155 2.26 Premium income 2.25 Contingent assets and liabilities 2.27 Investment income 2.28 Fee and commission income 2.29 Policyholder claims and benefits 2.30 Results from financial transactions Results from financial transactions include: Policyholder claims and benefits consist of claims and benefits paid to policyholders, including benefit claims in excess of account  value for products for which deposit accounting is applied and the change in the valuation of liabilities for insurance and investment  contracts. It includes internal and external claims handling costs that are directly related to the processing and settlement of claims.  Amounts receivable in respect of salvage and subrogation are also considered.  Fees and commissions from investment management services and mutual funds, and from sales activities are recognized as revenue  over the period in which the services are performed or the sales have been closed. Investment income also includes rental income due, as well as fees received for security lending. For interest-bearing assets, interest is recognized as it accrues and is calculated using the effective interest rate method. Fees and  commissions that are an integral part of the effective yield of the financial assets or liabilities are recognized as an adjustment to  the effective interest rate of the instrument. Investment income includes the interest income and dividend income on financial assets  carried at fair value through profit or loss. Premium loadings for installment payments and additional payments by the policyholder towards costs borne by the insurer are  included in the gross premiums. Rebates that form part of the premium rate, such as no-claim rebates, are deducted from the gross  premium, others are recognized as an expense. Depending on the applicable local accounting principles, bonuses that are used to  increase the insured benefits may be recognized as gross premiums. Gross premiums, including recurring and single premiums, from life and non-life insurance and investment contracts with discretionary  participation features are recognized as revenue when they become receivable. Not reflected as premium income are deposits from  certain products that are sold only in the United States and Canada, such as deferred annuities. For these products the surrender  charges and charges assessed have been included in gross premiums.  A provision is recognized for present legal or constructive obligations arising from past events, when it is probable that it will result  in an outflow of economic benefits and the amount can be reliably estimated. If the outflow of economic benefits is not probable,  a contingent liability is disclosed, unless the possibility of an outflow of economic benefits is remote. Contingent assets are disclosed in the notes if the inflow of economic benefits is probable, but not virtually certain. When the inflow of  economic benefits becomes virtually certain, the asset is no longer contingent and its recognition is appropriate.  Deferred tax assets and liabilities are recognized in relation to the underlying transaction either in profit and loss, other comprehensive  income or directly in equity. Deferred tax assets and liabilities are reviewed at the balance sheet date and are measured at tax rates that are expected to apply  when the asset is realized or the liability is settled. The carrying amount is not discounted and reflects the Group’s expectations  concerning the manner of recovery or settlement. Deferred tax liabilities relating to investments in subsidiaries, associates and joint ventures are not recognized if the Group is  able to control the timing of the reversal of the temporary difference and it is probable that the difference will not be reversed in  the foreseeable future. probable at the reporting date that future taxable profits will be available against which the unused tax losses and unused tax credits  can be utilized. 