil Retirement needs. It provides an opportunity to the Policyholder During the year the Company took various initiatives to decide the age of retirement i.e. 55/60 years and to enhance customer engagement, improve levels create a corpus for post retirement needs. This plan of customer service, retain customers and to ensure offers Guaranteed Additions @10% of the Annualised adequate support to business. Some of the initiatives Premium throughout the premium payment term along towards this include: with Compounded Reversionary Bonuses and Terminal • Claims Settlement Ratio stands at 96.8% (FY16). Bonus to enhance retirement corpus. This is a fully Introduction of online claims intimation & tracking of underwritten plan. claims in TALIC website. Simplified claims process

Annual Report | 2015 -16 8 for flood victims of Tamilnadu, Pondicherry & Andhra 15 days and HNI – 8 days Pradesh. Vernacular claim forms are now available • Submission to Issuance TAT @ 85th Percentile in 11 regional languages. Net Promoter Score [NPS] (IndusInd) for February 2016:- Non-Med 7 score introduced in June 2015 and the same is 85.05% days, Med – 15 days and HNI – 8 days in Feb 2016. Claims service guarantee introduced & implemented from 1st Oct 2015 (Claim payments • Took various initiatives to improve within 8 working days for non-investigated claims, else Straight Through Processing (STP%-Non interest to be paid @ 6% per annum) medical). The STP % (Non-Med) of March 2016 for offline submission stands at 88% • Introduction of IOS (Life Planner) and Android (Good Solutions) based tablet sales solutions for Agency • Launched Group Client Portal with various for paperless new business submission. 47% New facilities like query module, self service option Business Submission has been submitted through & download option these Apps in March 2016. • Enhanced the customer portal with additional features • Deployment of Retention Champion has been a like Policy re-instatement, Single Top-up, Nominee success for FY16. The Conservation ratio has been change, NEFT update, Online Premium Holiday improved from 81.4% in FY14-15 to 85.44% in FY15-16 Extension (YTD Feb 2016). 13 month Persistency ratio improved • Launched Good Points reward program on portal from 75.9% in FY 14-15 to 76.44% FY 15-16 (YTD Mar exclusively designed for the policyholders in Jan’16 2016). Retained 40% of AUM (YTD Feb 2016) from through which 2,595 leads were generated. Surrender Retention Opportunities. • Simplified Portal Registration process; Emails and • Launched NACH (National Automated Clearing SMS sent to promote Portal usage. Marquee added on House) processing through auto debit of bank accounts portal to flash latest developments and news from the that is applicable for debiting renewal premium only Company. • Differential Service experience for IndusInd Bank 5. Policies issued and Lives covered customers implemented:- During the year, the Company issued 136,380 Individual • Dedicated helpdesk for all Operations related queries policies, covered 62,617 lives through Corporate • Single point of contact for Operations support Pensions, 54,666 lives through Credit Life and 289,439 lives through Group Life. • Special Non Medical limits 6. Registration • Customised process for free-look & Complaint Management The Registration Certificate of the Company has been renewed by the Insurance Regulatory and Development • Customised process for Pre-Submission calling Authority of India for FY 2016-2017. • CIBIL profile check to avoid risk 7. Employees and Training Employees • Dedicated helpdesk for Online business (iRaksha & As at 31st March 2016, the Company had 2,729 iTROP) employees. • Conducted Face to Face service camps for both The Company has won the AON Best Employer 2016 customers and consumers: and the Golden Globe Tiger Awards for the Best HR • 6581 consumers participated during the year (FY 16) Company to work for in 2016. and ` 2.63 Cr. RYP was collected. Engagement, Recognition and Communication • 497 email ids and 581 contact details were updated • The Aon Hewitt Employee Engagement score has • 1890 NEFT and 127 Auto-pay registrations were done improved to 73% in 2016 which is higher than the Life and 1348 consumers were registered on the portal Insurance Industry score of 65%, BFSI score of 71% during these camps. and APAC Life Insurance score of 58% • The number of complaints received during the year • A series of innovative HR engagement interventions reduced by 13% over previous year. were implemented - Full on Fun series, Year of You and You plus. • The average time for resolution of grievances has reduced to 4 days in FY 15-16 compared to 6 days in • The AON Hewitt score for HR Practices increased to FY 14-15 83% from 79%. • The average service level achievement (regulatory) • Multi-way communication initiatives like skip level for resolution of grievances has improved to 99% in FY meetings, coffee with the CEO and HR Reach out 15-16 compared to 95% in FY 14-15 sessions across the Company were introduced which resulted in higher employee engagement levels. • Submission to Issuance TAT @ 85th Percentile (without IndusInd) for February 2016:- Non-Med 2 days, Med –

Annual Report | 2015 -16 9 • V- Connect - Monthly Town hall meetings were • The compensation structure was re-designed to conducted by the EXCO through a webcast for the focus on a pay for performance culture. entire organisation. • Two Metamorphosis Leadership workshops were • The AON Hewitt score for Communication increased held for the top 100 leaders to work on the Company’s to 89% from 74%. Vision, Mission, Values, core performance objectives • Celebrate Success, an innovative Rewards and and to chart out a core path for excellence in business. Recognition program was implemented to provide • The AON score for Managing Performance recognition to talent. increased to 90% from 74%. Under the diversity initiative, diversity awards were Recruitment introduced for women employees. • Employee Recruitment at TALIC was awarded Best • Atlas, Titan and Hercules awards were introduced for across Tata Group - under category “Promising Best top talent. practices” • The AON Hewitt score for Recognition increased to • Focussed on the workforce plan and hiring execution 82% from 63%. of the new partnership channel, IndusInd Bank and Talent Management and Leadership Development other channels. 1507 employees were hired in FY 2015 -16. • Launched, “SPEED – Superior Performance Execution Excellence and Delivery”, a unique fast track • Institutionalised the Management Trainee programme program for the front line employees from Operations for Operations and IT to build a pipeline of talent for and Support functions. Speed aims to open avenues these functions. for development & career progression, transferring • 62% of hiring from the total hiring requirement in the ownership to employees and providing them with Company was done through Direct/referral and Job resources to take responsibility for their own career. portals, resulting in a savings in hiring cost of ` 3.93 • Assessment process to identify employees with the crores. right potential and who demonstrate the capability to • The Company controlled attrition for 2015 -16 to take up high responsibility and move to senior roles. 29% compared to 33% in 2014 -15, while the industry • Career Management is key to ring fence Talent, attrition is at 55%. Key talent retention has improved to the Talent Conclave, an Annual event that provides 93% from 85% in 2014-15. an opportunity for our Top Talent to hold career • Total internal mobility (IJP) along job rotations is 89%. conversations with their supervisors paving the path towards achieving their aspirations! The Talent Training and Capability building Conclave is widely acknowledged within the Industry • Strengthened the training function by training all AVP’s as a Best Practice initiative to groom Top Talent. with Situational Leadership II trainings, Managers with • The Company conducts the Organization and People the AIA Manager Programme & Forward and Beyond Review (OPR) process to identify the readiness and program to build managerial competencies and Junior develop the succession pipeline for critical roles. The Management with Step Ahead training programs to focus is to actualize the development and career action create a high performance work culture along with plans for these set of employees towards building the other external workshops. leadership pipeline for the Organization. • Imparted various training programmes during the • Mentoring program: The Senior Management year covering 1591 employees over 182 workshops. members are active mentors and invest significantly The training measurement data shows improvement in in grooming and developing Top Talent for the desirable behaviours post attending the workshops Organization. • Continued to focus on providing best in class • The Company leverages the multi-rater 360 degree insurance education to all employees through the survey to enable constructive feedback for enhancing LOMA, CFP and III programmes. leadership effectiveness through action planning. • E- Learning modules with a Mandatory certification • The AON Hewitt score for Career Opportunities on Anti Money Laundering, Information Security increased to 77% from 65%. awareness and Code of Conduct was accomplished for all employees. Cultural Transformation • 95% of the employees were trained as against the • High performance work culture was driven through target of 85%. a structured Balanced Scorecard for the Organization linked to the individual functional Scorecards of the • The AON Hewitt score for Learning score increased Senior Management which were further linked to each to 81 % from 76%. employee’s goal sheet. Hence, the Company’s overall objectives and goals were translated into individual goals through the Performance Management Process. Annual Report | 2015 -16 10 Performance Management 16. Governance • The Balanced score card for the Organisation was The Corporate Governance Report forms an developed. Scorecards for the MD and EXCO members annexure to the Directors Report. developed which link to individual goal sheets for the 17. Particulars of Contract and year 2015-16: BSC initiatives planned and actions for arrangement with related Parties each Functional BSC. The midyear performance review has been completed and annual appraisal process for The details of contracts and arrangements 2015-16 is in progress. with related parties form part of financial statements of the Company. Launched “PERKS” a comprehensive performance management scheme that focuses on performance 18. Particulars of Loans, Guarantees and progression for the front line Sales managers. and Investments. Compliance During the year there are no Loans or Guarantees given. Details relating to investments are available in • HR compliance is at 98.65% certification the financials of the Company. 8. Material Changes And Commitment Affecting 19. Internal Financial Control with reference to Financial Position Of The Company Financial Statements. There are no material changes and commitments During the year, review was carried out internally by affecting the financial position of the Company that independent teams over the financial processes and have occurred between the end of the financial year of except for non-material findings, all other process and the Company to which the financial statements relates financial controls were found to be in order. and the date of the report 20. Directors and Key Managerial Persons 9. Statement on Compliance with Sexual Harassment Act. Board of Directors The Company has its Sexual Harassment Policy in The Board of Directors provides strong oversight for place and same is available on the website of the overall corporate direction and strategy adopted by Company. During the year 4 complaints were received the Company. and resolved. The Board comprises 10 Directors of which 4 are 10. Dividend Independent Directors. The Independent Directors are eminent personalities with significant expertise in the The Directors do not recommend any dividend. fields of strategy, marketing, financial services and life 11. Change in Nature of Business insurance. There is no change in nature of Business of the The details of Committees of the Board have been set Company. out in the Corporate Governance Report. 12. Dematerialisation of Shares Changes in the Board of Directors During the year the Company submitted its shares In accordance with the requirements under the under the dematerialised mode with National Securities Companies Act, 2013, Mr. Kishor Chaukar is Director Depository Limited (NSDL). Out of the total shares, liable to retire by rotation at the ensuing Annual 44,93,05,000 shares held by Tata Sons Limited were General Meeting and, being eligible, offers himself for dematerialised. re-appointment. During the financial year, 2015-2016, Mr. William Lisle was nominated as a Director on the 13. Registrar and Transfer Agent Board by AIA International Limited and was appointed During the year the Company appointed M/s. Link as the Nominee Director of the Company w.e.f August Intime India Pvt. Ltd. as the Registrar and Transfer 13, 2015. Agent. Mr. Manoj Ramachandran was appointed as Alternate 14. Details of Subsidiary Company, Holding Director to Mr. William Lisle w.e.f August 13, 2015. Company and Joint Venture Details of Directors Resigned/Retired During the year the Company has not incorporated any During the financial year 2015-2016 following Directors subsidiary or entered into any Joint Venture. Tata Sons resigned/retired:- Limited is the holding Company. 15. Significant and material orders passed by Name of Date of Reason Regulators or Courts or Tribunals. Director Resignation/ Retired During the year, there were no significant and material orders passed by the Regulators, Courts or Tribunals Mr. Gordon 13th August Withdrawal of impacting the going concern status or the Company’s Timmins 2015 Nomination by AIA operations in future. Watson International Ltd.

Annual Report | 2015 -16 11 Declaration from Independent Director 28. Secretarial Audit The Company has received declarations from Mr. Janki The Secretarial Audit was conducted by M/s BNP Ballabh, Mr. Pratip Kar, Mr D K Mehrotra and Ms. Roopa & Associates, Practising Company Secretaries as Kudva under Section 149(7) of the Act. required under provisions of the Companies Act 2013. The report of the same is attached as Annexure. Key Managerial Persons The Company has designated Mr. Swaminathan, 29. Directors’ Responsibility Statement Company Secretary, Mr. Vishal Bandlish, Chief Financial Pursuant to Section 134(5) of the Companies Act, 2013, Officer Mr. Naveen Tahilyani, Managing Director & CEO with respect to Directors’ responsibility statement, the as Key Managerial Persons under Companies Act 2013 Directors based on the representations received from the management, hereby confirm that – 21. Risk Management The Board has its Risk and Asset Liability Management a) in the preparation of the annual accounts, the Committee in place which meets once in every quarter. applicable accounting standards had been followed Details of the same are mentioned in Corporate along with proper explanation relating to material Governance Report which is annexed to this report. departures; b) the directors had selected such accounting policies 22. Extract of Annual Return and applied them consistently and made judgments The extract of Annual Return as required under and estimates that are reasonable and prudent so as Companies Act 2013 forms part of Directors’ report as to give a true and fair view of the state of affairs of the an annexure in Form MGT-9. Company at the end of the financial year and of the 23. Number of Board Meetings during the year profit and loss of the Company for that period; The details relating to number of Board Meetings held c) the directors had taken proper and sufficient during the year is mentioned under the heading “Board care for the maintenance of adequate accounting Meeting” in the Corporate Governance report which is records in accordance with the provisions of this Act annexed to this Report. for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; 24. Annual Evaluation of performance of Board d) the directors had prepared the annual accounts on The annual evaluation of performance of the Board a going concern basis; as required under the provisions of the Companies Act 2013, has been carried out. The Directors have e) the directors had devised proper systems to ensure expressed their satisfaction with the evaluation process. compliance with the provisions of all applicable laws and that such systems were adequate and operating 25. Policy on Corporate Social Responsibility (CSR) effectively. and shortfall in contribution if any. 30. Auditors During the year, the Company has voluntarily spent ` 25.90 lacs on CSR activities. M/s. Walker, Chandiok & Co and M/s. N M Raiji & Co, Joint Statutory Auditors of the Company hold office until 26. Policy of Nomination and Remuneration the conclusion of the ensuing Annual General Meeting. Committee The full term of M/s. Walker Chandiok & Co., ends with The Company has its Board approved Nomination and the conclusion of the ensuing Annual General Meeting. Remuneration policy in place. The Board recommends the ratification of appointment of M/s. N M Raiji & Co. as Statutory Auditors for the 27. Whistle Blower Policy financial year 16-17 and the Board further recommends In order to uphold the highest standards of ethical the appointment of M/s. Kalyaniwalla & Mistry, behaviour the Company encourages its employees Chartered Accountants as Statutory Auditors. to observe the Code of Conduct applicable across Your Company has also re-appointed M/s. Kirtane & the Organization. The Company, through the Whistle Pandit as Concurrent auditors of the Company, with Blower Policy, has provided employees a channel for effect from 1st April 2016 for the financial year 2016-17. communicating any breaches of the Company’s Values, Code of Conduct, Anti Money Laundering Policy and 31. Statutory Information other Regulatory and Statutory requirements. Action is Personnel initiated against any violation of the Values, Code or Policies as per the internal standards. A statement giving the information required under Companies Act, 2013, read with the Companies In order to monitor and ensure effective closure of the (Particulars of Employees) Rules, 1975 as amended, grievances received, the Company has put in place the names and other particulars of the employees are software which is available on the Intranet and on set out in the annexure to the Directors’ Report. Company’s website.

Annual Report | 2015 -16 12 Conservation Of Energy, Technology Absorption The Directors would also like to express their grateful and Foreign Exchange Earnings and Outgo appreciation for the guidance, assistance and co- operation received from the Insurance Regulatory and During the year under review, the Company’s foreign Development Authority of India. exchange outgo was ` 38.49 crores. The total foreign exchange earnings amounted to ` 19.29 crores during the same year. For and On behalf of the Board of Directors Fixed Deposits The Company has not accepted any deposit from the public during the year. Mumbai 32. Appreciation & Acknowledgement Date:- 3rd May 2016 The Directors take this opportunity to thank all employees of the Company for their hard work, dedication and commitment. The Directors also thank all the channel partners and the policyholders for their Ishaat Hussain continued support and trust reposed in the Company. Chairman

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Annual Report | 2015 -16 14 Annual Report | 2015 -16 15 ANNEXURE TO THE DIRECTOR’S REPORT

Corporate Governance at Tata AIA Life Insurance Company Ltd.

In accordance with the Corporate Governance Guidelines employees, regulators, shareholders and other issued by the Insurance Regulatory and Development stakeholders. While an effective corporate governance Authority of India (IRDAI), the Board of Directors of framework would need to be flexible to market Tata AIA Life Insurance Company Ltd., adopted the dynamics, what would not change are the values, Corporate Governance Framework in the year 2010-11. business ethics and integrity. The Framework is a formal step towards adopting best At the core of its corporate governance practice practices in governance. The Company believes that is the Board, which oversees the way in which the the practices being adopted for the Company shall go Management serves and protects the long-term beyond adherence to regulatory framework. interests of all the stakeholders of the Company. The The Corporate Governance Framework provides the Company believes that an active, well-informed and guidelines under which the Board of Directors and independent Board is necessary to ensure the highest the Senior Management operates. The governance standards of governance. Framework addresses the responsibilities, authority (Board) and administration of the Board of Directors and its Board of Directors various Committees. The Framework also includes the The Board of Directors comprises 10 members of which responsibilities of the Principal Officer and defines the 9 are non-executive Directors, including the Chairman. reporting relationships. The Directors bring to the Board a wide range of At Tata AIA Life Insurance Company Ltd., the Corporate experience and skills. None of the Directors of the Governance philosophy stems from the belief that Company are related to each other. corporate governance is a key element in improving The details of the Board of Directors in terms of their efficiency and growth as well as enhancing stakeholders’ Directorships/ memberships in Committees of public confidence – be it customers, distribution partners, companies and their attendance of meetings in the Composition of the Board Company are as under:

No. of No. of Sr. Name of Chair Committees Status Qualification Director- No. Director Person in which they ships are Member Fellow of the Institute of Chartered Mr. Ishaat Accountants in England & Wales, 1 Chairman 10 4 7 Hussain Advanced Management Programme at the Harvard Business School B.E (Hons.) in Electical and Electronics, Mr. Non Executive MSc. (Hons) in Economics from 2 Madhusudan 3 - - Director BITS,PIlani,India & MBA in Finance from Kannan Vanderbilt University, USA BA(Eco)- Karnataka University, Mr. Kishor Non Executive PGDBM- IIM -Ahmedabad, 3 8 3 13 Chaukar Director DEA- Rural Economics University of Dijon, France MBA (Distinction), INSEAD, France, Mr. Simeon Director- AIA MSc in Transportation Policy & Planning, 4 1 - 6 Preston representative University of New Castle upon Tyne, United Kingdom MBA (Dist) National Institute of Management Mumbai (2004). Mr. William Director- AIA 5 Wharton School of Business Finance, 1 - 3 Lisle representative Canada (2000). HNC in Mechanical Engineering (1987) Mr. Janki Independent M.Com, Certified Associate of Indian 6 6 - 20 Ballabh Director Institute of Bankers (CAIIB)

Annual Report | 2015 -16 16 No. of No. of Sr. Name of Chair Committees Status Qualification Director- No. Director Person in which they ships are Member Mr. Pratip Independent 7 MBA INSEAD, France 2 1 2 Kar Director Mr. D K Independent 8 Bsc. (Hons.) 5 - 2 Mehrotra Director Ms. Roopa Independent 9 B. Sc. (Statistics), MBA 4 - 2 Kudva Director Managing Mr. Naveen MBA Degree from IIM, Ahmedabad, 10 Director & 1 - 4 Tahilyani Bachelor of Technology from IIT, Madras CEO For the purpose of considering the limit of the scheduled well in advance and the notice of each Committee Memberships of the Directors, the Audit Board meeting is given to each Director. The Board Committee, Investment Committee, Risk and Asset meets at least once a quarter to review the quarterly Liability Management Committee, Policyholder performance and the financial results of the Company. Protection Committee, Corporate Social Responsibility The Company Secretary in consultation with the Committee, With Profits Committee and Nomination Managing Director prepares a detailed agenda for the and Remuneration Committee of companies alone meetings. The Board is provided with the information have been considered. as stipulated in the Corporate Governance Framework. Tenure The Board papers, agenda and other explanatory The Non Executive Directors of the Company are notes are circulated to the Directors in advance. eligible to retire by rotation. One third of the said The members of the Board have access to all information Directors are liable to retire every year and if eligible, of the Company. The members of the Board are also free offer themselves for reappointment. to recommend inclusion of any matter in the agenda for discussion. Senior management is invited to attend the Responsibilities Board meetings so as to provide additional inputs to The Board of Directors represents the interests of the items being discussed by the Board. The minutes of the Company’s shareholders and policyholders each Board/Committee meeting are recorded and draft in optimizing long-term value by providing the minutes circulated to all Directors for their confirmation Management with guidance and strategic direction before being recorded in the Minutes Book. on the shareholders’ behalf. The Board’s mandate is to oversee the Company’s strategic direction, Number of Board Meetings review corporate performance, authorise and monitor During the year, the Board of Directors met Five times strategic investments, ensure regulatory compliance on the following dates:- and safeguard interests of all stakeholders. 99th Board Meeting 29-Apr-15 Board Meetings 100th Board Meeting 13-Aug-15 The meetings of the Board of Directors are usually held st at the Company’s registered office at 14th Floor, Tower A, 101 Board Meeting 02-Nov-15 Peninsula Business Park, Senapati Bapat Marg, Lower 102nd Board Meeting 27-Jan-16 Parel, Mumbai 400013. The meetings are generally 103rd Board Meeting 12-Feb-16 Attendance of Directors upto 31st March Attended Fifteenth AGM Name of Director Meetings held Meetings Attended held on 13th August 2015 Mr. Ishaat Hussain (Chairman) 5 5 Yes Mr. Madhusudan Kannan 5 5 Yes Mr. Kishor Chaukar 5 4 No Mr. Simeon Preston 5 5 Yes Mr. Gordon Timmins Watson* 1 - No Mr. Manoj Ramachandran** (Alternate 1 1 No Director to Mr. Gordon Watson) Mr. William Lisle # 4 3 Yes

Annual Report | 2015 -16 17 Attended Fifteenth AGM Name of Director Meetings held Meetings Attended held on 13th August 2015 Mr. Manoj Ramachandran@ (Alternate 4 - No Director to Mr. William Lisle) Mr. Janki Ballabh 5 5 Yes Mr. Pratip Kar 5 5 Yes Mr. D K Mehrotra 5 5 Yes Ms. Roopa Kudva^ 4 4 Yes Mr. Naveen Tahilyani 5 5 Yes Note: Members have attended through telecom and Videocall where physical presence was not feasible. *Resigned as on 13th August 2015 Attendance th ** Resigned as on 13 August 2015 The details of the attendance of the members of the #Appointed as on 13th August 2015 Committee upto 31st March, 2016, are listed below @ Appointed as on 13th August 2015 Meetings Meetings ^ th Members Appointed as on 4 May 2015 Held Attended Board Committees Mr. Janki Ballabh 4 4 To enable efficient oversight on the affairs of the Mr. Ishaat Hussain 4 4 Company, the Board delegates particular matters Mr. Pratip Kar 4 4 to Committees of the Board constituted with specific Mr. Gordon Watson* 2 - terms of reference. These Committees prepare the Mr. Manoj Ramachandran** groundwork for decision-making and report at the (Alternate Director to Mr. 2 1 subsequent Board meeting. Gordon Watson # Audit Committee Mr. William Lisle 2 1 Mr. Manoj Ramachandran@ The Audit Committee comprises six Non-Executive Directors of the Company namely Mr. Janki Ballabh, Mr. (Alternate Director to Mr. 2 2 Ishaat Hussain, Mr. Simeon Preston, Mr. Pratip Kar, Mr. William Lisle) William Lisle and Ms. Roopa Kudva. The chairman is an Mr. Simeon Preston 4 4 independent Director. Ms. Roopa Kudva^ 3 3 th The Audit Committee met four times during the financial *Resigned as on 13 August 2015 year (FY) 2015-16. The Committee reviews the reports ** Resigned as on 13th August 2015 of the Internal Auditors, Concurrent Auditors and the #Appointed as on 13th August 2015 Statutory Auditors. The Audit Committee also invites @ Appointed as on 13th August 2015 Senior Executives, Concurrent Auditors and the Statutory Auditors, as it considers appropriate, to be ^Appointed as on 4th May 2015 present at its meetings. Nomination and Remuneration Committee During the year under review, the Committee, inter alia, The Nomination and Remuneration Committee reviewed the quarterly financial statements, reports comprises independent and non-executive Directors. by internal auditors, concurrent auditors and findings The members of the Nomination and Remuneration of special audits, efficacy of the risk management Committee are Mr. Janki Ballabh, Mr. Ishaat Hussain, framework along with risk mitigation measures, the Mr. Pratip Kar and Mr. Simeon Preston. statement of significant related party transactions and management letters issued by the statutory and The annual compensation of whole time Director(s) internal auditors. and the KMPs are approved by the Committee and are subject to the overall limits as approved by Number of Audit Committee Meetings the shareholders and IRDAI. The Nomination and During the year, the Audit Committee met Four times on Remuneration Committee evaluated performance of the following dates:- the Director of the Company. Sr. No. Dates Number of Nomination and Remuneration 1 29-Apr-15 Committee Meetings 2 13-Aug-15 During the year, the Nomination and Remuneration 3 02-Nov-15 Committee met Four times on the following dates 4 12-Feb-16

Annual Report | 2015 -16 18 th Sr. No. Dates *Resigned as on 13 August 2015 1 27-Apr-15 ** Resigned as on 13th August 2015 2 29-Apr-15 #Appointed as on 13th August 2015 3 8-Oct-15 4 17-Dec-15 @ Appointed as on 13th August 2015 Attendance ^Appointed as on 27th January 2016 The details of the attendance of the members of the ^^Ceased to be member as on 27th January 2016 Committee along with sitting fees paid are listed below: Corporate Social Responsibility (CSR) Meetings Meetings The Committee Consists of 4 Non-Executive Directors Members Held Attended namely Mr. Janki Ballabh, Mr. Kishor Chaukar, Mr. Janki Ballabh 4 4 Mr. Pratip Kar and Mr. Simeon Preston. The Corporate Mr. Ishaat Hussain 4 4 Social Responsibility policy approved by the Board Mr. Pratip Kar 4 4 of Directors and also uploaded on the website of the Mr. Simeon Preston 4 4 Company. Investment Committee During the year no meeting of the Committee was held. The Investment Committee comprises 5 Non-Executive Members Directors namely Mr. Janki Ballabh, Mr. Kishor Chaukar, Mr. D K Mehrotra, Mr. William Lisle and Mr. Simeon Mr. Janki Ballabh Preston. Executive members of the Committee (in Mr. Kishor Chaukar accordance with the IRDA Regulations) comprises of Mr. Pratip kar the Managing Director, Chief Financial Officer, Chief Mr. Simeon Preston Investment Officer and the Appointed Actuary. Risk and Asset Liability Management (RALM) Number of Investment Committee Meetings Committee: During the year, the Investment Committee met five The Committee would largely provide an oversight times on the following dates to the risk management framework adopted in the Company, and promote risk management culture Sr. No. Dates in the Company’s key management processes. The 1 10-Jul-15 Committee consists of Mr. Ishaat Hussain, Mr. Kishor 2 8-Oct-15 Chaukar, Ms. Roopa Kudva, Mr. Simeon Preston, Mr. 3 27-Nov-15 William Lisle and Mr. Naveen Tahilyani. 4 27-Jan-16 Number of Risk and Asset Liability Management 5 22-Mar-16 (RALM) Committee Meetings Attendance During the year, the RALM Committee met four times on The details of the attendance of the members of the the following dates Committee upto 31st March, 2016, are listed below: Sr. No. Dates Meetings Meetings 1 10-Jul-15 Members Held Attended 2 8-Oct-15 Mr. Ishaat Hussain^^ 4 4 3 27-Jan-16 Mr. Janki Ballabh 5 5 4 22-Mar-16 Mr. Kishor Chaukar^ 1 - Attendance Mr. D K Mehrotra 5 5 The details of the attendance of the members of the Mr. Simeon Preston 5 4 Committee upto 31st March, 2016, are listed below: Mr. Gordon Watson* 1 - Meetings Meetings Mr. Manoj Ramachandran** Members (Alternate Director to Mr. 1 - Held Attended Mr. Ishaat Hussain 4 4 Gordon Watson) Mr. William Lisle# 4 3 Mr. Kishor Chaukar 4 3 Mr. Manoj Ramachandran@ Ms. Roopa Kudva 3 3 (Alternate Director to Mr. 4 - Mr. Simeon Preston 4 3 William Lisle) Mr. Gordon Timmins Watson* 1 - Mr. Harshad Patil 5 5 Mr. Manoj Ramachandran** Mr. Heerak Basu 5 5 (Alternate Director to Mr. 1 1 Mr. Vishal Bandlish 5 5 Gordon Watson) Mr. Naveen Tahilyani 5 5

Annual Report | 2015 -16 19 Meetings Meetings With Profits Committee Members Held Attended The Committee Consists of 5 Members, the # Mr. William Lisle 3 3 Independent Director is the Chairman of the Committee. Mr. Manoj Ramachandran@ The members of With profits Committee are Mr. Janki (Alternate Director to Mr. 3 - Ballabh, Mr. D K Mehrotra, Mr. Heerak Basu, Mr. Saket William Lisle) Singhal and Mr. Naveen Tahilyani Mr. Naveen Tahilyani 4 4 Number of With Profits Committee Meetings *Resigned as on 13th August 2015 During the year, the With Profits Committee met only ** Resigned as on 13th August 2015 one times on the following dates # th Appointed as on 13 August 2015 Sr. No. Dates @ Appointed as on 13th August 2015 1 27-Apr-15 Policyholders Protection Committee: Attendance The primary function of the Committee is to implement During the year the Committee met one time. The details systems and processes with respect to managing of the attendance of the members of the Committee customer complaints and addressing grievances of upto 31st March, 2016, are listed below: policyholders including mis-selling by intermediaries Meetings Meetings and to ensure adequacy of disclosure of material Members information to the policy holders. The Committee Held Attended consists of Mr. Pratip Kar, Mr. Kishor Chaukar, Mr. Mr. Janki Ballabh 1 1 William Lisle, and Mr. Naveen Tahilyani. Mr. D K Mehrotra - - Mr. Heerak Basu 1 1 Number of Policyholders Protection Committee Mr. Saket Singhal 1 1 (PPC) Meetings Mr. Naveen Tahilyani 1 1 During the year, the PPC met four times on the following dates Independent Directors Meeting The meeting of Independent Director of the Company Sr. No. Dates th 1 29-Apr-15 was held on 30 March 2016. 2 13-Aug-15 Code of Conduct 3 2-Nov-15 The Company has framed and adopted a Code 4 12-Feb-16 of Conduct and is applicable to all employees of the Company. This code has been posted on the Attendance Company’s Intranet. The details of the attendance of the members of the Insider Trading Policies and Procedures Committee are listed below: The Company has established policies and procedures Meetings Meetings for the conduct of personal account trading. The Members Held Attended Code is applicable to all the authorised signatories of Mr. Pratip Kar 4 4 investment deals, Senior Management of the Company Mr. Kishor Chaukar 4 3 and the Investment team. Mr. Gordon Timmins Watson 2 0 In terms thereof, the concerned persons are required Mr. Manoj Ramachandran to obtain prior approval by Compliance Officer and (Alternate Director to Mr. 2 1 the Chief Investment Officer (or in their absence, the Gordon Watson) alternates as designated in the Personal Account Mr. William Lisle# 2 2 Trading Form) for any trading in market investments. Mr. Manoj Ramachandran@ Prior approval is required even for application for rights (Alternate Director to Mr. 2 - issue or IPO and the same is tracked through an online system designed In-house by the Company. William Lisle) Mr. Naveen Tahilyani 4 4 Disclosures *Resigned as on 13th August 2015 Transactions with Non-Executive Directors ** Resigned as on 13th August 2015 The Non-Executive and Independent Directors of the Company do not have any material pecuniary #Appointed as on 13th August 2015 relationships or transactions with the Company or its @ Appointed as on 13th August 2015 Directors, its Senior Management, other than premiums on insurance policies held by Non-Executive and Independent Directors.

Annual Report | 2015 -16 20 Details of remuneration to Non Whole time Directors parties are disclosed in Notes to the Balance Sheet. Sr. Sitting Fees Paid* Name of Directors Means of Communication No. (Amt. in Rs.) 1 Mr. Ishaat Hussain 9,09,000 Quarterly results of the Company are submitted to the Insurance Regulatory and Development Authority of 2 Mr. Madhusudan Kannan 90,000 India. 3 Mr. Kishor Chaukar 3,96,000 4 Mr. Janki Ballabh 8,10,000 Details of new business financials are posted on the IRDA website www.irda.gov.in 5 Mr. Pratip Kar 6,84,000 6 Mr. D K Mehrotra 4,32,000 The Company has its own website www.tataaia.com and all the vital information relating to the Company 7 Ms. Roopa Kudva 3,60,000 and its products is displayed at the website. *Amounts mentioned above are after deduction of TDS. General Body Meetings (i) Details of Past Annual General Meetings (AGMs)

Year AGM Location Date Time

Board Room, 14th Floor, Tower A, Peninsula Business Park, 2012-13 13th 8th August 2013 2.30 p.m. Senapati Bapat Marg, Lower Parel, Mumbai – 400 013 Board Room, 14th Floor, Tower A, Peninsula Business Park, 2013-14 14th 25th August 2014 2.30 p.m. Senapati Bapat Marg, Lower Parel, Mumbai – 400 013 Board Room, 14th Floor, Tower A, Peninsula Business Park, 2014-15 15th 13th August 2015 1.30 p.m. Senapati Bapat Marg, Lower Parel, Mumbai – 400 013 (ii) Details of Extra Ordinary General Meeting

Year Location Date Time

Meeting Room, 1st Floor, Bombay House, Homi Modi St, Kala 2015-16 24th February 2013 10.00 a.m. Ghoda, Fort, Mumbai, Maharashtra 400001 (iii) Details of Special Resolutions passed in the previous 3 AGMs

Date of AGM AGM No. Business transacted by Special Resolution

8th August 2013 13th • Transfer of sum from Shareholder’s account to Policy holder’s account.

25th August 2014 14th • Transfer of sum from Shareholder’s account to Policy holder’s account.

• Transfer of sum from Shareholder’s account to Policy holder’s account. 13th August 2015 15th • Appointment of Mr. Naveen Tahilyani as the Managing Director of the Company

(iv) Postal Ballot (under Section 110 of the Companies On behalf of the Board of Directors Act, 2013):

None of the Business required to be transacted as Mumbai Special Resolution through postal ballot was passed Date:- 3rd May 2016 in last year.

Disclosures (a) There are no materially significant related party Ishaat Hussain transactions that have/may have potential conflict with the interest of the Company. Transactions with related Chairman

Annual Report | 2015 -16 21 Form No. MR-3 and External Commercial borrowings; SECRETARIAL AUDIT REPORT (iv) The following Regulations and Guidelines prescribed under the Securities and Exchange Board For the financial year ended 31st March, 2016 of India Act, 1992 (‘SEBI Act’): [ Pursuant to section 204(1) of the Companies Act, 2013 and Rule No.9 of the Companies (Appointment and (a) The Securities and Exchange Board of India Remuneration of Managerial Personnel) Rules, 2014] (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the Companies Act and dealing with client. To (v) The Insurance Act, 1938. The Members We have also examined compliance with the applicable Tata AIA Life Insurance Company Limited clauses of the Secretarial Standards issued by the Institute of Company Secretaries of India related to th 14 Floor, Tower A, meetings and minutes. Peninsula Business Park, During the period under review, the Company has Senapati Bapat Marg, Lower Parel, generally complied with the provisions of the Act, Rules, Regulations, Guidelines, etc. mentioned above. Mumbai -400 013 During the period under review, provisions of the We have conducted the Secretarial Audit of the following Act / Regulations were not applicable to the compliance of applicable statutory provisions and the Company: adherence to corporate practices by Tata AIA Life Insurance Company Limited (hereinafter called ‘the (i) The Securities Contracts (Regulation) Act, 1956 Company’) for the audit period covering the financial (SCRA) and the Rules made thereunder; year ended on 31” March, 2016. Secretarial Audit was (ii) The following Regulations and Guidelines prescribed conducted in a manner that provided us a reasonable under the Securities and Exchange Board of India Act, basis for evaluating the corporate conducts / statutory 1992 (‘SEBI Act’): compliances and expressing our opinion thereon. a. The Securities and Exchange Board of India Based on our verification of the Company’s books, (Substantial Acquisition of Shares and Takeovers) papers, minute books, forms and returns filed and Regulations, 2011; other records maintained by the Company and also the information provided by the Company, its officers, b. The Securities and Exchange Board of India agents and authorized representatives during the (Prohibition of Insider Trading) Regulations, 2015; conduct of Secretarial Audit, and subject to our separate c. The Securities and Exchange Board of India (Issue letter attached as Annexure I; we hereby report that in of Capital and Disclosure Requirements) Regulations, our opinion, the Company has, during the audit period 2009; generally complied with the statutory provisions listed d. The Securities and Exchange Board of lndia(Share hereunder and also that the Company has proper Based Employee Benefits), Regulations, 2014; Board-processes and compliance mechanism in place to the extent, in the manner and subject to the reporting e. The Securities and Exchange Board of India (Issue made hereinafter. and Listing of Debt Securities) Regulations, 2008; We have examined the books, papers, minute books, f. The Securities and Exchange Board of India (Delisting forms and returns filed and other records maintained of Equity Shares) Regulations, 2009; by the Company for the financial year ended on 31” g. The Securities and Exchange Board of India March, 2016 according to the provisions of: (Buyback of Securities) Regulation, 1998; (i) The Companies Act, 2013 (‘the Act’) and the Rules h. The Securities and Exchange Board of India (listing made thereunder; Obligations and Disclosure Requirements) Regulations, (ii) The Depositories Act, 1996 and the Regulations 2015; and Bye-laws framed thereunder; (iii) Listing Agreement (since not applicable being an (iii) Foreign Exchange Management Act, 1999 and the unlisted company). rules and regulations made thereunder to the extent of Foreign Direct Investment, Overseas Direct Investment

Annual Report | 2015 -16 22 We further report that - Annexure I to the Secretarial Audit Report for the The Board of Directors of the Company is duly financial year ended 31” March, 2016 constituted with proper balance of Executive Directors, Non­ Executive Directors and Independent Directors. To, The changes in the comptosition of the Board of Directors that took place during the period under review The Members, were carried out in compliance with the provisions of the Act. The Company has constituted the Audit Tata AIA Life Insurance Company Limited Committee as required under section 177(1) of the Act read with Rule 6 of the Companies (Meetings of Board Our secretarial audit report of even date is to be read and its Powers) Rules, 2014. However, the Committee along with this letter. is not constituted with independent directors forming a majority os required under section 177 (2) of the Act. 1. Maintenance of Secretarial records and compliance Proper notice is given to all Directors to schedule the of the provisions of corporate and other applicable la Board meetings in compliance with the provisions of ws, rules, regulations, standards are the responsibility Section 173(3) of the Companies Act, 2013, agenda of the management of the Company. Our responsibility and detailed notes on agenda were generally sent is to express an opinion on these secretarial records at least seven days in advance, and a system exists and compliance based on our audit. for seeking and obtaining further information and clarifications on the agenda items before the meeting 2. We have followed the audit practices and processes and for meaningful participation at the meeting. as were appropriate to obtain reasonable assurance Decisions at the meetings of the Board of Directors about the correctness of the contents of the Secretarial of the Company were carried through on the basis of majority. There were no dissenting views by any Records. The verification was done on the test basis member of the Board of Directors during the period to ensure that correct facts are reflected in secretarial under review. records. We believe that the processes and practices, We further report that - we followed provide a reasonable basis for our opinion. There are adequate systems and processes in the 3. We have not verified the correctness and Company commensurate with the size and operations of the Company to monitor and ensure compliance with appropriateness of financial records and Books of applicable laws, rules, regulations and guidelines. Accounts of the Company.

We further report that during the audit period, there 4. Wherever required, we have obtained the was no specific event/action having a major bearing on the Company’ s affairs in pursuance to the above management representation about the compliance of referred laws, rules, regulations, guidelines, etc. laws, rules and regulations and happening of events referred to above. etc. For BNP & Associates For BNP & Associates Company Secretaries Company Secretaries

Jatin Popat Jatin Popat Partner Partner FCS 4047 / CP No.6880 FCS 4047 / CP No.6880 Place: Mumbai Place: Mumbai rd Date: 3rd May 2016 Date: 3 May 2016

308, Orchid Plaza, Behind Gokul Shopping Centre, Off S. V. Road, Borivli (West), Mumbai - 400092. India. Tel.:26839651-52 # Email:[email protected] # Website: www.bnp-associates.com Annual Report | 2015 -16 23 Form No. MGT-9

EXTRACT OF ANNUAL RETURN As on the financial year ended on March 31, 2016 [Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies (Management and Administration) Rules, 2014] I. Registration and other details:

i) CIN U66010MH2000PLC128403 ii) Registration Date 23/08/2000 iii) Name of the Company Tata AIA Life Insurance Company Limited Company limited by Shares iv) Category / Sub-Category of the Company Non-government company 14th Floor, Tower A, Peninsula Business Park, Senapati v) Address of the registered Office and contact details Bapat Marg, LowerParel, Mumbai - 400013 vi) Whether listed company Yes / No NO vii) Name, Address and Contact details of Registrar NA and Transfer Agent, if any

II. Principal business activities of the company all the business activities contributing 10% or more of the total turnover of the company shall be stated:

Name and Description of main services NIC Code of the % to total turnover of the Sl. No. products/services Product/ services company 1. Life insurance 65110 100% 2. 3. 4. 5.

III. Particulars of holding, subsidiary and associate companies:

Holding/ Name And Address % Of Shares Applicable Sr. No. CIN/GLN Subsidiary/ Of The Company Held Section Associate Tata Sons Limited Bombay House 24 1. U99999MH1917PLC000478 Holding 74% 2(87)(ii) HomiMody Street Mumbai- 400001

Annual Report | 2015 -16 24 IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity) i) Category-wise Share Holding

% Category of No. of Shares held at the beginning No. of Shares held at the end of the Change Shareholders of the year year during the year D D e % of e % of m Physical Total Total m Physical Total Total a Shares a Shares t t A.Promoters (1) Indian a) Individual/ HUF b) Central Govt 1,44,55,90,000 1,44,55,90,000 74% 1,44,55,90,000 1,44,55,90,000 74% c) State Govt d) Bodies Corp. e) Banks/FI f) Any Other…. Sub-total (A) (1):- 1,44,55,90,000 1,44,55,90,000 74% 1,44,55,90,000 1,44,55,90,000 74% -- (2) Foreign 50,79,10,000 50,79,10,000 26% 50,79,10,000 50,79,10,000 26% -- Sub-total (A) (2):- 50,79,10,000 50,79,10,000 26% 50,79,10,000 50,79,10,000 26% -- Total shareholding of Promoter (A) = (A)(1)+(A) 1,95,35,00,000 1,95,35,00,000 100% 1,95,35,00,000 1,95,35,00,000 100% -- (2) B. Public Shareholding 1. Institutions a) Mutual Funds b) Banks/FI c) Central Govt d) State Govt(s) ------e) Venture Capital Funds f) Insurance Companies g) FIIs h) Foreign Venture Capital Funds i) Others (specify)

Sub-total (B)(1):- 2. Non-Institutions a) Bodies Corp. i) Indian ii) Overseas b) Individuals i) Individual shareholders holding nominal share capital upto ` 1 lakh ii) Individual shareholders holding nominal share capital in excess of ` 1 lakh c) Others (specify)

Sub-total (B)(2):- Total Public Shareholding (B) = (B)(1) + (B)(2)

Annual Report | 2015 -16 25 % Category of No. of Shares held at the beginning No. of Shares held at the end of the Change Shareholders of the year year during the year D D e % of e % of m Physical Total Total m Physical Total Total a Shares a Shares t t C. Shares held by Custodian for GDRS & Nil ADRS Grand Total (A+B+C) 1,95,35,00,000 1,95,35,00,000 100% 1,95,35,00,000 1,95,35,00,000 100% ii) Shareholding of Promoters

S. Shareholder’s Shareholding at the beginning of the Share holding at the end of the year No. Name year % % of Shares % of Shares change % of total Pledged/ % of total Pledged/ in Shares encumbered Shares encumbered share No. of Shares No. of Shares of the to total of the to total holding company shares company shares during the year Tata Sons 1 Limited 1,44,55,90,000 74% Nil 1,44,55,90,000 74% Nil Nil

AIA 2 International 50,79,10,000 26% Nil 50,79,10,000 26% Nil Nil Limited

Total 1,95,35,00,000 100% Nil 1,95,35,00,000 100% Nil Nil

iii) Change in Promoters’ Shareholding (please specify, if there is no change)

Sl. Shareholding at the beginning of the Cumulative Shareholding during the No. year year

% of total shares % of total shares No. of shares No. of shares of the company of the company

1

Annual Report | 2015 -16 26 iv) Shareholding Pattern of top ten Shareholders (other than Directors, Promoters and Holders of GDRs and ADRs):

Sl. Shareholding at the beginning of Cumulative Shareholding during the No. the year year

For Each of the Top % of total shares % of total shares No. of shares No. of shares 10 Shareholders of the company of the company NA v) Shareholding of Directors and Key Managerial Personnel:

Sl. Shareholding at the beginning of Cumulative Shareholding during the No. the year year

% of total shares of the company -

V. Indebtedness (Indebtedness of the Company including interest outstanding/accrued but not due for payment): Secured Loans Unsecured Total excluding Deposits Loans Indebtedness deposits

Indebtedness at the beginning of the financial year i) Principal Amount NIL ii) Interest due but not paid iii) Interest accrued but not due

Total (i+ii+iii) Change in Indebtedness during the financial year • Addition • Reduction Net Change Indebtedness at the end of the financial year i) Principal Amount ii) Interest due but not paid iii) Interest accrued but not due Total (i+ii+iii)

Annual Report | 2015 -16 27 VI. Remuneration of directors and key managerial personnel A .Remuneration to Managing Director, Whole-time Directors and/or Manager:

Sl. Particulars of Remuneration Name of MD/WTD/ Manager Total Amount No.

Mr. Naveen Dindayal Tahilyani 1. Gross salary (a) Salary as per provisions contained in section 17(1) of the Income-tax Act, 1961 3,50,00,000 (b) Value of perquisites u/s 17(2) Income-tax Act, 1961 (c) Profits in lieu of salary under section 17 (3) Income-tax Act, 1961

2. Stock Option 3. Sweat Equity Commission 4. - as % of profit - others, specify 5. Others, please specify 3,90,00,000 Total (A) 7,40,00,000 Ceiling as per the Act

B. Remuneration to other directors:

Total Sl. No. Particulars of Remuneration Name of MD/WTD/ Manager Amount

Mr. Janki Mr. Pratip Mr. D K Ms. Roopa Independent Directors Ballabh Kar Mehrotra Kudva

• Fee for attending board / committee meetings 8,10,000 6,84,000 4,32,000 3,60,000 • Commission • Others, please specify

Total (1) 8,10,000 6,84,000 4,32,000 3,60,000 22,86,000 Mr. Kishor Other Non-Executive Directors Mr. Ishaat Hussain Mr. Madhusudan Kannan Chaukar • Fee for attending board / committee meetings 9,09,000 3,96,000 90,000 • Commission • Others, please specify Total (2) 9,09,000 3,96,000 90,000 13,95,000 Total (B)=(1+2) 36,81,000 Total Managerial Remuneration Overall Ceiling as per the Act

Annual Report | 2015 -16 28 C. REMUNERATION TO KEY MANAGERIAL PERSONNEL OTHER THAN MD/MANAGER/WTD

Sl. Particulars of Remuneration Key Managerial Personnel No.

Company CEO CFO Total Secretary Mr. Naveen Mr. Swaminathan Mr. Vishalkumar Tahilyani Iyer Bandlish 1. Gross salary (a) Salary as per provisions contained in section 17(1) of the Income-tax Act, 1961 (b) Value of perquisites u/s 17(2) 3,50,00,000 7,73,3500 6,60,0000 Income-tax Act, 1961 (c) Profits in lieu of salary under section 17(3) Income-tax Act, 1961

2. Stock Option 3. Sweat Equity Commission 4. - as % of profit - others, specify 5. Others, please specify 3,90,00,000 Total (A) 7,40,00,000 77,33,500 66,00,000 883,33,500

VII. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES: Details of Penalty Appeal made, Section of the Brief / Punishment/ Authority [RD / Type if any (give Companies Act Description Compounding fees NCLT/ COURT] Details) imposed Penalty Punishment Compounding C. OTHER OFFICERS IN DEFAULT Penalty Punishment Compounding

Annual Report | 2015 -16 29 THIS PAGE IS INTENTIONALLY LEFT BLANK

Annual Report | 2015 -16 30 Annual Report | 2015 -16 31 N.M. Raiji & Co. Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) 6th Floor, Universal Chartered Accountants Insurance Building 16th Floor, Tower II, Sir P.M. Road, Fort, Indiabulls Finance Centre, Mumbai - 400 001 S B Marg, Elphinstone (W), Mumbai – 400 013

INDEPENDENT AUDITORS’ REPORT records, relevant to the preparation and presentation of the financial statements that give a true and fair view TO THE BOARD OF DIRECTORS OF and are free from material misstatement, whether due TATA AIA LIFE INSURANCE COMPANY LIMITED to fraud or error. Report on the Financial Statements Auditors’ Responsibility 1. We have audited the accompanying financial 3. Our responsibility is to express an opinion on these statements of TATA AIA LIFE INSURANCE COMPANY Financial Statements based on our audit. LIMITED (“the Company”), which comprise the Balance Sheet as at March 31, 2016, the related Revenue 4. We have taken into account the provisions of the Act, Account (also called the “Policyholders’ Account” or the the Insurance Act, the IRDA Act, the IRDA Financial “Technical Account”), the Profit and Loss Account (also Statements Regulations, orders/directions issued by called the “Shareholders’ Account” or “Non-Technical IRDA, the accounting and auditing standards and Account”) and the Receipts and Payments Account for matters which are required to be included in the audit the year then ended, and a summary of the significant report under the provisions of the Act and the Rules accounting policies and other explanatory information. made there under. 5. We conducted our audit in accordance with the Management’s Responsibility for the Financial Standards on Auditing specified under Section 143(10) Statements of the Act. Those Standards require that we comply 2. The Company’s Board of Directors is responsible for with ethical requirements and plan and perform the the matters stated in Section 134(5) of the Companies audit to obtain reasonable assurance about whether Act, 2013 (“the Act”) with respect to the preparation the Financial Statements are free from material of these financial statements that give a true and fair misstatement. view of the financial position, financial performance and cash flows of the Company in accordance with 6. An audit involves performing procedures to obtain the accounting principles generally accepted in India, audit evidence about the amounts and the disclosures including the provisions of the Insurance Act, 1938, in the Financial Statements. The procedures selected as amended by the Insurance Laws (Amendment) depend on the auditor’s judgment, including the Act, 2015, read with Insurance Regulatory and assessment of the risks of material misstatement of the Development Authority of India circular IRDAI/F&A/CIR/ Financial Statements, whether due to fraud or error. In FA/059/03/2015 dated March 31, 2015 (the “Insurance making those risk assessments, the auditor considers Act”), the Insurance Regulatory and Development internal financial control relevant to the Company’s Authority Act, 1999 (the “IRDA Act”), the Insurance preparation of the Financial Statements, that give a Regulatory and Development Authority (Preparation of true and fair view, in order to design audit procedures Financial Statements and Auditor’s Report of Insurance that are appropriate in the circumstances. An audit Companies) Regulations, 2002 (the “IRDA Financial also includes evaluating the appropriateness of the Statements Regulations”), orders/directions issued by accounting policies used and the reasonableness of the Insurance Regulatory and Development Authority the accounting estimates made by the Company’s of India (the “IRDA”/“Authority”) in this regard, the Directors, as well as evaluating the overall presentation Accounting Standards specified under Section 133 of of the Financial Statements. the Act read with Rule 7 of the Companies (Accounts) 7. We believe that the audit evidence we have obtained Rules, 2014 to the extent applicable. This responsibility is sufficient and appropriate to provide a basis for our also includes maintenance of adequate accounting audit opinion on the financial statements. records, in accordance with the provisions of the Act, for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting

Annual Report | 2015 -16 32 Opinion Order is not applicable. 8. In our opinion and to the best of our information and 13. As required by the IRDA Financial Statements according to the explanations given to us the aforesaid Regulations, read with Section 143(3) of the Act, we financial statements give the information required by report that: the Insurance Act, the IRDA Act, the IRDA Financial (a) We have sought and obtained all the information Statements Regulations and orders/directions issued and explanations, which to the best of our knowledge by the IRDA to the extent applicable and in the manner and belief were necessary for the purposes of the audit so required and give a true and fair view in conformity and have found them to be satisfactory; with the accounting principles generally accepted in India, as applicable to Insurance Companies: (b) In our opinion, proper books of account as required by law have been kept by the Company, so far as it (i) in case of the Balance Sheet, of the state of affairs appears from our examination of those books; of the Company as at March 31, 2016; (c) As the Company’s financial accounting system is (ii) in case of the Revenue Account of the surplus for centralized, no returns for the purposes of our audit are the year ended March 31, 2016; prepared at the branches of the Company; (iii) in case of the Profit and Loss Account, of the profit (d) The Balance Sheet, the Revenue Account, the Profit for the year ended on that date; and and Loss Account and the Receipts and Payments (iv) in case of the Receipts and Payments Account, of Account dealt with by this report are in agreement with the receipts and payments for the year ended on that the books of account; date. (e) In our opinion, the aforesaid financial statements Other matters comply with the Accounting Standards specified under 9. The actuarial valuation of liabilities for life policies in Section 133 of the Act, read with Rule 7 of the Companies force and for policies in respect of which premium has (Accounts) Rules, 2014 to the extent they are not been discontinued, but liability exists as at March 31, inconsistent with the accounting principles prescribed 2016, is the responsibility of the Company’s Appointed in the IRDA Financial Statements Regulations and Actuary (the “Appointed Actuary”). The actuarial orders/directions issued by the IRDA in this regard; valuation of these liabilities for life policies in force (f) In our opinion and to the best of our information and and for policies in respect of which premium has been according to the explanations given to us, investments discontinued but liability exists as at March 31, 2016, have been valued in accordance with the provisions has been duly certified by the Appointed Actuary and of the Insurance Act, the IRDA Financial Statements in his opinion, the assumptions for such valuation are Regulations and/or orders/directions issued by the in accordance with the guidelines and norms issued IRDA in this regard; by the IRDA and the Institute of Actuaries of India in (g) In our opinion, the accounting policies selected by concurrence with the Authority. We have relied upon the Company are appropriate and are in compliance Appointed Actuary’s certificate in this regard for with the applicable Accounting Standards specified forming our opinion on the valuation of liabilities for life under Section 133 of the Act, read with Rule 7 of the policies in force and for policies in respect of which Companies (Accounts) Rules, 2014 (as amended) and premium has been discontinued but liability exists on with the accounting principles as prescribed in the financial statements of the Company. IRDA Financial Statements Regulations and orders/ 10. The financial statements of the Company for the directions issued by the IRDA in this regard; year ended March 31, 2015 were audited by the joint (h) On the basis of the written representations received auditors of the Company, one of that is predecessor, from the directors as on March 31, 2016 taken on who expressed an unmodified opinion on the financial record by the Board of Directors, none of the directors statements on April 29, 2015. is disqualified as on March 31, 2016 from being Report on Other Legal and Regulatory Requirements appointed as a director in terms of Section 164(2) of 11. As required by the IRDA Financial Statements the Act; Regulations, we have issued a separate certificate (i) We have also audited the internal financial controls dated May 3, 2016 certifying the matters specified in over financial reporting (IFCoFR) of the Company as paragraphs 3 and 4 of Schedule C to the IRDA Financial of March 31, 2016 in conjunction with our audit of the Statements Regulations. financial statements of the Company for the year ended 12. This report does not include a statement on the on that date and our report dated May 3, 2016, as per matters specified in paragraph 3 of the Companies Annexure A, expressed unmodified opinion. (Auditor’s Report) Order 2016 (“the Order”), issued by (j) With respect to the other matters to be included the Central Government of India in terms of Section in the Auditor’s Report in accordance with Rule 11 143(11) of the Act, since in our opinion and according of the Companies (Audit and Auditors) Rules, 2014, to the information and explanations given to us, the in our opinion and to the best of our information and Annual Report | 2015 -16 33 according to the explanations given to us: certificate, referred to in paragraph 9 above, on which i. The Company has disclosed the impact of pending we have placed reliance; and the Company did not litigations on its financial position in its financial have any other long term contracts including derivative statements – Refer Schedule 16 Note B.1 to the contracts for which there were any material foreseeable financial statements. losses. ii. The liability for insurance contracts, is determined iii. The Company was not required to deposit or pay by the Company’s Appointed Actuary as per Schedule any dues in respect of the Investor Education and 16 Note B.2, and is covered by the Appointed Actuary’s Protection Fund during the year.

