Document ID: chunk:federal_register_of_legislation:F2024L01525:body:0:p44
Version: federal_register_of_legislation:F2024L01525
Segment Type: other
Provision Reference: 
Character Range: 118285–121355

the outstanding claims liabilities, premiums liabilities, risk equalisation transfers and other insurance liabilities as defined in HPS 340.
[5]  This includes cumulative unrealised gains or losses on effective cash flow hedges as defined in Australian Accounting Standards.
[6]   These vehicles exclude any SPV, such as a trust, involved with employee share-based remuneration schemes.
[7]  Defined as the insurance contract and reinsurance contract liabilities and assets (including accruals for the cost of reinsurance not recognised in the accounts required to cover premiums liabilities) as defined in Australian Accounting Standards in excess of the sum of outstanding claims liabilities, premiums liabilities, risk equalisation transfers and other insurance liabilities as defined in HPS 340.
[8]  Defined as the insurance contract and reinsurance contract liabilities and assets (including accruals for the cost of reinsurance not recognised in the accounts required to cover premiums liabilities) as defined in Australian Accounting Standards in excess of the sum of outstanding claims liabilities, premiums liabilities, risk equalisation transfers and other insurance liabilities as defined in HPS 340.
[9]  In cases where capital instruments have a permanent write-off feature, this criterion is still deemed to be met by ordinary shares.
[10]  This does not preclude a parent entity of the private health insurer from holding the instrument where the instrument is directly issued by the private health insurer to the parent entity.
[11]    Indirect exposures represent exposures that will result in a loss to the private health insurer substantially equivalent to any loss in the direct holding.
[12]  Indirect exposures represent exposures that will result in a loss to the private health insurer substantially equivalent to any loss in the direct holding.
[13]  Any gains on hedges are to be deducted and any losses on hedges added back to Common Equity Tier 1 Capital.
[14]  Excluding any deferred tax liabilities that have already been netted off elsewhere in accordance with this Prudential Standard.
[15]  Includes goodwill and intangibles attributable to investments in subsidiaries, joint ventures and associates. For the purposes of this Prudential Standard, a joint operation (as defined under Australian Accounting Standard AASB 11 Joint Arrangement) is to be treated as a joint venture.
[16]  Entities that undertake business related to health insurance business include entities that provide a financing role to health insurance business, private health insurance intermediaries and service companies. It also includes entities that source a significant amount of business from the private health insurer or its policyholders.
[17]  For the purposes of this Prudential Standard, 'reinsurance assets' refers to reinsurance assets net of doubtful debts.
[18]  The private health insurer's share of the regulatory capital requirements is determined by applying the ownership of the subsidiary, joint venture or associate (as relevant) to the total