8.11.1
Provisions
| Warranties | Other provisions | Total | |
| € x 1,000 | € x 1,000 | € x 1,000 | |
| Balance at 1 January 2019 | 8,647 | 2,064 | 10,711 |
| Change in IFRS accounting policy | - | 14 | 14 |
| Divestments from discontinuation of business | -625 | - | -625 |
| Provisions used during the year | -6,688 | -1,033 | -7,721 |
| Provisions made during the year | 8,790 | 2,508 | 11,298 |
| Provisions reversed during the year | -55 | -306 | -361 |
| Reclassification expected credit loss loan commitment (see note 6.16.1) | - | -2,300 | -2,300 |
| Currency translation differences | 20 | 1 | 21 |
| Balance at 31 December 2019 | 10,089 | 948 | 11,037 |
| Non-current | 4,408 | 632 | 5,041 |
| Current | 5,680 | 316 | 5,996 |
Warranty provisions represent the estimated costs under warranty obligations for goods delivered and services rendered as at the balance sheet date. The provision for warranty obligations are expected to have a duration of between one and five years. Other provisions mainly relate to an environmental provision and some smaller restructuring provisions with a duration of less than one year. Accell Group does not form a provision for product liability, but this risk is insured.
Accounting estimates and judgements
Accell Group needs to make estimates to determine the likelihood and timing of potential cash outflows. On the product liability front, Accell Group judges that the chance of cash outflows are highly unlikely, but has nevertheless insured this risk, so no product liability provisions are deemed necessary. The estimates of warranty provisions are based on historical warranty information. For large restructurings, management assesses the timing of the costs to be incurred, which influences the classification as current or non-current liabilities.
Accounting policy
Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognized as finance cost.
A provision for restructuring is recognized when a detailed and formal restructuring plan has been approved, and the restructuring has either commenced or has been announced publicly. Future operating losses are not provided for. The provision includes the benefit commitments in connection with early retirement and redundancy schemes.