For N.M. Raiji & Co. For Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) Firm’s Registration No.108296W Chartered Accountants Firm’s Registration No.: 001076N/N500013 per Vinay D. Balse per Khushroo B. Panthaky Partner Partner Membership No.: 39434 Membership No.: 42423

Mumbai Mumbai Date: May 3rd, 2016 Date: May 3rd, 2016

Annual Report | 2015 -16 34 N.M. Raiji & Co. Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) 6th Floor, Universal Chartered Accountants Insurance Building 16th Floor, Tower II, Sir P.M. Road, Fort, Indiabulls Finance Centre, Mumbai - 400 001 S B Marg, Elphinstone (W), Mumbai – 400 013

Annexure 1 included obtaining an understanding of IFCoFR, assessing the risk that a material weakness exists, Independent Auditor’s report on the Internal and testing and evaluating the design and operating Financial Controls under Clause (i) of Sub-section effectiveness of internal control based on the assessed 3 of Section 143 of the Companies Act, 2013 (“the risk. The procedures selected depend on the auditor’s Act”) judgement, including the assessment of the risks of 1. In conjunction with our audit of the financial material misstatement of the financial statements, statements of Tata AIA Life Insurance Company Limited whether due to fraud or error. (“the Company”) as of and for the year ended March 31, 2016, we have audited the internal financial controls 5. We believe that the audit evidence we have obtained over financial reporting (IFCoFR) of the Company as of is sufficient and appropriate to provide a basis for our that date. audit opinion on the Company’s IFCoFR. Management’s Responsibility for Internal Financial Meaning of Internal Financial Controls over Controls Financial Reporting 2. The Company’s Board of Directors is responsible for 6. A company’s IFCoFR is a process designed to establishing and maintaining internal financial controls provide reasonable assurance regarding the reliability based on the internal control over financial reporting of financial reporting and the preparation of financial criteria established by the Company considering the statements for external purposes in accordance essential components of internal control stated in the with generally accepted accounting principles. Guidance Note on Audit of Internal Financial Controls A company’s IFCoFR includes those policies and over Financial Reporting (“the Guidance Note”) procedures that (1) pertain to the maintenance of issued by the Institute of Chartered Accountants of records that, in reasonable detail, accurately and fairly India (“ICAI”) [‘the framework’]. These responsibilities reflect the transactions and dispositions of the assets include the design, implementation and maintenance of of the company; (2)provide reasonable assurance adequate internal financial controls that were operating that transactions are recorded as necessary to permit effectively for ensuring the orderly and efficient conduct preparation of financial statements in accordance of the company’s business, including adherence to with generally accepted accounting principles, and company’s policies, the safeguarding of its assets, that receipts and expenditures of the company are the prevention and detection of frauds and errors, being made only in accordance with authorisations of the accuracy and completeness of the accounting management and directors of the company; and (3) records, and the timely preparation of reliable financial provide reasonable assurance regarding prevention information, as required under the Act. or timely detection of unauthorised acquisition, use, or disposition of the company’s assets that could have a Auditors’ Responsibility material effect on the financial statements. 3. Our responsibility is to express an opinion on the Inherent Limitations of Internal Financial Controls Company’s IFCoFR based on our audit. We conducted over Financial Reporting our audit in accordance with the Standards on Auditing, issued by the Institute of Chartered Accountants of 7. Because of the inherent limitations of IFCoFR, India (ICAI) and deemed to be prescribed under including the possibility of collusion or improper section 143(10) of the Act, to the extent applicable to an management override of controls, material audit of IFCoFR, and the Guidance Note issued by the misstatements due to error or fraud may occur and ICAI. Those Standards and the Guidance Note require not be detected. Also, projections of any evaluation of that we comply with ethical requirements and plan the IFCoFR to future periods are subject to the risk that and perform the audit to obtain reasonable assurance IFCoFR may become inadequate because of changes about whether adequate IFCoFR were established and in conditions, or that the degree of compliance with the maintained and if such controls operated effectively in policies or procedures may deteriorate. all material respects. 4. Our audit involves performing procedures to obtain audit evidence about the adequacy of the IFCoFR and their operating effectiveness. Our audit of IFCoFR

Annual Report | 2015 -16 35 Opinion Actuary”). The actuarial valuation of these liabilities for 8. In our opinion, the Company has, in all material life policies in force and for policies in respect of which respects, adequate IFCoFR and such IFCoFR were premium has been discontinued but liability exists operating effectively as at March 31, 2016, based on as at March 31, 2016, has been duly certified by the the internal control over financial reporting criteria Appointed Actuary and in his opinion, the assumptions established by the Company considering the essential for such valuation are in accordance with the guidelines components of internal control stated in the Guidance and norms issued by the IRDAI and the Institute of Note issued by the Institute of Chartered Accountants Actuaries of India in concurrence with the Authority. of India. We have relied upon Appointed Actuary’s certificate in this regard for forming our opinion on the financial Other matters statements of the Company. 9. As stated in ‘other matters’ paragraph of the Accordingly, we have not audited the IFCoFR in Independent Auditor’s Report on the financial respect of the valuation and accuracy of liabilities for statements of the Company, the actuarial valuation life policies in force and for policies in respect of which of liabilities for life policies in force and for policies in premium has been discontinued but liability exists, respect of which premium has been discontinued, but certified by the Appointed Actuary and has been relied liability exists as at March 31, 2016, is the responsibility upon by us. of the Company’s Appointed Actuary (the “Appointed

For N.M. Raiji & Co. For Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) Firm’s Registration No.108296W Chartered Accountants Firm’s Registration No.: 001076N/N500013 per Vinay D. Balse per Khushroo B. Panthaky Partner Partner Membership No.: 39434 Membership No.: 42423

Mumbai Mumbai Date: May 3rd, 2016 Date: May 3rd, 2016

Annual Report | 2015 -16 36 N.M. Raiji & Co. Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) 6th Floor, Universal Chartered Accountants Insurance Building 16th Floor, Tower II, Sir P.M. Road, Fort, Indiabulls Finance Centre, Mumbai - 400 001 S B Marg, Elphinstone (W), Mumbai – 400 013

Independent Auditor’s Certificate include the concepts of test checks and materiality. (Referred to in paragraph 11 of our Report on Other In accordance with the information and explanations Legal and Regulatory Requirements forming part of the given to us and to the best of our knowledge and belief Independent Auditor’s Report dated May 3, 2016) and based on our examination of the books of account This certificate is issued to comply with the provisions and other records maintained by TATA AIA LIFE of paragraphs 3 and 4 of Schedule C of the Insurance INSURANCE COMPANY LIMITED (“the Company”) Regulatory and Development Authority (Preparation of for the year ended March 31, 2016, we certify that: Financial Statements and Auditor’s Report of Insurance 1. We have reviewed the Management Report attached Companies) Regulations, 2002 (the “IRDA Financial to the financial statements for the year ended March Statements Regulations”) read with Regulation 3 of the 31, 2016, and on the basis of our review, there is no IRDA Financial Statements Regulations. apparent mistake or material inconsistencies with the The Company’s Management is responsible for financial statements; complying with the provisions of the Insurance Act, 2. Based on the Management representations and 1938 as amended by the Insurance Laws (Amendment) compliance certificates submitted to the Board of Act, 2015, read with Insurance Regulatory and Directors by the officers of the Company charged with Development Authority of India circular IRDAI/F&A/CIR/ compliance and the same being noted by the Board, FA/059/03/2015 dated March 31, 2015 (the “Insurance we certify that the Company has complied with the Act”), the Insurance Regulatory and Development terms and conditions of registration stipulated by IRDA; Authority Act, 1999 (the “IRDA Act”), the IRDA Financial 3. We have verified the cash balances, to the extent Statements Regulations, orders/directions issued by considered necessary, and securities relating to the the Insurance Regulatory and Development Authority of Company’s loans and investments as at March 31, India (the “IRDA”) which includes the preparation of the 2016, by actual inspection or on the basis of certificates/ Management Report. This includes collecting, collating confirmations received from the Custodian and/or and validating data and designing, implementing and Depository Participants appointed by the Company, as monitoring of internal controls suitable for ensuring the case may be. As at March 31, 2016, the Company compliance as aforesaid. does not have reversions and life interests; Our responsibility, for the purpose of this certificate, is 4. The Company is not a trustee of any trust; and limited to certifying matters contained in paragraphs 3 and 4 of Schedule C of the IRDA Financial Statements 5. No part of the assets of the Policyholders’ Funds Regulations. We conducted our examination in has been directly or indirectly applied in contravention accordance with the Guidance Note on Audit Reports to the provisions of the Insurance Act, relating to the and Certificates for Special Purposes issued by the application and investments of the Policyholders’ Institute of Chartered Accountants of India, which Funds.

For N.M. Raiji & Co. For Walker Chandiok & Co LLP Chartered Accountants (Formerly Walker, Chandiok & Co) Firm’s Registration No.108296W Chartered Accountants Firm’s Registration No.: 001076N/N500013 per Vinay D. Balse per Khushroo B. Panthaky Partner Partner Membership No.: 39434 Membership No.: 42423

Mumbai Mumbai Date: May 3rd, 2016 Date: May 3rd, 2016

Annual Report | 2015 -16 37 THIS PAGE IS INTENTIONALLY LEFT BLANK

Annual Report | 2015 -16 38 Annual Report | 2015 -16 39 REGISTRATION NO. WITH IRDAI: 110 DATED: FEBRUARY 12, 2001 Management Report (` ‘000) In accordance with the provisions of the Insurance Govern Infra Regulatory & Development Authority of India (“IRDAI”) Corporate for the accounting year April 1, 2015 to March 31, 2016 ment structure and results thereof, the Management of the Company confirms, certifies and declares that: Acquisition cost of Debt Securities 70,952 2,507 20,617 1. The license in respect of Life Insurance business (Reg. No. 110) granted by the IRDAI continues to held stand valid as on the Balance Sheet date and even Amortized value as of the date of this report. of securities as at 70,952 2,490 20,856 2. All relevant statutory dues have been generally March 31, 2016 deposited on time as of the date of this report except those under dispute or disclosed under contingent Market Value of liabilities in the notes to accounts forming part of the the securities 74,116 2,562 21,430 financial statements as at March 31, 3. The Company’s shareholding pattern during the 2016 year is in conformity with the IRDAI regulations. There Value of Debt is no change in the shareholding pattern during the Securities as 70,952 2,490 2,,856 year ended March 31, 2016. appearing in the Foreign Investment Promotion Board (FIPB) and IRDAI Balance Sheet vide its letter Ref. No. F.No.016 (2016)/213(2015) Refer schedules 8 & 8A forming part of the Balance Sheet dated 21st March, 2016 and Ref. No.107.1/1/F&A- as at March 31, 2016 Life/TALIC-Restr/220/2016 dated 31st March, 2016 respectively, have approved the transfer of shares 7. No part of the Life Insurance funds have been directly from Tata Sons Limited to AIA International Limited or indirectly applied in contravention of the provisions of leading to increase in foreign investment by AIA the Insurance Act, 1938 relating to the application and International Limited from 26% to 49% in Tata AIA Life investment of the Life Insurance funds Insurance Co. Ltd 8. The Management has identified 4 types of risks at the Subsequently the shares have been transferred from Company level: Tata Sons Limited to AIA International Limited on 25th 1) Insurance Risk such as pricing risk, product portfolio April, 2016. Post transfer of shares the shareholding risk, underwriting and claim and reinsurance risk pattern of the company is as stated below: These risks are mitigated by: No. of Equity Percentage Shareholder • Incorporating appropriate margins in assumptions Shares shareholding used for product pricing Tata Sons Limited 99,62,85,000 51% • Regular monitoring and review of product profitability AIA International 95,72,15,000 49% • Having documented underwriting guidelines/ Limited procedures Total 1,95,35,00,000 100% • Risk management through reinsurance 4. The Company has not directly or indirectly invested • Conducting regular Underwriting and Claims committee outside India, the funds of the holders of policies meetings issued in India. • Oversight provided by the Risk Management Committee 5. The Company has adequate assets to cover both, its liabilities and the minimum solvency margin as 2) Financial Risk - Market Risk; Credit Risk; Liquidity, stipulated in Section 64VA of the Insurance Act, 1938. Interest risk; Investment risk 6. The values of all the assets of the company have This risk is mitigated by the Company’s regular Investment been reviewed as at March 31, 2016 and to the best committee meetings which review management of of our knowledge and belief, the assets set forth in the diverse portfolio. The Company’s funds, in the case of Balance Sheet are shown in the aggregate at amounts, non linked business, have been mainly invested in debt not exceeding their realizable or market value under securities. While most of these debt investments are in the several headings – Loans, Investments, Agents securities issued and guaranteed by the Government of balances, Outstanding premium, Interest and dividend India, investments have also been made in the corporate outstanding, Interest, Dividend accruing but not due, and infrastructure sector bonds in order to obtain/achieve Amounts due from other persons or bodies carrying a yield pick-up. A small allocation has also been made to on insurance business, Cash and various other items listed equities. The investment philosophy of the company specified under other accounts, except in the case is to invest in a manner consistent with the liability structure of debt securities of non linked business where it is and at the same time, maximize the returns within the shown at amortized cost. risk parameters. The company strives to achieve high asset quality, minimizing income volatility and complying The information on Debt Securities held by the Company with the regulatory and internal requirements. In case in Non Unit Linked funds as at March 31, 2016 is as follows of investment in equity shares for Linked as well as Non

Annual Report | 2015 -16 40 Linked business, the portfolio is well diversified across 11.1 Debt Securities all the industrial segments and across the companies within specific segments. Non Linked Business 3) Operational Risk - System risk; Process risk; Debt securities, including government Personnel risk securities are considered as “held to maturity” and stated at amortized cost. This risk is mitigated by having regular risk committee meetings which review and sets the directions for Linked Business Company wide processes, training and control. The Debt securities, including government Company has documented its main processes to securities are valued at market price, based mitigate the process risk. This is followed with process on the CRISIL Gilt Valuer and the CRISIL of Risk Control Self Assessment carried out by each Bond Valuer function and reassurance provided by the Integrated Internal Audit function. 11.2 Equity and Preference Shares 4) Legal and regulatory risks - Litigation and liability Non linked business risk; Regulatory and compliance risk. Listed Equity Shares and Preference Shares are valued This risk is mitigated by an independent legal, at fair value, being the last quoted closing price on the compliance and internal audit divisions. There are National Stock Exchange (“NSE”) of India Limited or regular compliance and audit committee meetings in the event that such equity shares aren’t listed on which review the relevant reports from each division the NSE, then based on last quoted closing price on and set the direction for resolution and implementation the Bombay Stock Exchange Limited (“BSE”). Any of recommendations made by these reports. unrealised gain/loss arising due to changes in the fair value is recognised in equity under the head “Fair 9. The company does not have operations outside value change account” in the Balance Sheet. India and all policies have been underwritten in India. Linked Business 10. All Claims received by the Company have been settled within a reasonable period of time. The average Listed Equity Shares and Preference Shares are valued claims settlement time has been 2 days from the day all at fair value, being the last quoted closing price on the necessary documents are submitted to the company. NSE of India Limited or at the BSE if the equity shares The ageing of Individual claims registered and not are not listed on the NSE. Any unrealised gain / (loss) settled as on March 31, 2016 has been disclosed arising due to changes in the fair value is recognized below: as ‘’Unrealised gains / (loss)’’ in the Revenue account of the fund and is attributed to the unit holders. (A) Non- Linked Business (` ‘000) 2015-16 2014-15 2013-14 2012-13 2011-12 Period No. of No. of No. of No. of No. of Amount Amount Amount Amount Amount claims claims claims claims claims 30 days - - 8 3,524 45 14,463 51 13,260 9 3,388 30 days to 6 months - - 8 5,600 34 20,674 42 23,911 5 3,333 6 months to 1 year - - 2 5,099 1 600 8 8,851 - - 1 year to 5 years - - 3 2,300 7 4,765 - - - - 5 years and above ------Total - - 21 16,523 87 40,502 101 46,022 14 6,721

(B) Linked Business (` ‘000) 2015-16 2014-15 2013-14 2012-13 2011-12 Period No. of No. of No. of No. of No. of Amount Amount Amount Amount Amount claims claims claims claims claims 30 days - - 4 1,399 28 11,073 37 13,524 12 15,614 30 days to 6 months - - - - 17 6,239 34 23,625 6 2,889 6 months to 1 year - - 2 2,013 1 600 10 4,435 - - 1 year to 5 years - - 10 4,561 17 7,616 - - 1 489 5 years and above ------Total - - 16 7,972 63 25,528 81 41,584 19 18,992 11. The valuation of investments has been made on 12. The Non linked funds of the Company have been the basis of following: mainly invested in the Government securities.

Annual Report | 2015 -16 41 The performance of Investments (non linked) are as (` ‘000) follows : Sr Name of Entity in which Amount No. Director Director is interested Paid Interest on fixed deposits 9 Tata Consultancy 318,149 Interest on Government bonds (Net of Services Limited 5,764 amortisation) Ishaat Voltas Limited 2,671 1 Hussain Tata Sons Limited 13,025

Income from treasury bills and corporate Tata AIG General Insurance 10,904 Bonds, Infrastructure bonds & other 2,176 Company Limited securities (Net of amortisation) Tata Teleservices Limited 15,858 Tata Capital Limited 6 Dividend Income 100 Tata Sky Limited 2,688 Profit/(Loss) from sale of Treasury Bills & Tata AIG General Insurance 2,223 10,904 Govt. Securities & other securities (Net) Company Limited Tata Capital Financial Janki 8,709 Profit/(Loss) on sale of shares (Net) 67 2 Services Limited Ballabh TOTA L Tata Capital Limited 6 Tata Capital Housing 13. The financial statements of Tata AIA Life Insurance 15,373 Company Limited and the information disclosed in Finance Limited K. A. Tata Communications Limited 14,064 this report are the responsibility of the Company’s 3 Chaukar Tata Teleservices Management and have been reviewed and approved 12,289 by the Board of Directors. Further Maharashtra Limited Gordon (a) The financial statements have been prepared in 4 Timmins AIA Hongkong 4,185 accordance with the applicable accounting standards, Watson principles and policies, and there have been no Tata AIG General Insurance 10,904 material departures from the aforesaid; Madhusudan Company Limited 5 Kannan Tata Realty and Infrastructure (b) The Management has adopted accounting policies 405 and made judgments and estimates that are reasonable Limited Roopa and prudent so as to give a true and fair view of the 6 Financial Planning Standards 456 Kudva state of affairs of the Company as at March 31, 2016 and of the profit of the Company for the year ended In addition to the above, please refer Part B of Schedule March 31, 2016; 16 for transactions with Related Parties (c) The Management has taken proper and sufficient For and on behalf of the Board of Directors care for the maintenance of adequate accounting records in accordance with the applicable provisions of the Insurance Act 1938 (4 of 1938) / Companies Act, 2013 (1 of 2013), for safeguarding the assets of the Ishaat Hussain William Lisle Janki Ballabh Company and for preventing and detecting fraud and (Chairman) (Director) (Director) other irregularities; DIN 00027891 DIN 03024090 DIN 00011206 (d) The financial statements have been prepared on a going concern basis; Pratip Kar D. K. Mehrotra Simeon Preston (e) The Company has an Internal Audit Department (Director) (Director) (Director) which is generally commensurate with the size and DIN 03346142 DIN 00142711 DIN 03517416 nature of its business and is operating effectively. 14. Payments made to parties in which Directors are interested: Madhusudan K. A. Chaukar Naveen The details of such payments for the year ended March Kanan (Director) Tahilyani 31, 2016 are given below: (Director) DIN 00033830 (CEO & DIN 02647756 Managing Director) DIN 06594510 Roopa Kudva S. Swaminathan (Director) (Chief DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary) Mumbai Date: May 3rd, 2016

Annual Report | 2015 -16 42 Annual Report | 2015 -16 43 FORM A-BS Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001 BALANCE SHEET AS AT MARCH 31, 2016 (` ‘000) As at As at Schedule March 31, 2016 March 31, 2015 Sources of Funds Shareholders’ Funds: Share Capital 5 1,95,35,000 1,95,35,000 Reserves and Surplus 6 - - Credit/(Debit) Fair Value Change Account (Refer 25,592 59,480 Notes A.5.1 and B.6(iii) of Schedule 16) Sub-Total 1,95,60,592 1,95,94,480 Borrowings 7 - - Policyholders' Funds: Credit/(Debit) Fair Value Change Account (Refer 21,11,872 24,78,038 Notes A.5.1 and B.6(iii) of Schedule 16) Policy Liabilities (Refer Notes A.6 and B.2 of Schedule 9,03,34,007 7,64,68,482 16) Insurance Reserves - - Provision for Lapsed Policies-Non Unit (Refer Notes 9,768 6,940 B.2 and B.24 of Schedule 16) Provision for Linked Liabilities (Refer Note B.2 of 7,53,02,287 9,69,62,629 Schedule 16) Provision for Discontinued Policies on account of non- 57,16,012 49,02,035 payment of premium (Refer Note B.30 of Schedule 16) Provision for Discontinued Policies-Others (Refer Note 12,30,578 7,31,762 B.30 of Schedule 16) Sub-Total 17,47,04,524 18,15,49,886 Funds for Future Appropriation-PAR (Refer Note A.14 6,69,686 4,22,653 of Schedule 16) "Funds for Future Appropriation for Linked Liability (Lapsed Policies) Non Unit 17,445 50,547 (Refer Notes B.2 and B.24 of Schedule 16)" "Funds for Future Appropriation for Linked Liability (Lapsed Policies) Unit - 216 (Refer Notes B.2 and B.24 of Schedule 16)" Total 19,49,52,247 20,16,17,782 Application of Funds Investments: Shareholders' 8 2,00,32,356 1,73,10,424 Policyholders' 8A 8,97,33,204 7,78,60,206 Assets Held to Cover Linked Liabilities 8B 8,22,48,877 10,25,96,649 Loans 9 25,35,802 20,95,251 Fixed Assets 10 11,36,719 10,89,660 Balance carried forward 19,56,86,958 20,09,52,190 Balance brought forward 19,56,86,958 20,09,52,190 Current Assets: Cash and Bank Balances 11 12,87,667 7,95,971 Advances and Other Assets 12 46,60,594 49,30,907 Sub-Total (A) 59,48,261 57,26,878

Annual Report | 2015 -16 44 (` ‘000) As at As at Schedule March 31, 2016 March 31, 2015 Current Liabilities 13 87,95,141 78,53,343 Provisions 14 1,48,036 1,04,413 Sub-Total (B) 89,43,177 79,57,756 Net Current Assets (C)=(A-B) (29,94,916) (22,30,878) Miscellaneous Expenditure (To The Extent Not Written 15 - - Off or Adjusted) Debit Balance in Profit and Loss Account 22,60,205 28,96,470 (Shareholders’ Account) Total 19,49,52,247 20,16,17,782 Notes to Accounts 16 Schedules referred to above form an integral part of the Balance Sheet In terms of our report attached For and on behalf of For and on behalf of the Board of Directors For N.M. Raiji & Co. Chartered Accountants Ishaat Hussain William Lisle Janki Ballabh Firm’s Registration No.108296W (Chairman) (Director) (Director) DIN 00027891 DIN 03024090 DIN 00011206

per Vinay D. Balse Pratip Kar D. K. Mehrotra Simeon Preston (Director) (Director) (Director) Partner DIN 03346142 DIN 00142711 DIN 03517416 Membership No.: 39434

Madhusudan K. A. Chaukar Naveen Kanan (Director) Tahilyani (Director) DIN 00033830 (CEO & DIN 02647756 Managing For Walker Chandiok & Co LLP Director) (Formerly Walker, Chandiok & Co) DIN 06594510 Roopa Kudva S. Swaminathan Chartered Accountants (Director) (Chief Firm’s Registration No.: 001076N/N500013 DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary) per Khushroo B. Panthaky Partner Membership No.: 42423

Mumbai Date: May 3rd, 2016

Annual Report | 2015 -16 45 THIS PAGE IS INTENTIONALLY LEFT BLANK

Annual Report | 2015 -16 46 Annual Report | 2015 -16 47 FORM A-RA Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001 REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

Policyholders’ Account (Technical Account) (` ‘000) Year ended Year ended Schedule March 31, 2016 March 31, 2015 Premiums earned-net (a) Premium 1 2,47,89,602 2,12,26,580 Reinsurance ceded (Refer Note A.2(ii) of Schedule (b) (4,31,651) (1,62,046) 16) (c) Reinsurance accepted - - Sub-Total 2,43,57,951 2,10,64,534 Income from Investments Interest, Dividends and Rent-Gross (Net of amortisation of ` (450,707 thousand (a) (Previous year: ` (459,940) thousand)) 93,09,737 86,23,309 (Refer Notes A.2(iii), A.2(iv) and B.14 of Schedule 16) Profit on sale/redemption of investments (Refer (b) 1,49,46,086 1,94,25,638 Note A.2(v) of Schedule 16) (Loss on sale/redemption of investments) (Refer (c) (19,45,028) (4,88,940) Note A.2(v) of Schedule 16) (d) Transfer/Gain on revaluation/change in fair value* (1,70,19,121) 1,13,19,274 Other Income (a) Interest on over due Premium 20,784 33,758 (b) Interest on Policy loan 2,58,330 2,19,976 Fees and charges (Refer Notes A.2(vi) and A.2(vii) (c) 5,353 13,859 of Schedule 16) Contribution from Shareholders' Account (Refer (d) 7,57,257 12,63,799 Note B.18 of Schedule 16) (e) Miscellaneous Income 1,08,004 1,54,082 Sub-Total 64,41,402 4,05,64,755 TOTAL (A) 3,07,99,353 6,16,29,289 Commission 2 14,94,895 9,22,788 Operating Expenses related to Insurance Business 3 48,02,813 49,88,931 Service Tax On Premium 2,99,371 3,91,275 Provision for doubtful debts (46,020) (43,998) Bad debts written off 53,372 43,998 Provision for Tax 4,63,928 (17,557)

Annual Report | 2015 -16 48 (` ‘000) Year ended Year ended Schedule March 31, 2016 March 31, 2015 Provisions (Other than taxation) For diminution in the value of investments (Net) (a) 65,476 29,169 (Refer Note B.6(i) of Schedule 16) (b) Others - - TOTAL (B) 71,33,835 63,14,606 Benefits Paid (Net) 4 2,89,19,524 3,37,05,134 Interim Bonuses Paid - - Change in valuation of liability in respect of life policies (a) Gross** (Refer Notes A.6 and B.2 of Schedule 16) 1,42,75,210 1,18,42,795 (b) Amount ceded in Reinsurance (4,44,998) (31,846) (c) Amount accepted in Reinsurance - - Transfer (from)/to Linked Fund (Net) (2,03,34,531) 70,33,474 TOTAL (C) 2,24,15,205 5,25,49,557 SURPLUS/(DEFICIT) [(D)=(A)-(B)-(C)] 12,50,313 27,65,126 Transfer (to) Linked Fund (Lapsed Policies) (33,318) (2,46,416) Funds available for Appropriation (E) 12,16,995 25,18,710 * Represents the deemed realised gain as per norms specified by the Authority. ** Represents Mathematical Reserves after allocation of bonus. APPROPRIATIONS Transfer to Shareholders' Account 10,03,280 31,74,240 Transfer to Other Reserves - - Balance being Funds for Future Appropriation 2,13,715 (6,55,530) TOTAL (E) 12,16,995 25,18,710 Funds for Future Appropriation Opening Balance at the beginning of the year 4,73,416 11,28,946 Current year Appropriations 2,13,715 (6,55,530) Closing Balance carried forward to the Balance Sheet 6,87,131 4,73,416

The total surplus shall be disclosed separately with the following details:

(a) Interim Bonuses Paid - - Allocation of Bonus to Policyholders (Refer Note (b) 25,27,290 17,86,520 B.19 of Schedule 16) (c) Surplus shown in the Revenue Account 12,50,313 27,65,126 (d) Total Surplus [(a)+(b)+(c)] 37,77,603 45,51,646 Notes to Accounts 16

Annual Report | 2015 -16 49 Schedules referred to above form an integral part of We hereby certify that all expenses incurred by the Revenue Account the Company in respect of life insurance business transacted in India have been fully debited in the Revenue Account. In terms of our report attached

For and on behalf of For and on behalf of the Board of Directors

For N.M. Raiji & Co. Chartered Accountants Ishaat Hussain William Lisle Janki Ballabh Firm’s Registration No.108296W (Chairman) (Director) (Director) DIN 00027891 DIN 03024090 DIN 00011206

per Vinay D. Balse Pratip Kar D. K. Mehrotra Simeon Preston (Director) (Director) (Director) Partner DIN 03346142 DIN 00142711 DIN 03517416 Membership No.: 39434

Madhusudan K. A. Chaukar Naveen Kanan (Director) Tahilyani (Director) DIN 00033830 (CEO & DIN 02647756 Managing For Walker Chandiok & Co LLP Director) (Formerly Walker, Chandiok & Co) DIN 06594510 Roopa Kudva S. Swaminathan Chartered Accountants (Director) (Chief Firm’s Registration No.: 001076N/N500013 DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary) per Khushroo B. Panthaky Partner Membership No.: 42423

Mumbai Date: May 3rd, 2016

Annual Report | 2015 -16 50 Annual Report | 2015 -16 51 FORM A-PL Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001 PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

Shareholders’ Account (Non-technical Account) (` ‘000) Year ended Year ended Schedule March 31, 2016 March 31, 2015 Amounts transferred from the Policyholders’ Account 10,03,280 31,74,240 (Technical Account) Income from Investments Interest, Dividends and Rent-Gross (Net of amortisation ` (28,224) thousand (Previous (a) year: ` (26,328) thousand)) 14,59,555 12,45,231 (Refer Notes A.2(iii), A.2(iv) and B.14 of Schedule 16) Profit on sale/redemption of investments (Refer (b) 1,95,566 566 Note A.2(v) of Schedule 16) (Loss on sale/redemption of investments) (Refer (c) (7,968) (433) Note A.2(v) of Schedule 16) Other Income - - TOTAL (A) 26,50,433 44,19,604 Expenses other than those directly related to Insurance 3A 11,87,578 32,426 Business Corporate Social Responsibility expenses (Refer Note 4,474 2,590 B.32 of Schedule 16) Bad debts written off - - Provisions (Other than taxation) (a) For diminution in the value of investments (Net) - - (b) Provision for doubtful debts - - (c) Others - - Contribution to the Policyholders’ Fund (Refer Note B.18 of 7,57,257 12,63,799 Schedule 16) TOTAL (B) 19,49,309 12,98,815 Profit/(Loss) before tax 7,01,124 31,20,789 Provision for Taxation (Refer Notes A.13 and B.26 of 64,859 4,84,596 Schedule 16) Profit/(Loss) after tax 6,36,265 26,36,193 APPROPRIATIONS (a) Balance at the beginning of the year (28,96,470) (55,32,663) (b) Interim dividends paid during the year - - (d) Dividend distribution on tax - - (e) Transfer to reserves/other accounts - - Profit/(Loss) carried forward to the Balance Sheet (22,60,205) (28,96,470) EARNINGS PER SHARE (Refer Note B.11 of Schedule 16) Basic and Diluted (in `) 0.33 1.35 (Face Value ` 10/- per share) Notes to Accounts 16 Annual Report | 2015 -16 52 Schedules referred to above form an integral part of the Profit and Loss Account In terms of our report attached

For and on behalf For and on behalf of the Board of Directors For N.M. Raiji & Co. Chartered Accountants Ishaat Hussain William Lisle Janki Ballabh Firm’s Registration No.108296W (Chairman) (Director) (Director) DIN 00027891 DIN 03024090 DIN 00011206

per Vinay D. Balse Pratip Kar D. K. Mehrotra Simeon Preston (Director) (Director) (Director) Partner DIN 03346142 DIN 00142711 DIN 03517416 Membership No.: 39434

Madhusudan K. A. Chaukar Naveen Kanan (Director) Tahilyani (Director) DIN 00033830 (CEO & DIN 02647756 Managing For Walker Chandiok & Co LLP Director) (Formerly Walker, Chandiok & Co) DIN 06594510 Roopa Kudva S. Swaminathan Chartered Accountants (Director) (Chief Firm’s Registration No.: 001076N/N500013 DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary) per Khushroo B. Panthaky Partner Membership No.: 42423

Mumbai Date: May 3rd, 2016

Annual Report | 2015 -16 53 THIS PAGE IS INTENTIONALLY LEFT BLANK

Annual Report | 2015 -16 54 Annual Report | 2015 -16 55 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED (Formerly known as TATA AIG LIFE INSURANCE COMPANY LIMITED) Registration No.110 Date of Registration with IRDA: February 12, 2001 RECEIPTS AND PAYMENTS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016 (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015 A CASH FLOWS FROM OPERATING ACTIVITIES Premium received from policyholders, 2,50,83,840 2,15,80,513 including advance receipts Other receipts - - Payments to the re-insurers, net of commissions and claims (88,924) (1,13,655) Payments of claims/benefits* (2,90,09,327) (3,34,57,032) Payments of commission and brokerage (12,74,638) (8,47,541) Payments of other operating expenses * * (19,94,738) 4,04,835 Preliminary and pre-operative expenses - - Deposits, advances and staff loans 14,151 31,851 Income taxes paid (Net) (4,00,011) (6,32,500) Service tax paid # (2,97,388) (4,96,596) Other payments - - Interest on over due Premium 20,784 33,758 Net cash used in Operating activities (79,46,251) (1,34,96,367) B. CASH FLOWS FROM INVESTING ACTIVITIES Purchase of fixed assets (2,83,557) (2,74,227) Proceeds from sale of fixed assets 8,285 15,129 Purchases of investments (53,31,92,325) (79,74,69,016) Loans disbursed - - Loans against policies (85,099) (52,649) Sales of investments 53,12,60,187 80,13,91,782 Repayments received - - Rents/Interests/Dividends received 1,10,47,063 1,00,38,093 Investments in money market instruments and in liquid mutual - - funds (Net) Expenses related to investments (15,623) (23,368) Investments in money market instruments and in liquid mutual - - funds (Net)* Net cash flow from Investing activities 87,38,931 1,36,25,744 C. CASH FLOWS FROM FINANCING ACTIVITIES - - Effect of foreign exchange rates on cash and cash - - D. equivalents, net Net Increase/(Decrease) in cash and cash 7,92,680 1,29,377 E. equivalents(A+B+C+D) Cash and cash equivalents at the beginning of the year 8,95,884 7,66,507 Cash and cash equivalents at the end of the year 16,88,564 8,95,884 *Includes surrender payments. ** Includes transfer from linked funds which has resulted into net inflow during the year. # Includes deposit of service tax paid under protest ` 109,644 thousand (Previous year ` 93,308).

Annual Report | 2015 -16 56 1. The above Receipts and Payments Account has been prepared as prescribed by the Insurance Regulatory and Development Authority (Preparation of Financial Statements and Auditor's Report of Insurance Companies) Regulations, 2002 under the "Direct Method" laid out in Accounting Standard (AS)-3 on Cash Flow Statements as notified under the Companies Act 2013. 2. Figures in brackets indicate cash outflow. 3. Previous year's figures have been regrouped/restated wherever necessary. 4. Cash and cash equivalents at the end of the year comprises of the following Balance Sheet amounts:

(` ‘000) As at As at March 31, 2016 March 31, 2015 Cash (including cheques on hand, drafts and stamps) 5,60,603 2,82,583 Bank Balances (a) Deposit Accounts (aa) Short-term (Due within 12 months) - - (bb) Others - - (b) Current Accounts Ordinary Life and Pensions 7,22,704 5,09,028 (c) Total 12,83,307 7,91,611 (d) Current Accounts Unit Linked Pensions 41,386 9,346 Unit Linked Individual 3,63,871 94,927 (e) Others - - Money at Call and Short Notice (a) With Banks - - (b) With other Institutions - - TOTAL (c)+(d)+(e) 16,88,564 8,95,884

Annual Report | 2015 -16 57 (` ‘000) As at As at March 31, 2016 March 31, 2015 Reconciliation of Cash and cash equivalents with the Balance Sheet: Cash and Bank balances as per Schedule 11 12,87,667 7,95,971 Less: Bank balances not considered as Cash and cash equivalents as defined in AS-3 "Cash Flow Statements" Deposits Accounts: Short-term (Original maturity more than 3 (4,360) (4,360) months) - - Add: Money held in current accounts (included in Assets Held to 4,05,257 1,04,273 Cover Linked Liablities) Cash and cash equivalents at the end of the year 16,88,564 8,95,884

This is the Receipts and Payments Account referred to in our report of even date.

For and on behalf of For and on behalf of the Board of Directors For N.M. Raiji & Co. Chartered Accountants Ishaat Hussain William Lisle Janki Ballabh Firm’s Registration No.108296W (Chairman) (Director) (Director) DIN 00027891 DIN 03024090 DIN 00011206

per Vinay D. Balse Pratip Kar D. K. Mehrotra Simeon Preston (Director) (Director) (Director) Partner DIN 03346142 DIN 00142711 DIN 03517416 Membership No.: 39434

Madhusudan K. A. Chaukar Naveen Kanan (Director) Tahilyani (Director) DIN 00033830 (CEO & DIN 02647756 Managing For Walker Chandiok & Co LLP Director) (Formerly Walker, Chandiok & Co) DIN 06594510 Chartered Accountants Roopa Kudva S. Swaminathan (Director) (Chief Firm’s Registration No.: 001076N/N500013 DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary) per Khushroo B. Panthaky Partner Membership No.: 42423

Mumbai Date: May 3rd, 2016

Annual Report | 2015 -16 58 Annual Report | 2015 -16 59 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

SCHEDULE-1 PREMIUM* (Refer Note A.2(i) of Schedule 16) (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015 First Year Premiums 72,48,371 29,39,144 Renewal Premiums 1,73,81,697 1,81,06,068 Single Premiums 1,59,534 1,81,368 Total Premiums 2,47,89,602 2,12,26,580

Year ended Year ended Premiums March 31, 2016 March 31, 2015 In India 2,47,89,602 2,12,26,580 Outside India - - Total Premiums 2,47,89,602 2,12,26,580 * Premium is net of service tax.

SCHEDULE-2 COMMISSION EXPENSES (Refer Note A.3 of Schedule 16) (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015 Commission paid: First Year Premiums 10,95,538 5,32,891 Direct - Renewal Premiums 4,17,275 3,98,706 Single Premiums 1,711 342 15,14,524 9,31,939 Add: Commission on Re-insurance Accepted - - Less: Commission on Re-insurance Ceded (19,629) (9,151) Net Commission 14,94,895 9,22,788 Breakup of the expenses (Gross) incurred to procure business: 1 Agents 9,34,740 7,83,520 2 Brokers 89,941 49,719 3 Corporate Agencies 12,503 12,772 4 Referrals - - 5 Bancassurance 4,77,340 85,928 15,14,524 9,31,939

Annual Report | 2015 -16 60 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

SCHEDULE-3 OPERATING EXPENSES RELATED TO INSURANCE BUSINESS (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015

Employees' remuneration and welfare benefits* 18,97,163 19,06,560 (Refer Notes A.9, A.10, B.7(i), B.7(iii) and B.8 of Schedule 16) Travel, conveyance and vehicle running expenses 1,40,010 1,22,642 Training expenses (including staff training) 82,818 97,559 Rent, rates and taxes (Refer Notes A.10 and B.8 of Schedule 16) 2,10,912 2,98,102 Repairs 1,42,749 1,95,176 Printing and stationery 37,523 47,203 Communication expenses 96,950 1,34,326 Legal and professional charges 5,53,447 5,30,703 Medical fees (Refer Note A.3 of Schedule 16) 44,310 24,434 Auditors' fees, expenses etc. (a) as auditor 5,207 4,000 (b) as advisor or in any other capacity, in respect of: (i) Taxation matters - - (ii) Insurance matters - - (iii) Management services; and - - (c) In any other capacity 365 455 (d) Out of Pocket expenses 431 251 Advertisement and publicity 5,28,641 5,83,234 Interest and Bank Charges 39,959 51,837 Others: (a) Business promotion expenses 2,73,919 3,97,369 (b) Direct marketing expenses 4,735 6,469 (c) Stamp duty expenses 2,89,326 26,085 (d) Information Technology related expenses 2,11,539 2,68,300 (e) Directors sitting fees (Refer Note B.7(ii) of Schedule 16) 3,268 1,510 (f) Office and miscellaneous expenses 98,022 1,39,689 (g) Exchange fluctuation loss (Net) (Refer Note A.8 of Schedule 16) Depreciation (Refer Schedule 10, Notes A.7.3, B.23 and B.33 of - - Schedule 16) (a) Depreciation on Assets owned by Policyholders 1,29,051 1,40,122 (b) Reimbursement of depreciation for use of Shareholders Assets 12,468 12,905 TOTAL 48,02,813 49,88,931 * includes deputed staff salary cost net of reimbursement 42,875 28,164

Annual Report | 2015 -16 61 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

SCHEDULE-3A EXPENSES OTHER THAN THOSE DIRECTLY RELATED TO INSURANCE BUSINESS (Refer Note B.10 of Schedule 16) (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015 Employees' remuneration and welfare benefits 5,92,370 27,082 (Refer Notes A.9, A.10, B.7(i) and B.7(iii) of Schedule 16) Travel, conveyance and vehicle running expenses 37,792 - Training expenses (including staff training) 20,578 - Rent, rates and taxes (Refer Notes A.10 and B.8 of Schedule 16) 56,925 - Repairs 38,531 - Printing and stationery 10,128 - Communication expenses 26,169 - Legal and professional charges 78,445 - Medical fees (Refer Note A.3 of Schedule 16) - - Auditors' fees, expenses etc. (a) as auditor - - (b) as advisor or in any other capacity, in respect of: (i) Taxation matters - - (ii) Insurance matters - - (iii) Management services; and - - (c) In any other capacity - - (d) Out of Pocket expenses - - Advertisement and publicity 62,785 - Interest and Bank Charges 10,812 3 Others: (a) Business promotion expenses 28,282 - (b) Direct marketing expenses 418 - (c) Stamp duty expenses - - (d) Information Technology related expenses 57,099 - (e) Directors sitting fees (Refer Note B.7(ii) of Schedule 16) 882 - (f) Office and miscellaneous expenses * 1,28,435 5,341 (g) Exchange fluctuation loss (Refer Note A.8 of Schedule 16) - - Depreciation (Refer Schedule 10, Notes A.7.3, B.23 and B.33 of Schedule 16) (a) Depreciation on Assets owned by Shareholders 50,396 12,905 (b) Reimbursement of depreciation by Policyholders for use of (12,468) (12,905) Shareholders Assets TOTAL 11,87,579 32,426 * Includes interest on unclaimed amount of policyholder’s amounting to ` 37,502 thousand (previous year ` Nil).

Annual Report | 2015 -16 62 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

SCHEDULE-4 BENEFITS PAID (NET) (Refer Notes A.4 and B.5 of Schedule 16) (` ‘000) Year ended Year ended March 31, 2016 March 31, 2015 1. Insurance Claims: (a) Claims by Death 13,88,108 11,72,777 (b) Claims by Maturity 3,61,526 5,50,431 (c) Annuities/Pension payment 15,29,040 21,09,643 (d) Other benefits (i) Experience refund 11,00,224 10,11,654 (ii) Surrender 2,39,52,964 2,83,70,394 (iii) Claims by Health 6,755 26,730 (iv) Periodical benefits 8,11,605 5,13,801 2. (Amount ceded in reinsurance): (a) Claims by Death (2,30,698) (50,296) (b) Claims by Maturity - - (c) Annuities/Pension payment - - (d) Other benefits - - 3. Amount accepted in reinsurance: (a) Claims by Death - - (b) Claims by Maturity - - (c) Annuities/Pension payment - - (d) Other benefits - - TOTAL 2,89,19,524 3,37,05,134 Note: Experience refund pertains to the benefits paid to the master policyholders under the terms of Group Insurance Policy contracts and policy dividend payment to participating policyholders.

(` ‘000) Year ended Year ended Benefits Paid March 31, 2016 March 31, 2015 In India 2,89,19,524 3,37,05,134 Outside India - - Total Benefits Paid 2,89,19,524 3,37,05,134

Annual Report | 2015 -16 63 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-5 SHARE CAPITAL (` ‘000) As at As at March 31, 2016 March 31, 2015 Authorised Capital 2,500,000,000 (Previous year: 2,500,000,000) Equity Shares of ` 10/- 2,50,00,000 2,50,00,000 each Issued Capital 1,953,500,000 (Previous year: 1,953,500,000) Equity Shares of ` 10/- 1,95,35,000 1,95,35,000 each Subscribed Capital 1,953,500,000 (Previous year: 1,953,500,000) Equity Shares of ` 10/- 1,95,35,000 1,95,35,000 each Called-up Capital 1,953,500,000 (Previous year: 1,953,500,000) Equity Shares of ` 10/- 1,95,35,000 1,95,35,000 each Less: Calls unpaid - - Add: Shares forfeited (Amount originally paid up) - - Less: Par value of Equity shares bought back - - Less: Preliminary expenses - - (Expenses including commission or brokerage on underwriting or subscription of shares) TOTAL 1,95,35,000 1,95,35,000 Share Capital amounting to ` 14,455,900 thousand (Previous year: ` 14,455,900 thousand) is held by Tata Sons Limited, the holding company, including joint holding with its nominees. (Refer Schedule-5A)

Annual Report | 2015 -16 64 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-5A PATTERN OF SHAREHOLDING [As certified by the Management]

As at March 31, 2016 As at March 31, 2015 Shareholder Shares (` 000) % of Holding Shares (` 000) % of Holding Promoters Indian - Tata Sons Limited and its 14,45,590 74 14,45,590 74 Nominees Foreign - AIA International Limited 5,07,910 26 5,07,910 26 Others - - - - TOTAL 19,53,500 100 19,53,500 100 Note on transfer of shares Foreign Investment Promotion Board (FIPB) and IRDAI vide its letter Ref. No. F.No.016(2016)/213(2015) dated 21st March, 2016 and Ref. No. 107.1/1/F&A-Life/TALIC-Restr/220/2016 dated 31st March, 2016 respectively, have approved the transfer of shares from Tata Sons Limited to AIA International Limited leading to increase in foreign investment by AIA International Limited from 26% to 49% in Tata AIA Life Insurance Co. Ltd .

Subsequently the shares have been transferred from Tata Sons Limited to AIA International Limited on 25th April, 2016. Post transfer of shares the shareholding pattern of the company is as stated below

Shareholder No. of Equity Shares Percentage shareholding Tata Sons Limited 99,62,85,000 51% AIA International Limited 95,72,15,000 49% TOTAL 1,95,35,00,000 100%

SCHEDULE-6 RESERVES AND SURPLUS (` ‘000) As at As at March 31, 2016 March 31, 2015 Capital Reserve - - Capital Redemption Reserve - - Share Premium - - Revaluation Reserve - - General Reserve - - Less: Debit balance in Profit and Loss Account, if any - - Less: Amount utilised for Buy-back - - Catastrophe Reserve - - Other Reserves - - Balance of profit in Profit and Loss Account - - TOTAL - -

Annual Report | 2015 -16 65 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-7 BORROWINGS (` ‘000) As at As at March 31, 2016 March 31, 2015 Debentures/Bonds - - Banks - - Financial Institutions - - Others - -

TOTAL - -

Annual Report | 2015 -16 66 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-8 INVESTMENTS-SHAREHOLDERS' (Refer Notes A.5, B.6 and B.14 of Schedule 16) (` ‘000) As at As at March 31, 2016 March 31, 2015 LONG TERM INVESTMENTS 1) Government Securities and Government guaranteed bonds including 1,19,43,671 1,00,74,495 Treasury Bills* 2) Other Approved Securities 1,99,846 1,99,819 3) Other Investments: (a) Shares (aa) Equity 3,54,281 3,74,885 (bb) Preference - - (b) Mutual Funds - - (c) Derivative Instruments - - (d) Debentures/Bonds 3,33,833 5,84,809 (e) Other Securities - - (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investments in Infrastructure and Social Sector 36,82,031 35,25,412 5) Other than Approved Investments (Equity) - 9,525 Sub-Total (A) 1,65,13,662 1,47,68,945 SHORT TERM INVESTMENTS 1) Government Securities and Government guaranteed bonds including - - Treasury bills 2) Other Approved Securities - - 3) Other Investments: (a) Shares (aa) Equity - - (bb) Preference - - (b) Mutual Funds - - (c) Derivative Instruments - - (d) Debentures/Bonds - 2,00,000 (e) Other Securities (i) Certificate of Deposit/Commercial Paper 1,80,311 - (ii) Fixed Deposit 1,50,000 - (iii) Reverse Repo 30,39,210 23,19,547 (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investments in Infrastructure and Social Sector 1,49,173 21,932 5) Other than Approved Investments - - Sub-Total (B) 35,18,694 25,41,479 TOTAL (A+B) 2,00,32,356 1,73,10,424

Annual Report | 2015 -16 67 Notes: (i) Aggregate amount of Company’s investments and the market value (` ‘000) As at As at Particulars March 31, 2016 March 31, 2015 Aggregate amount of Company’s investments other than listed equity 1,96,78,075 1,69,26,013 securities & mutual fund. Market value of above investment 2,02,52,292 1,77,67,438 (ii) Aggregate amount of Company’s investments and the market value in Housing Sector (` ‘000) As at As at Particulars March 31, 2016 March 31, 2015 Aggregate amount of Company’s investments in Housing Sector 6,76,447 6,86,723 Market value of above investment 6,88,266 6,98,618 (iii) Investments in subsidiaries, holding company, joint ventures and associates at cost is ` Nil thousand (Previous year: ` Nil thousand). (iv) Investments made out of Catastrophe Reserve is ` Nil thousand (Previous year: ` Nil thousand). (v) * - Government securities of Nil has been deposited with Reserve Bank of India to comply with the requirements prescribed under erstwhile Section 7 of the Insurance Act,1938 (Previous Year : ` 112,826 Thousand).

Annual Report | 2015 -16 68 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-8A INVESTMENTS-POLICYHOLDERS’ (Refer Notes A.5, B.6 and B.14 of Schedule 16) (` ‘000) As at As at March 31, 2016 March 31, 2015 LONG TERM INVESTMENTS 1) Government Securities and Government guaranteed bonds, 5,52,37,805 5,09,92,149 including Treasury Bills 2) Other Approved Securities 34,77,961 34,29,201 3) (a) Shares (aa) Equity 1,01,47,171 58,10,676 (bb) Preference - - (b) Mutual Funds - - (c) Derivative Instruments - - (d) Debentures/Bonds 20,55,583 19,29,446 (e) Other Securities (i) Fixed Deposits - - (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investment in Infrastructure and Social Sector 1,62,87,422 1,39,37,587 5) Other than Approved Investments: (i) Equity - 99,369 (ii) Others (Security receipts) - - Sub-Total (A) 8,72,05,942 7,61,98,428 SHORT TERM INVESTMENTS 1) Government Securities and Government guaranteed bonds, 93,034 3,48,636 including Treasury Bills 2) Other Approved Securities - - 3) (a) Shares (aa) Equity - - (bb) Preference - - (b) Mutual Funds - - (c) Derivative Instruments - - (d) Debentures/Bonds 2,50,000 1,31,029 (e) Other Securities (i) Certificate of Deposit/Commercial Paper 4,99,477 - (ii) Fixed Deposit - - (iii) Reverse Repo 10,97,330 7,21,923 (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investment in Infrastructure and Social Sector 5,87,421 3,94,650 5) Other than Approved Investments - 65,540 Sub-Total (B) 25,27,262 16,61,778 TOTAL (A+B) 8,97,33,204 7,78,60,206

Annual Report | 2015 -16 69 Notes: (i) Aggregate amount of Company’s investments and the market value (` ‘000) As at As at Particulars March 31, 2016 March 31, 2015 Aggregate amount of Company’s investments other than listed equity 7,95,86,033 7,19,50,160 securities & mutual fund Market value of above investment 8,28,21,805 7,57,38,917 (ii) Aggregate amount of Company’s investments and the market value in Housing Sector (` ‘000) As at As at Particulars March 31, 2016 March 31, 2015 Aggregate amount of Company’s investments in Housing Sector 44,20,735 34,55,308 Market value of above investment 44,91,730 35,07,536 (iii) Investments in subsidiaries, holding company, joint ventures and associates at cost is ` Nil thousand (Previous year: ` Nil thousand). (iv) Investments made out of Catastrophe Reserve is ` Nil thousand (Previous year: ` Nil thousand).

Annual Report | 2015 -16 70 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-8B ASSETS HELD TO COVER LINKED LIABILITIES (` ‘000) As at As at March 31, 2016 March 31, 2015 LONG TERM INVESTMENTS 1) Government securities and Government guaranteed bonds including 92,72,796 68,94,768 Treasury Bills 2) Other Approved Securities 2,63,870 7,88,201 3) (a) Shares (aa) Equity 5,50,60,184 7,16,02,643 (bb) Preference - 31,722 (b) Mutual Funds - - (c) Derivative Instruments - - (d) Debentures/Bonds 15,45,376 19,78,071 (e) Other Securities Fixed Deposits - - (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investment in Infrastructure and Social Sector 45,54,128 71,79,221 5 Other than Approved Investments: (i) Equity 31,07,381 58,64,693 (ii) Units in Equity Fund - - (iii) Units in Income Fund - - Sub-Total (A) 7,38,03,735 9,43,39,319 SHORT TERM INVESTMENTS 1) Government securities and Government guaranteed bonds 24,55,297 96,410 including Treasury Bills 2) Other Approved Securities - - 3) (a) Shares (aa) Equity - - (bb) Preference - - (b) Mutual Funds 9,00,000 7,10,000 (c) Derivative Instruments - - (d) Debentures/Bonds 1,29,173 30,040 (e) Other Securities - - (i) Certificate of Deposit/Commercial Paper 15,34,441 53,13,252 (ii) Fixed Deposit - - (iii) Reverse Repo 15,99,669 13,48,769 (f) Subsidiaries - - (g) Investment Properties-Real Estate - - 4) Investment in Infrastructure and Social Sector 92,786 1,13,200 5) Other than Approved Investments: (i) Mutual Funds 3,70,000 - (ii) Units in Liquid Fund - - Sub-Total (B) 70,81,366 76,11,671 Net Current Assets 13,63,776 6,45,659 Sub-Total (C) 13,63,776 6,45,659 TOTAL (A+B+C) 8,22,48,877 10,25,96,649

Annual Report | 2015 -16 71 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE- 9 LOANS (Refer Note A.15 and B.20 of Schedule 16) (` ‘000) As at As at March 31, 2016 March 31, 2015 SECURITY-WISE CLASSIFICATION Secured: (a) On Mortgage of Property (aa) In India - - (bb) Outside India - - (b) On Shares, Bonds, Government Securities, etc. - - (c) Loan against policies 25,35,802 20,95,251 (d) Others - - Unsecured - - TOTAL 25,35,802 20,95,251 BORROWER-WISE CLASSIFICATION (a) Central and State Governments - - (b) Banks and Financial Institutions - - (c) Subsidiaries - - (d) Companies - - (e) Loans against policies 25,35,802 20,95,251 (f) Others - - TOTAL 25,35,802 20,95,251 PERFORMANCE-WISE CLASSIFICATION (a) Loans classified as Standard (aa) In India 25,35,802 20,95,251 (bb) Outside India - - (b) Non-standard loans, less provisions (aa) In India - - (bb) Outside India - - TOTAL 25,35,802 20,95,251 MATURITY-WISE CLASSIFICATION (a) Short-Term - - (b) Long-Term 25,35,802 20,95,251 TOTAL 25,35,802 20,95,251

Annual Report | 2015 -16 72 ( ` ‘000) - As at 1,491 4,583 28,141 47,418 46,101 1,05,638 7,45,590 1,10,698 10,85,077 10,89,660 March 31, 2015 March Net Block - 874 As at 95,168 29,720 83,594 44,385 42,986 7,28,151 1,11,841 10,93,733 11,36,719 10,89,660 March 31, 2016 March - As at 4,581 61,958 8,52,546 5,55,004 1,53,896 6,80,794 2,07,111 25,15,890 25,15,890 24,16,472 March 31, 2016 March - - - - 4,469 2,486 4,851 68,221 80,027 80,027 3,29,863 On Sales/ Adjustments - year 618 49,053 20,684 12,468 32,649 49,742 14,233 Depreciation/Amortizations 1,79,447 1,79,447 1,53,029 For the period/ - 2015 3,963 49,490 8,03,493 5,38,789 1,23,733 6,99,273 1,97,729 24,16,470 24,16,470 25,93,306 As at April 1, - As at 5,455 9,47,714 5,84,724 7,90,109 2,37,490 7,92,635 2,51,496 SCHEDULE-10 FIXED ASSETS 36,09,623 36,09,623 35,01,549 March 31, 2016 March - - 4,469 4,971 2,487 4,868 53,837 68,299 1,38,931 1,38,931 3,31,093 Deductions TATA AIA LIFE INSURANCE COMPANY LIMITED (Refer Notes A.7, A.10 , B.4 and B33 of Schedule 16) - - - Gross Block-At Cost Gross 5,544 92,419 22,264 12,535 1,14,246 2,47,008 2,47,008 2,81,568 Additions SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016 - As at 5,455 9,09,132 5,66,929 7,95,080 2,34,433 7,46,688 2,43,829 35,01,546 35,01,546 35,51,074 April 1, 2015 Goodwill Intangibles - Computer Software* Intangibles - Computer Software* Leasehold Improvements Leasehold Improvements Buildings Furniture, Fixtures and Fittings Furniture, Fixtures Information Technology Equipment Information Technology Vehicles Vehicles Office Equipment TOTAL Capital work-in-progress Capital work-in-progress Grand Total As at March 31, 2015 * There are no internally generated computer softwares. no internally are generated computer softwares. * There Asset description

Annual Report | 2015 -16 73 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-11 CASH AND BANK BALANCES (` ‘000) As at As at March 31, 2016 March 31, 2015 1. Cash (including cheques, drafts and stamps)* 5,60,603 2,82,583 2. Bank Balances (a) Deposit Accounts (aa) Short-term (Due within 12 months of the date of Balance Sheet) 4,360 4,360 (bb) Others - - (b) Current Accounts** 7,22,704 5,09,028 (c) Others - - 3. Money at Call and Short Notice (a) With Banks - - (b) With other Institutions - - 4. Others - - TOTAL 12,87,667 7,95,971 Balances with non-scheduled banks included in 2 and 3 above - - As at As at CASH AND BANK BALANCES March 31, 2016 March 31, 2015 In India 12,87,667 7,95,971 Outside India - - Total 12,87,667 7,95,971 * Cheques and Drafts in hand ` 457,105 thousand ; (Previous year: ` 193,578 thousand). ** Includes ` 153,146 thousand; (Previous year: ` 76,717 thousand) in respect of Unit Linked Policies.

Annual Report | 2015 -16 74 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-12 ADVANCES AND OTHER ASSETS (` ‘000) As at As at March 31, 2016 March 31, 2015 ADVANCES Reserve deposits with ceding companies - - Application money for investments - - Prepayments 62,600 62,795 Advances to Directors/Officers - - Advance tax paid and taxes deducted at source* 2,67,561 3,80,001 (Net of provision for taxation) (Refer Note B.1 of Schedule 16) Others:

(a) Advances to suppliers and other recoverables (includes capital 3,16,645 2,08,864 advances of ` 15,730 thousand (Previous year: ` 20,066 thousand)

Less: Provision for doubtful advances (22,742) (21,609) (b) Due from employees 5,992 2,722 Less: Provision for doubtful advances - - (c) Investment Sold awaiting settlement 1,04,941 3,81,312 TOTAL (A) 7,34,997 10,14,085 OTHER ASSETS Income accrued on investments 25,52,191 22,80,355 Outstanding Premiums 10,41,257 8,27,175 Agents' Balances 26,660 75,442 Less: Provision for doubtful advances (24,771) (72,064) Foreign Agencies Balances - - Due from subsidaries/holding Company - - Due from other entities carrying on insurance business (including 1,02,309 55,818 reinsurers) Deposit with Reserve Bank of India [Pursuant to section 7 of Insurance - - Act,1938] Others: (a) Security Deposits 2,16,456 2,33,877 Less: Provision for doubtful advances (23,639) (19,554) (b) Other assets 28,552 34,667 Less: Provision for other doubtul assets (16,817) (20,762) (c) Insurance Claim Receivable - - (d) Due from Tata AIG General Insurance Company Limited 10,245 7,994 (e) Balance due from AIA International Limited 8,862 19,386 (f) Service tax unutilised credit (Refer Note A.12 of Schedule 16) 4,292 22,564

Annual Report | 2015 -16 75 (` ‘000) As at As at March 31, 2016 March 31, 2015 (g) Due from Unit Linked Fund-Pensions - 4,71,924 (h) Due from Unit Linked Fund - - TOTAL (B) 39,25,597 39,16,822 TOTAL (A+B) 46,60,594 49,30,907 * includes deposit of service tax under protest of ` 109,644 thousand; (Previous year: ` 93,308 thousand) and provision for tax of ` 995,826 thousand; (Previous year: ` 467,039 thousand) (Refer Note B.26(ii) of Schedule 16).

Annual Report | 2015 -16 76 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-13 CURRENT LIABILITIES (` ‘000) As at As at March 31, 2016 March 31, 2015 Agents’ Balances 4,96,978 3,19,091 Due to subsidiaries/holding company 4,994 9,078 Balance due to other insurance companies 1,91,340 1,07,394 Deposits held on re-insurance ceded - - Premiums received in advance* 1,27,606 1,83,935 Unallocated premium** 2,48,281 98,745 Sundry creditors 25,02,742 25,24,553 Claims Outstanding (Refer Note B.5 of Schedule 16) 14,75,109 13,88,264 Annuities Due 6,033 7,665 Due to Officers/Directors - - Others: (a) Due commission 56,298 43,081 (b) Taxes payable*** 78,529 19,674 (c) Service tax liability (Refer Note A.12 of Schedule 16) - - (d) Provident fund dues payable 5,928 4,768 (e) Premium refund payable 13,607 9,102 (f) Due to employees 475 868 (g) Due to Unit Linked Fund 2,45,694 2,68,422 (h) Due to Unit Linked Fund-Pensions 75,824 - (i) Other Linked Liabilities 35,027 21,872 (j) Unclaimed amount of Policyholders (Refer Note B.29 of Schedule 16) 23,84,059 18,38,814 (k)Temporary Overdraft (as per books only) 8,46,612 8,49,255 (l)Investments purchased - to be settled 5 1,58,762 TOTAL 87,95,141 78,53,343 * includes Unit Link Premium received in advance aggregating ` 38,500 thousand (Previous year:` 61,799 thousand). ** includes Unallocated Premium aggregating ` 62,203 thousand (Previous year: ` 16,789 thousand) of Unit Link Policies. *** represents Withholding Tax payable.

