12. At each subsequent reporting date, the liability for remaining coverage is carried forward to include the premium received net of insurance acquisition cash flows paid in the period, unless the entity chooses to recognize the payments as an expense, plus any adjustment to reflect the time value of money and the effect of financial risk, plus any amortization of insurance acquisition cash flows, less the amount of premiums recognized in profit or loss for services provided in the period, less any investment component paid or transferred to the liability for incurred claims. The chart below illustrates the roll-forward of the liability for remaining coverage, assuming the entity does not choose to recognize insurance acquisition cash flows as an expense: