Document ID: chunk:federal_register_of_legislation:F2023L00607:front:0:p7
Version: federal_register_of_legislation:F2023L00607
Segment Type: other
Provision Reference: 
Character Range: 16383–19704

as per Table 1 of Attachment A in GPS 115 that this business falls within. The choice must be based on the underlying risk characteristics of the business being written. The amounts reported in the Other direct - category A, Other direct - category B or Other direct - category C line items are to follow this basis.

                          For reinsurance business, the classes of business are to be aggregated by the Category and Reinsurance Type as per Table 2 of Attachment A in GPS 115.

D

Direct business  Report direct business written directly by the reporting Level 2 insurance group in accordance with the direct classes of business in GPS 001.

G

Gross OCL - central estimate (excluding claims handling expenses)  This is the value, as at the relevant date, of the central estimate component of OCL, excluding claims handling expenses (CHE), gross of any recoveries, determined in accordance with GPS 340.

                                                                   The central estimate will be measured as the present value of the future expected payments, i.e. discounted for future investment income, determined in accordance with GPS 340. The central estimate is intended to reflect the mean value in the range of possible values for the outcome (that is, the mean of the distribution of probabilistic outcomes), and so does not include any risk margin.

Gross OCL - diversified risk margin                                This is the value, as at the relevant date, of the diversified risk margin component of OCL, including CHE, gross of any recoveries, determined in accordance with GPS 340. The diversified risk margin refers to the risk margin that has been applied to the class of business after allowance for diversification across the whole insurance portfolio.

Gross OCL - total (including claims handling expenses)             This is the total of the central estimate and diversified risk margin for OCL, including CHE, gross of any recoveries, determined in accordance with GPS 340.

                                                                   It is calculated as the sum of:

                                                                       * gross OCL - central estimate (excluding claims handling expenses);
                                                                       * claims handling expenses; and
                                                                       * gross OCL - diversified risk margin.

Group adjustments                                                  This is the total of adjustments made at the group level which are not reported in other items. This is to be reported as negative values where the group adjustments reduce the OCL.

I

Insurance contract assets - Assets for incurred claims            Report assets for incurred claims (being the asset equivalent of the liabilities for incurred claims) that are presented as insurance contract assets.
                                                                  Report this item in accordance with AASB 17 Insurance Contracts (AASB 17) Appendix A, AASB 17.78 (a) Disclosure, AASB 17.100 (c) Disclosure and AASB 101.54 (da) Disclosure.

Insurance contract liabilities - Liabilities for incurred claims  Report liabilities for incurred claims that are presented