Annual Report | 2015 -16 77 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-14 PROVISIONS (Refer Note A.12 of Schedule 16) (` ‘000) As at As at March 31, 2016 March 31, 2015 For taxation (less payments and taxes deducted at source) - - For proposed dividends - - For dividend distribution tax - - Others: For Employee Benefit 1,48,036 1,04,413 TOTAL 1,48,036 1,04,413

Current Year (` ‘000) During the year As At March 31, As at April 1, 2015 Additions Used 2016 For Employee Benefit 1,04,413 1,08,478 64,855 1,48,036 1,04,413 1,08,478 64,855 1,48,036

Previous Year (` ‘000) During the year As At March 31, As at April 1, 2015 Additions Used 2016 For Employee Benefit 58,774 66,731 21,092 1,04,413 58,774 66,731 21,092 1,04,413

Annual Report | 2015 -16 78 TATA AIA LIFE INSURANCE COMPANY LIMITED

SCHEDULE FORMING PART OF BALANCE SHEET AS AT MARCH 31, 2016

SCHEDULE-15 MISCELLANEOUS EXPENDITURE (To The Extent Not Written Off or Adjusted) (` ‘000) As at As at March 31, 2016 March 31, 2015

Discount Allowed on issue of shares/debentures - -

Others - -

TOTAL - -

Annual Report | 2015 -16 79 NOTES ANNEXED TO AND FORMING PART OF THE BALANCE SHEET AS AT MARCH 31, 2016 AND THE REVENUE ACCOUNT AND THE PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016

A. Significant Accounting Policies overdue premium is recognised on receipt basis. 1. (a) Basis of Preparation of Financial Statements (iv) Dividend is recognised on the “ex-dividend” date in case of listed equity shares and in case of unlisted These financial statements have been prepared under equity shares when right to receive dividend is the historical cost convention, on an accrual basis established. and in accordance with the applicable provisions of the Insurance Regulatory and Development Authority (v) In the case of non-linked business, profit or loss on (Preparation of Financial Statements and Auditor’s sale of debt securities is recognised as the difference Report of Insurance Companies) Regulations, 2002, between the sale price and the amortised cost in the the Insurance Act, 1938, as amended by The Insurance books of the Company, as on the date of the sale. For Laws (Amendment) Act, 2015, the Insurance Regulatory linked business, the difference between the sale price and Development Authority Act, 1999, circulars/ and the acquisition cost of debt security is recognised notifications issued by The Insurance Regulatory and as profit or loss as on the date of sale. Development Authority of India(IRDAI) from time to time (vi) In the case of unit linked business, Fund (including Circular No.IRDAI/F&A/CIR/FA/059/03/2015 Management Fees, Administration Fees and Cost dated March 31, 2015), the Accounting Standards (AS) of Insurance are recognized on accrual basis, in specified under Section 133 of the Companies Act, accordance with the terms of the policy. 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014, to the extent applicable and the relevant (vii) Fund administration and Investment Management provisions of the Companies Act, 2013, as applicable. fees of Group Pension Funds (linked and non-linked) are recognised on accrual basis, in accordance with Accounting policies applied have been consistent with previous year except where different treatment the terms of the agreement. is required as per new pronouncements made by the 3. Acquisition costs regulatory authorities. The management evaluates, all Policy acquisition costs such as commission, medical recently issued or revised accounting pronouncements, fees, etc., which are costs that are primarily related on an ongoing basis. to and dependent upon the acquisition/renewal of life (b) Use of estimates insurance contracts, are expensed when incurred. The preparation of financial statements in conformity 4. Claims/Benefits with Generally Accepted Accounting Principles The total cost of claims, comprising of liability payable (GAAP) requires the management to make estimates under a policy and estimated settlement costs, where and assumptions that affect the reported amounts of applicable, are accrued on intimation of such claims. income and expenses for the year, reported balances of assets and liabilities and disclosure relating to Appropriate provisions are considered for claims contingent liabilities as of the date of the financial repudiated by the company but under appeal with legal statements. The estimates and assumptions used in the authorities. Reinsurance recoveries are accounted for financial statements are based upon the management’s in the same period to which the claims relate. Survival evaluation of the relevant facts and circumstances, as and maturity benefits are accounted when due for of the date of the financial statements. Actual results payment. may differ from the estimates and assumptions used in 5. Investments preparing the accompanying financial statements. Investments maturing within 12 months from the 2. Revenue Recognition Balance Sheet date and investments made with the (i) Premium income is recognised when due, except specific intention to dispose them within twelve months Top-up premium, which is recognised on receipt and from the Balance Sheet date are classified as “Short premium on lapsed contracts, which is recognized Term” investments. Investments other than short term when such policies are reinstated. are classified as “Long Term” investments. (ii) Reinsurance premium ceded is accounted at Investments are recorded at cost on the date of the time of recognition of the premium income, in purchase, which includes brokerage, stamp duty, accordance with the treaty with the reinsurer. taxes, etc, if any, but excludes pre-acquisition interest i.e. from the previous coupon date to the transaction (iii) Interest income, except interest on overdue settlement date, if any, on purchase. premium, is recognised on accrual basis; interest on Annual Report | 2015 -16 80 5.1 Non-Linked Business Valuations - Shareholders’ Listed Equity Shares and Preference Shares are Investments and Non-Linked Policyholders’ valued at fair value, being the last quoted Investments: closing price on the National Stock Exchange Debt securities, including Government securities (NSE) of India or the last quoted closing are considered as “held to maturity” and stated at price on the Bombay Stock Exchange amortised cost. The premium or discount, which is paid Limited (BSE), if the equity shares are not or availed, as at the time of purchase of investment, listed on the NSE. Any unrealised gain/ as the case may be, is amortised over the remaining loss arising due to changes in the fair period to maturity on a straight-line basis. In the case of value is attributed to the Unit holders and diminution other than temporary in nature in the market is recognized in the Revenue Account of value of the Debt securities other than Government the Fund. securities, as on the Balance Sheet date, the amount Unlisted Equity Shares and Preference Shares and of such diminution is recognized as an expense in the equity shares awaiting listing are stated at historical Policyholders’ Revenue Account (Technical Account)/ cost subject to provision for diminution, if any, in the Shareholders’ Account (Non-technical), as the case value of such investment determined separately for may be. each individual investment. Listed Equity Shares and Preference Shares are valued Money market instruments are valued at historical and stated at fair value, being the last quoted closing cost, subject to amortisation of premium or accretion price on the National Stock Exchange (NSE) of India of discount over the period of maturity/holding on a or the last quoted closing price on the Bombay Stock straight-line basis. Exchange Limited (BSE), if the equity shares are not Mutual fund units are valued at the previous day’s net listed on the NSE. Unrealised gains/losses arising due asset values of the respective funds and any unrealised to changes in the fair value are recognised under the gain/loss arising due to changes in the fair value is head “Fair Value Change Account” in the Balance attributed to the Unit holders and is recognized in the Sheet. Impairment losses, if any, are recognised in the Revenue Account of the Fund. Policyholders’ Revenue Account (Technical Account)/ Shareholders’ Account (Non-technical), as the case Instruments bought on ‘repo’ basis are valued at cost. may be. Investments in Security receipts will be valued at the Unlisted Equity Shares and Preference Shares and last net asset value declared by the Company. equity shares awaiting listing are stated at historical 6. Liability for Life Policies (Policy Liabilities) cost subject to provision for diminution, if any, in the value of such investment determined separately for The estimation of liability against life policies is each material individual investment. determined by the Appointed Actuary, pursuant to the annual investigation of the life insurance business of Money market instruments are valued at historical the Company. cost, subject to amortisation of premium or accretion of discount over the period of maturity/holding on a The liability is calculated in a manner that, together with straight-line basis. estimated future premium payments and investment income, the Company can meet all estimated future Instruments bought on ‘repo’ basis are valued at cost. claims, policyholders’ reasonable expectations Investments in Security receipt are valued at cost less (including bonus entitlements to policyholders) and diminution in value, if any. related expenses. The liability towards linked policy is determined on the basis of unit based liability, 5.2 Linked Business - Valuations representing the fund value of policies and non unit Debt securities other than Government securities with a based liability, which is calculated in a similar manner residual maturity over 182 days are valued on a yield to as other non-linked liabilities. maturity basis, by using spreads over the benchmark 7. Fixed Assets rate (based on the matrix released by the Credit Rating Information Services of India Ltd. (‘CRISIL’) on daily 7.1 Tangible Assets basis) to arrive at the yield for pricing the Security. Fixed Assets are stated at cost, less accumulated Debt securities other than Government securities depreciation. Cost includes the purchase price, with a residual maturity up to 182 days are valued at installation costs, import duties, non-refundable taxes last valuation price plus the difference between the as applicable and other costs to bring the asset to its redemption value and last valuation price, spread present location and working condition for its intended uniformly over the remaining maturity period of the use. instrument. 7.2 Intangible Assets Central and State Government securities are valued as Computer Software and Licenses per the prices released by CRISIL. Computer Software and Licenses, acquired for internal

Annual Report | 2015 -16 81 use, are recognised as assets and are stated at cost carrying amount over the higher of the asset’s net sales less accumulated amortisation. Cost includes cost of price or present value, as determined above. acquisition, import duties, taxes and any expenditure Impairment of Equity directly attributable to the making of the software ready for its use. Impairment of equity securities is determined as a difference between acquisition cost (weighted aver- 7.3 Depreciation and amortisation age cost) of the equity and the expected recoverable Depreciation/amortization on fixed assets is provided amount on a fair value basis, as laid down in invest- on the Straight Line Method on a pro rata basis over the ment policy. Impairment loss, if any is recognised in useful life of the assets. Consequent to the provisions profit & loss account / revenue account of Schedule II to the Companies Act, 2013, becoming applicable, the Company has assessed the useful lives 8. Foreign Currency Transactions of its assets such that the assessed useful life equals to Transactions denominated in foreign currencies are re- or is less than the useful life specified in Part C of that corded at the exchange rate prevailing on the date of Schedule. The estimation has been based on the long the transaction. Monetary assets and liabilities in for- term asset replacement experience of the Company. eign currency, as at the Balance Sheet date, are trans- lated at the year end exchange rates. The useful life of the assets used are as under: Exchange differences, either on settlement or on Nature of asset Existing Useful translation are recognized in the Policyholders’ Revenue useful life lives as per Account (Technical Account) or Shareholders’ Account (in years) Schedule (Non- technical Account), as may be applicable. II to the Companies 9. Employee Benefits Act, 2013 Defined Contribution Plan (in years) Retirement benefits in the nature of Provident Fund Buildings 60 60 and Superannuation, which are defined contribution Furniture and fittings 5 10 schemes, are charged to the Policyholders’ Revenue Office Equipment 5 5 Account (Technical Account) and Shareholders’ Account (Non-technical Account) of the year when the Information Technology 3 6 contributions accrue. Equipment (servers and networks) Defined Benefit Plan Information Technology 3 3 The liability for Gratuity, a defined benefit obligation, is Equipment (other than accrued and provided for on the basis of an actuarial servers and networks) valuation carried out as at the Balance Sheet date. Vehicles 5 8 Provision relating to retention bonus is made on the basis of an actuarial valuation carried out by an All type of assets with 1 independent actuary as at the Balance Sheet date. acquisition cost less than `. 5000 Provision for short term compensated absences is made on arithmetical basis. Depreciation of Intangibles-Computer Software is charged over the period of 3 years and Amortization 10. Leases of Leasehold Improvements is charged over a period Leases, where the lessor effectively retains substantially of 3 years generally presumed to be the primary lease all the risks and rewards of ownership over the lease period. term, are classified as Operating Leases. Operating Depreciation/amortization on additions to fixed assets lease rentals are recognized as an expense over the is charged for the entire month in which the assets are lease period, on a straight line basis. capitalized. Depreciation/amortization on fixed assets 11. Provisions, Contingent Liabilities and sold/scrapped is charged up to a month prior to the Contingent Assets month of sale/scrapping. Provisions are recognised in the accounts in respect 7.4 Impairment of present legal obligations arising out of past event Management periodically assesses, using external and and it is probable that an outflow of resources will be internal sources, whether there is an indication that an required to settle the obligation, and the amount of asset may be impaired. Impairment occurs where the which can be reliably estimated. carrying value exceeds the present value of future Company has started providing for probable obligations cash flows expected to arise from the continuing use in respect of claims repudiated for the year ended of the asset and its eventual disposal. The impairment March 31, 2016, ` 1,00,362 (Previous year ` 80,104 loss to be expensed is determined as the excess of the thousand).

Annual Report | 2015 -16 82 Contingent liabilities are disclosed in respect of 14. Funds for Future Appropriations (i) possible obligations arising out of past events, but The balance in this account represents their existence or otherwise would be confirmed by funds, the allocation of which, either the occurrence or non-occurrence of one or more to participating policyholders or to uncertain future events not wholly within the control of shareholders, has not been determined the company or at the Balance Sheet date. Transfer to and from the fund reflects the excess/ (ii) present obligation that arises from past events but deficiency of income over expenses is not recognized because it is not probable that an and appropriations in each accounting outflow of resources embodying economic benefits will period, arising in the policyholders’ fund. be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made. 15. Loans Contingent assets are neither accounted nor disclosed. Loans are valued at the aggregate of book values (net of repayments/lapsation) plus capitalized interest and 12. Service Tax are subject to impairment, if any. Service tax liability on Life Insurance premium (Life Insurance Service) and Investment Management B. Notes to Accounts charges of Unit Linked business (Management of investment under ULIP service) is being discharged by 1. Contingent Liabilities utilizing Cenvat credit available in respect of service tax paid under Insurance Auxiliary Services and other eligible services. (` ‘000) Sr. Current Previous Particulars No. Year year 1 Partly paid-up investments - - 2 Claims, other than against policies, not acknowledged as debts by the Company 16,058 26,727 3 Underwriting commitments outstanding (in respect of shares and securities) - - 4 Guarantees given by or on behalf of the Company 5,960 5,910 5 Statutory demands/liabilities in dispute, not provided for (Refer Note below) 89,76,469 80,12,655 6 Reinsurance obligations to the extent not provided for in accounts - - 7 Claims with Ombudsman 10,387 17,529 8 Policy related claims under litigation in different consumer forums: A Claims for customer service issues 41,232 16,333 B Claims against repudiation 87,069 70,778 TOTAL 91,37,175 81,49,932

13. Taxation Note: Future cash outflows in respect of 5 above are determinable only on receipt of judgments/decisions i) Provision for Current Tax: Provision for Current Tax is made in accordance with the provisions of Section 44 pending with various forums/authorities except for of the Income Tax Act, 1961 read with Rules contained ` 2,398,525 thousand (Previous year: ` 2,231,010 in the First Schedule and other relevant provisions of thousand) where the Company has succeeded in the Income Tax Act, 1961 as applicable to a company appeal, but the Tax Department is pursuing appeal at carrying on life insurance business. higher level towards the tax demand. The Company has deposited ` 230,876 thousand (Previous year: ii) Provision for Deferred Tax: In accordance with ` 214,537 thousand) with the Income tax and service the provisions of the Accounting Standard (AS) 22, tax authorities pending disposal of appeal filed by the “Accounting for Taxes on Income”, with respect to Company which is disclosed under Advance tax paid the carry forward of losses under the Income Tax and taxes deducted at source in Schedule 12. regulations, the deferred tax asset is recognised only to the extent that there is a virtual certainty supported 2. Actuarial Assumptions by convincing evidence that future taxable income will The actuarial assumptions as certified by the be available against which the deferred tax asset can Appointed Actuary are as under: be realised.

Annual Report | 2015 -16 83 Ordinary Life & Pension Insurance ultimate) table. The morbidity rate used is 187.5% of The actuarial assumptions used to value the policy the prescribed morbidity table CIBT93 for one product liabilities vary, depending on the type of contract while it is taken at 125% of the pricing basis for the / business being valued. Ordinary Individual Life other products. The valuation interest rate used is business is valued by the prescribed Gross Premium 5.75%. Expense assumptions are expressed in two Valuation (GPV) Method. The assumptions used for ways, expenses related to premiums being 1.64%, the valuation are required to reflect the expected and per policy expenses ranging from ` 277.35 to future experience in respect of mortality/morbidity, ` 371.04. The per policy expenses are assumed to interest, commission and expenses, as well as increase each year at a rate of 5.25% per annum. lapsation, and incorporate a margin for prudence. The Commissions are assumed as per the commission mortality assumption ranges from 25.20% to 240% of schedule for each product. The assumed lapse rates the prescribed mortality table i.e. the Indian Assured vary by policy duration, with the first year lapse rate Lives Mortality (2006-08) (Modified ultimate) table, being in range of 33.25% to 37.75% decreasing to an depending on type of product. Morbidity rates range ultimate rate ranging from 0.625% to 8%. Claim related from 237.5% to 656.25% of the prescribed morbidity expenses are assumed to be ` 12.21 per 1000 claims table CIBT93. The valuation interest rate used is 5.75% outgo. for non-participating products, 6.25% for participating Unit linked products and 7.57% for the immediate annuity For Unit Linked Business, the total reserve is the sum product. Expense assumptions are expressed in two of two components i.e. unit reserve and non-unit ways, expenses related to premiums (ranging from reserve. Unit reserves are set, based on the number 1.64% to 1.81%) and per policy expenses (ranging of Units and the Unit Prices as at March 31 2016. The from ` 277.35 to ` 371.04). For micro-insurance plans, non-unit reserves are set using a prospective method, premium related expense assumption is 1.34% and that requires projection of future cash flows, that allow per policy expenses assumption varies from ` 34.94 to for premiums, death benefits (over and above the ` 46.74. The variations are based on the type of policy, value of units), fund management and other charges. with policies that are more costly to administer, having The mortality rates range from 54% to 102% of the higher assumptions. Further, to allow for inflation, per prescribed mortality table i.e. the Indian Assured policy expenses are assumed to increase each year at Lives Mortality (2006-08) (Modified ultimate) table, a rate of 5.25% per annum over the term of the policy. depending on type of product. The morbidity rates used Commissions are assumed as per the commission are 187.5% of the prescribed morbidity table CIBT93 schedule for each product. The assumed lapse rates for some products and 125% of the pricing basis for vary by policy duration, with the first year lapse rate others where applicable. Expense assumptions are for the regular premium products being the highest expressed in two ways, expenses related to premiums (1.56% to 49%) decreasing to an ultimate rate ranging being 2.29% for all products which is premium related from 0% to 8%. The assumed lapsed rate for single expenses and per policy expenses ranging from ` pay policies ranges from 0% to 1.25% for all durations. 296.50 to ` 396.65. The assumed lapse rates vary by The mortality assumption for immediate annuity policy duration, with the lapse rate for the first 3 years product is 72.80% of LIC 96-98 Annuitant table and ranging from 2.5% to 32%, the 4th to 6th year lapse rate future expected improvement of 1% p.a. Claim related ranging from 0.75% to 32% and an ultimate rate that expenses are assumed to be in the range of ` 12.21 ranges from 1.25% to 16% depending on product. The per 1000 claims outgo. assumed lapsed rate for single pay policies ranges Group Life Insurance from 0% to 16% for all durations. Charges assumed Group insurance is written on one year term basis only. are as per the contract provisions. The unit-growth rate Therefore, the policy liabilities in respect of Group Life assumed for the projections depend on the type of unit insurance are valued using the UPR approach. Most fund/s chosen for each policy. Claim related expenses credit life insurance policies are also one year term are assumed to be ranging from ` 12.21 per 1000 policies. Therefore, these liabilities are also valued claims outgo to ` 960 per claim. using the UPR approach. Single premium group credit Rider Benefits life policies are reserved based upon the proportion The actuarial assumptions used to value the rider of cover outstanding. These methods rely on pricing liabilities vary depending on the type of rider being assumptions by definition. valued. Riders are valued at higher of GPV and Health Insurance Unearned Premium Reserve (UPR). For GPV the For Health Insurance business, UPR method has been details are given below. adopted for renewable contracts and GPV method for The valuation interest rate used is 5.75%.The mortality other contracts. Mortality rates used are in range of assumption for a rider follows that of base plan, 72% to 234% of the prescribed mortality table i.e. the which ranges from 46.80% to 216% of the prescribed Indian Assured Lives Mortality (2006-08) (Modified mortality table i.e. the Indian Assured Lives Mortality

Annual Report | 2015 -16 84 (2006-08) (Modified ultimate) table, depending on outstanding. These methods rely on pricing type of product. The morbidity rate ranges from 77.5% assumptions by definition. to 437.5% of the prescribed morbidity table CIBT93. Premium related expenses ranges from 18% to 24% Health Insurance and annuity payment expenses range from ` 192 to ` For Health Insurance business, 2166. Further, to allow for inflation, per policy expenses UPR method has been adopted for are assumed to increase each year at a rate of 5.25% renewable contracts and GPV method per annum over the term of the policy. Lapse rates for for other contracts. Mortality rates riders follow the same as those of base plans. Claim used are in range of 180% to 228% of related expenses are assumed to be ` 12.21 per 1000 the prescribed mortality table i.e. the claims outgo. Indian Assured Lives Mortality (2006-08) (Modified ultimate) table. The morbidity rate Previous Year used is 187.5% of the prescribed morbidity table The actuarial assumptions used to value the policy CIBT93 for one product while it is taken at 125% of liabilities vary, depending on the type of contract the pricing basis for another product. The valuation / business being valued. Ordinary Individual Life interest rate used is 5.75%. Expense assumptions are business is valued by the prescribed Gross Premium expressed in two ways, expenses related to premiums Valuation (GPV) Method. The assumptions used for being 1.56%, and per policy expenses from ` 266.12 the valuation are required to reflect the expected to ` 335.80. The per policy expenses are assumed future experience in respect of mortality/morbidity, to increase each year at a rate of 5.25% per annum. interest, commission and expenses, as well as Commissions are assumed as per the commission lapsation, and incorporate a margin for prudence. The schedule for each product. The assumed lapse rates mortality assumption ranges from 29.76% to 240% of vary by policy duration, with the first year lapse rate the prescribed mortality table i.e. the Indian Assured being in range of 33.25% to 37.75% decreasing to Lives Mortality (2006-08) (Modified ultimate) table, an ultimate rate of 0%. Claim related expenses are depending on type of product. Morbidity rates range assumed to be ` 13.636 per 1000 claims outgo. from 237.5% to 656.25% of the prescribed morbidity table CIBT93. The valuation interest rate used is 5.75% Unit linked for non-participating products, 6.25% for participating For Unit Linked Business, the total reserve is the sum products and 7.59% for the immediate annuity of two components i.e. unit reserve and non-unit product. Expense assumptions are expressed in two reserve. Unit reserves are set, based on the number ways, expenses related to premiums (ranging from of Units and the Unit Prices as at March 31, 2015. The 1.43% to 1.91%) and per policy expenses (ranging non-unit reserves are set using a prospective method, from ` 218.53 to ` 586.80). The variations are based that requires projection of future cash flows, that allow on the type of policy, with policies that are more costly for premiums, death benefits (over and above the to administer, having higher assumptions. Further, to value of units), fund management and other charges. allow for inflation, per policy expenses are assumed to The mortality rates range from 54% to 120% of the increase each year at a rate of 5.25% per annum over prescribed mortality table i.e. the Indian Assured the term of the policy. Commissions are assumed as Lives Mortality (2006-08) (Modified ultimate) table, per the commission schedule for each product. The depending on type of product. The morbidity rates used assumed lapse rates varies by policy duration, with are 187.5% of the prescribed morbidity table CIBT93 the first year lapse rate for regular premium paying for some products and 125% of the pricing basis for products being the highest (6% to 49%) decreasing others where applicable. Expense assumptions are to an ultimate ranging from 0% to 8%. The assumed expressed in two ways, expenses related to premiums lapsed rate for single pay policies ranges from 0% being 1.524% to 2.20% for all products and per policy to 1.25% for all durations. The mortality assumption expenses ranging from ` 320.58 to ` 493.20. The for immediate annuity product is 80% of LIC 96-98 assumed lapse rates vary by policy duration, with Annuitant table. Claim related expenses are assumed the lapse rate for the first 3 years ranging from 0% to to be in the range of ` 13.636 to ` 13.80 per 1000 31%, the 4th to 6th year lapse rate ranging from 0% claims outgo. to 32.25% and an ultimate rate that ranges from 0% to 12% depending on product. Charges assumed are Group Life Insurance as per the contract provisions. The unit-growth rate Group insurance is written on one year term basis only. assumed for the projections depend on the type of unit Therefore, the policy liabilities in respect of Group Life fund/s chosen for each policy. Claim related expenses insurance are valued using the Unearned Premium are assumed to be ranging from ` 13.636 per 1000 Reserve (UPR) approach. Most credit life insurance claims outgo to ` 960 per claim. policies are also one year term policies. Therefore, these liabilities are also valued using the UPR Rider Benefits approach. Single premium group credit life policies The actuarial assumptions used to value the rider are reserved based upon the proportion of cover liabilities vary depending on the type of rider being valued. Riders are valued at higher of GPV and Annual Report | 2015 -16 85 Unearned Premium Reserve (UPR). For GPV the 4. Capital Commitments details are given below. Estimated amount of contracts remaining to be The valuation interest rate used is 5.75%.The mortality executed on capital account for fixed assets, to the ` assumption for a rider follows that of base plan, extent not provided for, 103,206 thousand (net of advances of `15,730 thousand) Previous year: `53,835 which ranges from 37.44% to 240% of the prescribed thousand (net of advances of ` 20,066 thousand) mortality table i.e. the Indian Assured Lives Mortality (2006-08) (Modified ultimate) table, depending on 5. Claims type of product. The morbidity rate ranges from 77.5% As at March 31, 2016, there were 29 claims amounting ` to 437.5% of the prescribed morbidity table CIBT93. to 18,988 thousand (Previous Year: 13 claims amounting to ` 5,382 thousand) settled and remaining Premium related expenses is 24% and annuity payment unpaid for a period of more than six months. These expenses range from ` 192 to `. 2166. Further, to claims remain unpaid awaiting receipt of duly executed allow for inflation, per policy expenses are assumed to discharge documents from the claimants. All claims increase each year at a rate of 5.25% per annum over are to be paid to claimants in India. the term of the policy. Lapse rates for riders follow the 6. Investments same as those of base plans. Claim related expenses (i) All the investments of the company are performing are assumed to be ` 13.636 per 1000 claims outgo. investments except investments in two Security 3. Encumbrances on Assets receipts of ARCIL Limited of cost ` 126,788 thousand (Previous Year: ` 126,853 thousand) on which provision There were no encumbrances on the assets of the for diminution in value made as of March 31,2016 is ` Company as at year end and at the previous year end. 126,788 thousand (Previous Year: ` 61,312 thousand) (ii) Value of unsettled contracts in relation to investments:

(` ‘000) Current Year End Previous Year End Non Linked Life Business • Purchases where deliveries are pending - 201,262 • Sales where payments are due 1,04,941 381,317 Unit Linked Life Business • Purchases where deliveries are pending 39,814 453,706 • Sales where payments are due 2,61,267 550,561 Unit Linked Pension Business (Individual & Group) • Purchases where deliveries are pending 26,207 271,738 • Sales where payments are due 9,616 50,790 Non Linked Pension Business • Purchases where deliveries are pending - - • Sales where payments are due - -

(iii) The historical cost of those Investments whose reported value is based on Fair value are as follows: (` ‘000) Fair value Historical cost Current Previous Current Previous Year Year Year Year Non Linked Investments • Equity shares under “Investments – 3,54,281 3,84,410 3,28,688 3,24,930 Shareholders” • Equity shares under “Investments– 1,01,47,171 59,10,045 80,35,299 34,32,006 Policyholders” Linked Investments • Investment made under “Assets held to cover linked Liability” (i) Life Linked 7,25,55,576 9,19,26,904 5,78,56,743 6,10,90,819 (ii) Pension Linked (Individual & Group) 83,29,524 1,00,24,086 74,18,772 81,11,807

Annual Report | 2015 -16 86 (iv) As per The Insurance Laws (Amendment) Act, thousand (Previous year: ` 10,994 thousand) which 2015 and Circular no. IRDAI/F&I/CIR/INV/093/04/2015, is in excess of IRDAI approval has been charged to Section 7 has been abolished and the insurers can Shareholders’ Profit and Loss Account. withdraw the lien marked securities, held in the CGSL (ii) Sitting Fees paid to Directors ` 4,150 thousand Account. Accordingly as at March 31, 2016, the (Previous year: ` 1,510 thousand). Company has Government Securities amounting to Nil (Previous Year: ` 112,826 thousand) [Market Value: Nil, (iii) Provision/contribution towards liability for employee (Previous Year: ` 113,531 thousand)] which had been retirement/post retirement benefits, which are based earmarked for Deposits u/s Section 7 of the Insurance on actuarial valuation done on an overall company Act 1938. basis, are excluded from the above, as separate numbers are not available. (v) Market value of long term and short term investments, other than equity, mentioned as part of 8. Future obligations in respect of non-cancellable notes in schedule 8 and 8A are based on the CRISIL operating lease Gilt Valuer and the CRISIL Bond Valuer. Future minimum lease payments under non- 7. Managerial Remuneration cancellable operating leases are as follows: ` (i) Employees’ Remuneration and Welfare Benefits ( ‘000) include remuneration to the Managing Director as Current Previous Particulars follows: Year Year (` ‘000) Upto 1 year 21,995 12,920 Current Previous Later than 1 year and upto 5 Particulars 8,561 10,718 Year Year years Salary, perquisites and Bonus 76,264 14,189 Later than 5 years - - Contribution to Provident and 1,260 298 The significant operating lease arrangements Superannuation Fund relate to rented office premises, employee house Total 77,524 14,487 accommodation. Some of these lease agreements include a price escalation clause. Note: Lease payments aggregating ` 258,849 thousand The above remuneration is in accordance with the (Previous year: ` 298,917 thousand) are recognized requirements of Section 34A of the Insurance Act, 1938 in the Policyholders’ Revenue Account (Technical and as approved by IRDAI. An amount of ` 62,524 Account) under “Rent, rates and taxes”, “Employees’ remuneration and welfare benefits”.w

Annual Report | 2015 -16 87 9. Related parties disclosure (i) Related Parties and Nature of Relationship: Sr. No. Name of the Related Party Nature of Relationship 1 AIA International Limited Investing Company 2 AP Online Limited Fellow Subsidiary 3 Dharamshala Ropeway Limited Fellow Subsidiary 4 E-Nxt Financials Limited Fellow Subsidiary 5 Hampi Expressways Private Limited Fellow Subsidiary 6 Infiniti Retail Limited Fellow Subsidiary 7 Kolkata-One Excelton Private Limited Fellow Subsidiary 8 Kriday Realty Private Limited Fellow Subsidiary 9 Lemon Tree Land & Developers Private Limited Fellow Subsidiary 10 Mr. Harshad Patil Key Management Personnel 11 Mr. Heerak Basu Key Management Personnel 12 Mr. Ishaat Hussain Chairman 13 Mr. Naveen Tahilyani (Managing Director w.e.f 06.01.2015) Key Management Personnel 14 Mr. Vishal Bandlish Key Management Personnel 15 Peepul Tree Properties Private Limited Fellow Subsidiary 16 Princeton Infrastructure Private Limited Fellow Subsidiary 17 Promont Hillside Private Limited Fellow Subsidiary 18 Promont Hilltop Private Limited Fellow Subsidiary 19 Pune Solapur Expressways Private Limited Fellow Subsidiary 20 Sohna City LLP Fellow Subsidiary 21 Tata AIG General Insurance Company Limited Fellow Subsidiary 22 Tata Asset Management Limited Fellow Subsidiary 23 Tata Capital Financial Services Limited Fellow Subsidiary 24 Tata Capital Forex Limited (Formerly Tt Holdings & Services Limited) Fellow Subsidiary 25 Tata Capital Housing Finance Limited Fellow Subsidiary 26 Tata Capital Limited Fellow Subsidiary 27 Tata Cleantech Capital Limited Fellow Subsidiary 28 Tata Consultancy Services Limited Fellow Subsidiary 29 Tata Consulting Engineers Limited Fellow Subsidiary 30 Tata Housing Development Company Limited Fellow Subsidiary 31 Tata Industries Limited Fellow Subsidiary 32 Tata International Limited Fellow Subsidiary 33 Tata Realty And Infrastructure Limited Fellow Subsidiary 34 Tata Securities Limited Fellow Subsidiary 35 Tata Sky Limited Fellow Subsidiary 36 Tata Sons Limited Holding company 37 TC Travel And Services Limited Fellow Subsidiary 38 THDC Facility Management Limited Fellow Subsidiary 39 TRIF Amritsar Projects Limited Fellow Subsidiary 40 TRIF Kochi Projects Private Limited Fellow Subsidiary 41 TRIF Real Estate And Development Private Ltd Fellow Subsidiary 42 TRIL Infopark Limited Fellow Subsidiary 43 TRIL Roads Private Limited Fellow Subsidiary

Annual Report | 2015 -16 88 (ii) Details of Significant transactions* with related parties during the period and period end balances: (` ‘000) For the For the For the For the Quarter year Quarter year Sr. Name of the Nature of Nature of transactions ended ended ended ended No. Related Party Relationship March March March March 16 16 15 15 AIA Investing Reimbursement of expense 1 International Company due (to)/from related party 116 (8,310) 2,207 11,209 Limited Payment towards operating AP Online Fellow 2 expenses and sharing of Limited Subsidiary 2 16 6 23 common facilities Dharamshala Fellow 3 Ropeway Receipt of insurance premium 3 9 - - Subsidiary Limited E-Nxt Payment towards operating Fellow 4 Financials expenses and sharing of Subsidiary 27 99 1,144 11,010 Limited common facilities Hampi Expressways Fellow 5 Receipt of insurance premium - 8 - - Private Subsidiary Limited Infiniti Retail Fellow 6 Purchase of Fixed Assets - 83 0 311 Limited Subsidiary Kolkata-One Excelton Fellow 7 Receipt of insurance premium - 3 - - Private Subsidiary Limited Kriday Realty Fellow 8 Private Receipt of insurance premium - 12 - 15 Subsidiary Limited Lemon Tree Land & Fellow 9 Developers Receipt of insurance premium - 8 - Subsidiary 9 Private Limited Peepul Tree Properties Fellow 10 Receipt of insurance premium - 1 Private Subsidiary - - Limited Princeton Infrastructure Fellow 11 Receipt of insurance premium - Private Subsidiary 7 - 8 Limited Promont Hillside Fellow 12 Receipt of insurance premium Private Subsidiary (1) - - - Limited Promont Fellow 13 Hilltop Private Receipt of insurance premium Subsidiary - 10 - 12 Limited Pune Solapur Expressways Fellow 14 Receipt of insurance premium Private Subsidiary 4 15 - 5 Limited

Annual Report | 2015 -16 89 (` ‘000) For the For the For the For the Quarter year Quarter year Sr. Name of the Nature of Nature of transactions ended ended ended ended No. Related Party Relationship March March March March 16 16 15 15 Sohna City Fellow 15 Receipt of insurance premium - 6 - 2 LLP Subsidiary Tata AIG General Payment towards operating Fellow 16 Insurance expenses and sharing of 273 3,162 913 1,963 Subsidiary Company common facilities Limited Receipt towards operating expenses and sharing of 3,296 12,777 1,220 11,361 common facilities Tata Asset Fellow 17 Management Receipt of insurance premium (11) 923 9 954 Subsidiary Limited Tata Capital Financial Fellow 18 Commission 462 1,800 172 256 Services Subsidiary Limited Claims Payout 770 1,264 434 434 Receipt of insurance premium 600 14,627 1,962 6,405 Tata Capital Forex Limited (Formerly Fellow 19 Receipt of insurance premium Tt Holdings Subsidiary - 93 - - & Services Limited) Tata Capital Housing Fellow 20 Claims Payout 3,536 16,840 2,134 2,134 Finance Subsidiary Limited Receipt of insurance premium 398 29,020 22,432 93,352 Tata Capital Fellow 21 Claims Payout 225 425 546 546 Limited Subsidiary Receipt of insurance premium - 402 208 957 Tata Cleantech Fellow 22 Receipt of insurance premium Capital Subsidiary - 54 - - Limited

Tata Payment towards operating Consultancy 23 Fellow expenses and sharing of - - - 3,355 Services Subsidiary common facilities Limited

Payment towards Professional - 3,900 - - fees Claims Payout 44,242 2,87,351 - - Receipt of insurance premium 1,16,807 4,23,884 - -

Annual Report | 2015 -16 90 (` ‘000) For For the For the For the the year Quarter Sr. Name of the Nature of Quarter year Nature of transactions ended ended No. Related Party Relationship ended ended March March March 16 March 16 15 15 Tata Consulting Fellow 24 Claims Payout - 2,800 - 1,300 Engineers Subsidiary Limited Receipt of insurance premium - 180 195 4,235 Tata Housing Development Fellow 25 Receipt of insurance premium 227 - 333 Company Subsidiary - Limited Tata Industries Fellow Payment towards Professional 26 6,766 6,766 - - Limited Subsidiary fees Tata Payment towards operating Fellow 27 International expenses and sharing of - - Subsidiary 0 69 Limited common facilities Claims Payout - - - 400 Receipt of insurance premium - - 4 4 Tata Realty And Fellow 28 Receipt of insurance premium 7 411 392 347 Infrastructure Subsidiary Limited Tata Securities Fellow 29 Brokerage 650 3,132 896 5,554 Limited Subsidiary Receipt of insurance premium - 196 - - Tata Sky Fellow 30 Limited Subsidiary Claims Payout 7,315 8,636 1,217 1,217 Receipt of insurance premium (22) 2,763 94 3,894 Payment towards Professional Tata Sons Holding 31 fees for workshops and 307 3,478 9,447 9,588 Limited company seminars Reimbursement of expense - - due (to)/from related party 26 13

Claims Payout - - - 1,625 Receipt of insurance premium (2) 1,509 - 1,202 TC Travel Fellow 32 And Services Receipt of insurance premium - Subsidiary - 72 - Limited THDC Facility Fellow 33 Management Receipt of insurance premium - Subsidiary - 5 - Limited TRIF Amritsar Fellow 34 Projects Receipt of insurance premium Subsidiary 2 26 - - Limited TRIF Kochi Projects Fellow 35 Receipt of insurance premium Private Subsidiary 2 43 - - Limited

Annual Report | 2015 -16 91 (` ‘000) For the For the For the For the Quarter year Quarter year Sr. Name of the Nature of Nature of transactions ended ended ended ended No. Related Party Relationship March March March March 16 16 15 15 TRIF Real Estate And Fellow 36 Receipt of insurance premium Development Subsidiary - 20 - - Private Ltd TRIL Infopark Fellow 37 Receipt of insurance premium Limited Subsidiary - 66 65 64 TRIL Roads Fellow 38 Private Receipt of insurance premium (2) 53 39 39 Subsidiary Limited Key Mr. Ishaat 39 Management Receipt of insurance premium Hussain 5,000 5,000 5,000 5,000 Personnel Mr. Naveen Tahilyani Key

40 (Managing Management Receipt of insurance premium - 170 - - Director w.e.f Personnel 06.01.2015) Remuneration paid to Managing Director 32,553 77,524 14,487 14,487 Key Mr. Harshad 41 Management Receipt of insurance premium Patil - 31 - 31 Personnel Key Mr. Heerak 42 Management Receipt of insurance premium Basu 148 148 148 148 Personnel Key Mr. Vishal 43 Management Receipt of insurance premium Bandlish - 68 - 75 Personnel AIA Investing Outstanding (payables)/ 44 International Company Receivable as at year end 8,862 8,862 19,386 19,386 Limited Infiniti Retail Fellow Outstanding (payables)/ 45 Limited Subsidiary Receivable as at year end - - 34 34 Tata AIG General Fellow Outstanding (payables)/ 46 Insurance Subsidiary Receivable as at year end 5,250 5,250 7,994 7,994 Company Limited Tata Capital Fellow Outstanding (payables)/ 47 Limited Subsidiary Receivable as at year end 8 8 8 8 Tata Consultancy Fellow Outstanding (payables)/ 48 Services Subsidiary Receivable as at year end 5 5 5 5 Limited Tata Sons Holding Outstanding (payables)/ 49 Limited company Receivable as at year end - - (9,078) (9,078) * Excluding applicable taxes, but including Swatch Bharat Cess. Note: For all group policies, reported amount is the accounted premium

Annual Report | 2015 -16 92 10. Segment Reporting (c) Expense allocation - Par Segment In accordance with the Accounting Regulations read The company has the policy to charge expenses with Accounting Standard 17 on “Segment Reporting”, priced in the product to the Participating segment and the Company has to report Segment results and excess expense (overrun) is allocated between other Segment assets & liabilities separately for Participating Segments i.e. Non Par and linked. (Life and Pension), Non-participating, Health, Annuity, Starting with half year ended September 15, Company Group Pension, and Linked (Life, Pension and Group) has started charging the Excess expenses of Par businesses. Accordingly, the Company has prepared segment (Actual Expenses-Priced expenses) to the the Revenue Account and the Balance Sheet for these shareholders Profit and Loss account. This is reflected primary business segments as set out in Annexure 1 through transfer of expenses from Schedule 3 to and Annexure 2 respectively. Schedule 3A in respective line items to the extent Since the business operations of the Company are of Expense overrun (excess of actual expenses over domiciled in India only, the business as a whole is priced expenses) under Par Segment amounting ` considered as one geographical segment. 1,005,493 thousand. Operating Expenses Allocation As such, the operating expenses relating to non- participating segment, as also the shareholder’s The expenses have been allocated to the various profit and loss account for the current period are business segments as under: not comparable with the respective figures for the (a) Expenses which relate directly to a segment are corresponding previous period. charged to that segment at actual. The accounting policies used in segment reporting (b) Other operating expenses are allocated on one or are the same as those used in the preparation of the more of the following bases as are applicable: financial statements. • First Year Premium 11. Earnings Per Share • Number of Policies Earnings per share is calculated by dividing the profit • Total Premium income in the Shareholders’ Account (Non-technical Account) by the weighted average number of equity shares • Sum assured outstanding during the half year. The numbers used in • Commission expenses calculating the basic and diluted earnings per equity share are as follows: • Policy reserve • Medical cases

Particulars Current Year Previous Year

Profit for the year (` ‘000) 636,265 2,636,193

Weighted average number of shares nos 1,953,500,000 1,953,500,000

Earnings per share (Basic and Diluted) ` 0.33 1.35

Face Value per share ` 10 10

Annual Report | 2015 -16 93 12. Business Sector-wise (` ‘000) Ordinary Life Group Life Sectors Current Year Previous Year Current Year Previous Year Social*** No. of lives 33,603 9,758 44,326 62,082 Gross Premium (` ‘000) 7,343 729 716 2,441 No. of Policies 34,543 9,861 1 22 % of policies 25.33% 13.73% 0.89% 9.17% Rural No. of policies 37,650 17,357 - - % of policies 27.61% 24.17% - - Others No. of policies 98,730 54,458 112 240 % of policies 72.39% 75.83% 100% 100% Total No. of Policies 136,380 71,815 112 240 % of Policies 100% 100% 100% 100% 13. Financial Analysis

(` ‘000) Sr Particulars 2015-16 2014-15 2013-14 2012-13 2011-12 No. POLICYHOLDERS' A/C 1 Gross premium income 2,47,89,602 2,12,26,580 2,32,37,035 2,76,04,303 3,63,03,040 2 Net premium income # 2,43,57,951 2,10,64,534 2,31,17,894 2,74,60,398 3,61,82,479 3 Income from Investments(Net)@ 52,91,675 3,88,79,281 2,17,24,188 1,37,82,953 2,89,036 4 Other Income 11,49,728 16,85,474 8,97,895 3,63,548 (2,84,085) Total Income 3,07,99,354 6,16,29,289 4,57,39,977 4,16,06,899 3,61,87,430 5 Commission 14,94,895 9,22,788 9,20,505 10,35,411 14,12,834 6 Brokerage Operating Expenses related to 7 51,55,556 54,24,204 47,78,869 59,15,796 76,01,911 insurance business 8 Provision for Doubtful Debts (46,020) (43,998) 16,242 31,481 38,287 Provision for Diminition in value of 9 65,476 29,169 282 - - Investments (net) 10 Provision for Tax 4,63,928 (17,557) - - - Total Expenses 71,33,835 63,14,606 57,15,898 69,82,688 90,53,032 11 Payment to policy holders* 2,89,19,524 3,37,05,134 57,15,898 69,82,688 90,53,032 12 Increase in actuarial liability 1,38,30,212 1,18,10,949 2,68,99,894 1,97,45,244 1,00,51,759 13 Transfer to Linked Funds (Net) (2,03,34,531) 70,33,474 1,13,73,256 1,11,47,423 78,89,772 Surplus/ (Deficit) from 12,50,314 27,65,126 (39,64,969) (32,51,144) 1,39,835 operations SHAREHOLDERS' A/C Total income under Shareholder's 14 26,50,433 44,19,604 41,73,814 33,76,331 27,21,706 Account Contribution to Policyholder's 15 (7,57,257) (12,63,799) (901) (23,035) (72,548) Fund

Annual Report | 2015 -16 94 (` ‘000) Sr Particulars 2015-16 2014-15 2013-14 2012-13 2011-12 No. 16 Profit/(Loss) before tax 7,01,124 31,20,789 41,29,486 33,15,412 26,03,132 17 Profit/(Loss) after tax 6,36,265 26,36,193 41,29,486 33,15,412 26,03,132 Profit/(Loss) carried to (22,60,205) (28,96,470) (55,32,663) (96,62,149) (1,29,77,561) Balance sheet MISCELLANEOUS (A) Policyholders'Account: 18 Total Funds 17,53,91,655 18,20,23,302 16,24,55,453 15,16,42,153 13,78,29,449 19 Total Investments** 17,19,82,081 18,04,56,855 16,20,53,205 15,29,35,032 13,90,94,750 20 Yield on Investments(%) 3.05% 24.15% 15% 10% 0% (B)Shareholders' Account 21 Total Funds 1,73,00,387 1,66,98,010 1,40,26,167 98,80,495 65,54,151 22 Total Investments** 2,00,32,356 1,73,10,424 1,31,74,095 76,63,168 57,81,472 23 Yield on Investments (%) 9.23% 7.46% 8.84% 8.50% 8.38% Yield on total 24 3.62% 22.58% 14.43% 9.86% 0.52% investments(%) 25 Paid up equity capital 1,95,35,000 1,95,35,000 1,95,35,000 1,95,35,000 1,95,35,000 26 Net worth 1,73,00,387 1,66,98,010 1,40,26,167 98,80,495 65,54,151 27 Total Assets 20,16,35,219 20,66,79,068 18,22,49,794 16,72,78,607 15,06,13,647 28 Earnings per share (`) 0.33 1.35 2.11 1.70 1.33 29 Book value per share (`) 8.86 8.55 7.18 5.06 3.36

# Net of reinsurance (iii) Total assets = Total assets - Debit balance of P&L @ Net of amortisation – Miscellaneous expenditure to the extent not written off. * Inclusive of interim bonuses, if any (iv) Book value has been arrived in the following manner: ** Total Investments include term deposits currently Book value = Share capital - Debit balance of P&L – being part of cash and bank balances and exclude Miscellaneous expenditure to the extent not written off linked investments. +/(-) Fair value change account. Notes: (v) Investment income and return on investments for (i) Net worth has been arrived in the following manner: the current and previous years have been reworked in Net Worth = Share capital - Debit balance of P&L – consonance with note B.25(1). Miscellaneous expenditure to the extent not written off 14. Allocation of investments and investment +/(-) Fair value change account. income (ii) The yield on investment has been calculated During the year, the Company has transferred in the following manner for non linked business: investments, costing ` 7,443 thousand (Previous 2 x investment income / (opening investments + Year: ` 16,010 thousand), from Shareholders’ Account closing investments – investment income) where (Non-technical Account) to Policyholders’ Account investment income represents Interest, Dividends and (Technical Account) at a transfer value of ` 7,443 Rent-Gross (net of amortisation). thousand (Previous Year: ` 16,010 thousand) to adequately cover policyholders’ liabilities.

Annual Report | 2015 -16 95 15. Ratios

(i) New business premium income growth (segment wise) Particulars Current Year Previous Year Ordinary Life - Non Linked 91% (6%) Ordinary Life – Linked 643% (35%) Group Business 105% (68%) Health (49%) (104%) Pensions - Non Linked 31% (44%) Pensions – Linked Group 59% (34%) Pensions – Linked Individual (198%) (63%) Individual Immediate Annuity (200%) (100%)

(ii) Net retention ratio (Net premium divided by gross premium) (` ‘000) Particulars Current Year Previous Year Net Premium 24,357,951 21,064,534 Gross Premium 24,789,602 21,226,580 Ratio 98.26% 99.24%

(iii) Ratio of expenses of management (` ‘000) [(Operating Expenses + Commission)/Total gross direct premium] Particulars Current Year Previous Year Management expenses 6,689,536 6,341,314 Total Gross Premium 24,789,602 21,226,580 Ratio 26.99% 29.87%

(iv) Commission Ratio (Gross commission paid to gross premium) (` ‘000) Particulars Current Year Previous Year Gross Commission 1,514,524 931,939 Total Gross Premium 24,789,602 21,226,580 Ratio 6.11% 4.39%

(v) Ratio of Policyholders’ liabilities to Shareholders’ funds (` ‘000) Particulars Current Year Previous Year Policyholders’ Liability 175,391,655 182,023,302 Shareholders’ funds 17,300,387 16,698,010 Ratio 1013.80% 1090.09%

(vi) Growth rate of Shareholders’ funds (` ‘000) Particulars Current Year Previous Year Shareholders’ funds 17,300,387 16,698,010 Growth rate 3.61% 19.05%

(vii) Percentage of Surplus/Deficit to Policyholders’ liabilities ( ` ‘000) Particulars Current Year Previous Year Surplus/(Deficit) 1,250,314 2,765,126 Policyholders’ Liability 175,391,655 182,023,302 Percentage 0.71% 1.52%

Annual Report | 2015 -16 96 (viii) Change in net worth (` ‘000) Particulars Current Year Previous Year Net worth 17,300,387 16,698,010 Change (` ‘000) 602,377 2,671,843

(ix) Profit after tax/total income ( ` ‘000) Particulars Current Year Previous Year Profit after tax 636,265 2,636,193 Total Income 31,689,250 61,610,854 Ratio 2.01% 4.28%

(x) (Total Real Estate + Loans)/Cash & invested assets. The Company does not have any investment in Real Estate and has not advanced any loans; therefore, this ratio cannot be calculated.

(xi) Total Investments/(Capital + Surplus) (` ‘000) Particulars Current Year Previous Year Total Investments 192,014,437 197,767,279 Capital 19,535,000 19,535,000 Surplus /(Deficit) * (2,260,105) (2,896,470) Ratio 1111.53% 1188.61% * represents debit balance of P&L and miscellaneous expenditure to the extent not written off or adjusted

(xii) Investment Yields (Annualised) Particulars Year ended Mar 16 Year ended Mar 15 with realised gains Non-linked Par 6.40% 22.08% Non-linked Non-par 7.81% 16.71% Linked -2.88% 37.51% Shareholders' 7.12% 17.40% without realised gains Non-linked Par 6.27% 21.88% Non-linked Non-par 7.75% 16.72% Linked -2.88% 37.51% Shareholders' 6.07% 17.40%

(xiii) Persistency Particulars Current Year Previous Year Persistency Ratios - By Premium $ Non Linked Business For 13th month 72.18% 73.65% For 25th month 66.87% 59.11% For 37th month 54.44% 49.46% For 49th Month 46.28% 43.06% For 61st month 39.07% 35.37%

Annual Report | 2015 -16 97 (xiii) Persistency Particulars Current Year Previous Year Linked Business For 13th month 95.95% 86.19% For 25th month 82.53% 71.97% For 37th month 68.53% 62.42% For 49th Month 60.75% 45.33% For 61st month 35.02% 32.80% Persistency Ratios - By Policy $ Non Linked Business For 13th month 56.40% 50.24% For 25th month 44.63% 39.81% For 37th month 36.11% 35.68% For 49th Month 33.08% 22.59% For 61st month 23.13% 12.37% Linked Business For 13th month 95.90% 75.27% For 25th month 69.71% 58.65% For 37th month 54.64% 47.96% For 49th Month 45.90% 36.61% For 61st month 25.47% 20.46%

(xiv) NPA Ratio Particulars Current Year Previous Year Gross NPA Ratio NIL NIL Net NPA Ratio NIL NIL

(xv) Solvency Ratio Particulars Current Year Previous Year 348% 417%

(xvi) Total affiliated investments/(Capital + Surplus) The Company does not have any affiliated investments and therefore this ratio cannot be calculated.

