Document ID: chunk:federal_register_of_legislation:F2023C00194:body:0:p33
Version: federal_register_of_legislation:F2023C00194
Segment Type: other
Provision Reference: 
Character Range: 86868–89721

contract
claims expense means the charge to the statement of comprehensive income for the reporting period and represents the sum of claims settled and claims management expenses relating to claims incurred in the period and the movement in the gross outstanding claims liability in the period
claims incurred means claims that have occurred prior to the end of the reporting period, whether reported or unreported at the end of the reporting period
deposit component means a contractual component that is not accounted for as a derivative under AASB 9 Financial Instruments and would be within the scope of AASB 9 if it were a separate instrument
deposit premium means the premium charged by the insurer at the inception of a contract under which the final premium depends on conditions prevailing over the contract period and so is not determined until the expiry of that period
direct insurance contract means an insurance contract that is not a reinsurance contract
fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  (See AASB 13.)
financial risk means the risk of a possible future change in one or more of a specified interest rate, financial instrument price, commodity price, foreign exchange rate, index of prices or rates, a credit rating or credit index or other variable, provided in the case of a non-financial variable that the variable is not specific to a party to the contract
future claims means claims in respect of insured events that are expected to occur in future reporting periods under policies where the attachment date is prior to the end of the reporting period
general insurance contract means an insurance contract that is not a life insurance contract
general insurer means an insurer that writes general insurance contracts
general reinsurance contract means a reinsurance contract that is not a life reinsurance contract
insurance asset means an insurer's net contractual rights under an insurance contract
insurance contract means a contract under which one party (the insurer) accepts significant insurance risk from another party (the policyholder) by agreeing to compensate the policyholder if a specified uncertain future event (the insured event) adversely affects the policyholder
(Refer to Appendix for additional guidance in applying this definition.)
insurance liability means an insurer's net contractual obligations under an insurance contract
insurance risk means risk, other than financial risk, transferred from the holder of a contract to the issuer
insured event means an uncertain future event covered by an insurance contract and creates insurance risk
insurer means the party that has an obligation under an insurance contract to compensate a policyholder if an insured event