Document ID: chunk:federal_register_of_legislation:F2023L00697:front:0:p12
Version: federal_register_of_legislation:F2023L00697
Segment Type: other
Provision Reference: 
Character Range: 34723–37908

held, associated with the GPS 340 PL. Examples include but are not limited to reinsurance exchange commissions and profit commissions.

                                                                       This excludes any acquisition commission expenses that are not reported as part of the GPS 340 PL. This also excludes commissions.

                                                                       Level 2 insurance groups may use approximate methods and may take into account materiality (i.e. whether it would result in a materially different outcome) to report this item if this item is not readily available.

Reinsurance contract assets - assets for remaining coverage            Report assets for remaining coverage that are presented as reinsurance contract assets.

                                                                       Report this item in accordance with AASB 17 Appendix A, AASB 17.78 (c) Disclosure, AASB 17.100 (a)-(b) Disclosure and AASB 101.54 (da) Disclosure.

Reinsurance contract liabilities - liabilities for remaining coverage  Report liabilities for remaining coverage (being the liability equivalent of assets for remaining coverage) that are presented as reinsurance contract liabilities.

                                                                       Report this item in accordance with AASB 17 Appendix A, AASB 17.78 (d) Disclosure, AASB 17.100 (a)-(b) Disclosure and AASB 101.54 (ma) Disclosure.

Specific instructions A - by Class of Business

Reporting by class of business

If the Level 2 insurance group does not have a reporting adjustment to report on an 'Australia by region' rather than an 'Australia by class of business' basis, it must complete Tables 1, 2, 3, 4, 5 and 6 below (and not Tables 7, 8, 9 and 10). Tables 2, 3, 4 and 5 require the GPS 340 PL of the Australian business to be reported by class of business and the international business to be reported by region.

The Level 2 insurance group must complete Tables 4 and 5 if it adopts derived valuations for the GPS 340 PL based on accounting records of the group for Australian and international business respectively (subject to meeting the GPS 340 requirements).

For international regions, class of business data is not reported in these tables. Level 2 insurance groups, however, will be required to map their international business to the Australian classes of business as defined in GPS 001 in order to assign an insurance risk capital charge and provide a reporting supplement to APRA. Diversification adjustments on international business should be recognised in the risk margin for each geographical region.

Where there is reinsurance between regions, regions are to be reported on a separate basis. That is, the region directly assuming the risks must report as direct business. The region receiving reinsurance must treat this as direct business as well. Where reinsurance occurs between entities in one region, the reinsurance transaction is to be eliminated on consolidation within the reported region. Consolidation adjustments for intra group reinsurance transactions between entities in different regions should be reported in