(xvii) Conservation ratio* Particulars As at March 31,2016 As at March 31,2015 Ordinary Life - Non linked 90% 91% Ordinary Life – Linked 73% 76% Group Business 85% 55% Health 89% 85% Pensions - Non Linked 35% 25% Pensions - Linked Group 0% 0% Pensions - Linked Individual 68% 67% Individual Immediate Annuity NA NA Total 83% 81% *Conservation Ratio: (Renewal Premium of Current Year/(First Year Premium+ Renewal Premium) of Previous Year)

Annual Report | 2015 -16 98 16. Percentage of risk retained and risk reinsured and as certified by the Actuary based on sum assured is as follows:

Current Year Previous Year Particulars (` ’000) % (` ’000) % Individual Business (Non linked) Risk Retained 225,881,611 49% 198,665,847 65% Risk Reinsured 236,772,849 51% 105,565,443 35%

Individual Business (Linked) Risk Retained 82,377,202 78% 88,415,672 85% Risk Reinsured 23,803,313 22% 15,347,729 15%

Group Business Risk Retained 832,328,591 59% 104,588,126 89% Risk Reinsured 589,718,235 41% 13,576,947 11%

Credit Life Business Risk Retained 121,806,237 86% 146,347,293 85% Risk Reinsured 20,405,967 14% 26,434,925 15%

17. Group Pension Business Account (Non-technical Account) to Policyholders’ The Group Pension business represents Pension Account (Technical Account) is irreversible in nature Funds managed by the Company for various employer and will not be recouped to the Shareholders’ Account companies. Periodic contributions are received by (Non-technical Account) at any point of time in future. the Company from the members of Pension Funds An amount of ` 1,003,280 thousand (Previous year: ` of employer companies and the same are invested 3,174,240 thousand) has been distributed as surplus by the Company in accordance with the Insurance to the Shareholders, in accordance with Insurance Regulatory and Development Authority (Investment) Regulatory and Development Authority (Distribution of Regulations, 2000. Surplus) Regulations, 2002. As per the clarification received from IRDAI, the 19. Bonus to Policyholders, amounting to ` 2,527,290 Corporate Gratuity and Pension Business underwritten, thousand (Previous year: ` 1,786,520 thousand), forms part of the insurer’s business. In adherence represents bonus finalized and allocated to each of to the clarification, the books of account relating the Policyholders’ for the year ended March 31, 2016. to Corporate Gratuity and Pension Business are Under the non-forfeiture and automatic policy consolidated with the books of account of the other 20. loan options in the policy contract, if the policyholder business of the Company. does not pay the premium within the grace period, 18. The Company has transferred an amount of subsequent to the due date of premium, and the non- ` 757,257 thousand (Previous year: ` 1,263,799 forfeiture option has not been exercised, then the thousand) from Shareholders’ Account (Non-technical premium in default, including any other amount due, is Account) to Policyholders’ Account (Technical automatically treated as a Policy loan. Account). The above transfer from Shareholders’ 21. Details of Assets under Restructuring: (` ’000)

Sr Current Previous Particulars No. Year Year a) Total amount of loan assets subject to Restructuring - - b) The amount of standard assets subject to Restructuring - - c) The amount of sub-standard assets subject to Restructuring - - d) The amount of doubtful assets subject to Restructuring - -

Annual Report | 2015 -16 99 22. As per IRDAI circular no. 005/IRDA/F&A/CIR/MAY-09 dated May 07, 2009, insurers are advised to provide details of the penal actions taken by the various Government authorities. The details for the year ended 31st March 2016 are given below:

(` ‘000) Penalty Sr. Penalty Penalty Authority Non-Compliance/Violation Waived/ No. Awarded Paid Reduced Insurance Regulatory and Violation of Clause 21 of the 1000 1000 NIL 1 Development Authority Corporate Agent Guidelines {NIL} {NIL} {NIL} NIL NIL NIL 2 Service Tax Authorities NA {NIL} {NIL} {NIL} NIL NIL NIL 3 Income Tax Authorities NA {NIL} {NIL} {NIL} Any other Tax Authorities: NIL NIL NIL 4 NA Profession Tax {NIL} {NIL} {NIL} Enforcement Directorate/ NIL NIL NIL Adjudicating Authority/ Compounding of contravention 5 Tribunal or any Authority under FEMA to RBI {NIL} {NIL} {NIL} under FEMA Registrar of Companies/ NIL NIL NIL NCLT/CLB/ Ministry of 6 Corporate Affairs or any NA Authority under Companies {NIL} {NIL} {NIL} Act, 2013 Penalty awarded by any NIL NIL NIL Court/Tribunal for any 7 matter including claim NA settlement but excluding {NIL} {NIL} {NIL} compensation Securities and Exchange NIL NIL NIL 8 NA Board of India {NIL} {NIL} {NIL} Competition Commission of NIL NIL NIL 9 NA India {NIL} {NIL} {NIL} Any other Central/State/ Minimum Wages Act & Contract NIL NIL NIL 10 Local Government / Labour Act Statutory Authority {NIL} 2 {NIL} Note: Text & Figures in Brace bracket are for previous 24. As per IRDAI circular no.041/IRDA/ACTL/MAR- year. 2006 dated March 28, 2006, insurers are advised to maintain reserve for policies lapsed under the Unit 23. Fixed assets have been mainly used for the Insurance business. Therefore, the same have been Link product till the expiry of revival period. shown under Policyholders’ funds in the Balance Sheet In line with the above circular, the Company has as at March 31, 2016. Depreciation has been charged created reserves as follows: in the Policyholders’ Revenue Account (Technical Account) accordingly. (` ‘000) Current Year Previous Year Particulars Unit Unit Non Unit Non Unit Reserves Reserves Policy Liability 3,304,511 9,768 5,977,058 6,939 Funds for Future Appropriation - 17,445 216 50,547

Annual Report | 2015 -16 100 25. As per IRDAI circular no.054/IRDA/F&A/FEB.- iii. Fees and charges 07 dated February 20, 2007; insurers are required to iv. Claims arising from cancellation of units. provide additional disclosures, as mentioned in the circular, with respect to Unit Linked business. In consequence to the above circular, the Company has consolidated Unit link fund In line with the disclosure norms, the Company has financials with the main financials of the prepared the following statements for Unit Linked Company, to adhere to the disclosure business: requirements with respect to unit and (1) Unit Linked Revenue Account, segregated into non-unit components of the linked non-unit fund and unit fund, as an addendum to the business. Previous Year figures have been Form A-RA (Refer Annexure 3). accordingly regrouped. The transfer to linked fund (net), as shown in (2) Unit Linked Fund Financials, comprising of Policyholders’ Account (Technical Account), Fund Revenue Account, Balance sheet and underlying represents net amount transferred to Unit Linked fund Schedules (Refer Annexure 4A for Ordinary Life Linked after considering the following: business and 4B for Pension Linked business). i. Non investment portion of the unit link premium (3) Additional disclosures of notes towards Unit Link are: ii. Income from investment

(3.1) Performance of the Schemes (Absolute Growth %)

Abbrevia Year Year of Fund Name tion Since Inception 2016 2015 2014 used Inception Equity Fund TEL 04-Feb-04 -8% 28% 19% 362% Income Fund TIL 04-Feb-04 7% 16% 4% 122% Liquid Fund TLL 04-Feb-04 7% 8% 8% 119% Balanced Fund TBL 04-Feb-04 1% 21% 11% 204% Growth Fund TGL 04-Feb-04 -2% 28% 13% 275% Aggressive Growth Fund TAL 01-Jul-06 -2% 29% 13% 137% Stable Growth Fund TSL 01-Jul-06 1% 22% 9% 129% Short Term Fixed Income Fund TFL 01-Jul-06 8% 9% 8% 101% Capital Guarantee Fund TCG 17-Oct-07 4% 15% 4% 71% Growth Enabler Fund TGE 17-Oct-07 0% 22% 8% 63% Growth Maximizer Fund TGM 17-Oct-07 -2% 25% 12% 42% Large Cap Equity Fund TLC 07-Jan-08 -7% 33% 21% 72% Whole Life Mid Cap Equity WLE 04-Jan-07 -4% 76% 24% 208% Fund Whole Life Income Fund WLI 04-Jan-07 7% 16% 5% 102% Whole Life Aggressive Growth WLA 04-Jan-07 -2% 32% 14% 136% Fund Whole Life Stable Growth Fund WLS 04-Jan-07 1% 25% 10% 106% Whole Life Short Term Fixed WLF 04-Jan-07 8% 10% 8% 96% Income Fund Future Balanced Pension Fund FBP 04-Feb-08 5% 17% 4% 80% Future Capital Guarantee FCG 04-Feb-08 4% 16% 4% 67% Pension Fund

Annual Report | 2015 -16 101 Abbrevia Year Year of Fund Name tion Since Inception 2016 2015 2014 used Inception Future Equity Pension Fund FEP 04-Feb-08 -6% 36% 19% 92% Future Growth Pension Fund FGP 04-Feb-08 2% 19% 8% 80% Future Income Pension Fund FIP 04-Feb-08 7% 16% 5% 86% Future Select Equity Fund. FSE 26-Sep-08 -6% 51% 22% 208% Select Equity Fund TSE 06-Oct-08 -7% 48% 23% 215% 110% Capital Guarantee Fund UCX 10-Nov-08 3% 14% 3% 52% Aggressive Flexi Fund IAF 12-Jan-09 0% 22% 8% 68% Bond Fund IBF 12-Jan-09 7% 15% 4% 72% Stable Flexi Fund ISF 12-Jan-09 4% 17% 5% 66% Top 50 Fund ITF 12-Jan-09 -6% 28% 20% 152% Top 200 Fund ITT 12-Jan-09 -7% 45% 20% 210% Apex Investment Fund AIN 18-Feb-09 0% 0% 0% 0% Apex Return Lock-in Fund ARL 18-Feb-09 2% 20% 13% 74% Infrastructure Fund TIS 16-Oct-09 -11% 50% 19% 36% Super Select Equity Fund TSS 16-Oct-09 -6% 50% 24% 110% Apex Return Lock-in Fund II AR2 03-Aug-09 2% 20% 13% 63% Super 110% Capital Guarantee UCS 23-Nov-09 4% 16% 4% 54% Fund Super Select Equity Pension FSS 04-Jan-10 -7% 52% 25% 99% Fund Apex Pension Investment Fund PI1 20-Jan-10 0% 0% 0% 0% Apex Pension 10 Investment PI2 20-Jan-10 0% 0% -1% 0% Fund Apex Pension 15 Investment PI3 20-Jan-10 0% -1% 0% 0% Fund Apex Pension 20 Investment PI4 20-Jan-10 0% 0% 0% 0% Fund Apex Pension Return Lock-in PR1 20-Jan-10 1% 23% 14% 60% Fund Apex Pension 10 Return Lock- PR2 20-Jan-10 1% 23% 14% 60% in Fund Apex Pension 15 Return Lock- PR3 20-Jan-10 -2% 25% 14% 57% in Fund Apex Pension 20 Return Lock- PR4 20-Jan-10 -4% 27% 15% 59% in Fund Apex Plus Investment Fund AP1 01-Feb-10 0% 0% -1% 0% Apex Plus Return Lock-in RA1 01-Feb-10 1% 23% 13% 59% Fund Apex Pension Return Lock-in PR5 01-Jul-10 0% 23% 14% 45% Fund II

Annual Report | 2015 -16 102 Abbrevia Year Year of Fund Name tion Since Inception 2016 2015 2014 used Inception Apex Pension 10 Return Lock- PR6 01-Jul-10 0% 23% 14% 44% in Fund II

Apex Pension 15 Return Lock- PR7 01-Jul-10 -1% 25% 14% 45% in Fund II

Apex Pension 20 Return Lock- PR8 01-Jul-10 -3% 25% 15% 43% in Fund II

Apex Plus Return Lock-in Fund RA2 01-Jul-10 0% 23% 14% 42% II Discontinued Policy Fund DCF 07-Jan-11 8% 9% 9% 52% Apex Supreme Investment ASI 01-Feb-11 0% 0% 0% 0% Fund

Apex Supreme Return Lock-in ASR 01-Feb-11 -1% 24% 15% 49% Fund

Apex Supreme Investment SI2 01-Jul-11 0% 0% -1% 0% Fund II

Apex Supreme Return Lock-in SR2 01-Jul-11 -1% 24% 14% 59% Fund II

Apex Supreme Investment SI3 01-Nov-11 1% 0% -1% 1% Fund III

Apex Supreme Return Lock-in SR3 01-Nov-11 -1% 24% 16% 55% Fund III Multi Cap Fund MCF 15-Jul-14 N.A. N.A. N.A -3% India Consumption Fund ICF 15-Jul-14 N.A. N.A. N.A -3% Pension - Equity Fund E1 02-Mar-04 -8% 27% 20% 395% Pension - Income Fund I1 02-Mar-04 7% 16% 4% 131% Pension - Liquid Fund L1 02-Mar-04 7% 8% 8% 124% Pension - Short Term Fixed S1 01-Jul-06 8% 9% 8% 97% Income Fund Pension - Bond Fund BO 17-Aug-07 7% 16% 5% 98% Pension - Balanced Fund BL 17-Aug-07 4% 17% 7% 87% Pension - Growth Fund G2 17-Aug-07 -42% 17% 7% 0% Pension - Maxima Fund M1 17-Aug-07 0% -14% 5% 0%

(*) The abbreviations used above are mentioned in place of complete fund names for disclosures provided below (3.2) Investment Management The Company has not outsourced any of its investment management activities and no fees have been charged to Policyholder’s Account.

Annual Report | 2015 -16 103 (3.3) Related Party transactions – Details to be furnished scheme-wise: a) Brokerage Details Current Year (` ‘000) Scheme Scheme Name Amount TEL Equity Fund 426.49 PR2 Apex Pension 10 Return Lock-in Fund 298.72 TLC Large Cap Equity Fund 266.73 RA1 Apex Plus Return Lock-in Fund 257.76 TSS Super Select Equity Fund 243.41 WLE Whole Life Mid Cap Equity Fund 205.48 TSE Select Equity Fund 127.04 FEP Future Equity Pension Fund 114.65 ASR Apex Supreme Return Lock-in Fund 114.15 TGL Growth Fund 105.25 PR3 Apex Pension 15 Return Lock-in Fund 105.20 RA2 Apex Plus Return Lock-In Fund II 88.93 SR3 Apex Supreme Return Lock-in Fund III 81.88 ITF Top 50 Fund 80.49 SR2 Apex Supreme Return Lock-in Fund II 71.29 WLA Whole Life Aggressive Growth Fund 57.84 AR2 Apex Return Lock-In Fund II 51.42 PR6 Apex Pension 10 Return Lock-in Fund II 47.98 TAL Aggressive Growth Fund 37.03 E1 Pension Equity Fund 35.39 TBL Balanced Fund 31.42 FSS Super Select Equity Pension Fund 30.99 PR5 Apex Pension Return Lock-in Fund II 25.85 ARL Apex Return Lock-In Fund 25.67 TIS Infrastructure Fund 23.90 FSE Future Select Equity Fund. 22.72 PR7 Apex Pension 15 Return Lock-in Fund II 10.75 ITT Top 200 Fund 9.52 PR4 Apex Pension 20 Return Lock-in Fund 8.94 TGM Growth Maximizer Fund 8.22 TCG Capital Guarantee Fund 7.58 PR1 Apex Pension Return Lock-in Fund 5.38 FGP Future Growth Pension Fund 5.24 FCG Future Capital Guarantee Pension Fund 4.77 TSL Stable Growth Fund 4.34 PR8 Apex Pension 20 Return Lock-in Fund II 4.31 UCX 110% Capital Guarantee Fund 4.08 ISF Stable Flexi Fund 3.11 UCS Super 110% Capital Guarantee Fund 2.12 IAF Aggressive Flexi Fund 0.73 FBP Future Balanced Pension Fund 0.62 ICF India Consumption Fund 0.16 MCF Multi Cap Fund 0.15 TGE Growth Enabler Fund 0.01 Total 3,057.69

Annual Report | 2015 -16 104 Previous Year (` ‘000)

Scheme Scheme Name Amount WLE Whole Life Mid Cap Equity Fund 709.44 TSS Super Select Equity Fund 557.62 TAL Aggressive Growth Fund 508.14 TEL Equity Fund 360.96 TSE Select Equity Fund 309.14 ITF Top 50 Fund 280.72 TLC Large Cap Equity Fund 235.42 FEP Future Equity Pension Fund 230.95 PR2 Apex Pension 10 Return Lock-in Fund 228.34 TGL Growth Fund 200.15 WLS Whole Life Stable Growth Fund 181.78 WLA Whole Life Aggressive Growth Fund 164.53 TBL Balanced Fund 127.50 RA1 Apex Plus Return Lock-in Fund 125.14 SR3 Apex Supreme Return Lock-in Fund III 96.59 ITT Top 200 Fund 92.50 ASR Apex Supreme Return Lock-in Fund 91.42 TIS Infrastructure Fund 85.31 SR2 Apex Supreme Return Lock-in Fund II 69.56 TSL Stable Growth Fund 67.25 FSE Future Select Equity Fund. 60.36 IAF Aggressive Flexi Fund 59.02 E1 Pension Equity Fund 55.43 FSS Super Select Equity Pension Fund 54.73 RA2 Apex Plus Return Lock-In Fund II 51.24 TGM Growth Maximizer Fund 33.10 PR6 Apex Pension 10 Return Lock-in Fund II 30.86 FGP Future Growth Pension Fund 29.47 WLF Whole Life Short Term Fixed Income Fund 20.22 PR3 Apex Pension 15 Return Lock-in Fund 17.47 PR5 Apex Pension Return Lock-in Fund II 14.86 PR4 Apex Pension 20 Return Lock-in Fund 13.78 TCG Capital Guarantee Fund 11.76

Annual Report | 2015 -16 105 Previous Year (` ‘000)

Scheme Scheme Name Amount ISF Stable Flexi Fund 9.78 FCG Future Capital Guarantee Pension Fund 7.89 UCX 110% Capital Guarantee Fund 7.19 PR7 Apex Pension 15 Return Lock-in Fund II 7.12 G2 Pension Growth Fund 5.04 FBP Future Balanced Pension Fund 4.39 PR1 Apex Pension Return Lock-in Fund 3.38 UCS Super 110% Capital Guarantee Fund 3.21 BL Pension Balanced Fund 2.12 S1 Pension Short Term Fixed Income 1.51 TGE Growth Enabler Fund 1.42 PR8 Apex Pension 20 Return Lock-in Fund II 1.26

Total 5,229.04 b) Purchase/sale deals Current Year (` ‘000)

Scheme Scheme Transac value asset Counterparty security Amount Code Name tion date type Tata Asset Apex Supreme 8.65% LIC Management ASR Return Lock-in Housing Finance Purchase 23-Oct-15 Bonds 25,487 (TATA MF) Fund Ltd. 29-09-2020 Tata Asset Apex Supreme 8.65% LIC Management SR2 Return Lock-in Housing Finance Purchase 23-Oct-15 Bonds 25,487 (TATA MF) Fund II Ltd. 29-09-2020 Previous Year (` ‘000) Tata Asset 8.05% Gujarat Management BO Pension Bond Purchase 25-Feb-15 Bonds 24,062 SDL 25-02-2025 (TATA MF) Tata Asset Future Income 8.05% Gujarat Management FIP Purchase 25-Feb-15 Bonds 11,029 Pension Fund SDL 25-02-2025 (TATA MF) Tata Asset 8.05% Gujarat Management I1 Pension Income Purchase 25-Feb-15 Bonds 87,226 SDL 25-02-2025 (TATA MF) Tata Asset 8.05% Gujarat Management IBF Bond Fund Purchase 25-Feb-15 Bonds 6,016 SDL 25-02-2025 (TATA MF) Tata Asset 8.05% Gujarat Management TIL Income Fund Purchase 25-Feb-15 Bonds 32,083 SDL 25-02-2025 (TATA MF) Tata Asset Whole Life 9.8% PFC Ltd Management WLA Aggressive Growth Purchase 07-May-14 Bonds 11,744 27.09.2016 (TATA MF) Fund

Annual Report | 2015 -16 106 Previous Year (` ‘000)

Scheme Scheme Transac value asset Counterparty security Amount Code Name tion date type Tata Asset Whole Life Short 9.8% PFC Ltd Management WLF Term Fixed Income Purchase 07-May-14 Bonds 16,015 27.09.2016 (TATA MF) Fund Tata Asset Whole Life Income 8.05% Gujarat Management WLI Purchase 25-Feb-15 Bonds 90,234 Fund SDL 25-02-2025 (TATA MF) c) Details of company-wise investments held in the Promoter group and as a percentage of funds under management, (this information is given scheme-wise and for total funds under management under Unit Link):

(i) Current Year (` ‘000)

Security Name Industry Data TEL TIL TLL TBL TGL TAL TSL Tata Market Value 5,29,263 - - 4,957 28,978 40,199 3,327 It - Consultancy Software Services Ltd. % of NAV 3.69% - - 1.26% 2.21% 2.48% 1.45% Tata Motors Market Value 8,11,505 - - 5,426 30,583 44,785 3,691 Automobile Limited % of NAV 5.66% - - 1.38% 2.33% 2.76% 1.61% Tata Steel Market Value 1,42,377 ------Steel Limited % of NAV 0.99% ------Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Market Value - 47,499 - - - 23,749 - Steel Ltd. Steel 23-04-2022 % of NAV - 6.46% - - - 1.47% - Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value - - - - - 10,126 - Restau Hotels Ltd. 24- rants 02-2017 % of NAV - - - - - 0.62% - (` ‘000) Security Name Industry Data TFL TCG TGE TGM TLC TSE UCX AIN Tata Market Value - 373 68 870 2,77,233 1,21,418 224 - It - Consultancy Software Services Ltd. % of NAV - 0.92% 1.35% 2.45% 3.67% 8.04% 1.12% - Tata Motors Market Value - 140 68 1,382 3,24,176 - 82 - Automobile Limited % of NAV - 0.35% 1.34% 3.90% 4.29% - 0.41% - Tata Steel Market Value - - - - 70,125 - - - Steel Limited % of NAV - - - - 0.93% - - - Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Restau Hotels Ltd. 24- rants 02-2017 % of NAV ------

Annual Report | 2015 -16 107 (` ‘000) Security Industry Data ARL ITF ITT IAF ISF IBF WLE Name Tata Market Value 23,943 21,196 50,406 1,852 517 - - It - Consultancy Software Services Ltd. % of NAV 0.98% 3.87% 4.05% 1.62% 0.65% - - Tata Motors Market Value 30,928 23,511 32,278 2,427 627 - - Automobile Limited % of NAV 1.27% 4.29% 2.59% 2.12% 0.79% - - Tata Steel Market Value 11,190 - 6,394 - - - 1,52,212 Steel Limited % of NAV 0.46% - 0.51% - - - 0.83% Titan Consumer Market Value - - 8,478 - - - - Company Ltd. Durables % of NAV - - 0.68% - - - - 2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value - - 9,734 - - - 62,573 Voltas Ltd. Diversified % of NAV - - 0.78% - - - 0.34% 9.90% Indian Market Value ------Restau Hotels Ltd. rants 24-02-2017 % of NAV ------

(i) Current Year (` ‘000) Security Industry Data WLI WLA WLS WLF FBP FCG FEP FGP Name Tata Market Value - 76,529 12,602 - 491 252 52,926 2,268 It - Consultancy Software Services Ltd. % of NAV - 2.22% 1.70% - 0.46% 0.96% 3.86% 1.27% Tata Motors Market Value - 84,256 12,236 - 534 89 56,305 2,610 Automobile Limited % of NAV - 2.45% 1.65% - 0.50% 0.34% 4.11% 1.46% Tata Steel Market Value ------Steel Limited % of NAV ------Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Market Value 1,18,747 11,875 ------Steel Ltd. Steel 23-04-2022 % of NAV 4.82% 0.34% ------Market Value - - 6,966 - - - - - Voltas Ltd. Diversified % of NAV - - 0.94% - - - - - 9.90% Indian Market Value ------Restau Hotels Ltd. 24- rants 02-2017 % of NAV ------

Annual Report | 2015 -16 108 (` ‘000) Security Name Industry Data FIP FSE TIS TSS AR2 UCS FSX PI1 Tata Market Value - 18,532 - 5,63,539 22,683 76 16,004 - It - Consultancy Software Services Ltd. % of NAV - 8.52% - 8.40% 1.30% 1.07% 8.15% - Tata Motors Market Value - - 4,079 - 23,196 39 - - Automobile Limited % of NAV - - 1.79% - 1.33% 0.55% - - Tata Steel Market Value - - 6,394 - 9,591 - - - Steel Limited % of NAV - - 2.81% - 0.55% - - - Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Market Value 11,875 ------Steel Ltd. Steel 23-04-2022 % of NAV 5.95% ------Market Value - - 6,953 - - - - - Voltas Ltd. Diversified % of NAV - - 3.05% - - - - - 9.90% Indian Market Value ------Restau Hotels Ltd. 24- rants 02-2017 % of NAV ------

(i) Current Year (` ‘000)

Security Name Industry Data PI2 PI3 PI4 PR1 PR2 PR3 PR4 PR5 PR6 Tata Market Value - - - 315 15,122 6,049 1,008 1,071 3,780 It - Consultancy Software Services Ltd. % of NAV - - - 1.41% 1.57% 2.32% 3.46% 1.46% 1.71% Tata Motors Market Value - - - 309 15,464 5,799 793 1,140 3,479 Automobile Limited % of NAV - - - 1.39% 1.61% 2.22% 2.72% 1.56% 1.57% Tata Steel Market Value - - - 136 3,197 1,599 - 352 2,174 Steel Limited % of NAV - - - 0.61% 0.33% 0.61% - 0.48% 0.98% Titan Company Consumer Market Value ------509 Ltd. Durables % of NAV ------0.23% 2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Restau Market Value ------Hotels Ltd. 24- - rants 02-2017 % of NAV ------

Annual Report | 2015 -16 109 (` ‘000)

Security Name Industry Data PR7 PR8 AP1 RA1 RA2 ASI ASR DCF Tata Market Value 1,260 252 - 20,162 4,663 - 13,862 - It - Consultancy Software Services Ltd. % of NAV 2.46% 3.00% - 1.83% 1.64% - 2.03% - Tata Motors Market Value 967 186 - 16,431 4,639 - 12,083 - Automobile Limited % of NAV 1.89% 2.21% - 1.49% 1.63% - 1.77% - Tata Steel Market Value 296 64 - 3,836 1,599 - 2,478 - Steel Limited % of NAV 0.58% 0.76% - 0.35% 0.56% - 0.36% - Titan Company Consumer Market Value - - - - 1,017 - - - Ltd. Durables % of NAV - - - - 0.36% - - - 2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Restau Hotels Ltd. 24- rants 02-2017 % of NAV ------

(i) Current Year (` ‘000)

Security Name Industry Data SI2 SR2 SI3 SR3 MCF ICF Tata Consultancy Market Value - 7,561 - 8,821 - - It - Software Services Ltd. % of NAV - 1.89% - 1.85% - - Market Value - 6,118 - 7,546 2 - Tata Motors Limited Automobile % of NAV - 1.53% - 1.59% 1.49% - Market Value - 1,439 - 2,398 1 - Tata Steel Limited Steel % of NAV - 0.36% - 0.50% 0.98% - Consumer Market Value ------Titan Company Ltd. Durables % of NAV ------2.00% Tata Steel Ltd. Market Value ------Steel 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Hotels Market Value ------Restaurants Ltd. 24-02-2017 % of NAV ------

Annual Report | 2015 -16 110 (` ‘000) Security Name Industry Data E1 I1 L1 S1 BO BL G2 M1 Tata Market Value 27,723 - - - - 3,780 - - It - Consultancy Software Services Ltd. % of NAV 4.37% - - - - 0.57% - - Tata Motors Market Value 22,433 - - - - 3,456 - - Automobile Limited % of NAV 3.53% - - - - 0.52% - - Tata Steel Market Value 7,644 - - - - 639 - - Steel Limited % of NAV 1.20% - - - - 0.10% - - Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Market Value - 1,42,496 ------Steel Ltd. Steel 23-04-2022 % of NAV - 5.84% ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Restau Hotels Ltd. 24- rants 02-2017 % of NAV ------ii) Total Funds under Management (` ‘000)

Market Value Net Asset Security Name Industry % of NAV of Investment Value (NAV) Tata Consultancy Services Limited It - Software 2.41% 19,86,155 82,248,876 Tata Motors Limited Automobile 1.94% 15,95,799 82,248,876 Tata Steel Limited Steel 0.52% 4,26,133 82,248,876 Titan Company Ltd. Consumer Durables 0.01% 10,003 82,248,876 2.00% Tata Steel Ltd. 23-04-2022 Steel 0.43% 3,56,240 82,248,876 Voltas Ltd. Diversified 0.10% 86,225 82,248,876 9.90% Indian Hotels Ltd. 24-02-2017 Hotels & Restaurants 0.01% 10,126 82,248,876 i) Previous Year (` ‘000)

Security Name Industry Data TEL TIL TLL TBL TGL TAL Tata Consultancy Market Value 10,98,199 - - 7,463 41,190 66,403 It - Software Services Ltd. % of NAV 5.93% - - 1.81% 2.92% 3.33% Tata Motors Market Value 9,90,360 - - 7,319 41,254 60,412 Automobile Limited % of NAV 5.34% - - 1.78% 2.93% 3.03% Tata Steel Market Value 1,41,064 - - - - - Steel Limited % of NAV 0.76% - - - - - Titan Company Market Value - - - 2,428 9,790 15,664 Consumer Durables Ltd. % of NAV - - - 0.59% 0.69% 0.78% 2.00% Tata Steel Market Value - 44,128 - - - 22,064 Ltd. Steel 23-04-2022 % of NAV - 5.00% - - - 1.11% Market Value - - - - - Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value - - - - - 10,199 Hotels Ltd. Restaurants 24-02-2017 % of NAV - - - - - 0.51%

Annual Report | 2015 -16 111 (` ‘000) Security Name Industry Data TSL TFL TCG TGE TGM TLC TSE Tata Market Value 5,402 - 378 133 2,043 4,46,584 1,43,471 Consultancy It - Software Services Ltd. % of NAV 2.08% - 0.77% 2.21% 3.64% 4.63% 7.26% Tata Motors Market Value 4,979 - 124 91 1,865 3,85,140 - Automobile Limited % of NAV 1.92% - 0.25% 1.52% 3.32% 4.00% - Tata Steel Market Value - - - - - 69,478 - Steel Limited % of NAV - - - - - 0.72% - Titan Company Consumer Market Value 1,762 - - - 783 - 56,947 Ltd. Durables % of NAV 0.68% - - - 1.40% - 2.88% 2.00% Tata Steel Market Value ------Steel Ltd. 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Hotels Ltd. Restaurants 24-02-2017 % of NAV ------

(` ‘000) Security Industry Data UCX AIN ARL ITF ITT IAF ISF IBF Name Tata Market Value 227 - 74,065 49,036 20,432 3,192 1,124 - It - Consultancy Software Services Ltd. % of NAV 0.95% - 2.63% 5.52% 1.05% 1.90% 0.99% - Tata Motors Market Value 59 - 55,020 42,145 43,541 3,274 1,018 - Automobile Limited % of NAV 0.25% - 1.95% 4.74% 2.23% 1.95% 0.89% - Tata Steel Market Value - - 12,353 - 6,335 - - - Steel Limited % of NAV - - 0.44% - 0.32% - - - Titan Consumer Market Value - - - - 9,790 1,057 372 - Company Ltd. Durables % of NAV - - - - 0.50% 0.63% 0.33% - 2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value - - - - 9,795 - - - Voltas Ltd. Diversified % of NAV - - - - 0.50% - - - 9.90% Indian Market Value ------Restau Hotels Ltd. rants 24-02-2017 % of NAV ------

Annual Report | 2015 -16 112 (` ‘000) Security Industry Data WLE WLI WLA WLS WLF FBP FCG Name Tata Market Value - - 1,25,092 18,593 - 817 255 It - Consultancy Software Services Ltd. % of NAV - - 3.09% 2.15% - 0.64% 0.81% Tata Motors Market Value - - 1,13,655 16,506 - 721 81 Automobile Limited % of NAV - - 2.81% 1.91% - 0.57% 0.26% Tata Steel Market Value ------Steel Limited % of NAV ------Titan Consumer Market Value 2,34,960 - 29,370 - - 255 - Company Ltd. Durables % of NAV 1.09% - 0.73% - - 0.20% - 2.00% Tata Market Value - 1,10,319 11,032 - - - - Steel Ltd. Steel 23-04-2022 % of NAV - 4.46% 0.27% - - - - Market Value 62,966 - - 7,010 - - - Voltas Ltd. Diversified % of NAV 0.29% - - 0.81% - - - 9.90% Indian Market Value ------Restau Hotels Ltd. rants 24-02-2017 % of NAV ------

(i) Previous Year (` ‘000)

Security Name Industry Data FEP FGP FIP FSE TIS TSS AR2 Tata Market Value 94,496 3,576 - 25,675 - 6,64,027 44,694 Consultancy It - Software Services Ltd. % of NAV 4.98% 1.48% - 8.37% - 7.28% 2.19% Tata Motors Market Value 86,381 3,521 - - 5,502 - 38,514 Automobile Limited % of NAV 4.56% 1.46% - - 1.34% - 1.89% Tata Steel Market Value - - - - 6,335 - 9,503 Steel Limited % of NAV - - - - 1.54% - 0.47% Titan Company Consumer Market Value 35,244 1,175 - 7,832 - 2,76,031 - Ltd. Durables % of NAV 1.86% 0.49% - 2.55% - 3.03% - 2.00% Tata Steel Market Value - - 11,032 - - - - Steel Ltd. 23-04-2022 % of NAV - - 3.82% - - - - Market Value - - - - 6,996 - - Voltas Ltd. Diversified % of NAV - - - - 1.70% - - 9.90% Indian Market Value ------Hotels Ltd. Restaurants 24-02-2017 % of NAV ------

Annual Report | 2015 -16 113 (` ‘000) Security Name Industry Data UCS FSX PI1 PI2 PI3 PI4 PR1 PR2 PR3 Tata Market Value 97 29,370 - - - - 702 30,647 12,706 Consultancy It - Software Services Ltd. % of NAV 0.84% 8.95% - - - - 2.66% 2.40% 3.48% Tata Motors Market Value ------729 27,235 10,454 Automobile Limited % of NAV ------2.76% 2.13% 2.86% Tata Steel Market Value ------4,751 1,584 Steel Limited % of NAV ------0.37% 0.43% Titan Company Consumer Market Value - 7,832 - - - - - 8,615 - Ltd. Durables % of NAV - 2.39% - - - - - 0.67% - 2.00% Tata Steel Market Value ------Steel Ltd. 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Hotels Ltd. Restaurants 24-02-2017 % of NAV ------

(i) Previous Year (` ‘000) Security Name Industry Data PR4 PR5 PR6 PR7 PR8 AP1 RA1 RA2 Tata Market Value 1,788 2,171 7,023 1,737 383 - 31,924 10,216 Consultancy It - Software Services Ltd. % of NAV 4.34% 2.56% 2.39% 3.00% 3.22% - 2.19% 2.75% Tata Motors Market Value 1,376 2,256 6,878 1,651 330 - 33,012 8,253 Automobile Limited % of NAV 3.34% 2.66% 2.34% 2.85% 2.78% - 2.26% 2.22% Tata Steel Market Value - 348 2,154 293 63 - 7,602 1,584 Steel Limited % of NAV - 0.41% 0.73% 0.51% 0.53% - 0.52% 0.43% Titan Company Consumer Market Value - - 3,133 235 - - - 1,175 Ltd. Durables % of NAV - - 1.07% 0.41% - - - 0.32% 2.00% Tata Steel Market Value ------Steel Ltd. 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Hotels Ltd. Restaurants 24-02-2017 % of NAV ------

Annual Report | 2015 -16 114 (` ‘000) Security Industry Data ASI ASR DCF SI2 SR2 SI3 SR3 Name Tata Market Value - 20,432 - - 9,833 - 13,281 It - Consultancy Software Services Ltd. % of NAV - 2.95% - - 2.77% - 3.20% Tata Motors Market Value - 16,300 - - 8,253 - 10,179 Automobile Limited % of NAV - 2.35% - - 2.33% - 2.45% Tata Steel Market Value - 2,455 - - 1,425 - 2,376 Steel Limited % of NAV - 0.35% - - 0.40% - 0.57% Titan Consumer Market Value - - - - 979 - 1,958 Company Ltd. Durables % of NAV - - - - 0.28% - 0.47% 2.00% Tata Market Value ------Steel Ltd. Steel 23-04-2022 % of NAV ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Hotels Ltd. 24- Restaurants 02-2017 % of NAV ------(i) Previous Year (` ‘000)

Security Name Industry Data E1 I1 L1 S1 BO BL G2 M1 Tata Market Value 38,309 - - - - 5,746 690 - Consultancy It - Software Services Ltd. % of NAV 4.91% - - - - 0.93% 1.40% - Tata Motors Market Value 30,261 - - - - 4,402 605 - Automobile Limited % of NAV 3.88% - - - - 0.72% 1.23% - Tata Steel Market Value 7,573 - - - - 634 133 - Steel Limited % of NAV 0.97% - - - - 0.10% 0.27% - Titan Company Consumer Market Value ------Ltd. Durables % of NAV ------2.00% Tata Steel Market Value - 1,32,383 ------Steel Ltd. 23-04-2022 % of NAV - 5.48% ------Market Value ------Voltas Ltd. Diversified % of NAV ------9.90% Indian Market Value ------Hotels Ltd. Restaurants 24-02-2017 % of NAV ------ii) Total Funds under Management (` ‘000) Market Value Net Asset Security Name Industry % of NAV of Investment Value (NAV) Tata Consultancy Services Limited It - Software 3.07% 3,153,620 102,596,649 Tata Motors Limited Automobile 2.01% 2,063,655 102,596,649 Tata Steel Limited Steel 0.27% 278,043 102,596,649 Titan Company Ltd. Consumer Durables 0.69% 707,387 102,596,649 2.00% Tata Steel Ltd. 23-04-2022 Steel 0.32% 330,958 102,596,649 Voltas Ltd. Diversified 0.08% 86,767 102,596,649 9.90% Indian Hotels Ltd. 24-02-2017 Hotels & Restaurants 0.01% 10,199 102,596,649

Annual Report | 2015 -16 115 (3.4) Industry-wise disclosure of investments (with exposure of 10% and above) segregated at scrip level. (Investment in Industries where exposure is below 10% of Net Assets of the Scheme has been grouped under the head “Others”.):

Current Period (` ‘000) NIC Activity Industry Data TEL TIL TLL TBL TGL Code Financial and Market Value 35,44,534 1,56,831 51,329 75,374 3,64,763 SECK insurance activities % of NAV 24.72% 21.33% 36.61% 19.11% 27.77% Manufacture of Market Value - - - - - motor vehicles, DIV29 trailers and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% semi-trailers Financial service Market Value - - - - - activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value 21,74,829 - - - programming, DIV62 consultancy and % of NAV 15.16% 0.00% 0.00% 0.00% 0.00% related activities Manufacture of Market Value - - - - - coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - - - - - Pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value - - - - - chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value - - - - - steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Market Value - - - - - Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 83,64,590 1,78,002 - 93,828 5,76,982 Others % of NAV 58.33% 24.21% 0.00% 23.79% 43.93%

(` ‘000) NIC Activity Industry Data TAL TSL TFL TCG TGE TGM Code Financial and Market Value 4,47,190 45,883 39,020 4,467 833 8,353 insurance SECK activities % of NAV 27.59% 19.98% 23.20% 11.05% 16.56% 23.56% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding

Annual Report | 2015 -16 116 (` ‘000) NIC Activity Industry Data TAL TSL TFL TCG TGE TGM Code Computer Market Value 1,62,601 - - - - 3,919 programming, DIV62 consultancy and % of NAV 10.03% 0.00% 0.00% 0.00% 0.00% 11.05% related activities Manufacture Market Value ------of coke and DIV27 refined petroleum % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Manufacture of Market Value ------pharmaceuticals, medicinal DIV21 and chemical % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Manufacture Market Value ------of chemicals DIV20 and chemical % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Electricity, gas, Market Value ------steam and air DIV35 conditioning % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% supply Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 6,18,851 54,213 19,471 3,875 1,274 10,914 Others % of NAV 38.19% 23.61% 11.58% 9.59% 25.31% 30.79% (` ‘000) NIC Activity Industry Data TLC TSE UCX AIN ARL ITF Code Financial and Market Value 18,87,332 - 2,013 - 5,54,440 1,32,758 SECK insurance activities % of NAV 24.98% 0.00% 10.04% 0.00% 22.69% 24.25% Manufacture of Market Value - 1,81,160 - - - - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 12.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value - - - - 3,28,399 - activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 13.44% 0.00% Pension funding Computer Market Value 11,42,536 1,78,651 - - - 87,135 programming, DIV62 consultancy and % of NAV 15.12% 11.83% 0.00% 0.00% 0.00% 15.92% related activities Manufacture of Market Value - 1,59,757 - - - - coke and refined DIV27 petroleum products % of NAV 0.00% 10.58% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 1,95,220 - - - 56,186 pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 12.93% 0.00% 0.00% 0.00% 10.26% chemical products Manufacture of Market Value - 2,07,845 - - - - chemicals and DIV20 chemical products % of NAV 0.00% 13.76% 0.00% 0.00% 0.00% 0.00%

Annual Report | 2015 -16 117 (` ‘000) NIC Activity Industry Data TLC TSE UCX AIN ARL ITF Code Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Market Value 42,55,572 4,63,919 1,973 - 7,26,585 2,39,982 Others % of NAV 56.33% 30.72% 9.84% 0.00% 29.74% 43.84%

(` ‘000) NIC Activity Industry Data ITT IAF ISF IBF WLE WLI Code Market Value 2,96,261 24,246 10,013 19,756 31,09,629 4,80,061 Financial and SECK insurance activities % of NAV 23.79% 21.21% 12.62% 20.16% 16.98% 19.47% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value 1,47,927 - - - - - programming, DIV62 consultancy and % of NAV 11.88% 0.00% 0.00% 0.00% 0.00% 0.00% related activities Manufacture of Market Value ------coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Electricity, gas, Market Value - - - 10,028 - - steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 10.23% 0.00% 0.00%

Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Market Value 7,68,837 29,878 8,047 11,545 1,41,87,297 5,35,926 Others % of NAV 61.74% 26.14% 10.14% 11.78% 77.46% 21.73%

Annual Report | 2015 -16 118 (` ‘000) NIC Activity Industry Data WLA WLS WLF FBP FCG FEP Code Financial and Market Value 10,25,726 1,70,209 3,88,745 12,422 2,695 3,35,340 SECK insurance activities % of NAV 29.77% 23.01% 31.23% 11.61% 10.22% 24.46% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - - - - - 2,16,264 programming, DIV62 consultancy and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 15.78% related activities Manufacture of Market Value ------coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 15,47,244 2,52,485 1,05,593 7,426 2,627 7,61,895 Others % of NAV 44.91% 34.13% 8.48% 6.94% 9.96% 55.58%

(` ‘000) NIC Activity Industry Data FGP FIP FSE TIS TSS AR2 Code Financial and Market Value 32,209 40,530 - - - 6,64,006 SECK insurance activities % of NAV 18.07% 20.32% 0.00% 0.00% 0.00% 38.07% Manufacture of Market Value - - 26,236 23,055 8,44,505 - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 12.06% 10.13% 12.58% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - - 26,372 - 8,18,210 - programming, DIV62 consultancy and % of NAV 0.00% 0.00% 12.13% 0.00% 12.19% 0.00% related activities Manufacture of Market Value - - 24,228 - 7,43,488 - coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 11.14% 0.00% 11.08% 0.00%

Annual Report | 2015 -16 119 (` ‘000) NIC Activity Industry Data FGP FIP FSE TIS TSS AR2 Code Manufacture of Market Value - - 27,584 - 8,66,092 - pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 12.68% 0.00% 12.91% 0.00% chemical products Manufacture of Market Value - - 29,212 - 9,43,387 - chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 13.43% 0.00% 14.06% 0.00% Electricity, gas, Market Value - 20,055 - - - - steam and air DIV35 conditioning supply % of NAV 0.00% 10.05% 0.00% 0.00% 0.00% 0.00% Market Value - - - 24,845 - - Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 10.91% 0.00% 0.00% Market Value 37,270 26,306 67,060 1,68,805 22,62,082 6,47,885 Others % of NAV 20.91% 13.19% 30.84% 74.15% 33.71% 37.15% (` ‘000) NIC Activity Industry Data UCS FSX PI1 PI2 PI3 PI4 Code Financial and Market Value ------SECK insurance activities % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 24,258 - - - - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 12.36% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - 23,358 - - - - programming, DIV62 consultancy and % of NAV 0.00% 11.90% 0.00% 0.00% 0.00% 0.00% related activities Manufacture of Market Value - 20,301 - - - - coke and refined DIV27 petroleum products % of NAV 0.00% 10.34% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 25,656 - - - - pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 13.07% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value - 26,592 - - - - chemicals and DIV20 chemical products % of NAV 0.00% 13.55% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 1,164 59,156 - - - - Others % of NAV 16.54% 30.14% 0.00% 0.00% 0.00% 0.00%

Annual Report | 2015 -16 120 (` ‘000) NIC Activity Industry Data PR1 PR2 PR3 PR4 PR5 PR6 Code Financial and Market Value 7,284 3,16,592 39,320 5,821 20,838 68,017 SECK insurance activities % of NAV 32.71% 32.97% 15.07% 20.00% 28.43% 30.74% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - - - 3,283 - - programming, DIV62 consultancy and % of NAV 0.00% 0.00% 0.00% 11.28% 0.00% 0.00% related activities Manufacture of Market Value ------coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value 2,327 - - - - - steam and air DIV35 conditioning supply % of NAV 10.45% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 6,443 3,52,284 1,00,216 11,955 30,512 86,762 Others % of NAV 28.93% 36.68% 38.40% 41.08% 41.63% 39.21% (` ‘000) NIC Activity Industry Data PR7 PR8 AP1 RA1 RA2 ASI Code Financial and Market Value 7,834 1,568 - 3,31,923 89,578 - SECK insurance activities % of NAV 15.30% 18.67% 0.00% 30.18% 31.44% 0.00% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - 892 - - - - programming, DIV62 consultancy and % of NAV 0.00% 10.62% 0.00% 0.00% 0.00% 0.00% related activities Manufacture of Market Value ------coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Annual Report | 2015 -16 121 (` ‘000) NIC Activity Industry Data PR7 PR8 AP1 RA1 RA2 ASI Code Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value - - - 1,44,944 - - steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 13.18% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 17,856 2,831 - 2,98,911 1,17,190 - Others % of NAV 34.87% 33.69% 0.00% 27.18% 41.13% 0.00%

(` ‘000) NIC Activity Industry Data ASR DCF SI2 SR2 SI3 SR3 Code Financial and Market Value 2,16,670 8,54,716 - 1,18,016 - 1,43,989 SECK insurance activities % of NAV 31.73% 26.38% 0.00% 29.49% 0.00% 30.25% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value ------programming, DIV62 consultancy and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% related activities Manufacture of Market Value ------coke and refined DIV27 petroleum products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 3,01,089 1,95,098 - 1,73,075 - 1,99,877 Others % of NAV 44.10% 6.02% 0.00% 43.24% 0.00% 41.99%

Annual Report | 2015 -16 122 (` ‘000) NIC Industry Activity Data MCF ICF E1 I1 L1 S1 BO BL Code Market Financial and 25 19 1,36,535 4,35,155 69,965 13,715 1,35,194 1,08,218 Value insurance SECK activities % of NAV 18.98% 13.20% 21.51% 17.85% 33.26% 20.93% 23.12% 16.28% Manufacture of Market ------motor vehicles, Value DIV29 trailers and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% semi-trailers Financial service Market ------activities, except Value DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market - - 1,00,170 - - - - - programming, Value DIV62 consultancy and % of NAV 0.00% 0.00% 15.78% 0.00% 0.00% 0.00% 0.00% 0.00% related activities Manufacture Market ------of coke and Value DIV27 refined petroleum % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Manufacture of Market ------pharmaceuticals, Value medicinal and DIV21 chemical % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Manufacture of Market ------chemicals and Value DIV20 chemical % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% products Electricity, gas, Market ------steam and air Value DIV35 conditioning % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% supply Market Civil ------DIV42 Value engineering % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market 72 74 3,58,223 6,57,800 - 9,852 92,782 92,538 Others Value % of NAV 55.19% 52.50% 56.44% 26.98% 0.00% 15.04% 15.87% 13.92% (` ‘000) NIC Industry Activity Data G2 M1 Code Market Value - - Financial and insurance activities SECK % of NAV 0.00% 0.00% Market Value - - Manufacture of motor vehicles, trailers and semi-trailers DIV29 % of NAV 0.00% 0.00% Financial service activities, except insurance and Pension Market Value - - DIV64 funding % of NAV 0.00% 0.00%

Annual Report | 2015 -16 123 (` ‘000) NIC Industry Activity Data G2 M1 Code Market - - Computer programming, consultancy and related activities DIV62 Value % of NAV 0.00% 0.00% Manufacture of pharmaceuticals, medicinal and chemical Market Value - - DIV21 products % of NAV 0.00% 0.00% Market Value - - Manufacture of chemicals and chemical products DIV20 % of NAV 0.00% 0.00% Market Value - - Electricity, gas, steam and air conditioning supply DIV35 % of NAV 0.00% 0.00% Market Value - - Civil engineering DIV42 % of NAV 0.00% 0.00% Market Value - - Others % of NAV 0.00% 0.00% Note: Investment in Government Bond, Reverse Repo & T-bill not considered for Industry exposure.

Previous year (` ’000) NIC Industry Activity Data TEL TIL TLL TBL TGL Code Market Value 4,550,547 180,648 158,534 101,625 408,161 Financial and insurance activities SECK % of NAV 24.55% 20.47% 98.42% 24.69% 28.97% Manufacture of motor vehicles, Market Value - - - - - DIV29 trailers and semi-trailers % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Financial service Market Value - - - - - activities, except DIV64 insurance and Pension funding % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Computer programming, Market Value 2,873,741 - - - - DIV62 consultancy and related activities % of NAV 15.51% 0.00% 0.00% 0.00% 0.00% Manufacture of electrical Market Value - - - - - DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - - - - - pharmaceuticals, DIV21 medicinal and chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of chemicals and Market Value - - - - - DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, steam and air Market Value - - - - - DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Market Value - - - - - Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 10,998,589 235,679 - 110,936 637,301 Others % of NAV 59.35% 26.71% 0.00% 26.95% 45.24%

Annual Report | 2015 -16 124 (` ‘000) NIC Industry Activity Data TAL TSL TFL TCG TGE TGM Code Market Value 555,605 75,404 85,471 9,839 928 17,188 Financial and insurance activities SECK % of NAV 27.84% 29.01% 41.71% 20.08% 15.48% 30.62% Manufacture of motor vehicles, Market Value ------DIV29 trailers and semi-trailers % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Financial service activities, Market Value ------except insurance and Pension DIV64 funding % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Computer programming, Market Value 203,956 - - - - 6,998 DIV62 consultancy and related activities % of NAV 10.22% 0.00% 0.00% 0.00% 0.00% 12.47% Manufacture of electrical Market Value ------DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of pharmaceuticals, Market Value ------DIV21 medicinal and chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of chemicals and Market Value ------DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, steam and air Market Value ------DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 866,208 73,456 44,499 4,112 1,766 19,248 Others % of NAV 43.40% 28.26% 21.71% 8.39% 29.45% 34.30% (` ‘000) NIC Activity Industry Data TLC TSE UCX AIN ARL ITF Code Financial and Market Value 2,355,125 - 5,442 - 1,207,502 224,294 SECK insurance activities % of NAV 24.44% 0.00% 22.73% 0.00% 42.89% 25.23% Manufacture of Market Value - 263,819 - - - - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 13.35% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value - - - - 348,549 - activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 12.38% 0.00% Pension funding Computer Market Value 1,462,044 263,862 - - - 163,818 programming, DIV62 consultancy and % of NAV 15.17% 13.35% 0.00% 0.00% 0.00% 18.43% related activities Manufacture Market Value - 205,330 - - - - of electrical DIV27 equipment % of NAV 0.00% 10.39% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 242,969 - - - 103,843 pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 12.30% 0.00% 0.00% 0.00% 11.68% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Annual Report | 2015 -16 125 (` ‘000) NIC Activity Industry Data TLC TSE UCX AIN ARL ITF Code Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 5,802,026 952,396 2,044 - 1,062,039 387,965 Others % of NAV 60.21% 48.20% 8.54% 0.00% 37.72% 43.65% (` ‘000) NIC Activity Industry Data ITT IAF ISF IBF WLE WLI Code Financial and Market Value 478,460 44,521 35,206 20,225 4,765,773 340,683 SECK insurance activities % of NAV 24.48% 26.49% 30.86% 13.24% 22.08% 13.78% Manufacture of Market Value 219,540 - - - 2,426,398 - motor vehicles, DIV29 trailers and semi- % of NAV 11.23% 0.00% 0.00% 0.00% 11.24% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value 195,753 - - - - - programming, DIV62 consultancy and % of NAV 10.02% 0.00% 0.00% 0.00% 0.00% 0.00% related activities Manufacture Market Value ------of electrical DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharma ceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value - - - - - 304,005 steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 12.29% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 1,079,257 48,945 15,364 32,338 14,266,698 424,891 Others % of NAV 55.23% 29.13% 13.47% 21.17% 66.11% 17.18% (` ‘000) NIC Activity Industry Data WLA WLS WLF FBP FCG FEP Code Financial and Market Value 1,246,022 229,362 456,472 34,819 7,198 497,124 SECK insurance activities % of NAV 30.76% 26.49% 34.75% 27.47% 22.91% 26.22% Manufacture of Market Value - - - - - 202,490 motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 10.68% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding

Annual Report | 2015 -16 126 (` ‘000) NIC Activity Industry Data WLA WLS WLF FBP FCG FEP Code Computer Market Value 411,162 - - - - 295,477 programming, DIV62 consultancy and % of NAV 10.15% 0.00% 0.00% 0.00% 0.00% 15.58% related activities Manufacture Market Value ------of electrical DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 1,515,796 305,477 329,932 10,802 2,835 903,100 Others % of NAV 37.42% 35.28% 25.11% 8.52% 9.02% 47.62%

(` ‘000) NIC Activity Industry Data FGP FIP FSE TIS TSS AR2 Code Financial and Market Value 58,306 61,582 - 54,169 - 969,914 SECK insurance activities % of NAV 24.16% 21.31% 0.00% 13.15% 0.00% 47.63% Manufacture of Market Value - - 39,642 56,224 1,215,802 - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 12.93% 13.65% 13.33% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - 48,226 - 1,308,409 - programming, - DIV62 consultancy and % of NAV 0.00% 0.00% 15.72% 0.00% 14.34% 0.00% related activities Manufacture Market Value - - 33,414 - 1,036,474 - of electrical DIV27 equipment % of NAV 0.00% 0.00% 10.90% 0.00% 11.36% 0.00% Manufacture of Market Value - - 34,930 - 1,024,728 - pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 11.39% 0.00% 11.23% 0.00% chemical products Manufacture of Market Value - - - - 933,925 - chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 10.24% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Annual Report | 2015 -16 127 (` ‘000) NIC Activity Industry Data FGP FIP FSE TIS TSS AR2 Code Market Value - - - 55,919 - - Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 13.57% 0.00% 0.00% Market Value 50,778 76,460 145,060 249,466 3,545,284 919,431 Others % of NAV 21.04% 26.46% 47.30% 60.55% 38.86% 45.15% (` ‘000) NIC Activity Industry Data UCS FSX PI1 PI2 PI3 PI4 Code Financial and Market Value 3,206 - - - - - SECK insurance activities % of NAV 27.81% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 45,879 - - - - motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 13.98% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - 55,029 - - - - programming, DIV62 consultancy and % of NAV 0.00% 16.77% 0.00% 0.00% 0.00% 0.00% related activities Manufacture Market Value - 38,874 - - - of electrical DIV27 - equipment % of NAV 0.00% 11.85% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - 34,286 - - pharmaceuticals, - - DIV21 medicinal and % of NAV 0.00% 10.45% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Electricity, gas, Market Value ------steam and air DIV35 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% conditioning supply Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 963 149,829 - - - - Others % of NAV 8.36% 45.66% 0.00% 0.00% 0.00% 0.00% (` ‘000) NIC Activity Industry Data PR1 PR2 PR3 PR4 PR5 PR6 Code Financial and Market Value 10,742 538,433 64,829 9,497 30,632 115,653 SECK insurance activities % of NAV 40.67% 42.14% 17.73% 23.03% 36.12% 39.39% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding

Annual Report | 2015 -16 128 (` ‘000) NIC Activity Industry Data PR1 PR2 PR3 PR4 PR5 PR6 Code Computer Market Value - - 39,998 4,829 - - programming, DIV62 consultancy and % of NAV 0.00% 0.00% 10.94% 11.71% 0.00% 0.00% related activities Manufacture Market Value ------of electrical DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value ------steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 11,483 634,817 133,861 17,595 44,391 135,083 Others % of NAV 43.48% 49.68% 36.61% 42.67% 52.34% 46.01% (` ‘000) NIC Activity Industry Data PR7 PR8 AP1 RA1 RA2 ASI Code Financial and Market Value 11,324 2,382 - 610,682 141,565 - SECK insurance activities % of NAV 19.56% 20.05% 0.00% 41.83% 38.12% 0.00% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value - 1,304 - - - - programming, DIV62 consultancy and % of NAV 0.00% 10.98% 0.00% 0.00% 0.00% 0.00% related activities Manufacture Market Value ------of electrical DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value - - - 173,028 - - steam and air DIV35 conditioning supply % of NAV 0.00% 0.00% 0.00% 11.85% 0.00% 0.00%

Annual Report | 2015 -16 129 (` ‘000) NIC Activity Industry Data PR7 PR8 AP1 RA1 RA2 ASI Code Market Value ------Civil engineering DIV42 % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 23,466 4,243 - 577,741 175,485 - Others % of NAV 40.53% 35.71% 0.00% 39.57% 47.25% 0.00% (` ‘000) NIC Activity Industry Data ASR DCF SI2 SR2 SI3 SR3 Code Financial and Market Value 227,656 4,465,153 - 118,080 - 141,349 SECK insurance activities % of NAV 32.88% 79.44% 0.00% 33.28% 0.00% 34.04% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers Financial service Market Value ------activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pension funding Computer Market Value ------programming, DIV62 consultancy and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% related activities

Manufacture Market Value - - - - - of electrical DIV27 - equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value - - - - - pharmaceuticals, - DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products

Manufacture of Market Value - - - - - chemicals and DIV20 - chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Electricity, gas, Market Value - - - - - steam and air DIV35 - conditioning supply % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Market Value - - - - - Civil engineering DIV42 - % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Market Value 321,069 474,024 147,945 - 203,666 Others - % of NAV 46.38% 8.43% 0.00% 41.69% 0.00% 49.04% (` ‘000) NIC Activity Industry Data E1 I1 L1 S1 BO BL Code Financial and Market Value 199,825 300,193 233,441 20,623 98,173 148,390 SECK insurance activities % of NAV 25.62% 12.43% 96.28% 33.83% 18.47% 24.14% Manufacture of Market Value ------motor vehicles, DIV29 trailers and semi- % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% trailers

Annual Report | 2015 -16 130 (` ‘000) NIC Activity Industry Data E1 I1 L1 S1 BO BL Code Financial service Market Value - - - 7,107 - - activities, except DIV64 insurance and % of NAV 0.00% 0.00% 0.00% 11.66% 0.00% 0.00% Pension funding Computer Market Value 120,175 - - - - - programming, DIV62 consultancy and % of NAV 15.41% 0.00% 0.00% 0.00% 0.00% 0.00% related activities Manufacture Market Value ------of electrical DIV27 equipment % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Manufacture of Market Value ------pharmaceuticals, DIV21 medicinal and % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% chemical products Manufacture of Market Value ------chemicals and DIV20 chemical products % of NAV 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Electricity, gas, Market Value - 267,167 - - - - steam and air DIV35 conditioning supply % of NAV 0.00% 11.06% 0.00% 0.00% 0.00% 0.00% Market Value 78,380 - - - - - Civil engineering DIV42 % of NAV 10.05% 0.00% 0.00% 0.00% 0.00% 0.00% Market Value 377,390 429,244 - 9,061 144,717 89,255 Others % of NAV 48.39% 17.77% 0.00% 14.86% 27.23% 14.52% (` ‘000) NIC Activity Industry Data G2 M1 Code Market Value 11,340 - Financial and insurance activities SECK % of NAV 23.05% 0.00% Market Value - - Manufacture of motor vehicles, trailers and semi-trailers DIV29 % of NAV 0.00% 0.00% Financial service activities, except insurance and Pension Market Value - - DIV64 funding % of NAV 0.00% 0.00% Computer programming, consultancy and related Market Value - - DIV62 activities % of NAV 0.00% 0.00% Market Value - - Manufacture of electrical equipment DIV27 % of NAV 0.00% 0.00%

Manufacture of pharmaceuticals, medicinal and chemical Market Value - - DIV21 products % of NAV 0.00% 0.00% Market Value - - Manufacture of chemicals and chemical products DIV20 % of NAV 0.00% 0.00% Market Value - - Electricity, gas, steam and air conditioning supply DIV35 % of NAV 0.00% 0.00% Market Value - - Civil engineering DIV42 % of NAV 0.00% 0.00% Market Value 10,518 - Others % of NAV 21.38% 0.00% Note: Investment in Government Bond, Reverse Repo & T-bill not considered for Industry exposure.

Annual Report | 2015 -16 131 (3.5) Unclaimed redemptions – Not applicable

(3.6) NAV : Highest, Lowest and Closing at the end of the period

Current Period (`) TEL TIL TLL TBL TGL TA L TSL TFL TCG TGE High 52.0476 22.1814 21.9463 30.6480 39.1107 24.8173 23.1396 20.0866 17.0795 16.6312 Low 41.6951 20.5762 20.4802 28.7251 34.8003 21.9593 21.5396 18.6591 16.1244 15.3669 Close 46.1961 22.1814 21.9463 30.4071 37.4842 23.6921 22.9003 20.0866 17.0795 16.2870 (Mar 31, 2016)

TGM TLC IAF IBF ISF ITF ITT TSE UCX WLE High 14.8880 19.3119 17.0969 17.1895 16.5543 27.9574 34.8127 35.2231 15.2166 34.6394 Low 13.1250 15.5366 15.8495 15.9836 15.5936 22.7612 28.1223 28.9373 14.4782 27.3300 Close 14.1833 17.1528 16.8434 17.1895 16.5543 25.1619 30.9716 31.4720 15.2166 30.7856 (Mar 31, 2016)

WLI WLA WLS WLF FBP FCG FEP FGP FIP FSE High 20.2241 24.7160 20.8689 19.6459 17.9759 16.7006 21.3513 18.0656 18.5847 34.2203 Low 18.7527 21.7818 19.2801 18.1991 16.8873 15.7629 17.3613 16.9351 17.2061 28.2857 Close 20.2241 23.5891 20.5986 19.6459 17.9759 16.7006 19.2424 17.9503 18.5847 30.8222 (Mar 31, 2016)

AIN ARL TIS TSS AR2 UCS FSS PI1 PI2 PI3 High 10.0000 17.4013 15.7483 23.4897 16.4008 15.4155 22.2670 10.0000 10.0049 10.0159 Low 9.9974 16.6373 11.8498 19.2530 15.6466 14.5570 18.3371 9.9964 9.9924 9.9918 Close 10.0000 17.3605 13.5630 21.0235 16.3381 15.4155 19.9407 10.0000 10.0000 10.0000 (Mar 31, 2016)

PI4 PR1 PR2 PR3 PR4 AP1 RA1 PR5 PR6 PR7 High 10.0160 16.1643 16.1988 16.2906 16.8758 10.0000 16.1307 14.7315 14.6856 15.0912 Low 9.9844 15.2760 15.2290 14.6620 14.6989 9.9938 15.1780 13.8275 13.7065 13.6109 Close 10.0160 16.0101 15.9924 15.6618 15.8697 10.0000 15.9283 14.5321 14.4186 14.5330 (Mar 31, 2016)

PR8 RA2 DCF ASI ASR SI2 SR2 SI3 SR3 MCF ICF High 15.2557 14.4768 15.1955 10.0721 15.3620 10.0553 16.4411 10.0957 16.0785 10.1308 10.1133 Low 13.3265 13.5383 14.0544 9.9939 14.1483 9.9966 15.0973 9.9864 14.6559 8.8962 9.1796 Close (Mar 14.3317 14.2354 15.1955 10.0087 14.9447 10.0065 15.9373 10.0957 15.4971 9.7097 9.7136 31, 2016)

E1 I1 L1 S1 BO BL G2 M1 High 56.0760 23.1399 22.3757 19.7494 19.7790 18.7196 17.8892 10.0000 Low 44.7369 21.4612 20.8832 18.3479 18.3271 17.6450 10.0000 10.0000 Close (Mar 31, 2016) 49.5275 23.1399 22.3757 19.7494 19.7790 18.7196 10.0000 10.0000

Previous Year (`) TEL TIL TLL TBL TGL TA L TSL TFL TCG TGE High 52.5454 20.6843 20.4758 30.6692 39.4786 24.9548 23.1358 18.6553 16.5403 16.5513 Low 38.9705 17.7528 18.9193 24.7523 29.6233 18.6745 18.4448 17.0807 14.1651 13.2106 Close 49.9858 20.6843 20.4758 30.0969 38.1632 24.2072 22.6667 18.6553 16.398 16.2481 (March 31, 2015)

Annual Report | 2015 -16 132 (`) TGM TLC IAF IBF ISF ITF ITT TSE UCX WLE High 15.0924 19.3767 17.1340 16.0661 16.0617 28.1971 34.1171 34.5349 14.8648 32.6929 Low 11.5404 13.9203 13.6976 13.8106 13.5260 20.9646 22.7300 22.6581 12.8203 18.0238 Close 14.5069 18.5280 16.8113 16.0661 15.9099 26.8745 33.3447 33.6608 14.7291 32.0154 (March 31, 2015)

WLI WLA WLS WLF FBP FCG FEP FGP FIP FSE High 18.8427 24.8281 20.7933 18.1952 17.2445 16.1779 21.4069 17.8917 17.2979 33.8323 Low 16.1245 18.1701 16.2660 16.6086 14.5771 13.7045 15.0429 14.7639 14.8299 21.7500 Close 18.8427 24.1368 20.4494 18.1952 17.1452 16.0325 20.5783 17.6419 17.2979 32.9237 (March 31, 2015)

AIN ARL TIS TSS AR2 UCS FSS PI1 PI2 PI3 High 10.0108 17.2995 15.7411 22.9766 16.2677 14.9106 21.9514 10.0000 10.0230 10.1890 Low 9.9969 14.1411 10.1341 14.8435 13.3141 12.6404 14.0423 9.9870 9.9923 9.9961 Close 10.0000 17.0394 15.2855 22.3586 16.0361 14.7892 21.4412 10.0000 9.9981 10.0072 (March 31, 2015)

PI4 PR1 PR2 PR3 PR4 AP1 RA1 PR5 PR6 PR7 High 10.0276 16.1742 16.1778 16.3465 17.0422 10.0244 16.1256 14.7609 14.7105 15.1830 Low 9.9916 12.8846 12.8273 12.6603 12.9270 9.9920 12.8713 11.6888 11.6797 11.7519 Close 10.0032 15.8887 15.8962 15.9054 16.4690 10.0000 15.8288 14.4644 14.3830 14.7401 (March 31, 2015)

PR8 RA2 DCF ASI ASR SI2 SR2 SI3 SR3 High 15.3521 14.4981 14.0512 10.0617 15.4269 10.0693 16.4617 10.0730 16.1424 Low 11.7767 11.5314 12.8834 9.9964 12.0919 9.9942 12.9155 9.9932 12.5463 Close (March 31, 2015) 14.8500 14.2012 14.0512 10.0186 15.0432 9.9987 16.0940 10.0141 15.6902

E1 I1 L1 S1 BO BL G2 M1 High 56.4163 21.5690 20.8787 18.3442 18.4293 18.0283 17.6259 12.5298 Low 42.0734 18.5026 19.2780 16.7941 15.8158 15.2831 14.7690 10.0000 Close (March 31, 2015) 53.9060 21.5690 20.8787 18.3442 18.4293 17.9251 17.3741 10.0000 (3.7) Expenses charged to Fund Annualized expense ratio to average daily assets of the scheme Current Year Fund Name TEL TIL TLL TBL TGL TA L TSL TFL WLE WLI WLA WLS WLF Ratio ( %) 1.75 1.25 0.90 1.40 1.60 1.60 1.40 0.90 1.20 0.80 1.10 1.00 0.65

Fund Name TCG TGE TGM TLC TSE UCX ITF ITT ICF IAF ISF IBF AIN ARL MCF Ratio ( %) 1.50 1.40 1.60 1.20 1.45 2.24 1.20 1.20 1.20 1.20 1.20 1.20 0.90 1.45 1.19

Fund Name AR2 TIS TSS UCS AP1 RA1 RA2 DCF ASI ASR SI2 SR2 SI3 SR3 Ratio ( %) 1.45 1.20 1.20 1.20 0.82 1.20 1.20 - 0.83 1.35 0.87 1.35 0.88 1.35

Fund Name E1 I1 L1 S1 BO BL G2 M1 FBP FCG FEP FGP FIP FSE Ratio ( %) 0.81 0.37 0.41 0.22 0.58 0.41 0.75 - 1.05 1.50 1.25 1.10 1.00 1.45

Fund Name FSS PI1 PI2 PI3 PI4 PR1 PR2 PR3 PR4 PR5 PR6 PR7 PR8 Ratio ( %) 1.25 0.78 0.87 0.83 0.87 1.20 1.20 1.20 1.20 1.20 1.20 1.20 1.20

Annual Report | 2015 -16 133 Previous Year Fund Name TEL TIL TLL TBL TGL TA L TSL TFL WLE WLI WLA WLS WLF TCG Ratio ( %) 1.75 1.25 0.90 1.40 1.60 1.60 1.40 0.90 1.20 0.80 1.10 1.00 0.65 1.5

Fund Name TGE TGM TLC TSE UCX ITF ITT IAF ISF IBF AIN ARL AR2 TIS Ratio ( %) 1.40 1.60 1.20 1.45 2.25 1.20 1.20 1.20 1.20 1.20 0.90 1.45 1.45 1.20

Fund Name TSS UCS AP1 RA1 RA2 DCF ASI ASR SI2 SR2 SI3 SR3 E1 I1 Ratio ( %) 1.20 1.20 0.89 1.20 1.20 - 0.90 1.35 0.86 1.35 0.90 1.35 0.93 0.37

Fund Name L1 S1 BO BL G2 M1 FBP FCG FEP FGP FIP FSE FSS PI1 Ratio ( %) 0.41 0.35 0.57 0.43 0.74 0.69 1.05 1.50 1.25 1.10 1.00 1.45 1.25 0.90

Fund Name PI2 PI3 PI4 PR1 PR2 PR3 PR4 PR5 PR6 PR7 PR8 Ratio ( %) 0.89 0.89 0.89 1.20 1.20 1.20 1.20 1.20 1.20 1.20 1.20

(3.8) Ratio of gross income (including unrealized gains) to average daily net assets:

Current Period Fund Name TEL TIL TLL TBL TGL TA L TSL TFL TCG Ratio ( %) -6.11% 8.30% 7.98% 2.56% 0.00% -0.49% 2.52% 8.42% 5.62%

Fund Name TGE TGM TLC IAF IBF ISF ITF ITT TSE Ratio ( %) 1.92% -0.78% -6.50% 1.23% 7.81% 5.00% -5.46% -5.72% -4.94%

Fund Name UCX WLE WLI WLA WLS WLF FBP FCG FEP Ratio ( %) 5.71% -2.34% 8.00% -1.19% 1.73% 8.42% 5.74% 5.67% -5.39%

Fund Name FGP FIP FSE AIN ARL TIS TSS AR2 UCS Ratio ( %) 2.71% 8.07% -4.96% 0.00% 3.43% -10.91% -4.75% 3.42% 5.17%

Fund Name FSS PI1 PI2 PI3 PI4 PR1 PR2 PR3 PR4 Ratio ( %) -5.79% N.A. 1.57% 2.84% 2.04% 2.03% 1.80% -0.25% -2.74%

Fund Name AP1 RA1 PR5 PR6 PR7 PR8 RA2 DCF ASI Ratio ( %) 0.00% 1.81% 1.76% 1.32% -0.07% -2.56% 1.42% 7.88% 5.26%

Fund Name ASR SI2 SR2 SI3 SR3 MCF ICF E1 I1 L1 S1 Ratio ( %) 0.60% 4.98% 0.71% 4.93% 0.63% 1.93% -0.38% -6.96% 8.18% 7.97% 8.42%

Fund Name BO BL G2 M1 Ratio ( %) 8.24% 5.58% 0.65% N.A

Previous Year Fund Name TEL TIL TLL TBL TGL TA L TSL TFL TCG Ratio ( %) 27.15% 15.75% 8.93% 20.41% 26.43% 27.80% 22.00% 9.84% 15.62%

Annual Report | 2015 -16 134 Fund Name TGE TGM TLC IAF IBF ISF ITF ITT TSE Ratio ( %) 21.18% 25.49% 29.70% 21.48% 15.59% 17.11% 26.13% 38.32% 41.25%

Fund Name UCX WLE WLI WLA WLS WLF FBP FCG FEP Ratio ( %) 15.91% 56.41% 15.64% 29.02% 23.46% 9.84% 16.72% 16.69% 32.34%

Fund Name FGP FIP FSE AIN ARL TIS TSS AR2 UCS Ratio ( %) 18.69% 15.62% 42.34% 3.39% 20.16% 42.46% 40.81% 20.31% 16.61%

Fund Name FSS PI1 PI2 PI3 PI4 PR1 PR2 PR3 PR4 Ratio ( %) 42.92% 0.00% 2.66% 6.20% 3.81% 21.78% 22.29% 23.22% 25.49%

Fund Name AP1 RA1 PR5 PR6 PR7 PR8 RA2 DCF ASI Ratio ( %) 3.07% 21.41% 22.03% 21.35% 22.21% 22.86% 21.33% 8.69% 6.04%

Fund Name ASR SI2 SR2 SI3 SR3 E1 I1 L1 S1 Ratio ( %) 22.39% 5.60% 22.01% 6.01% 22.25% 25.82% 15.69% 9.02% 9.81%

Fund Name BO BL G2 M1 Ratio ( %) 15.58% 16.46% 16.83% 12.84%

(3.9) Provision for doubtful debts on assets of the scheme: The Company has made no provisions for doubtful debts for the year ended March 31, 2016

Annual Report | 2015 -16 135 (3.10) Fund wise disclosure of appreciation and/or depreciation in value of investments as on March 31, 2016, segregated class wise: Current year (` ‘000) Fund Wise TEL TIL TLL TBL TGL TA L TSL TFL TCG TGE Equity-URCG 37,17,191 - - 46,121 1,97,988 3,26,615 31,945 - 1,004 747 Equity-URCL ------GSEC-URCG - 5,062 - 1,802 3,017 3,268 853 400 78 7 GSEC-URCL ------CORP - 12,136 - 191 381 7,144 - 170 - - BOND-URCG CORP ------BOND-URCL INFRA - 2,799 - - 1,004 3,567 - 14 - - BOND-URCG INFRA ------BOND-URCL MUTUAL ------Fund-URCG MUTUAL ------Fund-URCL Pref. ------Shares-URCG Pref. ------Shares-URCL

(` ‘000) Fund Wise TGM TLC TSE UCX ITF ITT IAF ISF IBF Equity-URCG 8,653 17,28,647 2,41,065 484 1,23,582 4,06,510 13,680 3,370 - Equity-URCL ------GSEC-URCG 126 - - 68 - - 610 461 668 GSEC-URCL ------CORP 77 BOND-URCG ------CORP BOND-URCL ------INFRA BOND-URCG ------316 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------

Annual Report | 2015 -16 136 (` ‘000) Fund Wise AIN ARL WLE WLI WLA WLS WLF FBP FCG Equity-URCG - 2,30,176 49,46,178 - 5,42,246 87,675 - 3,576 632 Equity-URCL ------GSEC-URCG - 9,599 - 15,930 8,340 2,714 2,420 782 79 GSEC-URCL ------CORP - BOND-URCG - 12,512 - 39,611 4,417 541 2,538 - CORP BOND-URCL ------INFRA BOND-URCG - 88,370 - 6,227 1,972 3,457 495 - - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------

(` ‘000) Fund Wise FEP FGP FIP FSE TIS TSS AR2 UCS FSX Equity-URCG 3,36,953 20,887 - 35,304 56,322 10,02,437 1,79,179 152 33,016 Equity-URCL ------GSEC-URCG - 898 1,369 - - - 4,655 49 - GSEC-URCL ------CORP - BOND-URCG - - 3,668 - - - 35,547 - CORP BOND-URCL ------INFRA BOND-URCG - - 795 - 632 - 16,648 - - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------

Annual Report | 2015 -16 137 (` ‘000) Fund Wise PI1 PI2 PI3 PI4 PR1 PR2 PR3 PR4 AP1 Equity-URCG - - - - 2,918 1,18,722 43,158 6,853 - Equity-URCL ------GSEC-URCG - - - - 132 4,533 2,470 134 - GSEC-URCL ------CORP - BOND-URCG - - - - 19 1,249 - - CORP BOND-URCL ------INFRA BOND-URCG - - - - 157 5,606 329 122 - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------

(` ‘000) Fund Wise RA1 PR5 PR6 PR7 PR8 RA2 DCF ASI ASR Equity-URCG 1,40,041 7,290 25,418 7,619 1,630 33,205 - - 82,745 Equity-URCL ------GSEC-URCG 3,508 357 1,150 690 79 1,220 - - 3,279 GSEC-URCL ------CORP 1,398 183 153 - - 209 - - 386 BOND-URCG CORP ------BOND-URCL INFRA 9,240 490 1,507 - - 2,145 - - 3,887 BOND-URCG INFRA ------BOND-URCL MUTUAL ------Fund-URCG MUTUAL ------Fund-URCL Pref. ------Shares-URCG Pref. ------Shares-URCL

Annual Report | 2015 -16 138 (` ‘000) Fund Wise SI2 SR2 SI3 SR3 MCF ICF E1 I1 L1 S1 BO Equity-URCG - 46,408 - 52,608 1 - 1,30,490 - - - - Equity-URCL - - - - - (1) - - - - - GSEC-URCG - 2,713 - 2,242 - - - 15,575 - 153 3,945 GSEC-URCL ------CORP BOND-URCG - 183 - 325 - - - 41,073 - 26 307 CORP BOND-URCL ------INFRA BOND-URCG - 1,664 - 2,143 - - - 10,263 - 0 1,969 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-UR- CG ------Pref. Shares-UR- CL ------

(` ‘000) Fund Wise BL G2 M1 Equity-URCG 26,230 - - Equity-URCL - - - GSEC-URCG 4,252 - - GSEC-URCL - - - CORP BOND-URCG 229 - - CORP BOND-URCL - - - INFRA BOND-URCG 269 - - INFRA BOND-URCL - - - MUTUAL Fund-URCG - - - MUTUAL Fund-URCL - - - Pref. Shares-URCG - - - Pref. Shares-URCL - - - Previous Year (` ‘000) Fund Wise TEL TIL TLL TBL TGL TA L TSL TFL TCG TGE Equity-URCG 7,283,575 - - 75,202 375,428 650,887 50,476 - 2,251 1,100 Equity-URCL ------GSEC-URCG - 10,237 - 2,671 5,098 6,321 899 352 314 27 GSEC-URCL ------CORP BOND-URCG - 13,721 - 217 433 6,056 - 637 - - CORP BOND-URCL ------INFRA BOND-URCG - 4,532 - 399 1,844 5,931 908 1,359 76 - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG 8,951 ------Pref. Shares-URCL ------

Annual Report | 2015 -16 139 (` ‘000) Fund Wise TGM TLC TSE UCX ITF ITT IAF ISF IBF Equity-URCG 17,283 3,446,888 716,181 1,211 298,701 903,064 26,984 8,043 - Equity-URCL ------GSEC-URCG 271 - - 196 - - 1,634 1,292 1,173 GSEC-URCL ------CORP BOND-URCG ------105 CORP BOND-URCL ------INFRA BOND-URCG 43 - - 43 - - 216 517 875 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG - 4,234 - - - 1,176 - - - Pref. Shares-URCL ------

(` ‘000) Fund Wise AIN ARL WLE WLI WLA WLS WLF FBP FCG Equity-URCG - 463,715 10,302,518 - 1,178,168 153,897 - 6,482 1,546 Equity-URCL ------GSEC-URCG - 529 - 27,551 12,972 4619 3,537 1,315 227 GSEC-URCL ------CORP BOND-URCG - 10,637 - 38,106 3,755 905 3,760 - - CORP BOND-URCL ------INFRA BOND-URCG - 100,825 - 14,819 7,360 4,257 3,960 517 74 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG - - 16,397 ------Pref. Shares-URCL ------(` ‘000) Fund Wise FEP FGP FIP FSE TIS TSS AR2 UCS FSX Equity-URCG 703,077 33,761 - 115,259 166,816 3,025,768 345,568 558 128,429 Equity-URCL ------GSEC-URCG - 1,395 2,281 - - - - 135 - GSEC-URCL ------CORP BOND-URCG - - 2,957 - - - 31,362 - - CORP BOND-URCL ------INFRA BOND-URCG - 303 1,919 - 634 - 22,860 42 - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG 689 ------Pref. Shares-URCL ------

Annual Report | 2015 -16 140 (` ‘000) Fund Wise PI1 PI2 PI3 PI4 PR1 PR2 PR3 PR4 AP1 Equity-URCG - - - - 5,619 274,566 88,685 12,795 - Equity-URCL ------GSEC-URCG - - - - 132 1,963 2,423 386 - GSEC-URCL ------CORP BOND-URCG - - - - 11 4,444 - - - CORP BOND-URCL ------INFRA BOND-URCG - - - - 200 10,921 483 130 - INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------

(` ‘000) Fund Wise RA1 PR5 PR6 PR7 PR8 RA2 DCF ASI ASR Equity-URCG 304,173 15,421 58,182 11,998 2,930 73,309 - - 142,958 Equity-URCL ------GSEC-URCG 1,714 137 481 680 137 635 - - 1,998 GSEC-URCL ------CORP BOND-URCG 4,578 361 717 - - 570 - - 1,379 CORP BOND-URCL ------INFRA BOND-URCG 13,894 746 2,209 - - 2,953 - - 3,608 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG ------Pref. Shares-URCL ------(` ‘000) Fund Wise SI2 SR2 SI3 SR3 E1 I1 L1 S1 BO Equity-URCG - 75,370 - 85,665 259,003 - - - - Equity-URCL ------GSEC-URCG - 1,885 - 1073 - 27,063 - 116 4,183 GSEC-URCL ------CORP BOND-URCG - 242 - 370 - 39,382 - 95 2,977 CORP BOND-URCL ------INFRA BOND-URCG - 1,676 - 2,118 - 15,438 - 356 3,370 INFRA BOND-URCL ------MUTUAL Fund-URCG ------MUTUAL Fund-URCL ------Pref. Shares-URCG - - - - 276 - - - - Pref. Shares-URCL ------

Annual Report | 2015 -16 141 (` ‘000) Fund Wise BL G2 M1 Equity-URCG 36,362 5,338 - Equity-URCL - - - GSEC-URCG 5,879 463 - GSEC-URCL - - - CORP BOND-URCG 1,553 - - CORP BOND-URCL - - - INFRA BOND-URCG 2,014 144 - INFRA BOND-URCL - - - MUTUAL Fund-URCG - - - MUTUAL Fund-URCL - - - Pref. Shares-URCG - - - Pref. Shares-URCL - - -

(3.11) Name and SFINs for all existing Unit Linked Funds :

Individual Unit Linked Funds Description Segregated Fund Identification Number (SFIN) Life Equity Fund ULIF 001 04/02/04 TEL 110 Life Income Fund ULIF 002 04/02/04 TIL 110 Life Liquid Fund ULIF 003 04/02/04 TLL 110 Life Growth Fund ULIF 004 04/02/04 TGL 110 Life Balanced Fund ULIF 005 04/02/04 TBL 110 Life Aggressive Growth Fund ULIF 006 01/07/06 TAL 110 Life Stable Growth Fund ULIF 007 01/07/06 TSL 110 Life Short Term Fixed Income Fund ULIF 008 01/07/06 TFL 110 Whole Life Mid Cap Equity Fund ULIF 009 04/01/07 WLE 110 Whole Life Aggressive Growth Fund ULIF 010 04/01/07 WLA 110 Whole Life Stable Growth Fund ULIF 011 04/01/07 WLS 110 Whole Life Income Fund ULIF 012 04/01/07 WLI 110 Whole Life Short Term Fixed Income Fund ULIF 013 04/01/07 WLF 110 Life Cap Guarantee Fund ULIF 014 17/10/07 TCG 110 Growth Enabler Fund ULIF 015 17/10/07 TGE 110 Life Growth Maximizer Fund ULIF 016 17/10/07 TGM 110 Large Cap Equity Fund ULIF 017 07/01/08 TLC 110 Future Balanced Pension Fund ULIF 018 04/02/08 FBP 110 Future Capital Guarantee Pension Fund ULIF 019 04/02/08 FCG 110 Future Equity Pension Fund ULIF 020 04/02/08 FEP 110 Future Growth Pension Fund ULIF 021 04/02/08 FGP 110 Future Income Pension Fund ULIF 022 04/02/08 FIP 110 Future Select Equity Fund. ULIF 023 06/10/08 FSE 110 Select Equity Fund ULIF 024 06/10/08 TSE 110 110% Capital Guarantee Fund ULIF 025 10/11/08 UCX 110 Top-50 Fund ULIF 026 12/01/09 ITF 110 Top-200 Fund ULIF 027 12/01/09 ITT 110 Aggressive Flexi Fund ULIF 028 12/01/09 IAF 110 Stable Flexi Fund ULIF 029 12/01/09 ISF 110 Bond Fund ULIF 030 12/01/09 IBF 110

Annual Report | 2015 -16 142 Description Segregated Fund Identification Number (SFIN) Apex Investment Fund ULIF 031 18/02/09 AIN 110 Apex Return Lock-In Fund ULIF 032 18/02/09 ARL 110 Apex Return Lock-In Fund II ULIF 033 03/08/09 AR2 110 Infrastructure Fund ULIF 034 16/10/09 TIS 110 Super Select Equity Fund ULIF 035 16/10/09 TSS 110 Super 110% Capital Guarantee Fund ULIF 036 23/11/09 UCS 110 Super Select Equity Pension Fund ULIF 037 04/01/10 FSS 110 Apex Pension Investment Fund ULIF 038 20/01/10 PI1 110 Apex Pension 10 Investment Fund ULIF 039 20/01/10 PI2 110 Apex Pension 15 Investment Fund ULIF 040 20/01/10 PI3 110 Apex Pension 20 Investment Fund ULIF 041 20/01/10 PI4 110 Apex Pension Return Lock-In Fund ULIF 042 20/01/10 PR1 110 Apex Pension 10 Return Lock-In Fund ULIF 043 20/01/10 PR2 110 Apex Pension 15 Return Lock-In Fund ULIF 044 20/01/10 PR3 110 Apex Pension 20 Return Lock-In Fund ULIF 045 20/01/10 PR4 110 Apex Plus Investment Fund ULIF 046 01/02/10 AP1 110 Apex Plus Return Lock-In Fund ULIF 047 01/02/10 RA1 110 Apex Pension Return Lock-In Fund II ULIF 048 01/07/10 PR5 110 Apex Pension 10 Return Lock-In Fund II ULIF 049 01/07/10 PR6 110 Apex Pension 15 Return Lock-In Fund II ULIF 050 01/07/10 PR7 110 Apex Pension 20 Return Lock-In Fund II ULIF 051 01/07/10 PR8 110 Apex Plus Return Lock-In Fund II ULIF 052 01/07/10 RA2 110 Discontinued Policy Fund ULIF 053 07/01/11 DCF 110 Apex Supreme Investment Fund ULIF 054 01/02/11 ASI 110 Apex Supreme Return Lock In Fund ULIF 055 01/02/11 ASR 110 Apex Supreme Investment Fund II ULIF 056 01/07/11 SI2 110 Apex Supreme Return Lock In Fund II ULIF 057 01/07/11 SR2 110 Apex Supreme Investment Fund III ULIF 058 01/11/11 SI3 110 Apex Supreme Return Lock In Fund III ULIF 059 01/11/11 SR3 110 Multi Cap Fund ULIF 060 15/07/14 MCF 110 India Consumption Fund ULIF 061 15/07/14 ICF 110

Group Funds Description Segregated Fund Identification Number (SFIN) Equity Fund ULGF 001 02/03/04 E1 110 Income Fund ULGF 002 02/03/04 I1 110 Liquid Fund ULGF 003 02/03/04 L1 110 Short Term Fixed Income Fund ULGF 004 01/07/06 S1 110 Bond Fund ULGF 005 17/08/07 BO 110 Balanced Fund ULGF 006 17/08/07 BL 110 Growth Fund ULGF 007 17/08/07 G2 110 Maxima Fund ULGF 008 17/08/07 M1 110

Annual Report | 2015 -16 143 26. Taxation a) Defined Contribution Plans i) The Company carries on life insurance business and The Company has made contributions towards therefore the provisions of Section 44 read with the First Employees’ Provident Fund Scheme and Employees’ Schedule to the Income-tax Act, 1961, are applicable Superannuation Scheme amounting to ` 70,283 for computation of profit and gains from business. thousand (Previous year: ` 59,781 thousand) and ` During the year, the Company has made provision for 38,931 thousand (Previous year: ` 37,499 thousand) tax (net) amounting to ` 528,787 thousand (Previous respectively which have been recognized as an year: ` 467,039 thousand), ` 463,928 thousand expense during the year. (Previous year: ` (17,557) thousand) (credited) to the b) Defined Benefit Plan: Revenue Account and ` 64,859 thousand (Previous year: ` 484,596 thousand) charged in the Profit and • General description of defined benefit plan Loss Account, in accordance with the Income tax Gratuity Scheme: Act, 1961 and Rules and Regulations there under as applicable to the Company. The company has also The Company has a Gratuity scheme for its qualifying made advance tax payment of ` 400,000 thousand employees, which is funded by contributions to the (Previous year: ` 632,500 thousand) to the Income Tax “Tata AIG Comprehensive Gratuity Scheme”. The Authorities based on estimated taxable income. scheme provides for payment of a defined benefit to the qualifying employees at retirement, death while In view of the order passed by the commissioner of in employment or on termination of employment. The income tax (appeals) and judgment delivered by benefit vests after five years of continuous service. Tax Appellate Authorities clarifying the manner of assessment of taxable income of Life Insurance i) Actuarial Assumptions with respect to Gratuity: companies, in accordance with the Accounting Particulars Current Year Previous Year Standards (AS) 22, “Accounting for Taxes on Income”, a. Discount the Company has reassessed the unrecognized rate (per 7.81% 7.91% deferred tax asset on carried forward losses in each annum) line of business (segments) and has recognized b. Estimate previously unrecognized deferred tax assets to the rate of return 7.81% 7.91% extent that it has become virtually certain that sufficient on plan assets taxable income is available against which the deferred (per annum) tax asset can be utilized. c. Salary IRDAI Financial Statements Regulations vide Form Growth Rate 6.00% 8.00% A-RA and Part V of schedule A, requires tax expense (per annum) to be charged to each line of business (segments). For service 4 For service 4 Accordingly, the Company has charged tax expense yrs and below yrs and below d. Attrition on respective lines of business, based on taxable 15% p.a. and 15% p.a. and Rate (per income computed arising out of the actuarial surplus for service 5 yrs for service 5 yrs annum) of each line of business. In order to maintain equity and above 2% and above 2% amongst the various segments, the said taxable p.a. p.a. income is calculated after considering the brought e. Mortality IALM (2006-08) IALM (2006-08) forward tax losses and exempt income, if any, based Rate Ultimate Ultimate on the appeal orders, as considered appropriate, for each line of business as disclosed in Segmental The following tables sets out the status of the Accounts in Annexure 2 Gratuity scheme as at March 31, 2016 and March 31, 2015. As at March 31, 2016, deferred tax asset on carry forward unabsorbed losses is ` NIL (Previous year: ` ii) Amount to be recognized in the Balance Sheet: NIL). (` ‘000) (ii) The company has filed an appeal before the CESTAT Particulars As at (Appellate Authority) on matters relating to Service Tax. Current Year Previous Year As per the provisions amended by Finance Act, 2014, Present Value the company has paid ` 16,336 thousand (Previous of Funded 90,175 102,268 year: ` 93,308 thousand) as pre-deposit for admitting Obligations the appeal with the Appellate Authority. Fair Value of 97,658 98,417 27. Employee Benefits Plan Assets Present Value Following are the disclosures required by Accounting of Unfunded - - Standard-15: Obligations

Annual Report | 2015 -16 144 Particulars As at iv) Reconciliation of Benefits Obligation & Plan Assets for the year: Current Year Previous Year (` ‘000) Unrecognized Year ended Past Service - - Particulars Cost Current Previous Year Year Amount not Change in Defined Recognized - - Benefit Obligation as an Asset Opening Defined Benefit Net Liability/ 1,02,268 82,708 (7,482) 3,851 Obligation (Asset) Current Service Cost 17,436 14,016 Amounts Interest Cost 8,089 7,667 in Balance Sheet Actuarial Losses/(Gains) (28,682) 19,030 Liability (7,482) 3,851 Benefits Paid (8,936) (21,155) Closing Defined Benefit Asset - - 90,175 1,02,268 Net Liability/ Obligation (7,482) 3,851 (Asset) Change in Fair Value of Assets iii) Expenses to be recognized in the statement of Opening Fair Value of 98,417 96,117 Revenue Account: Plan Assets (` ‘000) Expected Return on Plan 7,785 8,708 Year ended Assets Particulars Current Previous Actuarial Gain/(Losses) (1,272) (608) Year Year Assets Distributed on - - Current Service Cost 17,436 14,016 Settlements Net Interest Cost 305 (1,041) Contributions by Employer 1,664 15,354 Net Actuarial Losses/ Assets acquired on (Gains) Recognised in (27,410) 19,639 Acquisition/(distributed on - - period Divestiture) Total Included Exchange Difference on in "Employees’ - - (9,669) 32,614 Foreign Plans remuneration and Benefits Paid (8,936) (21,155) welfare benefits" Closing Fair Value of Actual Return on Plan 97,658 98,417 6,513 8,100 Plan Assets Assets Expected Employer’s 6,916 21,287 Contribution next year v) Asset Information: (` ‘000) Category of Assets (% Allocation) Current Year Current Year % Previous Year Previous Year % Government of India Securities - - - - Corporate Bonds - - - - Special Deposit Scheme - - - - Equity Shares of Listed Companies - - - - Property - - - - Insurer Managed Funds 97,658 100% 98,417 100% Note: Gratuity fund is managed by the Company hence the entire amount is shown in Insurer Managed Fund.

Annual Report | 2015 -16 145 vi) Experience Adjustment

(` ‘000) Particulars 2016 2015 2014 2013 2012 Defined Benefit Obligation 90,175 102,268 82,708 92,318 92,478 Plan Assets 97,658 98,417 96,117 89,555 97,026 Surplus/(Deficit) 7,482 (3,851) 13,409 (2,763) 4,548 Experience Adjustment on Plan Liabilities- (Gain)/Loss (472) 1,631 (28) (14,362) (40,040) Experience Adjustment on Plan Assets- Gain/(Loss) (1,272) (608) (707) (1,345) 3,017 c) Other Long Term Employee Benefits iii) Mortality rates of IALM (2006-08) mortality tables at specimen ages are considered. Retention Bonus: Leave encashment: The Company has a non-contributory retention bonus scheme for its employees. The liability under the Leave utilization policy has changed effective October scheme is considered a long term employee benefit 2015, allowing employees to carry forward unutilized and has been ascertained on the basis of actuarial vacation leaves upto 3 years with limit on maximum valuation as at the Balance Sheet date. The retention carry forward of 10 per year, which cannot be bonus is payable on agreed dates or on retirement or monetized. Provision for the unutilised leave balances death in service and is also based on the employees’ as of 31st March 2016 has been accounted basis performance during the service period. Actuarial valuation report. • Financial Assumptions with respect to Retention 28. Schedule 3 “Operating Expenses Related to Bonus: Insurance Business’’ includes following expenses: 1. Discount rate of 7.51% p.a. is based on prevailing (` ‘000) market yields of Indian Government Securities as the Sr. Current Previous valuation date for the estimated term of obligations. Particulars No. Year Year 2. The employees are assumed to retire at the age of i. Outsourced Activity 1,329,749 1,145,511 58 years. ii. Business Development 273,919 397,368 3. Mortality rates of IALM (2006-08) mortality tables at iii. Marketing Support 4,735 6,469 specimen ages are considered Total 1,608,403 1,549,348 • Financial Assumptions with respect to Retention 29. As required by IRDAI circular IRDA/F&I/CIR/ Bonus for previous year: CMP/174/11/2010 dated 4th November 2010, age- i) Discount rate of 7.93% p.a. is based on prevailing wise analysis of unclaimed amount of policyholders market yields of Indian Government Securities as the as at March 31, 2016 is as given below: valuation date for the estimated term of obligations. ii) The employees are assumed to retire at the age of 58 years.

Annual Report | 2015 -16 146 Current Period (`. in lacs) Beyond Total 1-6 7-12 13-18 19-24 25-30 31-36 Particulars 36 Amount months months months months months months months Claims settled but not paid to the policyholders/insureds due to any reasons except under 190 41 8 11 18 12 22 78 litigation from the insured / policyholders Sum due to the insured/ policyholders on maturity or 1,533 680 185 199 163 110 73 124 otherwise. Any excess collection of the premium/tax or any other charges which is refundable to the policyholders either 169 7 3 2 4 2 8 143 as terms of conditions of the policy or as per law or as may be directed by the Authority but not refunded so far Cheques issued but not encashed by the policyholders/ 21,949 3,326 4,258 3,703 2,327 1,913 1,172 5,249 insured* Total 23,841 4,054 4,455 3,915 2,512 2,036 1,275 5,594 *Cheques issued but not encashed by the policyholders/insured includes an amount of NIL under the ageing of 1-3 months.

Previous Year (`. in lacs) Beyond Total 1-6 7-12 13-18 19-24 25-30 31-36 Particulars 36 Amount months months months months months months months Claims settled but not paid to the policyholders/insured due

to any reasons except under 53 53 ------litigation from the insured / policyholders Sum due to the insured/ policyholders on maturity or 1,271 561 258 183 130 63 53 23 otherwise Any excess collection of the premium/tax or any other charges which is refundable to the policyholders either 828 388 141 69 28 24 25 153 as terms of conditions of the policy or as per law or as may be directed by the Authority but not refunded so far Cheques issued but not encashed by the policyholders/ 18,605 5,244* 3,917 2,297 1,629 1,030 1,583 2,905 insured* Total 20,757 6,193 4,316 2,549 1,787 1,117 1,661 3,134 *Cheques issued but not encashed by the policyholders/insured includes an amount of ` 2,369 (in lacs) under the ageing of 1-3 months.

Annual Report | 2015 -16 147 30. The following disclosures are required under the Insurance Regulatory and Development Authority (Treatment of Discontinued Linked Insurance Policies) Regulations, 2010:

(` ‘000)

Particulars Current Year Previous Year Amount refunded to policyholders 32,91,318 21,174 from the Fund Amount transferred to the Fund (2,17,145) (3,221)

Number of policies discontinued and revived:

(` ‘000) Current Previous Particulars Year Year

Fund for Discontinued Policies

Opening Balance of Funds for Discontinued Policies 4,926,979 3,202,959

Add: Fund of policies discontinued during the year 724,071 1,851,288

Less: Fund of policies revived during the year 217,145 127,267

Add: Net Income/ Gains on investment of the Fund - -

Less: Fund Management Charges levied - -

Less: Amount refunded to policyholders during the year 32,91,318 -

Closing Balance of Fund for Discontinued Policies 2,142,587 4,926,979

Other disclosures

No. of policies discontinued during the year 3,691 13,527

Percentage of discontinued policies to total policies (product-wise) during the 1.91% 7.32% year

No. of policies revived during the year 47,001 1,452

Percentage of policies revived (to discontinued policies) during the year 24.31% 0.79%

Charges imposed on account of discontinued policies 2,854 8,590

Charges readjusted on account of revival of policies 4,175 21,258

Annual Report | 2015 -16 148 Current Period Product Name Total Total Total % of Policies % of Surrender Numbers Numbers Number discontinued Policies Charge of Policies of Policies of Policies during revived (` 000) issued discontinued revived the period during during the during the during the to total the period period period Policies* period to total Policies* Tata AIA Life Lakshya 16,145 149 8,291 0.92% 51.35% (3,540) Supreme Tata AIA Life InvestAssure 1,01,184 1,653 36,290 1.63% 35.87% 2,87,186 Flexi Supreme Tata AIA Life InvestAssure 16,428 74 35 0.45% 0.21% - Plus Supreme Tata AIA Life Insurance 5,835 30 7 0.51% 0.12% - Swarna Pratigya Tata AIA Life Insurance United Ujjwal Bhawishya 11,433 281 1,240 2.46% 10.85% 1,11,566 Supreme Tata AIA Life Insurance InvestAssure Apex 7,229 159 899 2.20% 12.44% (24,413) Supreme Tata AIA Life Insurance InvestAssure Gold 13,240 679 125 5.13% 0.94% 6,17,996 Supreme Tata AIA Life Insurance 11,444 505 91 4.41% 0.80% 1,04,896 InvestAssure Gyan Kosh Tata AIA Life Insurance 1,912 59 19 3.09% 0.99% 52,890 InvestAssure Maximizer Tata AIA Life Insurance 117 7 - 5.98% 0.00% 3,640 Swarna Bhavishya TaTa AIA Life Insurance 1,171 41 4 3.50% 0.34% 48,319 Suraksha Kosh Tata AIA Life Insurance 21 2 - 9.52% 0.00% 4,182 Suraksha Kosh Supreme Tata AIA Life Insurance 1,462 11 - 0.75% 0.00% 59,716 Wealth Pro Tata AIA Life Insurance 4,718 37 - 0.78% 0.00% 56,669 Fortune Pro Tata AIA Life Insurance 441 - - 0.00% 0.00% - Wealth Maxima Tata AIA Life Insurance 536 - - 0.75% 0.00% 2,683 Fortune Maxima 1,93,316 3,691 47,001 1.91% 24.31% 13,21,790 * Total policies mean policies issued during the period March 31, 2016

Annual Report | 2015 -16 149 Previous Year Product Name Total Total Total % of Polices % of Surrender Numbers Numbers Numbers discontinued Polices Charge of Policies of Policies of Policies during the revived (` ‘000) issued discontinued revived year to total during during the during the during the Policies* the year year year year to total Policies* Tata AIA Life Lakshya 16,139 1438 1451 8.91% 8.99% 656 Supreme Tata AIA Life InvestAssure 101,236 11,698 11,878 11.56% 11.73% 7,323 Flexi Supreme Tata AIA Life InvestAssure 16,426 13 13 0.08% 0.08% 0 Plus Supreme

Tata AIA Life Insurance 5,838 11 11 0.19% 0.19% 0 Swarna Pratigya

Tata AIA Life Insurance United Ujjwal Bhawishya 11,343 1314 1326 11.58% 11.69% 1,156 Supreme Tata AIA Life Insurance InvestAssure Apex 7,232 671 681 9.28% 9.42% 414 Supreme Tata AIA Life Insurance InvestAssure Gold 13,220 1,867 1,901 14.12% 14.38% 2,848 Supreme Tata AIA Life Insurance 11,343 1320 1329 11.64% 11.72% 788 InvestAssure Gyan Kosh Tata AIA Life Insurance 1,910 224 227 11.73% 11.88% 315 InvestAssure Maximizer Tata AIA Life Insurance 117 10 10 8.55% 8.55% 8 Swarna Bhavishya Tata AIA Life Insurance 39 94 3 241.03% 7.69% 5 Suraksha Kosh Tata AIA Life Insurance 7 3 1 42.86% 14.29% 1 Suraksha Kosh Supreme Total 184,850 18,663 18,831 10.10% 10.19% 13,512 * Total policies mean policies issued till March 31, 2015.

31. The year end foreign currency exposures that 32. During the half year, the Company has constituted have not been hedged by a derivative instrument or a Corporate Social Responsibility (CSR) committee otherwise are given below: as per Section 135 of the Companies Act, 2013. This Committee has approved programs to sponsor various Nature of As at ` 000's In USD initiatives. The Company has spent NIL (Previous Year: Outstanding March 31 000's ` 2,500 thousand) towards Prime Minister Relief fund, Receivables 2016 8,772 132 ` 4,332 thousand (Previous Year: ` 90 thousand) on 2015 19,386 310 various education programs and disclosed it under Payables 2016 37,411 566 Profit and Loss Account {Shareholders Accounts (Non-technical account)} for the year ended March 2015 37,411 600 31, 2016.

Annual Report | 2015 -16 150 33. Statement containing names, descriptions, 34. No response has been received by the Company occupations of and directorship held by the persons during the period from any of its suppliers as regards in charge of management of the business under filing of the Memorandum under the provisions of the section 11 (2) of Insurance Act, 1938.: Micro, Small and Medium Enterprises Development 1. Name: Naveen Tahilyani Act, 2006. 2. Description and Occupation: Managing Director, 35. Details of previous period’s figures which have Tata AIA Life Insurance Company Limited been regrouped/rearranged, wherever necessary, so as to conform to current year’s classification are as 3. Directorship held: NIL. follows: (` ‘000) Sr. 31-Mar-15 31-Mar-15 Particulars Changes Sch Remarks No. (Reported) (Regroup) Revenue Accounting 1 Service Tax on Premium 3,91,275 3,74,034 17,241 Account of Waiver of premium has 2 Renewal Premium 1,81,06,068 1,80,97,430 8,638 1 been revised. Surrender benefit Transfer (from)/to Linked Revenue on account of 3 70,33,474 53,20,450 17,13,024 Fund (Net) Account lapsed policies regrouped 4 Other benefits-Surrender 2,83,70,394 3,00,92,021 (17,21,627) 4 for better presentation. Surrender Change in valuation of charge income Revenue 5 liability in respect of life 1,18,42,795 1,20,75,734 (2,32,939) pertaining to Account policies -Gross lapsed policies regrouped under change in valuation of Liabilities which Revenue 6 Fees and charges 13,859 2,46,798 (2,32,939) was earlier Account grouped under fees and charges Premium received from Cash 7 policyholders, including 2,15,80,513 2,15,83,921 (3,408) Flow advance receipts Payments to the Cash 8 re-insurers, net of (1,13,655) (9,57,798) 8,44,143 Flow commissions and claims

Payments of claims/ Cash 9 (3,34,57,032) (3,51,78,659) 17,21,627 benefits Flow

Regrouped for Payments of commission Cash 10 (8,47,541) (8,49,959) 2,418 appropriate and brokerage Flow presentation

Payments of other Cash 11 4,04,835 29,64,393 (25,59,558) operating expenses Flow

Cash 12 Service tax paid (4,96,596) (4,79,355) (17,241) Flow

Proceeds from sale of Cash 13 15,129 15,393 (264) fixed assets Flow

Annual Report | 2015 -16 151 (` ‘000)

Sr. 31-Mar-15 31-Mar-15 Particulars Changes Sch Remarks No. (Reported) (Regroup)

Cash 14 Loans against policies (52,649) (64,695) 12,046 Flow Regrouped for appropriate Expenses related to Cash 15 (23,368) (23,605) 237 presentation investments Flow 36. Disclosures on other work given to auditors Pursuant to clause 7.1 (g) of Corporate Governance Guidelines issued by IRDAI on August 5, 2009 the services of the statutory auditors are disclosed below:

(` ‘000) Name of the auditor Service rendered Current year Previous Year N.M.Raiji Tax Audit 151 - A. F. Ferguson Associates Tax Audit - 150 Walker Chandiok & Co. LLP (formerly Walker, Chandiok Fit for consolidation 200 200 & Co.) N.M.Raiji Certification Fees 60 - A. F. Ferguson Associates Certification Fees - 60 Walker Chandiok & Co. LLP (formerly Walker, Chandiok Certification Fees 45 45 & Co.) 37. As per the recent IRDAI circular IRDA/F&A/CIR/IFRS/038/03/2016 dated March 1, 2016, which requires all insurance companies to comply with the Indian Accounting Standards (Ind-AS), the Company has set up a steering committee for evaluating the impact on financial statements of the implementation of the Ind-AS. For and on behalf of the Board of Directors

Ishaat Hussain William Lisle Janki Ballabh (Chairman) (Director) (Director) DIN 00027891 DIN 03024090 DIN 00011206

Pratip Kar D. K. Mehrotra Simeon Preston (Director) (Director) (Director) DIN 03346142 DIN 00142711 DIN 03517416

Madhusudan K. A. Chaukar Naveen Kanan (Director) Tahilyani (Director) DIN 00033830 (CEO & DIN 02647756 Managing Director) DIN 06594510 Roopa Kudva S. Swaminathan (Director) (Chief DIN 00001766 Compliance Vishal Bandlish Officer (Chief Financial and Company Officer) Secretary)

Mumbai Date:- 3rd May 2016

Annual Report | 2015 -16 152 Annexure 5 Statement showing the Controlled Fund of M/s. TATA AIA LIFE INSURANCE COMPANY LIMITED (` ‘000) 2015-16 2014-15 Computation of Controlled Fund as per the Balance Sheet Policyholders' Fund (Life Fund)

Participating Individual Assurance 7,90,55,541 6,70,01,135 Individual Pension 27,86,452 25,80,268 Non-participating Individual Assurance 51,20,458 32,59,025 Group Assurance 42,13,517 48,48,310 Individual Annuity 3,47,968 3,50,555 Individual Accident & Health 1,92,996 1,80,250

Linked Individual Assurance 7,44,02,379 9,31,95,447 Group Assurance 46,01,403 46,99,183 Individual Pension 39,83,810 54,35,713 Group Superannuation - - Group Gratuity - -

Funds for Future Appropriation 6,87,131 4,73,416 Total (A) 17,53,91,655 18,20,23,302 Shareholders' Fund Paid up Capital 1,95,35,000 1,95,35,000 Reserves and Surpluses - - Fair Value Change 25,592 59,480

Total (B) 1,95,60,592 1,95,94,480 Miscellaneous expenses not written off - - Credit/(Debit) from Profit and Loss Account (22,60,205) (28,96,470)

Total (C ) (22,60,205) (28,96,470) Total Shareholders' Funds (B+C) 1,73,00,387 1,66,98,010 Controlled Fund (Total (A+B-C)) 19,26,92,042 19,87,21,312

Annual Report | 2015 -16 153 (` ‘000) 2015-16 2014-15 Reconciliation of the Controlled Fund from Revenue and Profit & Loss Account Opening Balance of Controlled Fund 19,87,21,312 17,64,81,620 Add: Inflow Income Premium Income 2,47,89,602 2,12,17,942 Less: Reinsurance ceded (4,31,651) (1,62,046) Net Premium 2,43,57,951 2,10,55,896 Investment Income 52,91,674 3,88,79,281 Other Income 3,92,471 6,54,614 Funds transferred from Shareholders' Accounts (a) 7,57,257 12,63,799 Total Income (X) 3,07,99,353 6,18,53,590 Less: Outgo (i) Benefits paid (Net) 2,89,19,524 3,54,26,761 (ii) Interim Bonus Paid - - (iii) Change in Valuation of Liability 1,38,30,211 1,20,43,888 (iv) Commission 14,94,895 9,22,788 (v) Operating Expenses 51,75,012 53,92,134 (vi) Provision for Taxation 4,63,928 (17,557) (vii) Transfer to Linked Funds (2,03,34,531) 53,20,450 Total Outgo (Y) 2,95,49,039 5,90,88,464 Surplus of the Policyholders' Fund (X-Y) 12,50,314 27,65,126 Transfer from Linked Fund Lapsed Policies (33,318) (2,46,416) Funds available for appropriations 12,16,996 25,18,710 Less: Transferred to Shareholders' Account (b) 10,03,280 31,74,240 Balance being transferred to FFA 2,13,716 (6,55,530) Net Flow in Policyholders' Account ((b)-(a)) 2,46,023 19,10,441 Add: Net income in Shareholders' Fund 3,90,242 7,25,752 Net Inflow/Outflow 6,36,265 26,36,193 Add: Change in valuation Liabilities 1,38,30,211 1,20,43,888 Add: Transfer to Linked Funds (Refer Annexure for Reconciliation) (2,03,34,531) 53,20,450 Add: Impact of sent to bank premium not affecting the provision for linked (13,239) 22,182 liability Add: Adjustment for Balance Sheet movement on account of service tax - (17,240) liability Add: DCF liability forming part of AUM but not in Transfer to Linked Fund - 17,22,285 Add: FFA movement Par Fund 2,47,033 (4,09,114) Add: Lapsed Policy Movement 5,046 (1,68,221) Add: FFA movement for Non Unit Reserves - (2,38,913) Add: Change in fair value of assets (3,66,167) 12,92,531 Add: Increase in Paid up Capital - - Add: Fair Value Change (33,888) 35,651 Closing Balance of Controlled Fund 19,26,92,042 19,87,21,312 As per Balance Sheet 19,26,92,042 19,87,21,312 Difference, if any - -

Annual Report | 2015 -16 154 (` ‘000) 2015-16 2014-15 Reconciliation with Shareholders’ and Policyholders’ Fund Policyholders' Funds Policyholders' Funds - Traditional-PAR and NON-PAR Opening Balance of the Policyholders' Fund 7,86,42,196 6,58,19,371 Add: Surplus of the Revenue Account 5,27,843 (2,10,612) Add: Change in valuation Liabilities 1,38,45,153 1,19,81,897 Add: Change in fair value of assets (3,47,763) 12,50,045 Add: Transfer to Shareholders' (2,80,811) (1,98,503)

Total 9,23,86,618 7,86,42,198 As per Balance Sheet 9,23,86,618 7,86,42,198 Difference, if any - -

Policyholders' Funds - Linked Opening Balance of the Policyholders' Fund 10,33,81,106 9,66,36,082 Add: Surplus of the Revenue Account - - Add: Change in valuation Liabilities (14,939) 61,993 Add: Transfer to Linked Funds (2,03,34,531) 53,20,450 Add: Adjustment towards amount pending for transfer to UL Fund (13,239) 22,182 Add: Adjustment relating to service tax liability paid - (17,240) Add: DCF liability forming part of AUM but not in Transfer to Linked Fund - 17,22,285 Add: Transfer to Linked Funds-Lapsed Policies FFA - (2,38,913) Add: Transfer to Linked Funds-Lapsed Policies 5,046 (1,68,221) Add: Change in fair value of assets (18,405) 42,487 Total 8,30,05,038 10,33,81,105 As per Balance Sheet 8,30,05,038 10,33,81,105 Difference, if any - -

Shareholders' Funds Opening Balance of Shareholders' Fund 1,66,98,010 1,40,26,167 Add: Net income of Shareholders' Account (P&L) 6,36,265 26,36,193 Add: Infusion of Capital - - Add: Fair Value Change (33,888) 35,650

Closing Balance of the Shareholders' Fund 1,73,00,387 1,66,98,010 As per Balance Sheet 1,73,00,387 1,66,98,010 Difference, if any - -

Annual Report | 2015 -16 155 - - - - ( ` ‘000) Total 5,353 65,476 20,784 53,372 (46,020) 2,58,330 1,08,004 7,57,257 2,99,371 1,41,519 4,63,928 46,61,294 71,33,835 64,41,402 93,09,737 14,94,895 (4,31,651) (19,45,028) 2,47,89,602 1,49,46,086 2,43,57,951 3,07,99,353 (1,70,19,121) ------30 85 257 125 (112) 8,472 19,517 10,690 Linked - (73,506) (49,397) 1,65,133 6,85,118 1,65,133 1,65,026 1,15,736 Individual Pensions (8,26,065) ------6 15 95 271 (83) 8,916 6,571 2,175 Group 17,945 (66,414) Linked - 1,97,965 2,85,313 4,07,838 2,47,655 4,07,838 6,55,493 (1,69,230) Pensions ------93 (731) Linked 26,194 39,004 15,902 24,755 (32,951) (13,571) 2,79,990 3,40,888 12,84,700 69,06,920 19,71,668 68,73,969 23,35,244 53,66,989 Individual (17,70,488) (15,06,980) 1,39,26,534 (1,60,23,826) ------85 878 (49) 241 (74) 7,949 2,120 6,069 3,095 13,416 Non Par 1,94,987 3,54,393 2,01,885 3,54,393 5,56,278 Pensions

------(3) 216 167 PAR 4,890 (183) (123) 7,123 9,000 8,458 1,075 (1,628) 2,31,919 1,51,812 2,44,178 1,51,629 3,95,807 Pensions ------2,411 11,299 10,715 33,557 77,759 27,674 (3,796) (24,191) (53,323) 7,57,257 6,91,790 4,73,877 25,61,184 45,11,901 30,62,980 15,03,233 41,20,746 56,23,979 (3,91,155) Total Non- Participating ------7 20 (1) (6) (1) 668 453 (50) (51) 2,786 2,098 43,072 42,619 43,021 Annuity Immediate ------99 167 182 209 499 (50) (149) 5,991 18,555 Health 81,391 17,191 81,341 18,821 10,459 1,00,162 ------Life 188 602 6,626 (524) 1,707 56,535 Credit 56,223 61,717 (2,713) 2,83,672 (47,705) B.2 SCHEDULE 16 1,04,240 1,17,012 2,20,323 2,27,137 Non - Participating ------Life 7,867 2,774 17,969 (1,522) (2,486) Group (16,405) (28,013) 2,59,115 5,65,246 2,22,852 1,66,252 3,27,747 1,82,699 5,10,446 (2,37,499) TATA AIA LIFE INSURANCE COMPANY LIMITED ------Life 2,244 4,220 10,715 34,792 67,983 24,082 (3,796) (21,026) (99,584) 5,91,005 3,92,324 4,92,497 Ordinary 22,39,187 37,61,074 27,03,139 36,55,174 10,31,504 46,86,678 (1,05,900) ------9,324 65,476 18,283 48,217 23,771 (7,362) (7,866) (29,147) 7,82,950 2,38,615 1,19,402 6,78,970 4,87,226 20,39,851 58,00,828 54,05,458 1,22,91,605 1,22,84,243 1,80,85,071 Participating Ordinary Life ANNEXURE 1 : SEGMENTED REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016 1

3 2 Schedule For diminution in the value of investments (Net) Premium Premium Reinsurance ceded Others Reinsurance accepted Interest on Policy Loan Interest Exchange fluctuation gain Contribution from the Shareholders' the Shareholders' Contribution from Account (Loss on sale/redemption of investments) (Loss on sale/redemption Fees and charges Transfer/Gain on revaluation/change in on revaluation/change Transfer/Gain fair value Interest on Over due Premium on Over due Premium Interest Miscellaneous Income Interest, Dividends & Rent-Gross Dividends & Rent-Gross Interest, Profit on sale/redemption of investments on sale/redemption Profit (f) (a) (c) (e) (c) (c) (a) (a) (b) (b) (d) (d) (b) Operating Expenses related to Insurance BusinessOperating Expenses related Premiums earned-net Premiums (b) TOTAL (B) Service Tax on Premium on Premium Service Tax Other Income Depreciation Depreciation Income from investments Income from TOTAL (A) Provision for doubtful debts Provision Bad debts written off Bad debts written off Commission Provision for Tax for Tax Provision Fringe Benefit Tax Fringe Benefit Provisions (other than taxation) Provisions (a)

Annual Report | 2015 -16 156 - - - - Total ( ` ‘000) (33,318) 6,87,131 2,13,715 4,73,416 2,13,715 (4,44,998) 12,50,313 12,16,995 12,16,995 10,03,280 1,42,75,210 2,89,19,524 2,24,15,205 (2,03,34,531) - - - - - 273 (273) (273) (273) 6,844 29,303 66,916 66,643 66,643 66,916 Linked - Individual Pensions 14,79,720 (14,57,261) ------Group 12,907 12,907 12,907 12,907 (2,341) Linked - (95,388) 6,24,641 7,22,370 Pensions - - - Linked 17,445 50,490 (1,866) (17,575) (33,045) (33,045) (33,045) 1,83,482 1,50,437 1,50,437 1,83,482 32,11,839 Individual 2,20,13,162 (1,87,81,882) ------18,366 18,366 18,366 18,366 Non Par 5,24,496 7,82,190 Pensions (2,57,694)

- - - - - 90 PAR 34,249 23,144 81,053 57,909 23,144 34,249 34,249 11,105 3,53,100 1,94,212 1,58,798 Pensions ------4,40,799 4,40,799 4,40,799 4,40,799 6,25,515 21,20,200 19,46,703 (4,52,018) Total Non- Participating ------12,451 27,784 12,451 12,451 12,451 30,372 (2,588) Annuity Immediate ------8,156 62,070 20,901 12,745 62,070 62,070 62,070 Health ------Life 7,809 Credit 3,66,278 3,66,278 3,66,278 3,66,278 2,17,592 (1,99,618) (4,25,019) Non - Participating ------B.2 SCHEDULE 16 (Continued) Life 53,818 Group (13,708) 2,87,594 2,47,484 TATA AIA LIFE INSURANCE COMPANY LIMITED ------Life 1,21,911 Ordinary 19,83,539 23,07,747 (4,46,119) - - - - - 8,796 4,93,594 5,88,633 2,23,889 4,93,594 3,64,744 2,23,889 2,69,705 4,93,594 31,37,769 1,55,51,626 1,24,05,061 Participating Ordinary Life ANNEXURE 1 : SEGMENTED REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2016 4 Schedule

Amount accepted in Reinsurance Amount ceded in Reinsurance Gross Gross (c) (a) (b) SURPLUS [(D)=(A)-(B)-(C)] Balance Carried Forward to Sheet Transfer to Linked fund (Net) Transfer Current year Appropriations year Appropriations Current TOTAL (D) FUNDS FOR APPROPRIATION Opening Balance as at 1st April, 2015 Balance being Funds for Future Appropriations Appropriations Balance being Funds for Future APPROPRIATIONS Account to Shareholders' Transfer to Other Reserves (Insurance Reserve) Transfer FUNDS AVAILABLE FOR APPROPRIATION Change in valuation of liability in respect of life Change in valuation of liability respect policies Interim Bonuses paid Transfer from Linked Fund (Lapsed Policies) [E] from Transfer Benefits paid (Net)

Annual Report | 2015 -16 157

- - - ( ` ‘000) 9,768 25,592 31,2016 6,87,131 2,67,561 Segment as at Mar 43,93,033 12,87,667 11,36,719 25,35,802 57,16,012 12,30,578 21,11,872 59,48,261 1,95,35,000 8,22,48,877 9,03,34,007 7,53,02,287 8,97,33,204 2,00,32,356 1,95,60,592 17,47,04,524 19,49,52,247 Consolidated ------268 4,276 8,284 1,234 Linked 59,245 80,540 12,560 Pension Individual 39,23,331 39,23,331 39,83,810 39,83,810 ------15 2,078 3,221 3,218 Linked Group 20,460 22,538 Pension 46,01,403 45,98,182 45,98,182 46,01,403 ------2,755 9,768 Linked 79,300 56,179 17,445 1,75,851 6,09,068 6,36,008 2,55,151 57,16,012 12,30,578 Individual 7,37,27,364 6,67,80,774 7,44,02,379 7,44,19,824 ------79,206 61,816 11,226 Non Par 1,41,022 24,82,075 24,82,075 24,36,075 24,82,075 Pensions ------PAR 7,616 12,549 87,638 11,882 81,053 1,02,992 1,10,608 Pensions 27,74,570 28,56,036 27,86,452 28,67,505 ------(195) 33,438 1,04,302 13,17,739 10,11,088 73,92,863 73,93,058 83,67,240 73,92,863 23,28,827 Total Non- Participating ------(3) Policy holders Funds 1,574 10,677 10,674 Annuity 3,47,967 3,47,967 5,17,455 3,47,967 Immediate ------873 4,083 3,056 Health (1,027) 1,92,996 1,92,996 1,92,833 1,92,996 ------B.2 SCHEDULE 16 Life 5,229 7,305 30,597 35,826 Credit- 16,15,211 16,15,211 16,15,211 23,08,573 ------Life 526 10,664 Group- 1,24,965 1,16,231 2,31,466 1,16,231 1,35,629 1,16,231 TATA AIA LIFE INSURANCE COMPANY LIMITED ------(195) 23,160 9,91,115 1,04,302 Non-Par 51,20,458 51,16,913 11,52,527 51,20,653 51,20,458 21,43,642 ANNEXURE 2 - SEGMENT ASSETS AND LIABILITIES MARCH 31, 2016 ------Par 99,103 3,48,317 5,88,633 26,99,268 23,43,862 20,42,772 27,98,371 Ordinary- 7,90,55,542 7,53,54,087 7,96,44,175 7,70,12,770 ------Funds/ 11,623 25,592 7,28,151 2,67,561 2,79,184 1,95,60,592 2,00,32,356 1,95,60,592 1,95,35,000 Unallocated Shareholders’ Advances and Other Assets Current assets: Current Cash and Bank Balances Fixed Assets (Refer Note 1 Below) Loans Provision for linked liabilities (lapsed Provision policy) Provision for Discontinued Policies on Provision account of non-payment premium Provision for Discontinued Policies- Provision Others Assets held to cover linked liabilities SUB-TOTAL Policyholders' Funds: Fair value change Credit/(Debit) account Policy liabilities for linked liabilities Provision Policyholders' Funds for future appropriation Funds for future SUB-TOTAL Borrowings Application of Funds Investments Shareholders' TOTAL Credit/(Debit) Fair value change Credit/(Debit) account SUB-TOTAL(A) Inter Fund Assets Advance tax paid and taxes deducted (Net of provisions) at source Sources of Funds Funds: Shareholders’ Capital Share Reserves and Surplus (i) Assets and Liabilities have been identified between Shareholders’ Funds and Policyholders’ (i) Assets and Liabilities have been identified between Shareholders’ identified to segments. Other assets have been allocated on one of the basis mentioned below: (ii) Within Policyholders’ Funds, to the extent possible, assets and liabilities have been directly end balance of policy liabilities - Year account) to insurance business (as per revenue - Operating expenses related Premium - Gross - Commission paid

Annual Report | 2015 -16 158 ( ` ‘000) - - 78,529 1,48,036 22,60,205 89,43,177 87,16,612 (29,94,916) Mar 31,2016 19,49,52,247 Consolidated Segment as at - - - - 269 Linked Pension 1,36,980 1,36,711 Individual 38,79,719 (1,24,420) - - - - 283 Linked Group 49,342 Pension (26,804) (27,087) 46,50,757 - - - - Linked 40,800 37,54,364 37,13,564 Individual 7,08,66,914 (34,99,213)

- - - - 252 1,955 Non Par 1,39,067 1,38,815 24,49,256 Pensions - - - - 226 PAR 48,006 62,602 47,780 Pensions 30,18,825 - - - - 81,339 77,37,091 30,96,716 30,15,377 (7,67,889) Total Non- Participating - - - - 21 2,041 8,633 8,612 Policy holders Funds Annuity 5,21,070 Immediate - - - - 190 77,036 76,846 Health (73,980) 1,19,726 - - - - Life 1,786 Credit- 2,69,745 2,67,959 20,81,959 (2,33,919) B.2 SCHEDULE 16 (Continued) - - - - Life 8,229 Group- (37,937) 4,05,558 3,97,329 (2,69,929) TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - 71,113 Non-Par (1,92,102) 50,52,273 23,35,744 22,64,631 ANNEXURE 2 - SEGMENT ASSETS AND LIABILITIES MARCH 31, 2016 - - - - Par 24,867 10,82,982 17,15,389 16,90,522 Ordinary- 7,91,29,248 - - - 930 Funds/ 79,459 78,529 1,99,725 22,60,205 2,32,20,437 Unallocated Shareholders’ TOTAL Debit balance in Profit & Loss Debit balance in Profit Accounts) Account (Shareholders’ Net Current Assets (C)=(A-B) Net Current Miscellaneous Expenditure (to the Miscellaneous Expenditure or adjusted) extent not written off SUB-TOTAL(B) Inter Fund Liabilities Provisions Tax payable Tax Current liabilities: Current

Annual Report | 2015 -16 159 - - - - ( ` ‘000) Total 43,998 13,859 33,758 29,169 (43,998) (17,557) 1,54,082 1,53,029 3,91,275 9,22,788 2,19,976 12,63,799 86,23,309 48,35,902 63,14,606 (4,88,940) (1,62,046) 4,05,64,755 6,16,29,289 1,13,19,274 1,94,25,638 2,12,26,580 2,10,64,534 ------208 178 538 524 (34) (178) 22,194 17,010 40,266 Linked - (45,813) 4,59,436 9,85,565 2,44,517 1,88,584 2,44,517 Individual 15,87,946 18,32,463 Pensions ------21 19 135 485 (135) 6,325 Group 15,339 Linked - (19,347) (38,941) (16,771) 8,11,478 1,80,213 3,34,623 3,15,970 2,57,029 2,57,029 10,68,507 Pensions ------186 7,489 Linked 12,710 12,689 41,728 73,405 (12,689) (34,344) 3,60,835 24,00,160 63,69,243 13,18,665 63,34,899 10,59,957 (4,07,945) (7,34,676) Individual 3,70,23,798 3,06,88,899 1,06,79,625 1,79,96,674 ------121 436 (121) 1,027 1,921 6,385 13,728 (4,255) Non Par (70,375) (54,290) 4,98,227 2,26,772 2,23,615 2,71,455 2,71,455 Pensions

------20 89 319 (94) (89) PAR 2,818 1,178 8,066 10,081 11,578 3,90,156 2,27,379 2,16,475 1,62,871 1,62,777 Pensions ------315 2,794 14,201 77,993 10,614 18,355 64,883 (18,355) 6,48,634 34,67,584 12,63,799 19,40,357 16,42,899 20,50,395 15,27,227 19,71,635 (1,15,672) (2,21,636) Total Non- Participating ------1 4 50 14 50 (4) 451 367 (99) 39,612 39,562 39,562 Annuity Immediate ------106 237 657 153 549 (126) (153) 20,907 20,564 Health 91,877 17,358 91,751 1,12,658 (96,357) (77,793) ------315 Life 205 722 (722) 2,601 Credit 82,191 (8,863) (49,149) B.2 SCHEDULE 16 4,01,317 2,37,422 2,12,524 1,63,375 2,75,712 2,37,942 1,99,783 Non - Participating ------71 326 242 871 Life (242) 12,048 11,977 27,510 21,572 (7,135) Group (14,937) 1,43,276 1,46,165 1,31,228 TATA AIA LIFE INSURANCE COMPANY LIMITED ------Life 2,557 13,819 85,872 17,234 60,848 10,614 (51,460) (17,234) 3,39,109 Ordinary 27,70,721 16,29,898 11,92,283 19,22,885 12,63,799 11,40,823 17,51,777 (3,17,828) ------30,758 12,431 44,640 29,169 (11,580) (11,936) (12,431) 1,24,145 7,69,667 1,07,434 2,01,296 50,81,924 46,29,871 10,48,071 14,10,684 33,02,231 1,22,78,566 1,22,66,630 1,73,48,554 Participating Ordinary Life ANNEXURE 1 : SEGMENTED REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2015 1

2 3 Schedule Miscellaneous Income Interest on Over due Premium on Over due Premium Interest Transfer/Gain on revaluation/change in on revaluation/change Transfer/Gain fair value (Loss on sale/redemption of investments) (Loss on sale/redemption Fees and charges Interest, Dividends & Rent-Gross Dividends & Rent-Gross Interest, Reinsurance ceded of investments on sale/redemption Profit Premium Premium For diminution in the value of investments (Net) Contribution from the Shareholders' the Shareholders' Contribution from Account Exchange fluctuation gain Interest on Policy Loan Interest Reinsurance accepted Others (f) (a) (c) (c) (a) (a) (e) (c) (d) (b) (b) (d) (b) Provisions (other than taxation) Provisions (a) TOTAL (A) Commission Other Income Provision for Tax for Tax Provision Bad debts written off Bad debts written off Tax Fringe Benefit Provision for doubtful debts Provision Depreciation Depreciation Service Tax on Premium on Premium Service Tax Income from investments Income from Premiums earned-net Premiums TOTAL (B) (b) Operating Expenses related to Insurance BusinessOperating Expenses related

Annual Report | 2015 -16 160 - - - - ( ` ‘000) Total (31,846) 4,73,416 70,33,474 25,18,710 27,65,126 31,74,240 25,18,710 11,28,946 (2,46,416) (6,55,530) (6,55,530) 5,25,49,557 1,18,42,795 3,37,05,134 - - - - 273 18,483 (6,578) Linked - (20,998) (18,211) (18,210) (18,210) 1,55,759 1,73,970 1,73,969 1,55,759 Individual Pensions 16,18,227 16,45,803 ------790 Group 48,638 48,638 48,638 48,638 Linked - Pensions 10,36,640 11,94,785 (1,58,935) - - - (121) Linked 50,490 2,78,696 72,13,407 19,47,543 21,75,748 21,75,749 19,47,543 (2,28,205) (1,65,037) (2,28,206) (2,28,206) Individual 3,37,88,093 2,67,39,844 ------76,217 76,217 76,217 76,217 Non Par 4,76,300 8,90,318 Pensions (4,14,018)

- - - - - (11) PAR 24,597 24,597 11,446 13,151 44,758 13,151 24,597 57,909 3,53,981 1,99,649 1,54,343 Pensions ------(29,670) 9,94,784 5,02,108 5,22,346 5,01,165 5,01,165 5,01,165 5,01,165 Total Non- Participating ------256 26,784 26,528 12,461 12,461 12,461 12,461 Annuity Immediate ------(28) 48,949 Health 19,914 29,063 1,41,502 1,41,502 1,41,502 1,41,502 ------Life Credit (9,037) 2,16,146 3,37,025 3,37,025 3,37,025 3,37,025 (2,11,420) (4,18,529) Non - Participating ------B.2 SCHEDULE 16 (Continued) Life 90,403 10,177 10,177 24,342 10,177 10,177 (3,218) Group 1,11,527 TATA AIA LIFE INSURANCE COMPANY LIMITED ------Life (17,387) 1,60,206 8,76,125 Ordinary 10,18,944 - - - - - (2,044) 1,87,056 3,64,744 7,87,009 25,57,695 (2,35,209) (2,35,209) (4,22,265) (2,35,209) (4,22,265) 1,42,81,532 1,17,25,881 Participating Ordinary Life ANNEXURE 1 : SEGMENTED REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2015 4 Schedule

Amount accepted in Reinsurance Amount ceded in Reinsurance Gross Gross (c) (a) (b) Transfer to Linked fund (Net) Transfer TOTAL (C) Transfer from Linked Fund (Lapsed Policies) [E] from Transfer SURPLUS [(D)=(A)-(B)-(C)] Benefits paid (Net) FUNDS AVAILABLE FOR APPROPRIATION Interim Bonuses paid of life Change in valuation of liability respect policies APPROPRIATIONS Account to Shareholders' Transfer Transfer to Other Reserves (Insurance Reserve) Transfer Appropriations Balance being Funds for Future TOTAL (D) Balance Carried Forward to Sheet FUNDS FOR APPROPRIATION Opening Balance as at 1st April, 2014 year Appropriations Current

Annual Report | 2015 -16 161

- - - ( ` ‘000) 6,940 59,480 31,2016 3,80,001 7,31,762 4,73,416 7,95,971 Segment as at Mar 57,26,878 24,78,038 49,02,035 45,50,906 10,89,660 20,95,251 1,95,35,000 1,95,94,480 7,64,68,482 9,69,62,629 7,78,60,206 1,73,10,424 18,15,49,886 10,25,96,649 20,16,17,782 Consolidated ------236 273 235 3,077 8,735 Linked 52,136 91,487 Pension 4,90,037 4,81,302 Individual 53,80,264 54,35,713 53,80,273 54,35,986 ------25 5,562 9,182 7,092 Linked Group 53,737 44,555 Pension 46,93,621 46,99,183 46,93,620 46,99,183 ------6,704 2,670 Linked 72,740 50,490 5,08,572 5,93,462 7,31,762 2,81,359 2,27,213 49,02,035 10,19,111 Individual 8,68,88,744 9,31,95,447 9,25,22,756 9,32,45,937 ------73,421 25,698 47,723 12,328 Non Par Pensions 27,39,768 27,39,768 27,39,768 26,74,608 ------PAR 5,818 57,909 75,748 11,610 1,10,331 1,04,513 Pensions 25,80,268 25,80,268 26,38,177 26,30,662 ------58,688 96,256 26,540 8,25,192 7,66,504 58,98,372 58,98,372 58,98,372 76,67,290 Total Non- Participating ------2 Policy holders Funds 1,577 11,117 11,115 Annuity 3,50,555 3,50,555 3,50,555 4,75,612 Immediate ------811 3,282 7,803 Health 11,085 1,80,250 1,80,250 1,80,250 2,29,810 ------B.2 SCHEDULE 16 Life 7,592 9,145 Credit- 1,12,749 1,05,157 20,32,421 20,32,421 20,32,421 26,64,959 ------Life 343 5,221 24,119 76,121 76,121 18,898 76,121 Group- 1,41,825 TATA AIA LIFE INSURANCE COMPANY LIMITED ------42,591 96,256 14,664 Non-Par 6,66,122 6,23,531 32,59,025 32,59,025 32,59,025 41,55,084 ANNEXURE 2 - SEGMENT ASSETS AND LIABILITIES MARCH 31, 2015 ------Par 3,64,744 4,38,612 2,90,662 32,62,164 24,02,221 28,23,552 19,23,247 Ordinary- 6,45,98,914 6,70,01,135 6,37,69,956 6,73,65,879 ------Funds/ 59,480 23,423 3,80,001 4,03,424 7,45,590 1,95,35,000 1,95,94,480 1,73,10,424 1,95,94,480 Unallocated Shareholders’ (i) Assets and Liabilities have been identified between Shareholders’ Funds and Policyholders’ (i) Assets and Liabilities have been identified between Shareholders’ identified to segments. Other assets have been allocated on one of the basis mentioned below: (ii) Within Policyholders’ Funds, to the extent possible, assets and liabilities have been directly end balance of policy liabilities - Year account) to insurance business (as per revenue - Operating expenses related Premium - Gross - Commission paid Advance tax paid and taxes deducted (Net of provisions) at source Inter Fund Assets Sources of Funds Funds: Shareholders’ Capital Share Reserves and Surplus SUB-TOTAL(A) Credit/(Debit) Fair value change Credit/(Debit) account SUB-TOTAL Borrowings Provision for linked liabilities (lapsed Provision policy) Policyholders' Funds: Fair value change Credit/(Debit) account Policy liabilities Provision for linked liabilities Provision for Discontinued Policies on Provision account of non-payment premium Provision for Discontinued Policies- Provision Others SUB-TOTAL Funds for future appropriation Funds for future TOTAL Current assets: Current Cash and Bank Balances Advances and Other Assets Assets held to cover linked liabilities Loans Fixed Assets (Refer Note 1 Below) Application of Funds Investments Shareholders' Policyholders'

Annual Report | 2015 -16 162

- - ( ` ‘000) 19,674 31,2016 1,04,413 Segment as at Mar 28,96,470 79,57,756 78,33,669 (22,30,878) 20,16,17,782 Consolidated - - - - 367 Linked Pension 3,23,212 1,66,825 1,66,458 Individual 57,95,207 - - - - 331 Linked Group 39,768 13,969 13,638 Pension 47,40,505 - - - - Linked 28,472 27,79,792 27,51,320 Individual 9,12,73,317 (22,71,220) - - - - 296 14,556 58,865 58,569 Non Par 27,01,492 Pensions - - - - 218 PAR 66,587 43,744 43,526 27,84,607 Pensions - - - - 44,271 62,62,293 23,52,985 23,08,714 Total Non- (15,27,793) Participating - - - - 10 6,598 4,519 6,588 Annuity Policy holders Funds 4,81,708 Immediate - - - - 375 29,464 Health 29,089 2,12,242 (18,379) - - - - Life 1,775 Credit- 2,71,609 2,69,834 25,15,244 (1,58,860) B.2 SCHEDULE 16 (Continued) - - - - Life 594 45,635 Group- (96,533) 1,20,652 1,20,058 TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - 41,517 Non-Par 30,07,464 19,24,662 18,83,145 (12,58,540) ANNEXURE 2 - SEGMENT ASSETS AND LIABILITIES MARCH 31, 2015 - - - - Par 30,458 7,40,262 25,21,902 24,91,444 Ordinary- 6,67,24,127 - - - - Funds/ 19,674 19,674 3,83,750 28,96,470 2,13,36,234 Unallocated Shareholders’ TOTAL Inter Fund Liabilities (to the Miscellaneous Expenditure or adjusted) extent not written off SUB-TOTAL(B) Assets (C)=(A-B) Net Current & Loss Debit balance in Profit Accounts) Account (Shareholders’ Provisions Tax payable Tax Current liabilities: Current

Annual Report | 2015 -16 163 - ( ` ‘000) ( ` ‘000) Total Total 1,711 (19,629) 1,59,534 4,17,275 14,94,895 10,95,538 72,48,371 2,47,89,602 1,73,81,697 - - - 85 538 102 (17) (270) Linked - Linked - 1,65,133 1,64,865 Individual Individual Pensions Pensions ------Group Group Linked - Linked - 4,07,838 4,07,838 Pensions Pensions - (107) 1,751 Linked Linked 95,822 21,376 3,40,888 3,17,868 69,06,920 21,48,901 46,62,197 Individual Individual ------Non Par Non Par 3,54,393 3,54,393 Pensions Pensions - - - - (2) (5) PAR PAR 1,075 1,082 1,51,812 1,51,812 Pensions Pensions - (40) 63,174 24,292 (19,450) 4,73,877 4,69,075 45,11,901 31,62,399 12,86,328 Total Non- Total Non- Participating Participating ------(1) (1) (50) (50) Annuity Annuity Immediate Immediate - - - - PREMIUM 499 522 (34) (23) 81,391 Health Health 81,425 SCHEDULE I SCHEDULE II COMMISSION - - - (58) 1,096 58,406 44,738 (2,713) (2,655) 1,04,240 Credit Life Credit Life Non - Participating Non - Participating TATA AIA LIFE INSURANCE COMPANY LIMITED - - - 213 176 (16,405) (16,794) 5,65,246 4,42,128 1,23,118 Group Life Group Life Group Life - 19 (1) Life Life 4,818 23,557 4,92,497 4,68,922 Ordinary Ordinary 37,61,074 27,19,209 10,37,047 - - - (70) SCHEDULES FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2016 6,78,970 3,70,423 3,08,617 11,75,110 1,22,91,605 1,11,16,495 Participating Ordinary Life Participating Ordinary Life Net Commission Add: Commission on reinsurance accepted Add: Commission on reinsurance Less: Commission on reinsurance ceded Less: Commission on reinsurance Total premium - Single premiums - Single premiums - Renewal premiums - Renewal premiums Single Premiums Single Premiums First Year Premiums Premiums First Year Renewal Premiums Commission paid - First year premiums Direct Particulars Particulars

Annual Report | 2015 -16 164 - - - - - ( ` ‘000) 365 431 Total 5,207 4,735 3,268 82,818 37,523 44,310 96,950 39,959 98,022 1,40,010 2,10,912 1,42,749 5,53,447 2,89,326 2,11,539 5,28,641 2,73,919 46,61,294 18,97,163 ------1 4 1 8 97 11 43 364 194 548 371 252 403 548 230 104 253 8,472 5,040 Linked - Individual Pensions ------1 1 9 11 57 381 204 574 388 102 264 440 575 261 109 264 8,916 5,275 Group Linked - Pensions ------84 99 955 2,169 1,198 5,513 1,412 Linked 40,908 23,155 61,609 41,709 10,963 28,327 61,808 11,675 28,403 85,298 5,57,787 1,64,488 1,57,140 12,84,700 Individual ------1 1 8 91 10 97 51 340 182 511 346 235 392 513 232 236 7,949 4,703 Non Par Pensions ------9 1 1 7 82 87 36 306 163 461 312 212 339 462 194 212 PAR 7,123 4,239 Pensions - - - - - 228 270 3,268 1,723 2,359 73,813 45,266 75,258 19,784 51,112 39,527 21,067 52,089 9,95,267 1,11,221 2,79,545 1,11,527 2,65,843 2,81,350 1,30,667 25,61,184 Total Non- Participating ------7 1 1 8 27 15 40 27 19 45 41 34 19 14 668 370 Annuity Immediate ------8 3 1 1 6 69 73 35 256 137 386 261 178 291 387 170 178 5,991 3,551 Health SCHEDULE III ------6 7 6 81 65 741 106 789 2,766 1,484 4,203 2,820 1,915 3,516 4,179 2,352 1,544 2,760 56,223 38,579 (11,696) Credit Life Non - Participating TATA AIA LIFE INSURANCE COMPANY LIMITED ------2 2 25 20 864 462 880 231 598 992 585 246 600 125 4,710 1,316 1,305 2,46,152 2,59,115 Group Life Group Life OPERATING EXPENSES RELATED TO INSURANCE BUSINESS ------219 260 Life 3,153 1,631 2,353 69,900 43,168 71,270 18,736 48,402 39,418 19,951 33,654 48,532 9,48,057 1,05,276 2,74,701 1,05,615 2,62,702 1,42,189 Ordinary 22,39,187 ------49 58 700 558 964 6,404 2,614 6,820 2,459 23,898 13,654 35,988 24,365 16,548 36,106 16,565 57,767 SCHEDULES FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2016 3,24,852 1,07,840 1,04,741 7,82,950 Participating Ordinary Life Employees’ remuneration & welfare benefits & welfare Employees’ remuneration Travel, conveyance and vehicle running exps Travel, Training expenses (including staff training) expenses (including staff Training Rent, rates and taxes Repairs Printing & stationery Communication expenses Auditors' fees, expenses etc. (a) as auditor Legal & professional charges Legal & professional (b) as advisor or in any other capacity, in (b) as advisor or in any other capacity, of: respect (i) Taxation matters (i) Taxation (ii) Insurance matters (iii) Management services; and (c) In any other capacity Medical fees (d) Out of Pocket expenses (d) Information Technology related expenses related (d) Information Technology Advertisement and publicity (e) Directors sitting fees (e) Directors Interest & Bank Charges Interest (c) Stamp duty expenses (f) Office and miscellaneous expenses Others: expenses (a) Business promotion (g) Exchange fluctuation loss (Net) (h) Loss on Sale of Fixed Assets Total (b) Direct marketing expenses (b) Direct Particulars

Annual Report | 2015 -16 165 ------( ` ‘000) Total 6,755 8,11,605 3,61,526 11,00,224 15,29,040 13,88,108 (2,30,698) 2,89,19,524 2,39,52,964 ------454 16,681 Linked - Individual 14,79,720 14,62,585 Pensions ------(5) Group Linked - 7,22,370 7,22,375 Pensions ------Linked 16,795 (12,860) 3,95,980 Individual 2,20,13,162 2,16,13,247 ------3 Non Par 7,82,190 7,82,187 Pensions ------PAR 9,212 71,115 78,471 1,58,798 Pensions ------386 6,755 5,084 85,642 11,607 24,478 6,25,515 7,09,337 (2,17,774) Total Non- Participating ------5,894 30,372 24,478 Annuity Immediate ------17 8,156 1,384 6,755 Health SCHEDULE IV BENEFITS PAID (NET) ------29,064 (26,058) 2,17,592 2,14,586 Credit Life Non - Participating TATA AIA LIFE INSURANCE COMPANY LIMITED ------11,607 2,47,484 3,79,893 (1,44,016) Group Life Group Life ------386 Life 5,084 55,194 (47,700) 1,21,911 1,08,947 Ordinary ------(64) SCHEDULES FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2016 8,11,219 7,20,380 2,60,722 2,56,895 31,37,769 10,88,617 Participating Ordinary Life (b) Claims by Maturity (c) Annuities/Pension payment (d) Other benefits (e) Surrender (f) Claims by Health (g) Periodical benefits 3. Amount accepted in reinsurance: (a) Claims by Death (b) Claims by Maturity (c) Annuities/Pension payment (d) Other benefits Total premium 2. (Amount ceded in reinsurance): 2. (Amount ceded in reinsurance): (a) Claims by Death (iii) Claims by Health (iv) Periodical benefits (ii) Surrender (ii) Surrender (d) Other benefits (i) Experience refund (c) Annuities/Pension payment (b) Claims by Maturity 1. Insurance Claims: (a) Claims by Death Particulars

Annual Report | 2015 -16 166 - ( ` ‘000) ( ` ‘000) 342 Total Total (9,151) 9,22,788 3,98,706 1,81,368 5,32,891 29,39,144 2,12,26,580 1,81,06,068 - - - 524 565 521 (41) (795) Linked - Linked - 2,44,517 2,44,791 Individual Individual Pensions Pensions ------21 21 Group Group Linked - Linked - 2,57,029 2,57,029 Pensions Pensions - 247 (128) Linked Linked 73,405 40,205 33,081 13,900 2,88,129 63,69,243 60,67,214 Individual Individual ------Non Par Non Par 2,71,455 2,71,455 Pensions Pensions - - - - 2 (2) PAR PAR 1,178 1,180 1,62,871 1,62,869 Pensions Pensions - 95 77,993 20,120 66,716 (8,938) 5,05,297 1,66,945 9,70,657 16,42,899 Total Non- Total Non- Participating Participating ------1 1 50 50 Annuity Annuity Immediate Immediate - - - - PREMIUM 657 722 (65) (66) 91,877 Health Health 91,943 SCHEDULE I SCHEDULE II COMMISSION EXPENSES - - - 73 2,441 47,897 (8,863) (8,936) 2,12,524 1,62,186 Credit Life Credit Life Non - Participating Non - Participating TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - (2) 326 328 80,448 65,717 1,46,165 Group Life Group Life Group Life Group Life - 21 (2) Life Life 4,709 85,872 19,400 66,453 4,22,474 7,65,100 Ordinary Ordinary 11,92,283 - - 2 (83) SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2015 7,69,667 3,43,760 4,25,990 16,18,027 1,22,78,566 1,06,60,537 Participating Ordinary Life Participating Ordinary Life Net Commission Add: Commission on reinsurance accepted Add: Commission on reinsurance ceded Less: Commission on reinsurance - Single premiums - Single premiums Total premium is net of service tax. * Premium - Renewal premiums - Renewal premiums Commission paid - First year premiums Direct First Year Premiums Premiums First Year Single Premiums Single Premiums Renewal Premiums Renewal Premiums Particulars Particulars

Annual Report | 2015 -16 167 ------( ` ‘000) 251 455 Total 1,510 6,469 4,000 26,085 51,837 24,434 47,203 97,559 1,39,687 2,68,300 3,97,369 5,83,234 5,30,703 1,34,326 1,95,176 2,98,102 1,22,642 48,35,902 19,06,560 ------6 4 4 1 2 16 34 569 801 549 192 795 501 1,093 1,081 2,377 1,215 7,770 17,010 Linked - Individual Pensions ------5 3 1 2 14 29 486 934 684 467 164 679 427 1,655 2,030 1,045 6,714 Group 15,339 Linked - Pensions ------75 456 832 137 6,469 1,208 1,151 Linked 42,198 81,028 36,493 23,571 67,238 40,567 14,255 58,944 95,569 38,081 37,097 1,76,140 5,97,156 13,18,665 Individual ------5 3 1 2 13 28 466 899 516 659 450 158 654 999 412 1,955 6,508 13,728 Non Par Pensions ------4 1 1 10 19 349 669 110 268 466 335 118 487 742 306 PAR 1,455 4,741 10,081 Pensions ------619 103 186 1,639 57,241 22,315 12,031 19,080 55,022 19,336 79,948 34,554 50,206 1,09,901 2,05,598 2,38,902 2,51,931 1,21,969 7,69,814 20,50,395 Total Non- Participating ------4 1 12 23 43 49 17 11 17 25 10 451 239 Annuity Immediate ------7 1 1 2 18 25 35 611 137 884 588 207 854 538 (13) 1,174 2,552 1,304 8,433 17,358 Health SCHEDULE III ------5 8 28 74 96 677 650 872 2,582 4,957 3,433 3,317 5,665 2,482 3,606 5,482 2,270 10,776 82,191 35,211 Credit Life Non - Participating ------8 5 1 2 21 63 44 733 154 704 248 644 1,407 7,083 3,058 1,031 1,023 1,566 9,715 TATA AIA LIFE INSURANCE COMPANY LIMITED 27,510 Group Life Group Life OPERATING EXPENSES RELATED TO INSURANCE BUSINESS ------96 576 174 1,526 53,303 11,798 11,020 18,342 51,237 18,005 74,448 34,378 46,744 1,02,340 2,02,289 2,22,467 2,44,334 1,13,592 7,16,216 19,22,885 Ordinary Life Ordinary Life ------69 415 125 2,934 1,100 4,203 38,378 73,776 12,715 36,936 12,980 53,669 76,563 24,814 33,693 SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2015 1,55,158 1,60,375 2,08,924 5,13,857 14,10,684 Participating Ordinary Life (g) Exchange fluctuation loss (Net) (f) Office and miscellaneous expenses (e) Directors sitting fees (e) Directors (d) Information Technology related expenses related (d) Information Technology (c) Stamp duty expenses (b) Direct marketing expenses (b) Direct (a) Business promotion expenses (a) Business promotion Others: Interest & Bank Charges Interest Advertisement and publicity (d) Out of Pocket expenses (c) In any other capacity (iii) Management services; and (ii) Insurance matters (i) Taxation matters (i) Taxation (b) as advisor or in any other capacity, in (b) as advisor or in any other capacity, of: respect (a) as auditor Auditors' fees, expenses etc. Medical fees Legal & professional charges Legal & professional Communication expenses Printing & stationery Repairs Rent, rates and taxes Training expenses (including staff training) expenses (including staff Training ** net of reversals of provision no longer required of provision ** net of reversals Total Travel, conveyance and vehicle running exps Travel, (h) Loss on Sale of Fixed Assets Employees’ remuneration & welfare benefits & welfare Employees’ remuneration Particulars

Annual Report | 2015 -16 168 ------( ` ‘000) Total 26,730 (50,296) 5,13,801 5,50,431 21,09,643 10,11,654 11,72,777 3,37,05,134 2,83,70,394 ------5,262 20,977 Linked - Individual 16,45,803 16,19,564 Pensions ------5 Group Linked - 11,94,785 11,94,780 Pensions ------Linked (5,919) 2,69,953 5,27,241 Individual 2,67,39,844 2,59,48,569 ------Non Par 8,90,318 8,90,318 Pensions ------PAR 6,962 72,753 74,628 1,54,343 Pensions ------100 24,545 26,730 21,360 90,927 (42,385) 5,22,346 4,01,069 Total Non- Participating ------1,983 26,528 24,545 Annuity Immediate ------2,333 29,063 26,730 Health SCHEDULE IV ------BENEFITS PAID (NET) 42,624 (12,971) 2,16,146 1,86,493 Credit Life Non - Participating ------TATA AIA LIFE INSURANCE COMPANY LIMITED 90,403 21,360 82,517 (13,474) Group Life Group Life ------100 45,970 (15,940) 1,60,206 1,30,076 Ordinary Life Ordinary Life ------SCHEDULE FORMING PART OF THE REVENUE ACCOUNT FOR YEAR ENDED MARCH 31, 2015 (1,992) 9,90,294 5,13,701 6,38,576 2,00,588 2,16,528 25,57,695 Participating Ordinary Life Total premium (d) Other benefits (c) Annuities/Pension payment (b) Claims by Maturity 3. Amount accepted in reinsurance: 3. Amount accepted in reinsurance: (a) Claims by Death (g) Periodical benefits (f) Claims by Health (e) Surrender (e) Surrender (d) Other benefits (c) Annuities/Pension payment (a) Claims by Death (b) Claims by Maturity (d) Other benefits (i) Experience refund (iv) Periodical benefits 2. (Amount ceded in reinsurance): 2. (Amount ceded in reinsurance): (ii) Surrender (ii) Surrender (iii) Claims by Health (c) Annuities/Pension payment (b) Claims by Maturity 1. Insurance Claims: (a) Claims by Death Particulars

Annual Report | 2015 -16 169 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

ANNEXURE 3 -ADDENDUM TO THE REVENUE ACCOUNT -BREAK UP OF UNIT LINKED BUSINESS FOR THE YEAR ENDED MARCH 31, 2016 Current Year Policyholders’ Account (Technical Account) (` ‘000)

LINKED LIFE NON PAR LINKED PENSION

Non Non Unit Unit Total Unit Total Unit Premiums earned-net (a) Premium 227,476 6,679,444 6,906,920 382 572,589 572,971 Reinsurance ceded (Refer Note (b) (32,951) - (32,951) - - - A.2 (ii) of Schedule 16). (c) Reinsurance accepted - - - - -

Sub -Total 194,525 6,679,444 6,873,969 382 572,589 572,971 Income from investments Interest, Dividend and Rent- (a) Gross (Refer Notes A.2 (iii) and 58,267 2,276,977 2,335,244 6,355 443,984 450,339 A.2 (iv) of Schedule 16) Profit on sale/redemption of (b) investments (Refer Note A.2(vi) - 13,926,534 13,926,534 12 883,071 883,083 of Schedule 16) (Loss) on sale/redemption of (c) investments (Refer Note A.2(vi) - (1,770,488) (1,770,488) - (139,920) (139,920) of Schedule 16) Transfer/Gain on revaluation/ (d) - (16,023,826) 16,023,826) - (995,295) (995,295) change in fair value* Other Income (a) Interest on over due Premium 93 - 93 - - - (b) Interest on Policy loan ------Fees and charges (Refer Notes (c) A.2 (vii) & A.2 (viii) of Schedule 1,787,480 (1,788,211) (731) 97,856 (97,841) 15 16) Exchange fluctuation gain (Refer (d) ------Note A.8 of Schedule 16) Contribution from the (e) Shareholders' Account (Refer ------Note B.18 of Schedule 16) Miscellaneous Income (Refer (f) 25,919 275 26,194 21 15 36 Note B.23 of Schedule 16) Sub -Total 1,871,759 (3,378,739) (1,506,980) 104,244 94,014 198,258 TOTAL (A) 2,066,284 3,300,705 5,366,989 104,626 666,603 771,229

Annual Report | 2015 -16 170 (` ‘000)

LINKED LIFE NON PAR LINKED PENSION

Commission 340,888 - 340,888 85 - 85 Operating Expenses related to 1,323,704 1,323,704 17,916 0 17,916 Insurance Business Service Tax on Premium 31,384 248,606 279,990 31 17,230 17,261 Provision for doubtful debts (13,571) - (13,571) (195) - (195) Bad debts written off Provision for Tax (Refer Note A.14 of 15,902 - 15,902 220 - 220 Schedule 16) (a) Current Tax (credit)/charge ------(b) Deferred Tax (credit)/charge 24,755 - 24,755 2,175 - 2,175 Fringe Benefit Tax ------Provisions (other than taxation) ------For diminution in the value of (a) investments (Net) ------(b) Others ------TOTAL (B) 1,723,062 248,606 1,971,668 20,232 17,230 37,462 Benefits paid (Net) 178,864 21,834,298 22,013,162 68 2,202,022 2,202,090 Interim Bonuses paid ------Change in valuation of liability in - respect of life policies Gross** (Refer Notes A.6 and (a) (19,441) - (19,441) 4,503 - 4,503 B.2 of Schedule 16) (b) Amount ceded in Reinsurance ------Amount accepted in (c) ------Reinsurance Transfer to Linked Fund (Net) (Refer Note B.26 of Schedule 320 (18,782,202) (18,781,882) - (1,552,649) (1,552,649) 16) Transfer to Investment - - - - - stabilisation reserve TOTAL (C) 159,743 3,052,096 3,211,839 4,571 649,373 653,944 SURPLUS/ (DEFICIT) [(D)=(A)- (B)-(C)] 183,482 0 183,482 79,823 - 79,823 Transfer from Linked fund (Lapsed Policies) (Refer Note (32,840) (205) (33,045) (264) (9) (273) B.25 of Schedule 16) Funds available for Appropriation 150,642 (205) 150,437 79,559 (9) 79,550 APPROPRIATIONS Transfer to Shareholders' Account (Refer note B.10 of 183,482 0 183,482 79,823 0 79,823 Schedule 16) Transfer to Other Reserves ------Balance being transferred to Funds for Future Appropriations (32,840) (205) (33,045) (264) (9) (273) (Refer Note B.25 of Schedule 16) TOTAL (D) 150,642 (205) 150,437 79,559 (9) 79,550 * Represents the deemed realised gain as per norms specified by the Authority ** Represents Mathematical Reserves after allocation of bonus.

Annual Report | 2015 -16 171 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

SCHEDULE TO ANNEXURE 3 TO REVENUE ACCOUNT - UNIT LINKED BUSINESS FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2016 Current Year Schedule UL1 LINKED INCOME (RECOVERED FROM LINKED FUNDS) (` ‘000)

PARTICULARS UL NON PAR UL PENSIONS Total

FUND CHARGES 1,026,118 75,294 1,101,413

FUND ALLOCATION CHARGES - - -

FUND SWITCHING FEES 539 3 542

MANAGEMENT FEE - - -

INVESTMENT FEES - - -

SURRENDER CHARGE 60,330 1,862 62,191

MORATLITY RISK FEES 358,157 85 358,242

POLICY FEES 297,278 16,058 313,335

PREMIUM HOLIDAY CHARGE 34,581 - 34,581

OTHERS 11,208 4,539 15,747

-

-

TOTAL 1,788,211 97,841 1,886,052

Annual Report | 2015 -16 172 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

SCHEDULE TO ANNEXURE 3 TO REVENUE ACCOUNT - UNIT LINKED BUSINESS FORMING PART OF THE FINANCIAL STATEMENTS YEAR ENDED MARCH 31, 2016 Current Year Schedule UL2 BENEFITS PAID (` ‘000)

S.N PARTICULARS LINKED LIFE NON PAR LINKED PENSION

Non Non Unit Unit Total Unit Total Unit 1 Insurance claims

(a) Claims by death 191,725 204,255 395,980 68 16,613 16,681

(b) Claims by maturity - 16,795 16,795 - 454 454

(c) Annuities/ Pension payment - - - - 722,375 722,375

(d) Other benefits -

- Surrender 0 21,613,247 21,613,247 - 1,462,580 1,462,580

Sub Total (A) 191,725 21,834,297 22,026,022 68 2,202,022 2,202,090

2 Amount ceded in reinsurance

(a) Claims by death 12,860 - 12,860 - - -

(b) Claims by maturity ------

(c) Annuities/ Pension payment ------

(d) Other benefits

- Surrender ------

- Survival ------

Sub Total (B) 12,860 - 12,860 - - -

TOTAL (A) -(B) 178,864 21,834,297 22,013,162 68 2,202,022 2,202,090

Benefits paid to claimants:

In India 178,864 21,834,297 22,013,162 68 2,202,022 2,202,090

Outside India -

TOTAL (UL2) 178,864 21,834,297 22,013,162 68 2,202,022 2,202,090

Annual Report | 2015 -16 173 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

“ SCHEDULE TO ANNEXURE 3 TO REVENUE ACCOUNT - UNIT LINKED BUSINESS FORMING PART OF THE FINANCIAL STATEMENTS YEAR ENDED MARCH 31, 2015

Policyholders’ Account (Technical Account) (` ‘000) LINKED LIFE NON PAR LINKED PENSION Non Unit Unit Total Non Unit Unit Total Premiums earned-net (a) Premium 1,48,241 62,12,364 63,60,605 1,492 5,00,054 5,01,546 Reinsurance ceded (Refer Note (b) (34,344) - (34,344) - - - A.2 (ii) of Schedule 16). (c) Reinsurance accepted - - - - -

Sub -Total 1,13,897 62,12,364 63,26,261 1,492 5,00,054 5,01,546 Income from investments Interest, Dividend and Rent- (a) Gross (Refer Notes A.2 (iii) and 96,101 23,04,059 24,00,160 8,673 4,95,881 5,04,554 A.2 (iv) of Schedule 16) Profit on sale/redemption of (b) investments (Refer Note A.2(vi) 123 1,79,96,551 1,79,96,674 1,337 13,18,851 13,20,188 of Schedule 16) (Loss) on sale/redemption of (c) investments (Refer Note A.2(vi) - (4,07,945) (4,07,945) - (65,160) (65,160) of Schedule 16) Transfer/Gain on revaluation/ (d) - 1,06,79,625 1,06,79,625 - 6,39,649 6,39,649 change in fair value* Other Income (a) Interest on over due Premium 186 - 186 - - - (b) Interest on Policy loan ------Fees and charges (Refer Notes (c) A.2 (vii) & A.2 (viii) of Schedule 29,93,898 (27,71,422) 2,22,476 2,18,181 (2,00,244) 17,937 16) Exchange fluctuation gain (Refer (d) ------Note A.8 of Schedule 16) Contribution from the (e) Shareholders' Account (Refer ------Note B.18 of Schedule 16) Miscellaneous Income (Refer (f) 12,709 1 12,710 208 - 208 Note B.23 of Schedule 16) Sub -Total 31,03,017 2,78,00,869 3,09,03,886 2,28,399 21,88,977 24,17,376 TOTAL (A) 32,16,914 3,40,13,233 3,72,30,147 2,29,891 26,89,031 29,18,922 Commission 73,405 - 73,405 545 - 545 Operating Expenses related to 13,60,393 - 13,60,393 33,372 - 33,372 Insurance Business (` ‘000)

Annual Report | 2015 -16 174 (` ‘000) LINKED LIFE NON PAR LINKED PENSION Non Unit Unit Total Non Unit Unit Total Service Tax on Premium - 3,43,843 3,43,843 - 28,270 28,270 Provision for doubtful debts (12,689) - (12,689) (313) - (313) Bad debts written off Provision for Tax (Refer Note A.14 of 12,689 - 12,689 313 - 313 Schedule 16) (a) Current Tax (credit)/charge ------(b) Deferred Tax (credit)/charge (7,34,676) - (7,34,676) (38,941) - (38,941) Fringe Benefit Tax ------Provisions (other than taxation) ------For diminution in the value of ------(a) investments (Net) (b) Others ------TOTAL (B) 6,99,122 3,43,843 10,42,965 (5,024) 28,270 23,246 Benefits paid (Net) UL2 2,92,085 2,81,69,386 2,84,61,471 143 28,40,445 28,40,588 Interim Bonuses paid ------Change in valuation of liability in - respect of life policies Gross** (Refer Notes A.6 and (a) 49,950 - 49,950 12,164 - 12,164 B.2 of Schedule 16) (b) Amount ceded in Reinsurance (121) - (121) - - - Amount accepted in (c) ------Reinsurance Transfer to Linked Fund (Net) 130 55,00,004 55,00,134 - (1,79,684) (Refer Note B.26 of Schedule 16) (1,79,684) Transfer to Investment - - - - - stabilisation reserve TOTAL (C) 3,42,044 3,36,69,390 3,40,11,434 12,307 26,60,761 26,73,068 SURPLUS/ (DEFICIT) [(D)=(A)- (B)-(C)] 21,75,747 - 21,75,748 2,22,608 - 2,22,608 Transfer from Linked fund (Lapsed Policies) (Refer Note (2,21,335) (6,870) (2,28,205) (17,578) (633) (18,211) B.25 of Schedule 16) Funds available for Appropriation 19,54,412 (6,870) 19,47,543 2,05,030 (633) 2,04,397 APPROPRIATIONS Transfer to Shareholders' Account (Refer note B.10 of 21,75,749 - 21,75,749 2,22,607 - 2,22,607 Schedule 16) Transfer to Other Reserves ------Balance being transferred to Funds for Future Appropriations (2,21,336) (6,870) (2,28,206) (17,577) (633) (18,210) (Refer Note B.25 of Schedule 16) TOTAL (D) 19,54,413 (6,870) 19,47,543 2,05,030 (633) 2,04,397 * Represents the deemed realised gain as per norms specified by the Authority ** Represents Mathematical Reserves after allocation of bonus.

Annual Report | 2015 -16 175 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

SCHEDULE TO ANNEXURE 3 TO REVENUE ACCOUNT - UNIT LINKED BUSINESS FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2015 Schedule UL1 LINKED INCOME (RECOVERED FROM LINKED FUNDS) (` ‘000)

PARTICULARS UL NON PAR UL PENSIONS Total

FUND CHARGES 11,76,086 93,616 12,69,702

FUND ALLOCATION CHARGES - -

FUND SWITCHING FEES 695 6 701

MANAGEMENT FEE -

INVESTMENT FEES -

SURRENDER CHARGE 6,25,527 75,063 7,00,590

MORATLITY RISK FEES 4,77,432 75 4,77,507

POLICY FEES 4,36,335 26,628 4,62,963

PREMIUM HOLIDAY CHARGE 47,275 47,275

OTHERS 8,072 4,856 12,928

-

-

TOTAL 27,71,422 2,00,244 29,71,666

Annual Report | 2015 -16 176 Name of the Insurer :TATA AIA LIFE INSURANCE COMPANY LIMITED Registration No.110 Date of Registration with IRDA: February 12, 2001

“ SCHEDULE TO ANNEXURE 3 TO REVENUE ACCOUNT - UNIT LINKED BUSINESS FORMING PART OF THE FINANCIAL STATEMENTS YEAR ENDED MARCH 31, 2015

Schedule UL2 BENEFITS PAID (` ‘000)

S.N PARTICULARS LINKED LIFE NON PAR LINKED PENSION

Non Non Unit Unit Total Unit Total Unit 1 Insurance claims

(a) Claims by death 2,98,004 2,29,237 5,27,241 143 20,834 20,977

(b) Claims by maturity - 2,69,953 2,69,953 - 5,262 5,262

(c) Annuities/ Pension payment - - - - 11,94,781 11,94,781

(d) Other benefits -

- Surrender 0 2,76,70,196 2,76,70,196 - 16,19,568 16,19,568

Sub Total (A) 2,98,004 2,81,69,386 2,84,67,390 143 28,40,445 28,40,588 Amount ceded in 2 reinsurance (a) Claims by death 5,920 5,920

(b) Claims by maturity ------

(c) Annuities/ Pension payment ------

(d) Other benefits

- Surrender ------

- Survival ------

Sub Total (B) 5,920 - 5,920 - - -

TOTAL (A) -(B) 2,92,085 2,81,69,386 2,84,61,470 143 28,40,445 28,40,588

Benefits paid to claimants:

In India 2,92,085 2,81,69,386 2,84,61,470 143 28,40,445 28,40,588

Outside India -

TOTAL (UL2) 2,92,085 2,81,69,386 2,84,61,470 143 28,40,445 28,40,588

Annual Report | 2015 -16 177 160 ( ` ‘000) 1,268 1,428 40,420 40,420 40,420 39,152 40,420 49,879 (9,459) Capital 17.0795 Guarantee 2,366.5707 - Whole 59,022 59,022 Income 19.6459 3,28,892 9,15,854 Life Fixed 12,44,746 12,44,746 12,44,746 11,85,724 12,44,746 63,359.0552 0 Stable 18,264 18,264 20.5986 7,39,693 7,39,693 7,39,693 7,21,429 2,53,251 7,39,693 4,86,442 Whole Life 35,909.9062 0 57,128 57,128 23.5891 34,45,140 34,45,140 34,45,140 33,88,012 14,47,953 34,45,140 19,97,187 Whole Life Aggressive Aggressive 1,46,047.7696 20,542 Income 20.2241 1,10,869 1,31,411 6,48,966 24,66,062 24,66,062 24,66,062 23,55,193 24,66,062 18,17,096 Whole Life 1,21,936.6846 6,304 Equity 30.7856 3,23,604 3,29,908 Whole life 36,10,726 1,83,16,456 1,83,16,456 1,83,16,456 1,79,92,853 1,47,05,730 1,83,16,456 5,94,968.2917 30 Fixed 4,719 4,750 Income 77,513 90,706 20.0866 1,68,219 1,68,219 1,68,219 1,63,499 1,68,219 8,374.6648 37 2,810 2,847 Stable 22.9003 2,29,600 2,29,600 2,29,600 2,26,790 1,18,212 2,29,600 1,11,388 10,026.0878 688 15,095 15,783 23.6921 5,63,734 Form A- BS (UL) 16,20,632 16,20,632 CURRENT YEAR 16,20,632 16,05,537 10,56,898 16,20,632 Aggressive Aggressive 68,403.9504 Registration No 110 26 10,258 10,284 Growth Growth 37.4842 9,33,115 3,80,309 Fund Balance sheet as at Mar 31, 2016 13,13,424 13,13,424 13,13,424 13,03,166 13,13,424 35,039.3972 Date of Registration with IRDAI: February 12, 2001 - 5,279 5,279 30.4071 3,94,411 3,94,411 Annexure 4A - Financial Statements of Life Linked Business 3,94,411 3,89,132 2,81,846 3,94,411 1,12,565 Balanced 12,971.0385 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 74 148 222 Liquid 77,099 63,112 21.9463 1,40,211 1,40,211 1,40,211 1,40,063 1,40,211 6,388.8441 8,650 7,013 15,663 Income 22.1814 7,35,125 7,35,125 7,35,125 7,26,475 4,22,289 7,35,125 3,12,836 33,141.4338 Equity 64,425 16,167 80,592 46.1961 41,40,885 1,43,41,236 1,43,41,236 1,43,41,236 1,42,76,811 1,02,00,351 1,43,41,236 3,10,442.6747 (B) (A) F-4 F-3 F-2 F-1 (A)/(B) Schedule `) Net Asset Value per Unit In ( Arrived AUM (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Total Net Asset as per Balance Sheet Net current assets Net current Less: Current Less: Current Liabilities and Provisions Current Assets Current Total of Funds Application Investments Revenue Account Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Particulars

Annual Report | 2015 -16 178 27 ( ` ‘000) 215 188 Fund 13.5630 (61,695) 2,89,344 2,27,649 2,27,622 2,27,649 2,27,649 2,27,649 16,784.5266 Infrastructure 1,073 31,980 33,053 16.3381 5,90,800 in Fund II 11,53,367 17,44,167 17,12,187 17,44,167 17,44,167 17,44,167 Apex Lock - 1,06,754.3822 3,887 33,591 37,478 in Fund 17.3605 8,19,393 16,23,711 24,43,104 24,09,513 24,43,104 24,43,104 24,43,104 Apex Lock - 1,40,727.5116 0 - - 0 0 (0) (0) (0) (0) FUND APEX 59,258 10.0000 (59,258) INVESTMENT 1,168 2,358 1,190 85,653 12,332 97,985 96,817 97,985 97,985 97,985 17.1895 5,700.2960 BOND FUND 294 1,207 1,501 FLEXI 97,891 79,335 78,129 79,335 79,335 79,335 16.5543 (18,556) STABLE 4,792.4045

90 1,250 1,340 FLEXI 16.8434 (11,186) 1,25,507 1,14,321 1,13,071 1,14,321 1,14,321 1,14,321 6,787.2894 AGGRESSIVE 1,300 18,210 19,510 30.9716 8,70,558 3,74,656 TOP-200 12,45,214 12,27,004 12,45,214 12,45,214 12,45,214 40,205.0483 CURRENT YEAR 370 1,603 Registration No 110 1,973 52,766 TOP-50 25.1619 4,94,692 5,47,458 5,45,855 5,47,458 5,47,458 5,47,458 21,757.4548 Form A- BS (UL) (Continued) 13 Fund Balance sheet as at Mar 31, 2016 541 554 Fund Capital 29,556 20,053 19,512 20,053 20,053 20,053 (9,503) 15.2166 Guarantee 1,317.8526 UCG -110% Date of Registration with IRDAI: February 12, 2001 Annexure 4A - Financial Statements of Life Linked Business 1,330 Select 1,23,608 31.4720 6,28,176 8,81,983 1,24,938 15,10,159 13,86,552 15,10,159 15,10,159 15,10,159 47,984.2936 Equity Fund Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED (0) Equity 1,09,663 17.1528 1,09,663 44,47,050 75,55,096 31,08,046 74,45,433 75,55,096 75,55,096 75,55,096 Large Cap 4,40,459.5194 354 472 118 10,631 35,450 24,819 35,096 35,450 35,450 35,450 Growth 14.1833 Maximiser 2,499.4361 0 446 446 2,699 5,032 2,333 4,586 5,032 5,032 5,032 Enabler Growth 16.2870 308.9288 (A) (B) F-1 F-2 F-3 F-4 (A)/(B) Schedule `) Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Total Revenue Account Application of Funds Investments Current Assets Current Less: Current Liabilities Less: Current and Provisions Net current assets Net current Total Particulars Net Asset as per Balance Sheet Arrived AUM (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net Asset Value per Unit In (

Annual Report | 2015 -16 179 ( ` ‘000) Total Total 34.1028 2,00,753 13,72,540 11,71,787 21,61,916 3,28,87,178 4,08,40,186 7,37,27,364 7,25,55,577 7,37,27,364 7,37,27,364 7,37,27,364 0 93 48 48 (6) 147 141 141 141 141 India Fund 9.7136 14.5047 Consumption 0 96 34 34 (2) 133 130 130 130 130 Fund 9.7097 13.3931 Multi Cap Multi Cap Apex Apex 9,641 1,309 68,707 10,950 15.4971 4,07,290 4,75,997 4,66,356 4,75,997 4,75,997 4,75,997 Supreme Supreme In Fund III In Fund Return Lock Lock Return 30,715.1999 - Apex Apex 7,041 4,427 2,755 1,672 1,672 4,427 4,427 4,427 (2,614) Fund III Fund 10.0957 Supreme Supreme 438.4961 Investment Investment - Apex Apex 67,441 10,396 10,396 15.9373 3,32,783 4,00,224 3,89,828 4,00,224 4,00,224 4,00,224 Supreme Supreme In Fund II In Fund Return Lock Lock Return 25,112.3694 - 976 204 772 772 976 976 976 Apex Apex 3,277 Fund II Fund (2,301) 97.5328 10.0065 Supreme Supreme Investment Investment Apex Apex 3,016 17,253 14,237 In Fund 14.9447 5,53,596 1,29,185 6,82,781 6,68,544 6,82,781 6,82,781 6,82,781 Supreme Supreme Return Lock Lock Return 45,687.0564 - 306 430 124 124 430 430 430 Fund Apex Apex 3,752 (3,322) 42.9459 10.0087 Supreme Supreme Investment Investment CURRENT YEAR Registration No 110 213 15.1955 1,33,670 21,22,439 11,17,231 33,73,127 32,39,670 32,39,670 32,39,670 32,39,670 Form A- BS (UL) (Continued) (1,33,457) Policy Fund Policy 2,13,199.6126 Discontinuance Fund Balance sheet as at Mar 31, 2016 408 Date of Registration with IRDAI: February 12, 2001 6,155 5,747 Fund II Fund Return Return 69,997 Lock-in Lock-in 14.2354 2,14,902 2,79,152 2,84,899 2,84,899 2,84,899 2,84,899 Apex Plus Apex 20,013.4323 Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Fund Fund 1,455 Return Return 25,721 24,266 Lock-in Lock-in 15.9283 7,67,768 3,31,938 10,75,440 10,99,706 10,99,706 10,99,706 10,99,706 Apex Plus Apex 69,041.0398 - - 0 (0) (0) (0) (0) (0) (0) Fund Fund 10,206 10.0000 (10,206) Apex Plus Apex Investment Investment (0) 337 337 Fund Fund 110% 8,656 7,039 6,702 7,039 7,039 7,039 Super Capital Capital (1,618) 15.4155 456.5881 Gurantee Gurantee - 21.0235 2,32,783 2,32,783 38,84,379 28,26,168 67,10,547 64,77,764 67,10,547 67,10,547 67,10,547 Equity Fund Fund Equity Super Select Super Select 3,19,192.5959 (A) (B) F-1 F-2 F-3 F-4 (A)/(B) Schedule Schedule `) Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Revenue Account Total Funds of Application Investments Current Assets Current Less: Current Less: Current Liabilities and Provisions Total Net Asset as per Balance Sheet Arrived AUM Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net current assets Net current Net Asset Value per Unit In ( Particulars Particulars

Annual Report | 2015 -16 180 - - 9 0 20 73 27 (2) ( ` ‘000) 102 100 221 225 (373) 2,335 2,333 Enabler Growth Growth - - 0 88 514 198 669 1,122 1,989 2,503 1,082 2,892 (9,973) (9,459) (1,558) Capital Guarantee - - - 0 4,489 8,114 8,780 Whole 13,021 25,624 79,441 Income (5,803) 2,49,451 3,28,892 1,05,065 1,02,088 Life Fixed - - 0 8,457 3,171 7,920 4,126 Stable 19,548 13,704 43,018 35,851 (5,844) (69,291) 2,59,095 2,53,251 Whole Life - - 0 34,905 88,377 13,147 40,325 32,179 96,821 (43,752) 4,72,528 15,80,082 14,47,952 (1,32,129) (6,45,280) Whole Life Aggressive Aggressive - - - 0 28,803 58,640 10,612 19,225 37,388 Income (18,709) 5,15,446 6,48,966 1,33,519 1,92,159 1,73,480 Whole Life - - 124 8,016 Equity 54,184 4,24,907 1,34,469 2,36,254 2,13,041 Whole life 46,91,313 (8,85,151) (4,60,243) 1,55,90,881 1,47,05,730 (53,72,737) - - - 0 602 Fixed 4,632 2,392 1,638 2,267 77,513 66,819 10,694 15,326 14,825 Income (1,766) - - 0 796 (751) 6,852 2,669 6,101 3,387 1,173 Stable 13,159 11,254 (19,485) 1,18,212 1,18,963 - - 0 5,810 49,896 15,679 28,407 14,632 49,744 (8,672) Form A- RA (UL) CURRENT YEAR (58,568) 2,55,553 10,56,898 11,15,466 (3,28,601) Aggressive Aggressive Registration No 110 - - 0 11 2,792 35,956 11,693 21,471 11,371 38,567 Growth Growth (35,945) 9,33,115 9,69,060 1,30,486 Fund Balance sheet as at Mar 31, 2016 (1,80,413) Date of Registration with IRDAI: February 12, 2001 - - 0 74 858 3,655 5,551 1,717 10,064 10,137 20,004 18,790 (30,374) 2,81,846 2,81,772 Balanced Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - 0 192 561 2,733 8,395 1,285 1,256 Liquid 77,099 68,704 11,128 10,567 - - - 0 8,362 1,512 9,974 19,848 46,351 66,199 17,639 57,053 (8,493) Income 4,22,289 3,75,938 - - 0 5,080 Equity 52,163 5,02,325 1,68,595 2,81,567 2,46,218 23,40,843 (9,83,195) 1,02,00,352 1,16,85,872 (14,85,520) (35,75,336) F-5 Schedule Fund revenue account at the end of Year Total (B) Net Income for the year (A-B) account Add: Fund revenue at the beginning of period * Net change in marked to market value of investments . Other charges: Total (A) Fund administration expenses Appropriation Income/ Appropriation Exappropriation Loss ( net) Fund management expenses Unrealised Gain/loss* Unrealised Miscellaneous Income Profit/loss on inter fund Profit/loss transfer/ sale of investment Profit/loss on sale of Profit/loss investment Dividend income Income from investments investments Income from income Interest Particulars

Annual Report | 2015 -16 181 - - - ( ` ‘000) 0 83,023 95,914 42,233 60,947 1,99,093 15,60,734 34,04,836 28,26,169 (3,79,574) (5,78,667) Equity Fund (20,23,331) Super Select

- - 2 117 Fund 3,195 3,512 2,939 1,505 7,956 75,251 (31,931) (21,806) (39,889) (61,695) (1,10,496) Infrastructure Infrastructure - - 0 9,973 5,085 96,222 26,977 63,666 14,700 46,762 16,904 1,21,232 in Fund II 5,73,896 5,90,800 (1,63,761) Apex Lock - - - 0 6,942 12,310 37,353 88,474 24,486 68,781 19,693 In Fund 1,30,220 1,80,995 7,99,700 8,19,394 (2,35,049) APEX Lock ------0 82 (33) (49) (82) APEX (59,340) (59,258) INVESTMENT - - - 0 852 8,844 1,215 1,378 8,968 1,123 3,353 5,615 6,717 BOND 12,332 (1,091) - - 0 203 854 678 FLEXI 5,899 4,563 1,115 4,643 2,647 1,996 (6,022) STABLE STABLE (20,552) (18,556) - - 0 688 FLEXI 5,821 9,677 1,608 1,642 1,283 1,001 3,892 (2,250) (8,937) (14,544) (11,186) AGGRESSIVE - - 6 258 21,229 18,269 12,085 12,234 42,588 CURRENT YEAR (87,056) 3,89,181 5,04,300 3,74,656 TOP-200 (4,97,730) (1,29,644) Registration No 110 Form A- RA (UL) (Continued) - - 4 286 9,418 8,053 5,854 5,460 19,367 52,766 TOP-50 (36,641) (56,008) 1,28,769 1,08,775 Fund Balance sheet as at Mar 31, 2016 (1,75,118) Date of Registration with IRDAI: February 12, 2001 - - 0 40 686 496 172 611 (19) Fund UCG (899) 1,433 1,260 1,279 -110% Capital (9,484) (9,503) Guarantee Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED - - - 0 Fund Equity 6,147 Select 17,544 24,997 24,272 55,416 (85,091) 3,72,481 8,81,983 10,22,490 (4,75,116) (1,40,507) - - 71 3,087 Equity 47,617 80,464 1,24,034 1,00,692 2,28,773 10,50,011 38,82,091 31,08,045 (5,45,273) (7,74,046) Large Cap (17,22,476) - - 0 327 657 151 211 (321) 1,077 7,094 1,019 26,158 24,819 (8,819) (1,340) Growth Growth Maximiser F-5 Schedule Dividend income Income from investments investments Income from income Interest Profit/loss on sale of Profit/loss investment Profit/loss on inter fund Profit/loss transfer/ sale of investment Miscellaneous Income Unrealised Gain/loss* Unrealised Fund management expenses Appropriation Income/ Appropriation Exappropriation Loss ( net) Total (A) Fund administration expenses Other charges: Total (B) Net Income for the year (A-B) Add: Fund revenue account Add: Fund revenue at the beginning of period Fund revenue account at the end of Year * Net change in marked to market value of investments Particulars

Annual Report | 2015 -16 182 - - ( ` ‘000) 275 Total Total 7,13,417 2,97,276 8,27,412 20,36,810 10,26,117 14,49,563 (36,27,349) (15,90,539) 4,44,67,534 4,08,40,186 1,21,56,042 (1,60,23,829) - - - - 4 6 2 1 0 0 0 0 (6) (6) (0) India Fund Consumption - - - - 2 3 1 0 1 1 0 1 (2) (2) (0) Fund Multi Cap - - 0 Apex 5,369 3,437 5,699 2,661 3,345 Return Lock In 80,551 14,505 68,707 16,585 14,640 Fund III (11,844) (31,909) Supreme Supreme ------47 47 49 31 125 174 175 Apex Fund III (2,663) (2,614) Supreme Supreme Investment - - 0 Apex 3,922 2,933 5,053 2,645 2,727 Return Fund II Lock In 76,706 11,908 67,442 16,086 12,037 (9,264) (28,205) Supreme Supreme - - - - - 0 34 46 40 26 100 146 146 Apex Fund II (2,347) (2,301) Supreme Supreme Investment - - 0 Fund 7,390 5,124 9,766 4,353 5,198 22,280 26,979 31,822 (17,927) (59,646) 1,47,112 1,29,185 Return Lock In Apex Supreme Apex Supreme - - - - - 0 95 39 63 31 25 158 158 Fund Apex (3,385) (3,322) Supreme Supreme Investment CURRENT YEAR Registration No 110 - - - - - 3 Form A- RA (UL) (Continued) 68 21,956 21,953 11,783 6,96,387 4,20,845 4,42,801 4,30,950 11,17,231 Policy Fund Fund Balance sheet as at Mar 31, 2016 Discontinuance Date of Registration with IRDAI: February 12, 2001 - - 0 607 7,293 2,733 4,687 3,953 2,284 Return Fund II Lock-in 69,997 72,603 27,688 15,404 (2,606) (40,689) Apex Plus Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED - - 0 Fund 8,914 2,247 7,283 Return Lock-in 25,772 22,060 14,611 59,164 (3,712) 3,31,938 3,35,650 1,25,786 Apex Plus (1,70,173) ------2 0 2 0 (2) Fund (10,206) (10,204) Apex Plus Investment - - 0 13 86 19 424 237 437 101 398 555 Fund 110% (535) Super Capital (1,618) (1,630) Gurantee F-5 Schedule Total (B) Net Income for the year (A-B) Fund revenue account at the end of Year Other charges: Add: Fund revenue account Add: Fund revenue at the beginning of period Fund administration expenses * Net change in marked to market value of investments Unrealised Gain/loss* Unrealised Total (A) Fund management expenses Appropriation Income/ Appropriation Exappropriation Loss ( net) Miscellaneous Income Dividend income Profit/loss on sale of Profit/loss investment on inter fund Profit/loss transfer/ sale of investment Income from investments investments Income from income Interest Particulars

Annual Report | 2015 -16 183 ( ` ‘000) Total Fund 4,208 31,237 49,879 58,979 Capital 66,72,004 (13,308) 2,89,344 4,33,838 3,28,87,179 4,80,55,227 Guarantee (1,75,731) (2,18,40,052) Infrastructure Infrastructure - - 147 147 (2) India Fund Whole Income in Fund II 9,15,856 5,45,927 Life Fixed 11,53,367 14,62,529 10,64,266 (3,09,160) (6,94,337) Apex Lock - Consumption - - 133 133 2 Fund Stable Multi Cap In Fund 4,86,442 1,43,144 6,06,821 16,23,711 20,15,920 (3,92,211) (2,63,523) APEX Lock Whole Life Apex 91,486 (18,938) Supreme Supreme 4,07,290 3,34,742 In Fund III (43) (40) APEX Return Lock 59,258 59,341 4,50,351 19,97,187 24,70,787 (9,23,951) Whole Life Aggressive Aggressive INVESTMENT Apex 7,041 86,068 12,460 Fund III (91,487) Supreme Supreme Investment BOND 85,653 45,511 Income 1,46,013 18,17,096 11,24,398 19,57,454 (1,05,871) Whole Life (12,64,756) Apex Return Fund II Lock In 71,716 (17,078) Supreme Supreme 3,32,783 2,78,144 FLEXI Equity 97,891 25,245 STABLE STABLE (61,983) 1,34,629 24,97,164 59,89,333 Whole life 36,10,726 (48,75,771) Apex 3,277 3,708 Fund II 71,285 (71,717) Supreme Supreme Investment FLEXI 15,621 90,705 80,012 (67,099) 1,25,507 1,76,985 1,38,109 (1,27,416) Fixed Income AGGRESSIVE Fund Apex Return Lock In 81,196 (72,808) Supreme Supreme 5,53,596 5,45,208 Stable 32,595 (62,196) 8,70,558 1,57,846 1,11,388 1,40,989 TOP-200 14,49,970 (7,37,258) Fund Apex 3,752 48,892 36,096 (81,236) Supreme Supreme Investment 64,791 TOP-50 4,94,692 7,80,053 5,63,734 1,18,654 8,80,355 (3,50,152) (4,35,275) Aggressive Aggressive SCHEDULE: F-1 CURRENT YEAR Registration No 110 (10,549) 21,22,439 49,24,262 Policy Fund (27,91,274) Fund UCG Discontinuance 2,555 -110% Capital 29,556 33,426 68,363 (6,425) Growth 3,80,309 4,39,736 Guarantee (1,27,790) POLICYHOLDERS’ CONTRIBUTION Fund Balance sheet as at Mar 31, 2016 26 Return Fund II Lock-in (83,895) 2,14,902 2,98,771 Fund Apex Plus Equity Select 23,519 (40,871) 6,28,176 2,00,646 9,53,515 1,12,565 1,29,917 Balanced Date of Registration with IRDAI: February 12, 2001 (5,25,985) SCHEDULE to Fund Balance sheet as at Mar 31, 2016 Annexure 4A - Financial Statements of Life Linked Business 116 Fund Return Lock-in 7,67,768 11,24,372 Apex Plus (3,56,720) Equity Liquid 63,112 54,187 92,376 (83,451) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 44,47,050 14,56,063 57,53,833 Large Cap (27,62,846) 139 Fund (138) 10,206 10,205 Apex Plus Investment 2,764 10,631 29,966 94,041 Growth Growth Income (22,099) 3,12,836 5,06,432 Maximiser (2,87,636) 737 Fund 110% 8,656 Super Capital 13,159 (5,240) Gurantee 444 2,699 3,663 Equity (1,408) Enabler Growth Growth 9,73,842 41,40,885 68,47,366 (36,80,323) Select Super 7,98,249 38,84,379 57,17,499 Equity Fund (26,31,369) * Additions represents units creation and deductions represent unit cancellations and deductions represent units creation * Additions represents Closing balance Deductions during the Year * Deductions during the Year Additions during the Year * Additions during the Year Opening balance Closing balance * Additions represents units creation and deductions represent unit cancellations and deductions represent units creation * Additions represents Deductions during the Year * Deductions during the Year Closing balance Additions during the Year * Additions during the Year Opening balance Deductions during the Year * Deductions during the Year Additions during the Year * Additions during the Year Opening balance Particulars Particulars Particulars

Annual Report | 2015 -16 184 ------4 96 156 ( ` ‘000) 1,656 1,500 1,600 5,086 39,152 37,496 30,810 Capital Guarantee ------100 Whole 13,200 Income 3,35,840 1,45,298 6,91,386 Life Fixed 11,85,724 11,85,724 ------2 98 (0) 1,600 Stable 12,312 10,712 31,000 65,940 30,861 7,21,429 7,09,117 2,82,581 2,98,735 Whole Life ------4 96 66,400 56,900 59,267 41,859 1,23,300 1,45,200 1,73,539 8,15,042 33,88,012 32,64,712 20,29,805 Whole Life Aggressive Aggressive ------4 96 96,200 96,200 Income 1,02,200 1,24,251 4,75,430 2,21,783 23,55,193 22,58,993 13,35,329 Whole Life ------11 89 Equity 1,17,000 6,95,926 19,76,938 Whole life 19,76,938 1,79,92,853 1,60,15,915 1,52,02,989 ------1 0 99 1,400 1,400 Fixed 7,000 20,444 29,648 Income 1,63,499 1,62,099 1,05,007 ------4 96 9,000 1,131 9,600 Stable CURRENT YEAR 10,131 13,265 80,365 2,26,790 2,16,659 1,13,429 ------2 98 (0) 30,205 30,205 62,400 45,479 9,66,102 1,24,455 3,76,895 16,05,537 15,75,331 Aggressive Aggressive ------5 0 Registration No 110 95 8,567 63,505 36,400 27,105 55,600 31,939 Growth Growth 7,82,135 3,61,421 13,03,166 12,39,661 ------5 95 4,292 4,283 19,892 15,600 16,600 22,652 3,89,132 3,69,239 1,28,426 1,97,278 Balanced Date of Registration with IRDAI: February 12, 2001 SCHEDULE to Fund Balance sheet as at Mar 31, 2016 Annexure 4 A - Financial Statements of Life Linked Business ------3 97 4,800 4,800 5,800 Liquid 1,40,063 1,35,263 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 1,29,463 ------0 100 29,900 36,662 90,256 Income 7,26,475 7,26,475 1,78,015 3,91,642 ------2 0 98 7,000 Equity 52,600 2,35,540 2,28,540 1,92,858 1,42,76,811 1,40,41,271 1,37,95,813 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Funds Money Market Equity Infrastructure Bonds Infrastructure Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Schedule: F - 2 Particulars

Annual Report | 2015 -16 185 ------2 98 ( ` ‘000) 632 Fund 4,742 4,743 10,918 2,27,622 2,11,330 2,22,880 Infrastructure Infrastructure ------100 32,958 5,82,817 5,07,558 2,21,516 3,67,338 17,12,187 17,12,187 Apex Lock - in Fund II ------100 54,385 - in Fund 7,52,912 6,57,489 1,99,023 7,45,704 24,09,513 24,09,513 Apex Lock ------APEX INVESTMENT ------4 96 3,800 3,800 5,711 4,000 6,085 BOND 96,817 22,549 93,017 54,672 ------4 96 189 FLEXI 3,189 3,000 6,632 3,200 78,129 11,672 74,940 53,436 STABLE STABLE ------5 95 691 FLEXI 5,091 4,400 4,700 2,449 44,333 56,498 1,13,071 1,07,980 AGGRESSIVE ------2 98 CURRENT YEAR 24,640 24,640 13,979 TOP-200 12,27,004 11,88,385 12,02,364 ------3 97 18,877 18,877 29,794 TOP-50 5,45,855 4,97,184 5,26,978 ------4 Registration No 110 96 78 778 700 700 Fund 2,508 1,122 Capital 19,512 18,734 14,404 Guarantee UCG -110% ------6 94 Select 80,205 80,205 13,86,552 13,06,347 13,06,347 Date of Registration with IRDAI: February 12, 2001 Equity Fund Annexure 4 A - Financial Statements of Life Linked Business ------3 97 SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) Equity 56,000 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 1,94,865 1,94,865 1,59,992 74,45,432 70,34,575 72,50,567 Large Cap ------1 99 314 314 1,400 35,096 34,782 21,473 11,910 Growth Growth Maximiser ------3 97 25 125 100 100 4,586 4,461 1,882 2,479 Enabler Growth Growth Total Preference Shares Approved Approved Shares Preference GRAND TOTAL Mutual Fund Money Market % of approved to Total % of OTAI to Total Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Infrastructure Bonds Infrastructure Money Market Equity Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Mutual Funds Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Schedule: F - 2 Particulars

Annual Report | 2015 -16 186 ------5 0 95 ( ` ‘000) Total Total 2,52,000 7,19,900 32,95,272 30,43,273 50,39,797 67,01,888 12,48,814 35,10,565 7,25,55,577 6,92,60,304 5,20,39,342 ------9 9 10 90 93 83 83 India Fund Consumption ------6 5 5 94 96 91 91 Fund Multi Cap ------100 Apex 16,020 14,548 Supreme Supreme 4,66,356 4,66,356 1,06,470 2,25,728 1,03,591 In Fund III Return Lock ------100 Apex 2,755 2,755 2,755 Fund III Supreme Supreme Investment ------100 Apex 19,387 79,350 13,612 Supreme Supreme 3,89,828 3,89,828 1,69,728 1,07,751 In Fund II Return Lock ------100 204 204 204 Apex Fund II Supreme Supreme Investment ------100 Fund Apex Return Lock In 11,224 15,706 Supreme Supreme 6,68,544 6,68,544 1,39,561 2,90,802 2,11,251 CURRENT YEAR ------306 306 306 Fund Apex Supreme Supreme Investment ------100 Registration No 110 33,73,127 33,73,127 33,73,127 Policy Fund Discontinuance ------100 8,266 Return Fund II Lock-in 64,118 25,704 73,588 2,79,152 2,79,152 1,07,476 Apex Plus Date of Registration with IRDAI: February 12, 2001 ------Annexure 4 A - Financial Statements of Life Linked Business 100 Fund Return Lock-in 15,918 2,83,743 1,34,585 3,91,322 2,49,872 10,75,440 10,75,440 SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) Apex Plus Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------Fund Apex Plus Investment ------2 98 24 124 100 100 940 306 Fund 110% 6,702 6,578 5,232 Super Capital Gurantee ------6 94 Select Super 3,82,629 3,82,629 64,77,764 60,95,135 60,95,135 Equity Fund % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Money Market Mutual Fund Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Funds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Corporate Bonds Infrastructure Bonds Infrastructure Equity Money Market Schedule: F - 2 Particulars

Annual Report | 2015 -16 187 ------1 140 160 160 536 751 ( ` ‘000) 1,428 Capital Capital Guarantee Guarantee ------198 5,124 Whole Whole 59,022 18,270 35,430 Income Income Life Fixed Life Fixed ------0 0 20 112 2,190 4,792 Stable Stable 18,264 11,150 Whole Life Whole Life ------0 0 469 104 57,128 13,914 21,723 20,919 Whole Life Whole Life Aggressive Aggressive Aggressive ------47 37,801 45,290 20,542 48,274 20,542 Income Income 1,31,411 Whole Life Whole Life - - - - (0) 112 362 6,304 3,243 6,304 Equity Equity 54,340 3,29,908 1,32,770 1,39,080 Whole life Whole life ------30 30 164 111 4,750 Fixed Fixed 4,475 Income Income ------0 37 12 37 180 111 2,847 2,544 Stable Stable CURRENT YEAR CURRENT YEAR CURRENT ------513 688 227 688 168 15,783 14,875 Aggressive Aggressive Aggressive ------Registration No 110 26 26 276 115 182 9,711 10,284 Growth Growth Growth ------16 466 264 110 5,279 4,423 Balanced Balanced Date of Registration with IRDAI: February 12, 2001 Annexure 4 A - Financial Statements of Life Linked Business ------0 22 74 74 (0) 222 200 SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) Liquid Liquid Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------153 632 186 7,013 6,228 15,663 15,477 Income Income - - - - 42 (0) (0) 1,933 2,349 1,477 Equity Equity 80,592 16,167 74,791 16,167 Total Other Current Assets (for Investments) Other Current Appropriation Asset UL Appropriation Unit Collection A/c Dividend Receivable Total Receivable for Sale of Investments Dividend Receivable Unit Payable a/c Other Current Liabilities Other Current Cash &Bank Balance Expropriation Liability UL Expropriation Accrued Interest Accrued Interest of Investments Payable for Purchase Schedule: F - 4 Schedule: F - 3 Schedule: CURRENT ASSETS ASSETS CURRENT CURRENT LIABILITIES

Annual Report | 2015 -16 188 ------3 28 24 ( ` ‘000) 215 160 188 188 Fund Fund Infrastructure Infrastructure Infrastructure Infrastructure - - - - - 0 75 (0) 102 250 824 1,074 33,053 32,876 in Fund II in Fund II Apex Lock - Apex Lock ------0 (0) 105 189 906 2,981 3,887 37,478 37,184 in Fund in Fund Apex Lock - Apex Lock ------0 0 0 APEX APEX INVESTMENT INVESTMENT ------209 177 316 874 2,358 1,972 1,190 BOND BOND ------2 194 128 166 294 FLEXI FLEXI 1,501 1,305 STABLE STABLE STABLE STABLE ------7 36 54 90 169 FLEXI FLEXI 1,340 1,164 AGGRESSIVE AGGRESSIVE CURRENT YEAR CURRENT CURRENT YEAR ------3 167 101 285 1,300 1,300 19,510 18,954 TOP-200 TOP-200 ------7 70 27 137 370 370 1,973 1,732 TOP-50 TOP-50 Registration No 110 ------0 77 13 13 554 123 354 Fund Fund Capital Capital Guarantee Guarantee UCG -110% UCG -110% ------0 146 1,330 1,330 Select Select Date of Registration with IRDAI: February 12, 2001 1,24,938 1,24,792 Equity Fund Equity Fund Annexure 4 A - Financial Statements of Life Linked Business SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) - - - - - 35 (0) (0) 188 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 1,307 Equity Equity 51,405 30,017 26,711 1,09,663 Large Cap Large Cap ------3 94 472 118 104 118 271 Growth Growth Growth Growth Maximiser Maximiser ------0 0 0 10 57 445 378 Enabler Enabler Growth Growth Growth Growth Total Other Current Assets (for Investments) Other Current Unit Collection A/c Appropriation Asset UL Appropriation Dividend Receivable Receivable for Sale of Investments Dividend Receivable Unit Payable a/c Cash &Bank Balance Total Other Current Liabilities Other Current Accrued Interest Accrued Interest Expropriation Liability UL Expropriation Payable for Purchase of Investments Payable for Purchase Schedule: F - 4 Schedule: F - 3 Schedule: CURRENT ASSETS CURRENT LIABILITIES

Annual Report | 2015 -16 189 - 0 (0) Total Total Total Total 5,180 ( ` ‘000) 33,948 64,798 2,61,268 2,56,925 1,73,306 3,11,989 3,63,871 1,02,009 2,00,754 13,72,540 ------0 0 0 1 48 48 India India Fund Fund Consumption Consumption ------0 0 0 1 34 34 Fund Fund Multi Cap Multi Cap ------40 182 170 Apex Apex 1,309 1,309 10,558 10,950 Supreme Supreme Supreme Supreme In Fund III In Fund III Return Lock Return Lock ------1 384 123 Apex Apex 1,164 1,672 Fund III Fund III Supreme Supreme Supreme Supreme Investment Investment ------27 720 347 139 Apex Apex 9,163 10,396 Supreme Supreme Supreme Supreme In Fund II In Fund II Return Lock Return Lock ------155 447 170 772 Apex Apex Fund II Fund II Supreme Supreme Supreme Supreme Investment Investment - - - - - 0 50 (0) 185 408 Fund Fund Apex Apex 2,608 3,016 Return Return Lock In Lock In 17,018 17,253 Supreme Supreme Supreme Supreme CURRENT YEAR CURRENT CURRENT YEAR ------0 10 114 124 Fund Fund Apex Apex Supreme Supreme Supreme Supreme Investment Investment ------21 192 213 75,698 57,972 1,33,670 Policy Fund Policy Fund Registration No 110 Discontinuance Discontinuance ------20 165 201 408 207 Fund Fund 5,970 6,155 Return Return Lock-in Lock-in Apex Plus Apex Plus Date of Registration with IRDAI: February 12, 2001 ------69 192 398 Fund Fund 1,057 1,455 Annexure 4 A - Financial Statements of Life Linked Business Return Return Lock-in Lock-in 25,460 25,721 Apex Plus Apex Plus SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------0 0 Fund Fund Apex Plus Apex Plus Investment Investment ------0 11 30 (0) 163 133 337 Fund Fund 110% 110% Super Super Capital Capital Gurantee Gurantee ------Fund Fund Equity Equity Select Select 1,952 2,436 Super Super 2,28,395 2,32,783 Receivable for Sale of Investments Dividend Receivable Unit Collection A/c Asset UL Appropriation Accrued Interest Accrued Interest Total Payable for Purchase of Investments Payable for Purchase Cash &Bank Balance Dividend Receivable Other Current Assets (for Investments) Other Current Total Expropriation Liability UL Expropriation Liabilities Other Current Unit Payable a/c Schedule: F - 3 Schedule: CURRENT ASSETS CURRENT LIABILITIES Schedule: F - 4

Annual Report | 2015 -16 190 ------0 9 78 (0) ( ` ‘000) 786 249 1,122 Capital Guarantee ------64 60 50 (9) 182 679 (442) 9,254 3,183 Whole 13,021 Income Life Fixed ------2 4 95 31 182 339 (207) 8,458 5,603 2,409 Stable Whole Life ------6 26 830 232 143 406 34,904 23,416 11,017 (1,172) Whole Life Aggressive Aggressive ------42 21 (1) 404 334 167 (846) 1,167 7,249 28,802 20,265 Income Whole Life ------3 20 59 217 (686) 2,075 4,010 Equity 80,330 53,077 (4,635) 1,34,470 Whole life ------0 0 1 38 809 692 288 564 2,392 Fixed Income CURRENT YEAR ------0 1 5 2 775 795 255 835 2,668 Stable ------0 3 3 (91) 5,167 2,822 1,683 6,091 15,678 Aggressive Aggressive Registration No 110 ------0 10 (1) (51) 4,567 2,765 4,401 11,691 Growth Growth ------0 0 1 3 818 3,656 1,603 1,231 Date of Registration with IRDAI: February 12, 2001 Balanced Annexure 4 A - Financial Statements of Life Linked Business SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) ------0 0 0 20 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 519 412 334 1,285 Liquid ------0 0 43 (6) 8,361 3,077 1,180 1,642 2,425 Income ------0 220 (22) (218) Equity 54,812 26,332 26,225 61,247 1,68,596 *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Rider premium charge Rider premium Partial withdrawal charge Miscellaneous charge Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: EXPENSES* OTHER Particulars

Annual Report | 2015 -16 191

------0 2 1 (4) ( ` ‘000) 339 205 962 Fund 1,505 Infrastructure Infrastructure ------0 (0) (15) 9,000 5,716 14,701 - in Fund II Apex Lock ------0 148 8,399 24,487 15,940 - in Fund Apex Lock ------5 (0) (8) (49) (46) APEX INVESTMENT ------0 0 3 13 67 167 468 405 1,123 BOND ------1 3 77 11 64 678 201 321 FLEXI STABLE STABLE ------0 0 0 22 33 139 337 470 FLEXI 1,001 AGGRESSIVE CURRENT YEAR ------7 4 10 81 328 466 1,866 4,329 5,143 12,234 TOP-200 ------4 5 1 19 30 761 254 5,460 2,038 2,348 TOP-50 Registration No 110 ------0 0 6 611 123 140 187 155 Fund UCG -110% Capital Guarantee ------1 3 41 202 491 (43) 7,121 9,700 6,755 Select Date of Registration with IRDAI: February 12, 2001 24,272 Equity Fund Annexure 4 A - Financial Statements of Life Linked Business SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) ------6 12 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 273 (365) 2,092 9,208 Equity 80,464 44,271 28,422 (3,455) Large Cap ------5 0 51 32 (1) 210 123 Growth Growth Maximiser ------0 0 8 20 12 Enabler Growth Growth *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. Total Rider premium charge Rider premium Partial withdrawal charge Miscellaneous charge Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: EXPENSES* OTHER Particulars

Annual Report | 2015 -16 192 ------96 92 539 Total Total ( ` ‘000) 1,422 3,116 5,396 2,513 34,581 60,328 12,429 2,48,606 3,44,298 7,13,417 ------1 2 1 0 4 India Fund Consumption ------0 1 0 1 0 2 Fund Multi Cap ------0 24 37 Apex (449) 1,822 2,864 1,071 5,369 Supreme Supreme In Fund III Return Lock ------0 15 32 47 (0) Apex Fund III Supreme Supreme Investment ------(3) 951 (30) (22) Apex (436) 1,512 1,950 3,922 Supreme Supreme In Fund II Return Lock ------1 0 12 21 34 (0) Apex Fund II Supreme Supreme Investment ------72 (0) (18) Fund Apex (681) 2,796 3,388 1,833 7,390 Return Lock In Supreme Supreme CURRENT YEAR ------1 0 11 29 39 (2) Fund Apex Supreme Supreme Investment ------1 3 6 1,566 20,377 21,953 Registration No 110 Policy Fund Discontinuance ------0 0 Plus 886 274 329 Apex 1,244 2,733 Return Fund II Lock-in Date of Registration with IRDAI: February 12, 2001 ------0 31 Fund (136) 3,138 4,669 1,212 8,914 Return Lock-in Annexure 4 A - Financial Statements of Life Linked Business Apex Plus SCHEDULE to Fund Balance sheet as at Mar 31, 2016 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------0 0 0 0 (0) Fund Apex Plus Investment ------0 0 0 52 45 48 92 237 Fund 110% Super Capital Gurantee ------2 2 420 Fund Equity Select 1,496 1,619 3,279 Super 24,822 34,868 60,947 (5,560) Switching charge Premium redirection charge redirection Premium Service tax Custodian charges holiday charges Premium Premium allocation charge Premium charge Surrender Mortality charge Critical Illness Charge NAV Adjustment Gain/ Loss NAV WOP rider charge Adjustment Gain/ Loss - Backdation NAV NAV Guarantee Charges NAV ROP Charges Cost Of Gaurantee charge Rider premium charge Rider premium Partial withdrawal charge Miscellaneous charge Total Schedule: F - 5 Schedule: EXPENSES* OTHER Particulars

Annual Report | 2015 -16 193 ------(0) 576 Fund ( ` ‘000) Apex (576) Pension Investment 571 Equity 45,710 17,547 16,976 150,587 196,297 179,322 196,297 196,297 196,297 19.9408 9,844.00 Super Select Pension Fund 163 Equity Select Future Future 52,041 16,943 16,780 165,432 217,473 200,693 217,473 217,473 217,473 30.8222 7,055.71 4,514 1,748 2,766 87,927 Pension 111,579 199,506 196,740 199,506 199,506 199,506 18.5846 Future Inc Future 10,734.98 83 2,501 2,418 Future Future Growth Growth 63,986 Pension 114,271 178,257 175,839 178,257 178,257 178,257 17.9502 9,930.60 Equity 4,631 1,528 3,103 Future Future Pension 434,078 936,705 19.2424 1,370,783 1,367,680 1,370,783 1,370,783 1,370,783 71,237.66 - 747 747 9,632 16,730 26,363 25,616 26,363 26,363 26,363 16.7006 1,578.56 Guarantee Future Cap Future 164 1,966 1,802 72,464 34,536 Pension 107,001 105,198 107,000 107,000 107,000 17.9759 5,952.41 Future Bal Future ------CURRENT YEAR CURRENT 0 (0) (0) Fund 24,912 Maxima (24,912) - - 0 0 0 (0) (0) (0) (0) (0) Fund Growth Growth 14,093 (14,093) Form A-BS (UL) A-BS Form Registration No 110 Registration - Fund 11,412 11,412 322,198 342,454 664,652 653,240 664,652 664,652 664,652 18.7196 Balanced 35,505.73 Fund Balance sheet as at Mar 31, 2016 Balance Fund Fund Bond 5,038 6,389 11,427 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date 110,517 474,248 584,765 578,376 584,765 584,765 584,765 19.7790 29,564.98 1 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 2,223 2,222 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: 65,521 65,521 63,299 65,521 65,521 107,494 19.7494 (41,973) 3,317.62 Short term 3 132 129 Liquid 58,668 151,711 210,379 210,250 210,379 210,379 210,379 22.3757 9,402.11 Income 20,273 80,338 100,611 23.1399 1,069,241 1,368,971 2,438,212 2,357,874 2,438,212 2,438,212 2,438,212 105,368.34 42 Equity 61,868 18,950 18,908 572,784 634,652 615,744 634,652 634,652 634,652 49.5274 12,814.14 (A) (B) F-1 F-2 F-3 F-4 (A)/(B) Schedule Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Revenue Account Total Application of Funds Investments Current Assets Current Less: Current Less: Current Liabilities and Provisions Net current assets Total Net Asset as per Balance Sheet (Total Assets less (Total Liabilities and Current Provisions) Arrived AUM Number of Units outstanding Net Asset Value per Unit Particulars

Annual Report | 2015 -16 194 ( ` ‘000) Total 33,301 191,985 225,286 8,521,510 8,521,510 8,329,525 8,521,511 4,976,271 3,545,239 II 1 261 262 8,402 8,402 8,402 8,141 8,402 1,134 7,268 586.22 14.3331 20 Return Lock-in Fund Apex Pension II 6 385 391 1,021 51,210 51,210 51,210 50,825 51,210 50,189 14.5330 3,523.67 15 Return Lock-in Fund Apex Pension II 227 4,417 4,644 57,448 14.4186 221,297 221,297 221,297 216,880 221,297 163,849 10 Return 15,348.00 Lock-in Fund Apex Pension 15 1,729 1,744 Fund II 73,288 73,288 73,288 71,560 73,288 16,766 56,522 14.5322 5,043.18 Apex Pension Return Lock-in 2 452 454 29,099 29,099 29,099 28,647 29,099 11,369 17,730 15.8696 1,833.64 20 Return Lock-in Fund Apex Pension 324 CURRENT YEAR CURRENT 1,363 1,687 64,343 15.6619 260,963 260,963 260,963 259,600 260,963 196,620 15 Return 16,662.33 Lock-in Fund Apex Pension 3,109 18,465 21,574 15.9924 960,348 960,348 960,348 941,883 960,348 332,041 628,307 10 Return 60,050.29 Lock-in Fund Apex Pension Registration No 110 Registration Form A-BS (UL) (Continued) A-BS Form 4 657 661 Fund 8,226 22,268 22,268 22,268 21,611 22,268 14,042 16.0092 1,390.95 Fund Balance sheet as at Mar 31, 2016 Balance Fund Apex Pension Return Lock-in Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date - 777 777 777 267 267 510 777 Fund 77.60 1,840 (1,063) 10.0161 20 Investment Apex Pension Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: - - - 0 0 (0) (0) (0) (0) (0) Fund 4,619 (4,619) 15 Investment Apex Pension - - - 0 0 (0) (0) (0) (0) (0) Fund 15,291 (15,291) 10 Investment Apex Pension (B) (A) F-4 F-3 F-2 F-1 (A)/(B) Schedule Net Asset Value per Unit (Total Assets less Current Assets less Current (Total Liabilities and Provisions) Arrived AUM Number of Units outstanding Net Asset as per Balance Sheet Total Net current assets Less: Current Liabilities and Less: Current Provisions Current Assets Current Application of Funds Investments Total Revenue Account Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Particulars

Annual Report | 2015 -16 195 - - - 0 ( ` ‘000) 675 Fund 5,263 1,581 3,007 2,490 Super 78,985 Pension 150,587 169,788 (19,201) (13,938) (95,413) Select Equity - - - 0 6,214 1,202 1,205 3,806 2,658 Equity Select Future Future 64,275 165,432 184,668 (19,236) (13,022) (79,956) - - - 0 740 4,508 1,368 2,400 2,869 87,928 73,073 14,855 19,363 17,819 (1,325) Pension Future Inc Future - - 0 603 834 1,540 4,088 1,199 2,286 5,628 7,762 Future Future Growth Growth 63,986 62,446 10,706 Pension (13,674) - - 9 5,166 8,221 1,025 Equity Future Future 32,889 19,502 20,196 Pension 936,705 261,572 (84,011) (116,900) (366,813) 1,053,605 - - 0 72 94 57 590 424 860 9,632 8,617 1,015 1,605 1,826 (1,137) Guarantee Future Cap Future - - 0 316 633 178 4,488 2,164 1,216 6,652 2,664 7,766 34,536 30,049 (3,956) Pension Future Bal Future ------Fund 24,912 24,912 Maxima CURRENT YEAR CURRENT - - - 0 20 87 91 120 100 776 (33) Fund 5,165 14,093 14,126 (5,945) Growth Growth - - - 0 930 Form A- RA (UL) RA A- Form Fund 3,523 2,593 6,404 1,356 31,271 34,794 41,862 342,454 311,183 (14,828) Registration No 110 Registration Balanced - - - - 0 770 3,992 3,222 8,581 41,524 45,516 41,245 (4,310) 474,248 432,724 Bond Fund Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date - - - - 0 Fund Revenue Account for the period ended Mar 31 2016 the period for Account Revenue Fund 240 104 137 685 term (388) Short 4,883 5,123 4,826 107,494 102,612 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: - - - - - 0 279 929 928 1,208 Liquid 16,589 17,797 16,870 151,711 135,122 - - - - 0 3,285 8,641 11,927 38,449 Income 178,429 190,355 166,877 (14,971) 1,368,971 1,190,542 - - - 6 690 6,681 1,269 5,412 Equity 71,338 10,268 572,784 625,952 (53,167) (46,487) (128,789) F-5 Schedule * Net change in marked to market value of investments should be disclosed as a separate line item. Instructions: Any expense which is 1% of the total expenses incurred Fund revenue account at the end of Period Net Income for the year (A-B) Add: Fund revenue account Add: Fund revenue at the beginning of period Total (B) Other charges: Fund administration expenses Total (A) Fund management expenses Appropriation Income/ Appropriation Exappropriation Loss ( net) Unrealised Gain/loss* Unrealised Miscellaneous Income Profit/loss on inter fund Profit/loss transfer/ sale of investment Profit/loss on sale of Profit/loss investment Dividend income Income from investments investments Income from income Interest Particulars

Annual Report | 2015 -16 196 - - 15 ( ` ‘000) Total 76,783 16,057 23,720 50,356 75,294 115,071 393,627 743,152 191,854 (995,296) 4,899,491 4,976,272 - - 6 0 90 212 260 103 748 115 (457) Apex (246) 1,591 1,134 (1,357) in Fund II Pension 20 Return Lock- - - 0 33 418 443 643 (37) Apex 2,151 1,021 1,094 1,874 2,016 (1,131) (4,370) in Fund II Pension 15 Return Lock- - - 0 248 Apex 4,763 1,398 1,762 3,118 3,438 58,774 57,448 12,147 22,890 (1,326) (33,361) in Fund II Pension 10 Return Lock- - - 0 225 699 507 939 (487) Apex 1,863 3,738 5,477 1,377 17,253 16,766 (8,346) Pension in Fund II Return Lock- - - 0 17 526 123 310 883 386 Apex (880) 4,130 12,775 11,369 in Fund (1,406) (6,203) Pension 20 Return Lock- - - 0 193 Apex (715) 4,900 1,232 2,336 3,475 69,958 64,343 in Fund 10,203 32,380 (5,615) (45,634) Pension 15 Return Lock- CURRENT YEAR CURRENT - - 0 961 Apex 1,207 4,147 6,626 17,767 in Fund 51,070 12,659 18,974 330,834 332,041 123,062 (161,784) Pension 10 Return Lock- - - 0 61 524 181 141 282 475 (49) Apex 8,275 8,226 1,162 1,910 in Fund Registration No 110 Registration (2,738) Pension Return Lock- Form A- RA (UL) (Continued) RA A- Form - - - - - 1 2 0 0 3 0 2 3 Fund Apex (1,064) (1,063) Investment Pension 20 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Fund Revenue Account for the period ended Mar 31 2016 the period for Account Revenue Fund ------1 1 0 0 1 0 1 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Fund Apex Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: (4,620) (4,619) Investment Pension 15 ------5 1 0 1 15 10 (15) Fund Apex (15,276) (15,291) Investment Pension 10 ------2 0 0 (2) (2) Fund (578) (576) Apex Pension Investment F-5 Schedule Fund revenue account at the end of Period * Net change in marked to market value of investments should be disclosed as a separate line item. Instructions: Any expense which is 1% of the total expenses incurred Add: Fund revenue account Add: Fund revenue at the beginning of period Net Income for the year (A-B) Other charges: Total (B) Dividend income on inter fund Profit/loss transfer/ sale of investment Income from investments investments Income from income Interest on sale of Profit/loss investment Miscellaneous Income Fund administration expenses Unrealised Gain/loss* Unrealised Income/ Appropriation Exappropriation Loss ( net) Fund management expenses Total (A) Particulars

Annual Report | 2015 -16 197 ( ` ‘000) Total Future Future 52,041 34,869 753,577 122,018 (104,846) 3,545,237 5,174,402 (2,382,742) Select Equity Inc 903 Apex 7,268 Future Future Fund II Lock-in 70,906 10,290 (3,925) Pension Pension 111,579 215,895 20 Return (175,222) 337 Apex Future Future Fund II Growth Growth Lock-in 50,189 24,273 55,743 (5,891) Pension Pension 114,271 178,938 (88,940) 15 Return (1) Apex Equity Future Future Fund II Lock-in Pension Pension 163,849 434,078 132,262 842,693 234,832 (70,982) 10 Return (540,877) 44 Apex 2,463 Return Fund II Lock-in 56,522 16,730 22,803 67,555 (8,536) Pension (11,077) Guarantee Future Cap Future Fund Apex 2,911 Lock-in 17,730 72,464 13,122 96,717 28,457 Pension Pension (13,638) (37,375) 20 Return Future Bal Future - 1 Fund Fund Apex 1,074 Lock-in Maxima Pension 196,620 295,636 (24,912) (24,913) 15 Return (100,090) 638 Fund Fund Apex 3,382 Lock-in 35,072 CURRENT YEAR CURRENT Growth Growth Pension 628,306 946,934 (14,093) (52,547) 10 Return (319,266) 1 Fund Fund Apex Return Lock-in 14,042 72,874 18,136 (4,095) Pension 322,198 303,515 (54,191) Balanced SCHEDULE: F-1 Fund Registration No 110 Registration Apex 1,840 3,967 1,742 62,602 98,809 (3,869) 110,517 (50,894) Investment Pension 20 Bond Fund POLICYHOLDERS' CONTRIBUTION POLICYHOLDERS' 825 Fund Apex 4,619 7,675 5,206 (1,412) (7,991) (41,973) (41,657) Investment Short term Pension 15 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date SCHEDULE to Fund Balance sheet as at Mar 31, 2016 Balance Fund SCHEDULE to Fund Revenue Account for the period ended Mar 31 2016 the period for Account Revenue Fund 527 Fund (637) Apex 3,440 Liquid 15,291 58,668 15,401 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 107,338 (52,110) Investment Pension 10 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: 1 (2) 576 577 Fund Apex Pension Income 222,600 (377,761) 1,069,241 1,224,402 Investment Fund Equity Select Super Equity 45,710 61,868 27,943 63,939 Pension 153,881 158,382 (140,615) (155,952) * Additions represents units creation and deductions represent unit cancellations and deductions represent units creation * Additions represents Closing balance Deductions during the Period * Closing balance Deductions during the Period * Additions during the Period * Additions during the Period * Opening balance Opening balance Particulars Particulars

Annual Report | 2015 -16 198 ------5 95 ( ` ‘000) Equity Select Future Future 10,999 10,999 200,693 189,694 189,694 ------0 100 900 900 8,300 9,890 44,772 23,030 Pension 196,740 195,840 109,848 Future Inc Future ------4 96 503 7,503 7,000 7,400 Future Future Growth Growth 16,121 54,576 90,239 Pension 175,839 168,336 ------3 97 Equity Future Future 36,360 36,360 54,181 Pension 1,367,681 1,331,321 1,277,140 ------4 96 900 102 612 1,002 1,000 3,320 25,616 24,614 19,682 Guarantee Future Cap Future ------4 96 170 4,370 4,200 4,400 10,203 11,079 75,146 Pension 105,198 100,828 Future Bal Future ------0 Fund Maxima ------CURRENT YEAR CURRENT (0) (0) (0) 100 Fund Growth Growth ------4 96 Fund 1,087 27,487 26,400 28,000 25,305 86,987 28,054 30,229 653,240 625,753 427,178 Balanced Registration No 110 Registration ------4 96 23,200 23,200 24,600 52,740 24,340 578,376 555,176 126,667 326,829 Bond Fund ------(0) 100 term Short 1,500 9,852 63,299 63,299 12,215 39,732 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date SCHEDULE to Fund Balance sheet as at Mar 31 2016 Balance Fund SCHEDULE to ------100 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 4,500 Liquid 210,250 210,250 205,750 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------2 98 (0) 55,400 55,400 Income 100,400 118,176 588,251 230,728 2,357,874 2,302,474 1,264,919 ------1 99 (0) 6,354 6,354 Equity 20,815 615,744 609,390 588,575 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Housing Bonds Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Particulars Schedule: F - 2

Annual Report | 2015 -16 199 ------2 98 (0) ( ` ‘000) 64,108 TOTAL 182,108 118,000 180,100 549,608 458,353 8,329,525 8,147,417 3,020,844 1,103,732 2,834,780 ------100 204 Apex 8,141 8,141 5,291 2,646 Fund II Lock-in Pension 20 Return ------100 Apex 3,775 Fund II 50,825 50,825 Lock-in 25,690 21,360 Pension 15 Return ------100 Apex 5,918 Fund II Lock-in 82,633 54,629 17,517 56,183 Pension 216,880 216,880 10 Return ------100 Apex 2,143 9,076 Return Fund II 71,560 71,560 Lock-in 26,480 15,794 18,067 Pension ------100 Fund Apex 2,178 7,588 28,647 28,647 Lock-in 18,881 Pension 20 Return ------100 Fund Apex 7,471 Lock-in 10,204 Pension 259,600 259,600 132,065 109,860 15 Return ------100 Fund Apex CURRENT YEAR CURRENT Lock-in 12,755 Pension 941,883 941,883 340,050 218,264 110,563 260,251 10 Return ------100 306 Fund Apex 7,599 5,436 3,019 5,251 Return 21,611 21,611 Lock-in Pension Registration No 110 Registration ------100 510 510 510 Fund Apex Investment Pension 20 ------Fund Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Apex Investment Pension 15 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure SCHEDULE to Fund Balance sheet as at Mar 31 2016 (Continued) Balance Fund SCHEDULE to ------Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: Fund Apex Investment Pension 10 ------Fund Apex Pension Investment ------5 95 Fund 8,536 8,536 Equity Select Super Pension 179,322 170,786 170,786 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Housing Bonds Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Schedule: F - 2 Particulars

Annual Report | 2015 -16 200 ------0 13 163 163 ( ` ‘000) Equity Equity Select Select Future Future Future Future 16,943 16,930 ------6 334 194 4,515 1,748 3,981 1,748 Pension Pension Future Inc Future Future Inc Future ------9 83 83 219 201 2,501 2,072 Future Future Future Future Growth Growth Growth Growth Pension Pension - - - - - 45 12 (0) 189 112 4,631 4,273 1,528 1,528 Equity Equity Future Future Future Future Pension Pension ------1 32 45 747 186 483 Guarantee Guarantee Future Cap Future Future Cap Future ------2 97 164 164 132 1,966 1,735 Pension Pension Future Bal Future Future Bal Future ------0 0 Fund Fund Maxima Maxima ------0 0 0 0 0 CURRENT YEAR CURRENT YEAR CURRENT (0) Fund Fund Growth Growth Growth Growth ------71 17 131 Fund Fund 11,413 11,194 Balanced Balanced Registration No 110 Registration ------12 169 5,038 5,026 11,427 11,258 Bond Fund Bond Fund ------1 1 177 term term Short Short 2,223 2,046 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date ------3 3 0 132 132 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure SCHEDULE to Fund Balance sheet as at Mar 31 2016 (Continued) Balance Fund SCHEDULE to Liquid Liquid Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------25 34 150 53,066 20,273 20,214 47,395 Income Income 100,611 - - - - - 5 42 25 17 114 9,385 5,342 4,104 Equity Equity 18,950 Total Other Current Assets (for Investments) Other Current Appropriation Asset UL Appropriation Unit Collection A/c Dividend Receivable Receivable for Sale of Investments Total Dividend Receivable Unit Payable a/c Cash &Bank Balance Expropriation Liability UL Expropriation Other Current Liabilities Other Current Particulars of Investments Payable for Purchase Particulars Accrued Interest Schedule: F - 4 CURRENT LIABILITIES Schedule: F - 3 Schedule: CURRENT ASSETS

Annual Report | 2015 -16 201 - - (0) 292 606 ( ` ‘000) 1,247 9,616 5,709 62,600 33,303 41,384 26,988 TOTAL TOTAL 225,291 110,152 ------1 0 1 1 60 (0) 262 202 Apex Apex Fund II Fund II Lock-in Lock-in Pension Pension 20 Return 20 Return ------6 1 4 5 (0) 391 136 251 Apex Apex Fund II Fund II Lock-in Lock-in Pension Pension 15 Return 15 Return ------0 14 21 227 206 198 Apex Apex 4,645 4,433 Fund II Fund II Lock-in Lock-in Pension Pension 10 Return 10 Return ------7 5 8 15 177 Apex Apex 1,744 1,562 Return Return Fund II Fund II Lock-in Lock-in Pension Pension ------3 1 3 2 455 170 282 Fund Fund Apex Apex Lock-in Lock-in Pension Pension 20 Return 20 Return ------22 23 (0) 324 301 191 Fund Fund Apex Apex 1,687 1,474 Lock-in Lock-in Pension Pension 15 Return 15 Return - - - - - 0 0 55 477 136 Fund Fund Apex Apex 3,109 2,632 CURRENT YEAR CURRENT YEAR CURRENT Lock-in Lock-in 21,574 21,383 Pension Pension 10 Return 10 Return ------4 1 1 3 662 133 528 Fund Fund Apex Apex Return Return Lock-in Lock-in Pension Pension Registration No 110 Registration ------9 0 98 267 160 Fund Fund Apex Apex Investment Investment Pension 20 Pension 20 ------0 0 0 0 0 Fund Fund Apex Apex Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Investment Investment Pension 15 Pension 15 ------Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure SCHEDULE to Fund Balance sheet as at Mar 31 2016 (Continued) Balance Fund SCHEDULE to 0 0 0 0 Fund Fund Apex Apex Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: Investment Investment Pension 10 Pension 10 ------Fund Fund Apex Apex Pension Pension Investment Investment ------(0) 284 572 572 Fund Fund Equity Equity Select Select Super Super 17,547 17,263 Pension Pension Other Current Assets (for Investments) Other Current Total Appropriation Asset UL Appropriation Unit Collection A/c Dividend Receivable Unit Payable a/c Total Receivable for Sale of Investments Expropriation Liability UL Expropriation Dividend Receivable Other Current Liabilities Other Current Cash &Bank Balance Particulars Accrued Interest Particulars of Investments Payable for Purchase Schedule: F - 4 CURRENT ASSETS CURRENT LIABILITIES Schedule: F - 3 Schedule:

Annual Report | 2015 -16 202 ------0 9 1 (2) 441 753 ( ` ‘000) 1,202 Equity Select Future Future ------0 0 2 (4) 740 196 547 Pension Future Inc Future ------0 3 0 0 603 103 497 Future Future Growth Growth Pension ------0 1 (103) 5,166 1,263 4,005 Equity Future Future Pension ------0 72 72 (0) Guarantee Future Cap Future ------0 54 (0) (1) 316 263 Pension Future Bal Future ------Fund Maxima ------20 CURRENT YEAR CURRENT 20 Fund Growth Growth ------0 930 930 Fund Balanced Registration No 110 Registration ------0 770 770 Bond Fund ------0 25 79 104 term Short Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date ------279 279 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure SCHEDULE to Fund Balance sheet as at Mar 31 2016 (Continued) Balance Fund SCHEDULE to Liquid Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------0 42 3,285 3,243 Income ------0 18 1,269 1,251 Equity *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Miscellaneous charge Partial withdrawal charge Rider premium charge Rider premium Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: OTHER EXPENSES*

Annual Report | 2015 -16 203 ------0 3 3 85 (89) ( ` ‘000) 2,637 1,988 1,861 23,720 17,232 TOTAL ------0 5 0 90 14 46 25 (0) Apex Fund II Lock-in Pension 20 Return ------0 3 38 80 (0) 418 164 133 Apex Fund II Lock-in Pension 15 Return ------0 (3) 390 259 172 580 Apex 1,398 Fund II Lock-in Pension 10 Return ------0 78 82 (0) 699 312 227 Apex Return Fund II Lock-in Pension ------0 16 48 65 (0) (6) 123 Fund Apex Lock-in Pension 20 Return ------0 2 202 432 596 Fund Apex 1,232 Lock-in Pension 15 Return ------0 41 Fund (712) Apex 4,147 1,579 1,053 2,186 Lock-in CURRENT YEAR CURRENT Pension 10 Return ------0 0 94 23 64 181 Fund Apex Return Lock-in Pension ------0 0 0 0 0 (0) Fund Apex Registration No 110 Registration Investment Pension 20 ------0 0 0 0 (0) (0) Fund Apex Investment Pension 15 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Fund Revenue Account for the period ended Mar 31 2016 the period for Account Revenue Fund ------5 3 1 2 Fund Apex Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure SCHEDULE to Fund Balance sheet as at Mar 31 2016 (Continued) Balance Fund SCHEDULE to Investment Pension 10 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------0 (0) (2) (0) (2) (0) Fund Apex Pension Investment ------0 1 0 54 675 647 (27) Fund Equity Select Super Pension *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Miscellaneous charge Total Partial withdrawal charge Rider premium charge Rider premium NAV Adjustment Gain/ Loss - Backdation NAV Cost Of Gaurantee charge WOP rider charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss NAV Surrender charge Surrender Mortality charge Critical Illness Charge Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Switching charge Premium redirection charge redirection Premium Schedule: F- 5 F- Schedule: OTHER EXPENSES*

Annual Report | 2015 -16 204 753 265 ( ` ‘000) 1,018 58,979 49,004 48,251 49,004 49,004 (9,975) Capital Capital 16.3980 2,988.32 Guarantee Guarantee 2,218 Whole 34,075 31,857 Income 18.1952 2,49,449 Life Fixed Fixed Life 10,64,266 13,13,715 12,81,858 72,201.36 13,13,715 13,13,715 - Stable 16,510 16,510 20.4494 6,06,821 2,59,095 8,65,916 8,49,406 8,65,916 8,65,916 42,344.34 Whole Life Whole Life 810 82,218 81,408 24.1368 24,70,787 15,80,081 40,50,868 39,69,460 40,50,868 40,50,868 Aggressive Aggressive Whole Life Whole Life 1,67,829.29 5,576 84,784 79,208 Income 18.8427 5,15,445 19,57,454 24,72,899 24,67,323 24,72,899 24,72,899 Whole Life Whole Life 1,31,238.90 8,863 Equity Equity 43,956 35,093 32.0154 59,89,333 Whole Life Whole Life 1,55,90,881 2,15,80,214 2,15,71,351 6,74,057.46 2,15,80,214 2,15,80,214 971 Fixed Fixed 5,133 4,162 66,821 Income 18.6553 2,00,768 1,38,109 2,04,930 2,04,930 2,04,930 10,985.08 129 3,785 3,656 Stable 22.6667 2,56,296 1,40,989 1,18,963 2,59,952 2,59,952 2,59,952 11,468.49 3,309 26,324 23,015 24.2072 8,80,355 19,72,806 11,15,466 19,95,821 82,447.33 19,95,821 19,95,821 Form A- BS (UL) Aggressive Aggressive Registration No 110 - 13,603 13,603 Growth Growth 38.1632 4,39,736 9,69,059 13,95,192 14,08,795 36,915.00 14,08,795 14,08,795 Fund Balance sheet as at March 31, 2015 Date of Registration with IRDAI: February 12, 2001 57 5,790 5,733 30.0969 1,29,917 4,05,955 2,81,771 4,11,688 4,11,688 4,11,688 Annexure 4A - Financial Statements of Life Linked Business Balanced Balanced 13,678.75 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 112 204 (92) Liquid Liquid 92,376 68,706 20.4758 1,61,174 1,61,082 7,866.93 1,61,082 1,61,082 (874) 30,948 31,822 Income 20.6843 8,83,245 5,06,432 8,82,371 3,75,939 8,82,371 8,82,371 42,658.78 Equity Equity 24,868 90,296 49.9858 1,15,164 68,47,366 1,84,42,945 1,16,85,875 3,70,770.12 1,85,33,241 1,85,33,241 1,85,33,241 F-1 F-2 F-3 F-4 Schedule Schedule Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Application of Funds Investments Revenue Account Total Assets Current (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net Asset Value per Unit in Rs.( Arrived basis full figure) Less: Current Less: Current Liabilities and Provisions Net Asset as per Balance Sheet Total Net current assets Net current Particulars Particulars

Annual Report | 2015 -16 205

( ` ‘000) Fund 3,266 7,117 (3,851) 15.2855 (21,806) 4,12,032 4,15,883 4,12,032 4,33,838 4,12,032 26,955.68 Infrastructure Infrastructure 3,945 51,956 48,011 16.0361 5,73,895 in Fund II 20,36,424 19,88,413 20,36,424 14,62,529 20,36,424 1,26,989.70 Apex Lock - 7,024 72,813 65,789 in Fund 17.0394 7,99,701 28,15,621 27,49,832 28,15,621 20,15,920 28,15,621 1,65,241.55 Apex Lock ------FUND APEX 59,341 (59,341) INVESTMENT 2,998 6,602 6,716 (3,604) 16.0661 9,506.31 1,52,729 1,56,333 1,52,729 1,46,013 1,52,729 BOND FUND BOND FUND 668 2,591 1,923 15.9099 (20,554) 7,170.11 1,14,075 1,13,407 1,14,075 1,34,629 1,14,075 STABLE FLEXI FLEXI STABLE

696 FLEXI 2,726 2,030 (8,938) 16.8113 9,996.08 1,68,047 1,67,351 1,68,047 1,76,985 1,68,047 AGGRESSIVE 20,943 39,788 33.3447 (18,845) 5,04,300 TOP-200 58,608.05 19,54,270 19,73,115 19,54,270 14,49,970 19,54,270 8,909 23,824 14,915 TOP-50 26.8745 8,88,829 8,79,920 8,88,829 7,80,053 1,08,776 8,88,829 Registration No 110 33,073.28 Form A- BS (UL) (Continued) 73 553 480 Fund Capital 23,942 23,462 23,942 33,426 23,942 (9,484) 14.7291 1,625.43 Fund Balance sheet as at March 31, 2015 Guarantee UCG -110% Date of Registration with IRDAI: February 12, 2001 Annexure 4A - Financial Statements of Life Linked Business Select 90,598 42,969 47,629 33.6608 9,53,515 58,703.37 19,76,006 19,28,377 19,76,006 10,22,491 19,76,006 Equity Fund Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 7,222 Equity 47,304 40,082 18.5280 96,35,923 96,28,701 96,35,923 57,53,833 38,82,090 96,35,923 Large Cap 5,20,073.86 2,243 1,016 1,227 56,124 54,897 56,124 29,966 26,158 56,124 Growth Growth 14.5069 3,868.76 Maximiser 46 301 255 5,997 5,742 5,997 3,663 2,334 5,997 369.07 Enabler Growth Growth 16.2481 F-2 F-3 F-4 F-1 Schedule (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net Asset Value per Unit in Rs.( Arrived basis full figure) Net Asset as per Balance Sheet Application of Funds Investments Current Assets Current Less: Current Liabilities Less: Current and Provisions assets Net current Total Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Revenue Account Total Particulars

Annual Report | 2015 -16 206 ( ` ‘000) Total Total 5,95,852 4,60,389 10,56,241 9,25,22,762 9,25,22,762 9,19,26,910 9,25,22,762 4,44,67,535 4,80,55,227 25,35,686.02 Apex 5,392 7,825 2,433 80,552 15.6902 Supreme Supreme 4,15,294 4,15,294 4,09,902 4,15,294 3,34,742 In Fund III 26,468.23 Return Lock - Apex 9,798 9,798 2,194 2,194 7,604 9,798 978.50 12,460 Fund III (2,662) 10.0141 Supreme Supreme Investment - Apex 7,353 7,353 76,707 16.0940 Supreme Supreme 3,54,851 3,54,851 3,47,498 3,54,851 2,78,144 In Fund II 22,048.48 Return Lock - 211 Apex 1,361 1,361 1,150 1,150 1,361 3,708 Fund II 9.9987 136.21 (2,347) Supreme Supreme Investment 192 Apex 15,037 15,229 In Fund 15.0432 Supreme Supreme 6,92,320 6,92,320 6,77,283 6,92,320 1,47,112 5,45,208 46,022.04 Return Lock - Fund Apex 32,713 32,713 13,068 13,068 19,645 32,713 36,096 (3,383) 10.0186 Supreme Supreme 3,265.23 Investment 2,574 22,692 25,266 14.0512 6,96,386 56,20,648 56,20,648 55,97,956 56,20,648 49,24,262 Policy Fund 4,00,012.64 Discontinuance Registration No 110 87 7,035 7,122 72,605 14.2012 3,71,376 3,71,376 3,64,341 in Fund II 3,71,376 2,98,771 26,151.11 Form A- BS (UL) (Continued) Apex Plus Return Lock- Fund Balance sheet as at March 31, 2015 Date of Registration with IRDAI: February 12, 2001 10,653 24,700 35,353 in Fund 15.8288 3,35,650 92,238.25 14,60,022 14,60,022 14,35,322 14,60,022 11,24,372 Apex Plus Return Lock- Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------Fund 10,205 (10,205) Apex Plus Investment 30 466 496 Fund Capital 779.54 11,529 11,529 11,063 11,529 13,159 (1,630) 14.7892 Gurantee Super 110% 57,713 97,936 22.3586 1,55,649 91,22,335 91,22,335 90,64,622 91,22,335 34,04,836 57,17,499 Equity Fund 4,08,001.99 Super Select F-4 F-3 F-2 F-1 Schedule Net Asset Value per Unit in Rs.( Arrived basis full figure) (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net Asset as per Balance Sheet Total Less: Current Less: Current Liabilities and Provisions assets Net current Current Assets Current Application of Funds of Application Investments Total Particulars Revenue Account Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution

Annual Report | 2015 -16 207 - - - 41 21 94 ( ` ‘000) 825 252 299 107 222 1,417 1,195 1,139 2,334 Enabler Growth Growth - - - 108 361 791 2,572 1,944 3,611 8,235 3,084 4,236 3,999 Capital (9,975) (13,974) Guarantee - - - - 6,347 5,856 9,169 Whole 16,673 Income 20,856 35,881 1,15,794 1,38,814 1,02,933 1,46,516 2,49,449 Life Fixed - - - 4,911 4,276 8,815 Stable 88,866 73,767 39,215 14,976 28,067 80,403 2,06,759 1,78,692 2,59,095 Whole Life - - - 35,220 95,323 17,579 64,701 44,704 6,16,724 4,32,104 1,26,984 5,27,694 11,79,371 10,52,387 15,80,081 Whole Life Aggressive Aggressive - - - - 93,550 Income 12,387 38,346 19,505 70,238 1,04,260 3,81,385 1,83,575 3,11,147 2,04,298 5,15,445 Whole Life - - - Equity 1,670 66,650 1,85,467 2,43,341 2,32,850 5,42,841 55,31,764 52,26,996 51,87,825 Whole Life 1,55,90,881 1,09,45,897 1,04,03,056 - - - - 824 Fixed 3,223 1,088 7,329 2,353 25,724 21,677 Income 10,770 14,954 51,867 66,821 - - - 1,871 1,323 8,949 4,086 Stable 37,634 12,075 64,189 12,609 14,358 49,831 69,132 1,18,963 - - - 9,327 85,963 19,396 52,542 38,453 34,784 82,564 Form A- RA (UL) 4,46,411 6,04,312 5,21,748 5,93,718 11,15,466 Aggressive Aggressive Registration No 110 - - - 3,149 11,893 33,554 11,734 21,873 36,756 Growth Growth 1,74,235 1,41,677 3,61,359 3,24,603 6,44,456 9,69,059 Date of Registration with IRDAI: February 12, 2001 - - - 953 2,625 3,577 5,577 47,397 14,704 81,320 16,594 10,107 71,213 Fund Revenue Account for the year ended 31 March, 2015 2,10,558 2,81,771 Balanced Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - 239 (12) 1,265 1,654 1,476 3,369 Liquid 14,656 13,403 11,287 57,419 68,706 - - - - 2,405 50,984 29,136 72,688 20,116 12,131 34,652 Income 1,52,808 1,18,156 2,57,783 3,75,939 - - - 1,608 Equity 85,529 9,04,854 2,83,899 3,74,888 3,56,568 8,16,985 43,40,585 55,30,946 47,13,961 69,71,914 1,16,85,875 F-5 Schedule Profit/loss on sale of Profit/loss investment Profit/loss on inter fund Profit/loss transfer/ sale of investment Miscellaneous Income Unrealised Gain/loss* Unrealised Income/ Appropriation Exappropriation Loss ( net) Total (A) Income from investments investments Income from income Interest Dividend income Other charges: Fund management expenses Fund administration expenses Total (B) Net Income for the year (A-B) Add: Fund revenue account Add: Fund revenue at the beginning of year Fund revenue account at the end of year * Net change in marked to market value of investments Particulars

Annual Report | 2015 -16 208 - - - - ( ` ‘000) 81,600 99,959 60,615 1,17,298 2,77,872 2,83,188 18,71,721 14,46,199 33,99,520 31,21,648 34,04,836 Equity Fund Super Select

- - - 17 Fund 5,886 6,502 8,039 6,086 94,802 20,627 (21,806) 1,29,345 2,30,050 2,09,423 (2,31,229) Infrastructure Infrastructure - - - 6,795 97,918 15,854 59,041 33,349 25,153 65,297 2,94,391 in Fund II 4,67,204 4,01,907 1,71,988 5,73,895 Apex Lock - - - - 8,791 19,211 30,523 44,097 30,066 82,954 In Fund 1,26,466 4,36,998 6,13,198 5,30,244 2,69,457 7,99,701 APEX Lock ------1 1 22 12 34 (33) APEX (59,308) (59,341) INVESTMENT - - - - 7,507 7,073 2,253 1,897 3,562 7,712 6,716 BOND 14,696 29,276 21,564 (14,848) - - - 306 FLEXI 8,674 5,976 8,454 1,642 1,917 3,303 6,862 23,410 16,548 STABLE STABLE (37,102) (20,554) - - - 997 FLEXI 8,316 2,285 2,529 3,364 8,178 14,070 17,517 40,900 32,722 (8,938) (41,660) AGGRESSIVE - - - 21 24,981 25,450 23,583 42,936 91,969 2,96,342 4,91,343 8,12,687 7,20,718 5,04,300 TOP-200 (2,16,418) Registration No 110 Form A- RA (UL) (Continued) - - - 8 13,974 45,916 12,607 12,638 22,541 47,786 TOP-50 2,14,631 2,74,529 2,26,743 1,08,776 (1,17,967) Date of Registration with IRDAI: February 12, 2001 - - - 75 929 729 318 Fund UCG 2,221 1,930 5,155 2,917 3,964 1,191 -110% Capital (9,484) Fund Revenue Account for the year ended 31 March, 2015 (10,675) Guarantee Annexure 4A - Financial Statements of Life Linked Business Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED - - - - Fund Equity Select 23,345 31,644 10,642 94,756 7,76,541 1,00,265 9,00,151 1,37,042 7,63,109 2,59,382 10,22,491 - - - 1,631 Equity 70,530 1,28,797 9,78,821 1,20,260 2,38,001 4,28,791 18,67,103 29,76,352 25,47,561 13,34,529 38,82,090 Large Cap - - - 826 357 1,829 1,251 2,039 3,647 9,877 21,487 19,928 16,281 26,158 (4,214) Growth Growth Maximiser F-5 Schedule Dividend income Income from investments investments Income from income Interest Profit/loss on sale of Profit/loss investment Profit/loss on inter fund Profit/loss transfer/ sale of investment Miscellaneous Income Gain/loss* Unrealised Income/ Appropriation Exappropriation Loss ( net) Total (A) Fund management expenses Fund administration expenses Other charges: Total (B) Net Income for the year (A-B) Add: Fund revenue account Add: Fund revenue at the beginning of year * Net change in marked to market value of investments Fund revenue account at the end of year Particulars

Annual Report | 2015 -16 209 - - - ( ` ‘000) Total Total 8,86,262 4,36,333 14,17,795 11,76,084 31,15,258 15,02,841 1,75,88,606 1,06,79,622 3,05,72,285 2,74,57,027 1,70,10,508 4,44,67,535 - - - Apex 3,140 9,472 4,711 3,689 6,022 13,697 51,320 77,629 14,422 63,207 17,345 80,552 Supreme Supreme In Fund III Return Lock ------33 66 44 77 220 220 176 Apex Fund III (2,706) (2,662) Supreme Supreme Investment - - - Apex 9,713 2,490 4,138 3,113 4,260 10,376 44,870 67,449 11,511 55,938 20,769 76,707 Supreme Supreme In Fund II Return Lock ------4 26 60 77 167 167 163 Apex Fund II (2,351) (2,347) Supreme Supreme Investment - - - Apex 5,369 8,505 5,602 8,600 20,243 34,774 80,637 22,707 28,796 In Fund Supreme Supreme 1,41,023 1,18,316 1,47,112 Return Lock ------44 81 99 75 299 299 224 Fund Apex (3,458) (3,383) Supreme Supreme Investment ------(176) 25,910 19,966 19,966 3,81,936 4,07,670 3,87,704 3,08,682 6,96,386 Policy Fund Discontinuance Registration No 110 - - - Form A- RA (UL) (Continued) 705 2,818 4,200 3,359 8,264 6,225 12,769 24,375 34,682 74,644 66,380 72,605 in Fund II Apex Plus Return Lock- Date of Registration with IRDAI: February 12, 2001 - - - 2,928 in Fund 56,036 11,136 17,447 15,747 36,122 60,559 Fund Revenue Account for the year ended 31 March, 2015 1,11,796 1,32,245 3,11,213 2,75,091 3,35,650 Apex Plus Annexure 4A - Financial Statements of Life Linked Business Return Lock- Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------5 5 2 54 34 90 (85) Fund (10,120) (10,205) Apex Plus Investment - - - 26 975 761 651 174 219 455 848 Fund 2,413 1,565 Capital (3,195) (1,630) Gurantee Super 110% F-5 Schedule Income from investments investments Income from income Interest Dividend income on sale of Profit/loss investment Profit/loss on inter fund Profit/loss transfer/ sale of investment Miscellaneous Income Unrealised Gain/loss* Unrealised Appropriation Income/ Appropriation Exappropriation Loss ( net) Total (A) Fund management expenses Fund administration expenses Other charges: Net Income for the year (A-B) account Add: Fund revenue at the beginning of year Total (B) Fund revenue account at the end of year * Net change in marked to market value of investments Particulars

Annual Report | 2015 -16 210 ( ` ‘000) Fund 6,195 70,276 58,979 51,144 Capital (17,492) 7,44,047 4,33,838 Guarantee (3,61,353) Infrastructure Infrastructure Total Total 6,82,86,865 1,15,61,148 4,80,55,227 (3,17,92,786) 726 Whole Income 6,31,164 Life Fixed 13,17,190 10,64,266 21,64,899 14,62,529 - in Fund II (8,84,088) (7,03,096) Apex Lock 441 Apex Stable 93,704 In Fund (28,809) Supreme Supreme 1,85,799 7,61,330 6,06,821 2,69,847 3,34,742 In Fund III 29,62,272 20,15,920 (3,40,308) (9,46,793) Whole Life APEX Lock Return Lock Apex APEX 1,115 59,393 59,341 15,650 90,515 12,460 Fund III (1,167) (93,705) Supreme Supreme 4,61,437 31,97,702 24,70,787 Investment Whole Life Aggressive Aggressive (11,88,352) INVESTMENT Apex BOND Income 88,313 82,869 (31,209) Supreme Supreme 2,14,652 1,46,013 2,26,484 2,78,144 In Fund II 10,11,728 22,30,410 19,57,454 (1,56,952) Whole Life (12,84,684) Return Lock Apex FLEXI Equity 3,779 3,708 Fund II 31,552 82,799 STABLE STABLE (71,251) (82,870) Supreme Supreme 1,74,328 1,34,629 18,42,815 59,89,333 Investment Whole Life (66,42,244) 1,07,88,762 Apex FLEXI 27,660 In Fund (70,856) (60,205) Supreme Supreme 1,02,086 2,93,586 1,38,109 2,20,181 1,76,985 4,72,807 1,32,606 5,45,208 (2,57,563) Return Lock Fixed Income AGGRESSIVE Fund Apex Stable 38,577 39,460 36,096 Supreme Supreme 2,56,321 1,40,989 2,37,332 1,29,243 TOP-200 20,79,658 14,49,970 (1,53,909) (8,67,020) (1,32,607) Investment (1,298) TOP-50 1,57,031 8,80,355 1,05,265 7,80,053 SCHEDULE: F-1 16,44,849 10,95,028 32,03,127 17,22,433 49,24,262 (9,21,525) (4,20,240) Policy Fund Aggressive Aggressive Registration No 110 Discontinuance POLICYHOLDERS’ CONTRIBUTION Fund UCG 2,904 1,199 -110% Return Fund II Capital Lock-in 91,895 52,147 33,426 (6,668) Growth (21,625) 6,05,069 4,39,736 3,04,240 2,98,771 Guarantee Apex Plus (2,57,228) Date of Registration with IRDAI: February 12, 2001 SCHEDULE to Fund Balance sheet as at March 31, 2015 Fund 3,521 Return Select Lock-in 39,047 Annexure 4A - Financial Statements of Life Linked Business (69,536) 1,60,406 1,29,917 2,51,142 9,53,515 Balanced 18,98,632 12,43,322 11,24,372 Apex Plus (1,22,471) Equity Fund (11,96,259) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Fund Equity 3,623 Liquid 70,488 92,376 11,315 10,205 (4,733) (91,160) 1,13,048 12,08,178 80,72,448 57,53,833 Apex Plus Investment Large Cap (35,26,793) Fund 110% 4,052 1,466 Super Capital 81,078 29,966 18,292 13,159 (6,599) Growth Growth Income (55,164) 1,81,145 8,69,031 5,06,432 Gurantee Maximiser (5,43,744) 702 Select 5,663 3,663 Super Equity Enabler (2,702) Growth Growth 12,07,230 68,47,366 65,56,988 11,80,007 57,17,499 Equity Fund (81,49,012) (20,19,496) 1,37,89,148 Closing balance Deductions during the Period * Additions during the Period * Opening balance Deductions during the Period * Closing balance Additions during the Period * Opening balance Opening balance Additions during the Period * Deductions during the Period * Closing balance * Additions represents units creation and deductions represent unit cancellations and deductions represent units creation * Additions represents Particulars Particulars Particulars

Annual Report | 2015 -16 211 ------1 99 336 336 ( ` ‘000) 2,100 5,070 6,382 5,133 48,251 47,915 29,230 Capital Guarantee ------100 Whole 59,100 20,278 Income 4,23,077 3,04,227 4,75,176 Life Fixed 12,81,858 12,81,858 ------2 98 Stable 16,057 16,057 16,900 31,225 8,49,406 8,33,349 3,48,381 1,22,276 3,14,567 Whole Life ------4 96 41,197 1,58,261 1,58,261 1,08,400 2,71,705 7,96,480 39,69,460 38,11,199 25,93,417 Whole Life Aggressive Aggressive ------100 72,300 Income 7,19,685 2,77,594 24,67,323 24,67,323 13,97,744 Whole Life ------15 85 Equity 16,397 45,900 1,12,482 32,93,708 32,77,311 Whole Life 2,15,71,351 1,82,77,643 1,81,19,261 ------100 105 Fixed 5,500 76,717 47,753 70,693 Income 2,00,768 2,00,768 ------0 100 1,145 1,145 3,700 5,598 Stable 35,579 2,56,296 2,55,151 1,08,436 1,01,838 ------3 97 54,975 54,975 17,400 81,163 2,15,500 3,47,038 19,72,806 19,17,831 12,56,730 Aggressive Aggressive ------3 Registration No 110 97 8,619 36,537 36,537 51,800 77,546 Growth Growth 8,70,961 3,49,729 13,95,192 13,58,655 ------0 100 1,708 1,708 4,309 18,300 20,226 26,686 4,05,955 4,04,247 1,61,558 1,73,168 Balanced Date of Registration with IRDAI: February 12, 2001 SCHEDULE to Fund Balance sheet as at March 31, 2015 Annexure 4 A - Financial Statements of Life Linked Business ------100 7,100 Liquid 1,61,174 1,61,174 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 1,54,074 ------100 28,200 Income 8,83,245 8,83,245 2,47,102 1,41,025 4,66,918 ------3 97 8,951 Equity 14,600 20,067 6,44,242 6,35,291 1,84,42,945 1,77,98,703 1,77,64,036 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Funds Money Market Equity Infrastructure Bonds Infrastructure Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Schedule: F - 2 Particulars

Annual Report | 2015 -16 212 ------7 93 ( ` ‘000) 105 634 Fund 3,400 30,227 30,227 3,85,656 3,81,517 4,15,883 Infrastructure Infrastructure ------1 99 99,068 21,632 21,632 2,75,685 8,29,016 7,63,012 19,66,781 19,88,413 - in Fund II Apex Lock ------1 99 76,572 40,400 27,531 27,531 55,172 - in Fund 1,97,147 9,98,930 27,22,301 13,54,080 27,49,832 Apex Lock ------APEX INVESTMENT ------100 6,800 6,909 BOND 15,103 38,854 88,667 1,56,333 1,56,333 ------1 99 816 816 FLEXI 4,300 24,025 21,429 62,837 STABLE STABLE 1,12,591 1,13,407 ------100 FLEXI 7,500 2,217 15,407 70,559 71,668 1,67,351 1,67,351 AGGRESSIVE ------5 95 105 7,600 1,176 1,00,571 1,01,747 TOP-200 18,71,368 18,63,663 19,73,115 ------3 97 700 23,598 23,598 TOP-50 8,56,322 8,55,622 8,79,920 ------1 Registration No 110 99 900 180 180 Fund 3,081 1,479 3,324 Capital 23,282 14,498 23,462 Guarantee UCG -110% ------8 92 Select 1,46,511 1,46,511 17,81,866 17,81,866 19,28,377 Date of Registration with IRDAI: February 12, 2001 Equity Fund Annexure 4 A - Financial Statements of Life Linked Business ------5 95 4,234 9,506 Equity SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 4,72,203 4,76,437 91,52,264 91,42,758 96,28,701 Large Cap ------105 100 1,800 3,081 54,897 38,552 54,897 11,359 Growth Growth Maximiser ------2 91 91 98 100 317 5,651 2,503 5,742 2,731 Enabler Growth Growth Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Mutual Funds Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Infrastructure Bonds Infrastructure Total Corporate Bonds Money Market Equity GRAND TOTAL INVESTMENTS INVESTMENTS Investments Approved Government Bonds % of approved to Total % of OTAI to Total Particulars Schedule: F - 2

Annual Report | 2015 -16 213 ------6 94 ( ` ‘000) Total Total 30,758 5,25,200 50,86,577 17,27,237 53,37,134 63,13,799 56,09,261 56,40,019 6,72,96,944 8,62,86,891 9,19,26,910 ------1 99 Apex 5,113 5,113 43,340 14,593 81,214 21,546 Supreme Supreme 2,44,096 4,04,789 4,09,902 In Fund III Return Lock ------100 Apex 7,604 7,604 7,604 Fund III Supreme Supreme Investment ------1 99 Apex 4,720 4,720 47,781 13,672 62,838 33,692 Supreme Supreme 1,84,795 3,42,778 3,47,498 In Fund II Return Lock ------211 211 211 100 Apex Fund II Supreme Supreme Investment ------1 99 Apex 8,653 8,653 92,226 36,700 36,332 In Fund Supreme Supreme 1,42,197 3,61,175 6,68,630 6,77,283 Return Lock ------Fund Apex 19,645 19,645 19,645 Supreme Supreme Investment ------100 55,97,956 55,97,956 55,97,956 Policy Fund Discontinuance ------1 Registration No 110 99 4,720 4,720 20,410 26,879 33,997 in Fund II 1,03,863 1,74,472 3,59,621 3,64,341 Apex Plus Return Lock------1 99 in Fund 46,623 27,248 19,665 19,665 2,11,422 4,55,739 6,74,625 Date of Registration with IRDAI: February 12, 2001 14,15,657 14,35,322 Apex Plus Return Lock- Annexure 4 A - Financial Statements of Life Linked Business ------SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED Fund Apex Plus Investment ------1 92 92 99 209 400 Fund 6,684 2,099 1,579 Capital 10,971 11,063 Gurantee Super 110% ------6 94 5,61,317 5,61,317 85,03,305 85,03,305 90,64,622 Equity Fund Super Select INVESTMENTS INVESTMENTS Investments Approved Government Bonds Corporate Bonds Infrastructure Bonds Infrastructure Equity Money Market Mutual Funds Fixed Deposit Units in Equity Fund Units in Liquid Fund Units in Income Fund Total Other than Appoved Investments Investments Other than Appoved Corporate Bonds Infrastructure Bonds Infrastructure Money Market Equity Mutual Fund Preference Shares Approved Approved Shares Preference GRAND TOTAL % of approved to Total Total % of OTAI to Total Particulars Schedule: F - 2

Annual Report | 2015 -16 214

------1 ( ` ‘000) 207 164 854 Fund 3,266 3,058 1,018 Capital Guarantee Infrastructure Infrastructure - - Total Total 3,077 42,356 13,115 94,927 3,52,207 5,50,559 10,56,241 ------366 129 Whole 51,956 15,950 34,075 35,640 33,946 Income Life Fixed - in Fund II Apex Lock ------7 195 516 241 238 Apex 7,587 7,825 2,298 Stable 72,813 37,216 16,510 35,081 13,769 - in Fund Supreme Supreme In Fund III Whole Life Apex Lock Return Lock ------2 52 878 921 149 Apex 2,194 1,165 APEX 3,046 82,218 50,453 27,746 Fund III Supreme Supreme Investment Whole Life Aggressive Aggressive INVESTMENT ------664 124 425 336 103 182 Apex 2,998 6,171 7,353 2,874 5,512 Return Fund II BOND Lock In 84,784 21,185 57,559 Income Supreme Supreme Whole Life ------97 146 882 124 125 237 171 Apex FLEXI 2,591 1,150 2,321 1,890 Equity Fund II 43,956 41,704 STABLE STABLE Supreme Supreme Whole life Investment ------1 429 110 122 257 232 Apex FLEXI 2,726 5,133 2,186 4,876 14,875 15,229 In Fund Supreme Supreme Return Lock AGGRESSIVE Fixed Income ------5 2 2 88 154 331 133 Fund Apex 9,460 3,785 3,449 3,648 Stable 20,943 13,068 20,524 Supreme Supreme TOP-200 Investment ------26 114 148 413 595 3,268 23,824 25,004 25,266 23,411 26,324 22,435 TOP-50 Policy Fund Aggressive Aggressive Discontinuance Registration No 110 ------18 184 553 426 127 974 390 392 Fund 6,938 7,122 Capital in Fund 13,603 11,829 Growth Growth Guarantee Apex Plus UCG -110% Return Lock- Date of Registration with IRDAI: February 12, 2001 ------3 11 290 541 147 Fund 5,790 7,702 5,099 Return Select Lock-in 90,598 35,063 82,885 35,353 Annexure 4 A - Financial Statements of Life Linked Business Balanced Apex Plus Equity Fund SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------2 1 318 112 111 Fund Equity Liquid 47,304 35,955 11,029 Apex Plus Investment Large Cap ------1 20 63 183 230 496 353 102 128 Fund 110% 2,243 1,787 Super Capital 30,948 10,593 20,227 Growth Growth Income Gurantee Maximiser ------5 73 301 107 121 671 Fund Equity Select 6,198 Super Equity 62,114 93,535 Enabler Growth Growth 1,15,164 1,55,649 1,08,290 Cash &Bank Balance Total Accrued Interest Accrued Interest Other Current Assets (for Investments) Other Current Appropriation Asset UL Appropriation Unit Collection A/c Dividend Receivable Receivable for Sale of Investments Other Current Assets (for Investments) Other Current Total Accrued Interest Accrued Interest Dividend Receivable Total Cash &Bank Balance Appropriation Asset UL Appropriation Other Current Assets (for Investments) Other Current Unit Collection A/c Unit Collection A/c Appropriation Asset UL Appropriation Dividend Receivable Dividend Receivable Receivable for Sale of Investments Dividend Receivable Cash &Bank Balance Receivable for Sale of Investments Accrued Interest Accrued Interest Dividend Receivable CURRENT ASSETS ASSETS CURRENT CURRENT ASSETS ASSETS CURRENT Schedule: F - 3 Schedule: ASSETS CURRENT

Annual Report | 2015 -16 215

- - - - 94 ( ` ‘000) 265 171 Fund 7,117 2,536 4,581 Capital Guarantee Infrastructure Infrastructure - Total Total 82,295 4,60,389 1,56,152 2,21,942 - - - - 433 3,945 1,856 2,089 2,218 1,785 Whole Income Life Fixed - in Fund II Apex Lock ------Apex 2,433 1,156 1,277 7,024 4,079 2,945 Stable - in Fund Supreme Supreme In Fund III Whole Life Apex Lock Return Lock ------810 810 Apex APEX Fund III Supreme Supreme Investment Whole Life Aggressive Aggressive INVESTMENT ------600 Apex 6,602 1,419 4,583 Return Fund II BOND Lock In 79,208 79,208 Income Supreme Supreme Whole Life ------661 Apex FLEXI 1,923 1,262 8,960 Equity Fund II 26,133 35,093 STABLE STABLE Supreme Supreme Whole life Investment ------192 192 770 707 264 971 Apex FLEXI 2,030 1,260 In Fund Supreme Supreme Return Lock AGGRESSIVE Fixed Income ------129 129 Fund Apex Stable 39,788 11,465 28,323 Supreme Supreme TOP-200 Investment ------516 2,574 2,574 4,361 2,793 3,309 14,915 10,554 TOP-50 Policy Fund Aggressive Aggressive Discontinuance Registration No 110 ------8 87 68 19 73 65 Fund Capital in Fund Growth Growth Guarantee Apex Plus UCG -110% Return Lock- Date of Registration with IRDAI: February 12, 2001 ------57 57 Fund 6,416 4,237 3,248 Return Select Lock-in 10,653 42,969 39,721 Annexure 4 A - Financial Statements of Life Linked Business Balanced Apex Plus Equity Fund SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------17 204 187 Fund Equity Liquid 40,082 11,086 28,996 Apex Plus Investment Large Cap ------2 30 30 427 Fund 110% 1,016 1,014 2,116 Super Capital 31,822 29,279 Growth Growth Income Gurantee Maximiser ------46 46 Fund Equity Select 9,126 Super Equity 14,476 97,936 14,309 69,151 24,868 15,742 Enabler Growth Growth Other Current Liabilities Other Current Total Unit Payable a/c Expropriation Liability UL Expropriation Total Unit Payable a/c Payable for Purchase of Investments Payable for Purchase Other Current Liabilities Other Current Unit Payable a/c Expropriation Liability UL Expropriation Total Other Current Liabilities Other Current Payable for Purchase of Investments Payable for Purchase Expropriation Liability UL Expropriation Payable for Purchase of Investments Payable for Purchase CURRENT LIABILITIES CURRENT CURRENT LIABILITIES CURRENT Schedule: F - 4 Schedule: LIABILITIES CURRENT

Annual Report | 2015 -16 216 ------1 3 7 ( ` ‘000) 984 465 3,084 1,624 Capital Guarantee ------15 25 66 58 64 247 (118) 4,913 3,973 Whole 20,856 11,613 Income Life Fixed ------8 7 31 48 254 (45) (159) 7,210 4,493 3,129 Stable 14,976 Whole Life ------7 36 959 140 293 (889) 1,313 64,701 29,452 19,382 14,008 Whole Life Aggressive Aggressive ------16 17 540 831 185 146 (602) 8,928 7,736 38,346 20,549 Income Whole Life ------66 203 204 840 2,787 Equity 91,617 92,090 61,397 (3,566) (2,297) 2,43,341 Whole life ------61 461 (17) 7,329 1,293 4,344 1,187 Fixed Income ------2 9 (1) 389 8,949 1,321 5,649 1,580 Stable ------7 10 102 8,338 2,759 9,071 38,453 18,166 Aggressive Aggressive Registration No 110 ------2 10 56 (15) 4,886 2,751 4,044 11,734 Growth Growth ------2 7 802 (10) 3,577 1,663 1,113 Date of Registration with IRDAI: February 12, 2001 Balanced Annexure 4 A - Financial Statements of Life Linked Business ------SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) 18 (5) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 769 501 371 1,654 Liquid ------17 76 (1) 4,273 9,910 2,031 3,810 20,116 Income ------40 374 224 Equity 77,665 35,120 89,859 3,74,888 1,71,606 *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Miscellaneous charge Partial withdrawal charge Rider premium charge Rider premium Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: EXPENSES* OTHER Particulars

Annual Report | 2015 -16 217

------1 3 ( ` ‘000) Fund (606) 6,086 1,631 2,720 2,337 Infrastructure Infrastructure ------1 113 5,682 7,171 25,153 12,186 - in Fund II Apex Lock ------24 (11) 9,123 30,066 20,930 - in Fund Apex Lock ------1 9 3 12 (1) APEX INVESTMENT ------4 7 (1) 437 851 3,562 1,017 1,247 BOND ------1 139 536 762 (19) FLEXI 3,303 1,884 STABLE STABLE ------2 (1) 256 777 908 (69) FLEXI 3,364 1,491 AGGRESSIVE ------5 11 19 90 (936) 3,860 8,869 42,936 20,772 10,246 TOP-200 ------4 1 12 29 (420) 1,626 4,446 5,309 22,541 11,534 TOP-50 Registration No 110 ------217 235 436 Fund 2,917 2,029 Capital Guarantee UCG -110% ------1 3 12 52 411 789 1,077 Date of Registration with IRDAI: February 12, 2001 Select 94,756 10,874 66,550 14,987 Equity Fund Annexure 4 A - Financial Statements of Life Linked Business ------SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) 10 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED 100 274 (880) 3,540 Equity 59,767 47,628 (2,554) 2,38,001 1,30,116 Large Cap ------2 2 11 15 208 401 2,039 1,400 Growth Growth Maximiser ------1 2 17 63 24 107 Enabler Growth Growth *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Miscellaneous charge Partial withdrawal charge Rider premium charge Rider premium Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge OTHER EXPENSES* EXPENSES* OTHER Particulars Schedule: F- 5 F- Schedule:

Annual Report | 2015 -16 218 ------92 ( ` ‘000) 603 698 Total Total (312) 2,641 5,063 1,426 20,942 47,276 4,55,047 6,25,524 3,43,842 15,02,842 ------36 (3) 883 146 Apex (229) 6,022 3,581 1,608 Supreme Supreme In Fund III Return Lock ------1 3 77 54 19 Apex Fund III Supreme Supreme Investment ------71 784 (49) Apex (449) 4,260 2,582 1,321 Supreme Supreme In Fund II Return Lock ------78 11 50 17 Apex Fund II Supreme Supreme Investment ------189 (54) Apex (431) 8,600 1,587 4,758 2,551 In Fund Supreme Supreme Return Lock ------1 99 74 25 (1) Fund Apex Supreme Supreme Investment ------2 4,082 15,882 19,966 Policy Fund Discontinuance ------(1) 354 726 912 (23) 3,359 1,391 Registration No 110 in Fund II Apex Plus Return Lock------35 Fund 1,455 6,036 4,237 3,984 Return Lock-in 15,747 Apex Plus Date of Registration with IRDAI: February 12, 2001 ------4 Annexure 4 A - Financial Statements of Life Linked Business 34 20 10 Fund Apex Plus Investment SCHEDULE to Fund Balance sheet as at March 31, 2015 (Continued) Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED ------92 97 64 94 (3) 455 111 Fund Capital Gurantee Super 110% ------5 121 382 5,204 Select Super 52,629 34,168 31,372 (4,272) (2,311) 1,17,298 Equity Fund Miscellaneous charge Total Partial withdrawal charge *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Rider premium charge Rider premium Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV WOP rider charge NAV Adjustment Gain/ Loss NAV NAV Adjustment Gain/ Loss - Backdation NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: EXPENSES* OTHER Particulars

Annual Report | 2015 -16 219 ------577 Fund ( ` ‘000) Apex (577) Pension Investment Equity 6,121 4,273 10,394 21.4412 1,58,382 1,69,787 3,28,169 3,23,896 3,28,169 3,28,169 15,305.56 Super Select Pension Fund Equity Select 9,610 4,197 5,413 Future Future 32.9237 1,22,018 1,84,667 3,06,685 3,01,272 3,06,685 3,06,685 9,315.05 6,956 73,072 13,271 (6,315) Pension 17.2979 2,15,895 2,88,967 2,95,282 2,88,967 2,88,967 Future Inc Future 16,705.37 3,234 1,128 2,106 Future Future Growth Growth 62,446 Pension 17.6419 1,78,938 2,41,384 2,39,278 2,41,384 2,41,384 13,682.45 Equity Future Future 16,131 18,025 (1,894) Pension 20.5783 8,42,693 10,53,603 18,96,296 18,98,190 18,96,296 18,96,296 92,150.11 672 243 429 8,615 22,803 31,418 30,989 31,418 31,418 16.0325 1,959.72 Guarantee Future Cap Future 824 2,557 1,733 96,717 30,048 Pension 17.1452 1,26,765 1,25,032 1,26,765 1,26,765 7,393.74 Future Bal Future ------Fund 24,913 Maxima (24,913) 1 894 893 Fund Growth Growth 35,072 14,125 49,197 48,304 49,197 49,197 17.3741 2,831.64 Form A- BS (UL) A- Form Registration No 110 Registration 9 Fund 14,258 14,249 17.9251 3,03,515 3,11,186 6,14,701 6,00,452 6,14,701 6,14,701 Balanced 34,292.77 Fund Balance sheet as at March 31 , 2015 sheet as at March Balance Fund Fund Bond Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date 98,809 12,675 21,655 (8,980) 18.4293 4,32,725 5,31,534 5,40,514 5,31,534 5,31,534 28,841.93 - Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 3,349 3,349 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: 60,957 57,608 60,957 60,957 18.3442 (41,657) 1,02,614 3,322.99 Short term 3 151 148 Liquid 20.8787 1,07,338 1,35,121 2,42,459 2,42,311 2,42,459 2,42,459 11,612.82 Income 85,897 88,739 (2,842) 21.5690 12,24,402 11,90,537 24,14,939 24,17,781 24,14,939 24,14,939 1,11,963.27 (10) Equity 4,053 4,063 53.9060 1,53,881 6,25,949 7,79,830 7,75,767 7,79,830 7,79,830 14,466.53 (A) (B) F-1 F-2 F-3 F-4 (A)/(B) Schedule Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Revenue Account Total Application of Funds Investments Current Assets Current Less: Current Less: Current Liabilities and Provisions Net current assets Total Net Asset as per Balance Sheet (Total Assets less (Total Liabilities and Current Provisions) Number of Units outstanding Net Asset Value per Unit (Arrived basis full figure) Particulars

Annual Report | 2015 -16 220 (` ‘000) Total 49,807 1,65,501 2,15,308 48,99,485 51,74,402 1,00,73,887 1,00,73,887 1,00,24,080 1,00,73,887 II 1 158 159 1,591 800.04 11,881 11,881 11,723 11,881 10,290 14.8500 20 Return Lock-in Fund Apex Pension II 11 357 368 2,151 57,894 57,894 57,537 57,894 55,743 14.7401 3,927.58 15 Return Lock-in Fund Apex Pension II 53 5,525 5,578 58,772 14.3830 2,93,604 2,93,604 2,88,079 2,93,604 2,34,832 10 Return 20,413.30 Lock-in Fund Apex Pension 25 1,981 2,006 Fund II 84,810 84,810 82,829 84,810 17,255 67,555 14.4644 5,863.31 Apex Pension Return Lock-in 563 3,966 41,234 41,234 44,637 41,234 12,777 28,457 (3,403) 16.4690 2,503.60 20 Return Lock-in Fund Apex Pension (16) 1,751 1,735 69,959 15.9054 3,65,595 3,65,595 3,65,611 3,65,595 2,95,636 15 Return 22,985.54 Lock-in Fund Apex Pension 5,482 27,140 32,622 15.8962 3,30,835 9,46,934 10 Return 80,381.90 12,77,769 12,77,769 12,50,629 12,77,769 Lock-in Fund Apex Pension Registration No 110 Registration Form A- BS (UL) (Continued) A- Form 6 686 692 Fund 8,276 26,412 26,412 25,726 26,412 18,136 15.8887 1,662.28 Apex Pension Return Lock-in Fund Balance sheet as at March 31 , 2015 sheet as at March Balance Fund Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date - 678 678 361 361 317 678 Fund 67.80 1,742 (1,064) 10.0032 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 20 Investment Apex Pension Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: - 584 584 268 268 316 584 Fund 58.52 5,206 (4,622) 10.0072 15 Investment Apex Pension - - 125 125 125 125 125 Fund 12.49 9.9981 15,401 (15,276) 10 Investment Apex Pension (B) (A) F-4 F-3 F-2 F-1 (A)/(B) Schedule Net Asset Value per Unit (Total Assets less Current Assets less Current (Total Liabilities and Provisions) Number of Units outstanding Net Asset as per Balance Sheet Total Net current assets Less: Current Liabilities and Less: Current Provisions Current Assets Current Application of Funds Investments Total Revenue Account Sources of Funds of Funds Sources Policyholders' Funds: Policyholder contribution Particulars

Annual Report | 2015 -16 221 - - - - (` ‘000) Fund 4,249 3,613 4,527 3,548 Super 26,631 12,389 48,025 Pension 1,69,787 1,43,156 1,55,545 1,03,972 Select Equity - - - - 1,830 4,675 3,347 Equity Select Future Future 68,929 20,768 14,263 31,994 1,84,667 1,15,738 1,36,506 1,01,165 - - - - 6,358 2,227 3,345 73,072 32,784 40,288 11,930 52,218 15,624 11,006 25,588 Pension Future Inc Future - - - 6,075 2,041 2,846 1,182 Future Future Growth Growth 62,446 25,070 37,376 10,962 48,338 14,306 18,954 13,896 Pension - - - 5 Equity Future Future 84,439 45,204 13,466 25,769 26,437 Pension 4,71,491 5,82,112 6,66,551 1,37,002 5,03,107 10,53,603 - - - 70 818 146 529 8,615 4,248 4,367 1,493 5,860 1,582 1,820 2,388 Guarantee Future Cap Future - - - 928 240 5,483 3,126 1,429 9,057 3,973 9,475 30,048 12,786 17,262 22,745 Pension Future Bal Future - - - - - 628 185 443 875 Fund 7,671 8,299 1,686 5,738 24,913 17,242 Maxima - - - - 64 399 335 584 154 Fund 6,937 7,188 7,587 4,403 2,446 14,125 Growth Growth - - - - Form A- RA (UL) RA A- Form 822 Fund 3,497 2,675 1,498 98,868 26,048 32,141 42,678 Registration No 110 Registration 3,11,186 2,12,318 1,02,365 Balanced - - - - - 790 4,438 3,648 7,306 95,102 99,540 44,145 48,089 4,32,725 3,37,623 Bond Fund Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date - - - - - Fund Revenue Account for the year ended 31 March, 2015 ended 31 March, the year for Account Revenue Fund 908 239 669 298 term Short 3,104 84,695 17,919 18,827 15,425 1,02,614 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: - - - - - 284 (20) 1,328 1,044 1,710 Liquid 21,739 23,067 21,377 1,35,121 1,13,382 - - - - - 2,849 8,375 11,224 93,514 95,576 Income 8,44,856 3,45,681 3,56,905 1,67,815 11,90,537 - - - - 21 8,190 1,266 6,924 9,990 Equity 47,790 6,25,949 4,41,300 1,84,649 1,92,839 1,35,038 F-5 Schedule * Net change in marked to market value of investments should be disclosed as a separate line item. Instructions: Any expense which is 1% of the total expenses incurred Fund revenue account at the end of Period Add: Fund revenue account Add: Fund revenue at the beginning of period Net Income for the year (A-B) Total (B) Other charges: Fund administration expenses Fund management expenses Total (A) Appropriation Income/ Appropriation Exappropriation Loss ( net) Unrealised Gain/loss* Unrealised Miscellaneous Income Profit/loss on inter fund Profit/loss transfer/ sale of investment Profit/loss on sale of Profit/loss investment Dividend income Income from investments investments Income from income Interest Particulars

Annual Report | 2015 -16 222 - - - ( ` ‘000) Total 26,636 64,686 93,618 2,28,521 1,08,267 4,31,196 6,39,647 27,38,786 48,99,485 21,60,699 12,53,691 23,89,220 - - - 14 127 225 187 101 127 (14) (684) Apex 1,591 2,275 1,889 2,402 in Fund II Pension 20 Return Lock- - - - 35 962 352 418 575 Apex 2,151 9,631 1,246 1,305 7,624 10,593 (7,480) in Fund II Pension 15 Return Lock- - - - 323 Apex 4,521 5,332 1,663 9,971 2,156 3,346 58,772 54,251 18,638 28,818 59,583 in Fund II Pension 10 Return Lock- - - - 252 666 988 Apex 1,458 2,348 1,108 3,029 7,479 6,971 17,255 15,797 18,145 Pension in Fund II Return Lock- - - - 21 550 563 663 (121) Apex 1,234 1,182 7,329 5,058 12,777 12,898 in Fund 14,132 Pension 20 Return Lock- - - - 284 Apex 7,431 2,799 9,301 3,394 4,348 69,959 76,742 in Fund 21,961 49,517 84,173 (6,783) Pension 15 Return Lock- - - - Apex 1,309 65,899 32,151 in Fund 14,844 50,152 10,717 15,998 3,30,835 2,64,936 1,35,833 1,00,385 2,97,087 Pension 10 Return Lock- - - - 69 756 367 205 320 Apex 3,252 8,276 5,024 1,016 2,978 1,581 5,780 Registration No 110 Registration in Fund Pension Return Lock- Form A- RA (UL) (Continued) RA A- Form ------9 3 1 3 12 12 (1) Fund Apex (1,064) (1,073) Investment Pension 20 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Fund Revenue Account for the year ended 31 March, 2015 ended 31 March, the year for Account Revenue Fund ------Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 70 47 19 12 16 117 117 Fund Apex Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: (4,622) (4,692) Investment Pension 15 ------4 4 1 45 53 (9) (41) Fund Apex (15,276) (15,235) Investment Pension 10 ------9 7 2 (9) Fund (577) (568) Apex Pension Investment F-5 Schedule Fund revenue account at the end of Period * Net change in marked to market value of investments Add: Fund revenue account Add: Fund revenue at the beginning of period Net Income for the year (A-B) Other charges: Total (B) Income from investments investments Income from income Interest Profit/loss on inter fund Profit/loss transfer/ sale of investment Dividend income on sale of Profit/loss investment Miscellaneous Income Unrealised Gain/loss* Unrealised Income/ Appropriation Exappropriation Loss ( net) Total (A) Fund management expenses Fund administration expenses Particulars

Annual Report | 2015 -16 223 ( ` ‘000) Total Future Future 34,312 1,22,018 2,29,850 51,74,402 75,12,814 11,73,590 (1,42,144) (35,12,002) Select Equity (810) Apex 8,773 2,327 Fund II Lock-in 10,290 Pension Pension 2,15,895 1,06,524 3,31,786 20 Return Future Inc Future (2,22,415) Apex Future Future Fund II Growth Growth Lock-in 55,743 45,490 13,249 38,592 (2,996) Pension Pension (99,778) 1,78,938 2,40,124 15 Return 983 Apex Equity Future Future Fund II Lock-in Pension Pension (10,296) 2,34,832 8,42,693 2,44,145 2,07,535 10 Return 15,14,774 (8,79,616) - Apex 3,117 Return Fund II Lock-in 67,555 22,803 75,825 33,191 (8,270) Pension (13,505) Guarantee Future Cap Future Fund Apex 5,099 Lock-in 28,457 96,717 48,169 22,824 Pension Pension (24,811) (55,305) 1,29,198 20 Return Future Bal Future - Fund Fund Apex Lock-in 34,889 85,011 Maxima Pension (24,913) (43,182) 2,95,636 3,03,929 15 Return (1,09,924) Fund Fund Apex 2,326 Lock-in 35,072 11,145 31,532 (7,605) Growth Growth Pension 9,46,934 10 Return 11,67,297 (2,22,689) - Fund Fund Apex Return Lock-in 18,136 22,017 11,228 (3,881) Pension 3,03,515 4,40,852 Balanced (1,48,565) SCHEDULE: F-1 Registration No 110 Registration Fund Apex 1,742 6,968 2,201 98,809 61,934 (7,427) 3,17,299 (2,80,424) Investment Pension 20 Bond Fund POLICYHOLDERS' CONTRIBUTION POLICYHOLDERS' Fund Apex 5,206 34,370 19,016 18,496 (41,657) (48,180) 1,34,655 (1,94,808) Investment Short term Pension 15 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date SCHEDULE to Fund Balance sheet as at March 31 , 2015 sheet as at March Balance Fund SCHEDULE to 289 Fund Apex 2,399 Liquid Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure 15,401 16,355 (3,353) (49,522) 1,07,338 1,56,571 Investment Pension 10 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: 50 577 568 (41) Fund Apex Pension Income 3,28,885 12,24,402 13,65,162 (4,69,645) Investment Fund Equity Select Super Equity 33,176 Pension 1,58,382 1,53,881 2,86,904 1,92,873 2,62,120 (1,61,698) (3,01,112) * Additions represents units creation and deductions represent unit cancellations and deductions represent units creation * Additions represents Closing balance Closing balance Additions during the Period * Deductions during the Period * Deductions during the Period * Opening balance Additions during the Period * Opening balance Particulars Particulars

Annual Report | 2015 -16 224 ------6 94 ( ` ‘000) Equity Select Future Future 16,987 16,987 3,01,272 2,84,285 2,84,285 ------100 2,217 13,000 83,456 41,586 Pension 2,95,282 2,95,282 1,55,023 Future Inc Future ------0 100 824 824 Future Future Growth Growth 10,800 23,129 75,890 21,570 Pension 2,39,278 2,38,454 1,07,065 ------8 92 689 Equity Future Future 33,900 Pension 1,55,820 1,55,131 18,98,190 17,42,370 17,08,470 ------1 99 227 227 1,300 1,900 4,356 4,150 30,989 30,762 19,056 Guarantee Future Cap Future ------0 100 557 557 5,600 10,666 15,439 24,025 68,745 Pension 1,25,032 1,24,475 Future Bal Future ------Fund Maxima ------1 99 561 561 Fund 2,000 3,591 5,214 48,304 47,743 14,083 22,855 Growth Growth ------1 99 Fund 3,598 3,598 27,500 13,836 81,983 77,469 47,095 6,00,452 5,96,854 3,48,971 Balanced Registration No 110 Registration ------100 1,373 23,700 66,827 5,40,514 5,40,514 1,52,364 2,96,250 Bond Fund ------100 term Short 2,500 1,585 57,608 57,608 23,201 11,090 19,232 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date SCHEDULE to Fund Balance sheet as at March 31 , 2015 sheet as at March Balance Fund SCHEDULE to ------100 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Liquid 10,800 2,42,311 2,42,311 2,31,511 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------100 41,400 34,747 Income 6,62,833 2,92,370 24,17,781 24,17,781 13,86,431 ------4 96 275 Equity 31,101 30,826 12,300 7,75,767 7,44,666 7,32,366 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Housing Bonds Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Particulars Schedule: F - 2

Annual Report | 2015 -16 225 ------3 97 ( ` ‘000) 964 TOTAL 2,56,396 2,55,432 1,84,800 3,88,086 6,93,671 97,67,684 43,05,699 15,42,490 26,52,938 1,00,24,080 ------2 98 197 197 950 Apex 7,732 2,844 Fund II 11,723 11,526 Lock-in Pension 20 Return ------2 98 875 875 Apex 1,743 Fund II 57,537 56,662 Lock-in 33,915 21,004 Pension 15 Return ------2 98 Apex 4,326 4,326 Fund II Lock-in 21,335 77,230 29,878 16,008 Pension 2,88,079 2,83,753 1,39,302 10 Return ------1 99 787 787 Apex 3,802 4,002 Return Fund II 82,829 82,042 Lock-in 39,061 20,913 14,264 Pension ------1 99 669 669 107 Fund Apex 2,186 44,637 43,968 Lock-in 29,067 12,608 Pension 20 Return ------2 98 Fund Apex 5,900 5,900 9,666 Lock-in 17,111 Pension 3,65,611 3,59,711 2,23,122 1,09,812 15 Return ------1 99 Fund Apex 14,552 14,552 Lock-in 17,850 59,530 Pension 6,00,408 3,70,739 1,87,550 10 Return 12,50,629 12,36,077 ------2 98 393 393 Fund Apex 7,474 3,011 3,502 Return 25,726 25,333 Lock-in 11,346 Pension Registration No 110 Registration ------100 317 317 317 Fund Apex Investment Pension 20 ------100 316 316 316 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Fund Apex Investment Pension 15 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: ------SCHEDULE to Fund Balance sheet as at March 31 , 2015 (Continued) sheet as at March Balance Fund SCHEDULE to Fund Apex Investment Pension 10 ------Fund Apex Pension Investment ------6 94 Fund Equity Select Super 19,022 19,022 Pension 3,23,896 3,04,874 3,04,874 % of OTAI to Total % of approved to Total GRAND TOTAL Total Preference Shares Approved Approved Shares Preference Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Other than Appoved Investments Investments Other than Appoved Corporate Bonds Total Units in Income Fund Units in Liquid Fund Units in Equity Fund Fixed Deposit Mutual Fund Money Market Equity Infrastructure Bonds Infrastructure Housing Bonds Corporate Bonds INVESTMENTS INVESTMENTS Investments Approved Government Bonds Schedule: F - 2 Particulars

Annual Report | 2015 -16 226 ------79 715 ( ` ‘000) 9,610 4,197 4,152 5,379 3,482 Equity Equity Select Select Future Future Future Future ------933 141 6,956 2,154 6,815 13,271 10,184 Pension Pension Future Inc Future Future Inc Future ------2 93 268 860 3,234 1,128 3,139 Future Future Future Future Growth Growth Growth Growth Pension Pension ------88 631 5,645 Equity Equity Future Future Future Future 16,131 18,025 12,380 15,412 Pension Pension ------5 72 672 243 238 600 Guarantee Guarantee Future Cap Future Future Cap Future ------824 124 700 116 2,557 2,441 Pension Pension Future Bal Future Future Bal Future ------Fund Fund Maxima Maxima ------1 1 CURRENT YEAR CURRENT 894 147 747 Fund Fund Growth Growth Growth Growth ------9 9 84 Fund Fund 14,258 14,174 Balanced Balanced Registration No 110 Registration ------14 87 12,675 21,655 21,641 12,588 Bond Fund Bond Fund ------114 term term Short Short 3,349 1,724 1,511 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date ------3 3 2 151 149 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Liquid Liquid Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: SCHEDULE to Fund Balance sheet as at March 31 , 2015 (Continued) sheet as at March Balance Fund SCHEDULE to - - - - - 152 (41) 6,275 6,036 85,897 88,739 21,185 82,744 58,285 Income Income ------21 553 354 (10) (10) 4,053 3,125 Equity Equity Total Other Current Assets (for Investments) Other Current Appropriation Asset UL Appropriation Unit Collection A/c Total Dividend Receivable Unit Payable a/c Receivable for Sale of Investments Expropriation Liability UL Expropriation Dividend Receivable Other Current Liabilities Other Current Cash &Bank Balance Particulars of Investments Payable for Purchase Particulars Accrued Interest Schedule: F - 4 CURRENT LIABILITIES Schedule: F - 3 Schedule: CURRENT ASSETS

Annual Report | 2015 -16 227 - - - 682 183 ( ` ‘000) 9,346 11,487 50,790 26,566 18,187 TOTAL TOTAL 2,15,308 1,65,501 1,42,820 1,20,748 ------1 1 95 64 159 Apex Apex Fund II Fund II Lock-in Lock-in Pension Pension 20 Return 20 Return ------1 11 10 368 119 249 Apex Apex Fund II Fund II Lock-in Lock-in Pension Pension 15 Return 15 Return ------53 13 40 179 Apex Apex 5,578 5,399 Fund II Fund II Lock-in Lock-in Pension Pension 10 Return 10 Return ------9 25 16 147 Apex Apex 2,006 1,859 Return Return Fund II Fund II Lock-in Lock-in Pension Pension ------563 148 415 Fund Fund Apex Apex 3,966 1,040 2,926 Lock-in Lock-in Pension Pension 20 Return 20 Return ------151 679 Fund Fund Apex Apex 1,735 1,751 1,072 1,584 Lock-in Lock-in Pension Pension 15 Return 15 Return ------72 235 Fund Fund Apex Apex 5,482 3,328 2,154 CURRENT YEAR CURRENT Lock-in Lock-in 32,622 32,315 Pension Pension 10 Return 10 Return ------6 1 5

59 692 633 Fund Fund Apex Apex Return Return Lock-in Lock-in Pension Pension Registration No 110 Registration ------50 361 179 132 Fund Fund Apex Apex Investment Investment Pension 20 Pension 20 ------84 268 184 Fund Fund Apex Apex Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date Investment Investment Pension 15 Pension 15 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure ------125 125 Fund Fund Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: Apex Apex SCHEDULE to Fund Balance sheet as at March 31 , 2015 (Continued) sheet as at March Balance Fund SCHEDULE to Investment Investment Pension 10 Pension 10 ------Fund Fund Apex Apex Pension Pension Investment Investment ------353 Fund Fund Equity Equity Select Select 6,121 1,356 2,068 2,697 Super Super 10,394 10,041 Pension Pension Total Other Current Assets (for Investments) Other Current Appropriation Asset UL Appropriation Unit Collection A/c Dividend Receivable Total Unit Payable a/c Receivable for Sale of Investments Dividend Receivable Expropriation Liability UL Expropriation Cash &Bank Balance Other Current Liabilities Other Current Particulars of Investments Payable for Purchase Particulars Accrued Interest Schedule: F - 4 CURRENT LIABILITIES Schedule: F - 3 Schedule: CURRENT ASSETS

Annual Report | 2015 -16 228 ------1 1 ( ` ‘000) (144) 2,300 Select Select Equity Equity 14,263 Future Future 12,105 ------2 (12) 6,358 5,054 1,314 Pension Pension Future Inc Future ------(11) 6,075 4,879 1,207 Future Future Growth Growth Pension Pension ------8 2 (410) 9,335 Equity Equity 45,204 Future Future 36,269 Pension Pension ------818 654 164 Guarantee Guarantee Future Cap Cap Future ------(4) 607 3,126 2,523 Pension Pension Future Bal Bal Future ------85 185 100 Fund Maxima ------64 64 Fund Fund Growth Growth ------

822 822 Fund Fund Balanced Balanced Registration No 110 Registration ------790 790 Fund Fund Bond Bond ------23 239 216 term term Short Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date ------284 284 Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Liquid Liquid Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: SCHEDULE to Fund Balance sheet as at March 31 , 2015 (Continued) sheet as at March Balance Fund SCHEDULE to ------33 2,849 2,816 Income ------18 1,266 1,248 Equity Equity *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Miscellaneous charge Partial withdrawal charge Rider premium charge Rider premium Cost Of Gaurantee charge ROP Charges NAV Guarantee Charges NAV NAV Adjustment Gain/ Loss - Backdation NAV WOP rider charge NAV Adjustment Gain/ Loss NAV Critical Illness Charge Mortality charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Premium redirection charge redirection Premium Switching charge Schedule: F- 5 F- Schedule: OTHER EXPENSES* OTHER

Annual Report | 2015 -16 229 ------6 12 74 ( ` ‘000) (548) 2,190 3,203 75,063 28,271 TOTAL 1,08,270 ------5 1 14 14 (14) (48) Apex Fund II Lock-in Pension 20 Return ------1 58 34 352 153 106 Apex Fund II Lock-in Pension 15 Return ------12 284 426 335 606 Apex 1,663 Fund II Lock-in Pension 10 Return ------82 330 438 258 Apex 1,108 Return Fund II Lock-in Pension ------45 27 49 550 297 132 Fund Apex Lock-in Pension 20 Return ------372 255 828 (28) Fund Apex 2,799 1,372 Lock-in Pension 15 Return ------95 Fund Apex 1,309 2,011 7,834 3,595 Lock-in 14,844 Pension 10 Return ------26 18 82 369 105 138 Fund Apex Return Lock-in Pension ------1 1 Fund Registration No 110 Registration Apex Investment Pension 20 ------2 5 5 12 Fund Apex Investment Pension 15 Date of Registration with IRDA: February 12, 2001 February with IRDA: of Registration Date ------7 2 5 (9) (23) Fund Apex Annexure 4B - Financial Statements of Pension Linked Business Linked of Pension Statements 4B - Financial Annexure Investment Pension 10 Name of the Insurer: TATA AIA LIFE INSURANCE COMPANY LIMITED LIMITED COMPANY AIA LIFE INSURANCE TATA Name of the Insurer: SCHEDULE to Fund Balance sheet as at March 31 , 2015 (Continued) sheet as at March Balance Fund SCHEDULE to ------4 1 2 1 Fund Apex Pension Investment ------3 1 Fund (218) 4,249 Equity Select 3,076 1,387 Super Pension *Any expense which is 1% of the total expenses incurred should be disclosed as a separate line item. *Any expense which is 1% of the total expenses incurred Total Miscellaneous charge Partial withdrawal charge Rider premium charge Rider premium ROP Charges Cost Of Gaurantee charge NAV Adjustment Gain/ Loss NAV NAV Adjustment Gain/ Loss - Backdation NAV NAV Guarantee Charges NAV Mortality charge Critical Illness Charge WOP rider charge Surrender charge Surrender Premium allocation charge Premium Premium holiday charges Premium Custodian charges Service tax Switching charge Premium redirection charge redirection Premium Schedule: F- 5 F- Schedule: OTHER EXPENSES*

Annual Report | 2015 -16 230 Tata AIA Life Insurance Company Limited

Corporate Identity No. U66010MH2000PLC128403 Registered Office: 14th Floor, Tower- A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai – 400013 Tel. No. 022 66498000 E-mail address: [email protected] Website:www.tataaia.com ATTENDANCE SLIP Registered Folio/ DP ID and Client ID Name and address of the shareholder(s)

Joint Holder 1

Joint Holder 2

I/ We hereby record my/ our presence at the ______Annual General Meeting of the ______Company at ______, on ______, the ______at ______p.m.

______Member’s Folio/ DP ID-Client ID No. Member’s/ Proxy’s name in Block Letters Member’s/Proxy’s Signature

NOTE: 1. Please complete the Folio/ DP ID-Client ID No. and name of the Member/ Proxy, sign this Attendance Slip and hand it over, duly signed, at the entrance of the Meeting Hall. 2. Shareholder/ Proxy holder desiring to attend the meeting should bring his/her copy of Annual Report for reference at the meeting.

Tata AIA Life Insurance Company Limited

Corporate Identity No. U66010MH2000PLC128403

Registered Office: 14th Floor, Tower- A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai – 400013 Tel. No. 022 66498000 E-mail address: [email protected] Website:www.tataaia.com

Annual Report | 2015 -16 231 PROXY FORM

Name of the member(s): Registered Address: E-mail Id: Folio No./ DP ID-Client ID No.:

I/ We, being the member(s) of ...... shares of the above named Company, hereby appoint: 1. Name: ………..…………………….….….…….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Address: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..….. E-mail Id: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Signature: ……..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…... or failing him; 2. Name: ………..…………………….….….…….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Address: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..….. E-mail Id: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Signature: ……..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…... or failing him; (3) Name: ………..…………………….….….…….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Address: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..….. E-mail Id: ………..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…. Signature: ……..…………………….….….…….….…..…..…..…..…..…..…..…..…..…..…..…..…..…..…... or failing him; as my/ our Proxy to attend and vote (on a poll) for me/ us and on my/ our behalf at the ______Annual General Meeting of the Company, to be held on __, ______, 2016 at ___ p.m. and at any adjournment thereof in respect of such resolutions as are indicated below:

Resolution No. Resolution Optional* For* Against 1. Signed this …………………………………… day of ……………..…………………………………… 2016 Signature of Shareholder: ...... Signature of Proxy holder: ......

Affix NOTE: Revenue 1. This form of Proxy, in order to be effective, should be duly completed and deposited at the Stamp Registered Office of the Company, at 14th Floor, Tower- A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, not less than FORTY-EIGHT HOURS (48) before the commencement of the Meeting. 2. For the Resolutions, Explanatory Statement and Notes, please refer to the Notice of the Extra-Ordinary General Meeting. 3. It is optional to put a ‘√’ in the appropriate column against the Resolutions indicated in the Box. If you leave the ‘For’ or ‘Against’ column blank against any or all Resolutions, your Proxy will be entitled to vote in the manner as he/ she thinks appropriate.

Annual Report | 2015 -16 232 annual r eport 20 1 6

Tata AIA Life Insurance Company Ltd. (IRDA of India Regn. No. 110 • CIN: U66010MH2000PLC128403). Registered & Corporate Office Address: 14th Floor, Tower A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai 400013. Visit us at www.tataaia.com or call our helpline number 1860 266 9966 (local charges apply) or email us at [email protected] or SMS “LIFE” to 58888. Annual Report | 2015 -16 233