Document ID: chunk:federal_register_of_legislation:F2024L01525:body:0:p3
Version: federal_register_of_legislation:F2024L01525
Segment Type: other
Provision Reference: 
Character Range: 6925–10147

under AASB 17 Insurance Contracts; and
         2.           the term 'accounts payables' will be used to refer to claims, reinsurance premiums, reinsurance recoveries, non-reinsurance recoveries and other accounts payable that have been recognised within the insurance and reinsurance contract liabilities and assets reported on the balance sheet under AASB 17 Insurance Contracts.
 4.              For the purposes of this Prudential Standard:
         1.           a 'component of capital' is any form of capital defined in this Prudential Standard as eligible for inclusion in the capital base;
         1.           a 'category of capital' is a group of components of capital;
         2.           the 'net assets' of a health benefits fund, general fund, or private health insurer is a reference to the net assets of the fund, or private health insurer determined under the private health insurer's prudential reporting to APRA under the Financial Sector (Collection of Data) Act 2001 (FSCODA).

Adjustments and exclusions
 1.              APRA may, by notice in writing to a private health insurer, adjust or exclude a specific requirement in this Prudential Standard in relation to that private health insurer.

Determinations made under previous prudential standards
 1.          An exercise of APRA's discretion (such as an approval, waiver or direction) under a previous version of this Prudential Standard continues to have effect as though exercised pursuant to a corresponding power (if any) exercisable by APRA under this Prudential Standard.

Definitions
 1.          For the purposes of this Prudential Standard:
         1.           capital instruments – includes all capital instruments eligible to be included in Common Equity Tier 1 Capital, Additional Tier 1 Capital and Tier 2 Capital;
         2.           distributable items – means items that are permitted to be distributed in accordance with relevant statutory and regulatory requirements applicable to distributions by the issuer;
         3.           mutual equity interests – capital instruments issued by mutually owned private health insurers that meet the criteria in Attachment F to this Prudential Standard;
         4.           mutually-owned private health insurer – means a private health insurer that is a 'mutual entity' as defined in the Corporations Act;
         5.           non-viability event – has the meaning in paragraph 2 of Attachment E to this Prudential Standard;
         6.            paid-up instrument means a capital instrument where:
                 1.             the payment of the capital has been received with finality by the issuer;
                 2.          the capital is reliably valued;
                 3.        the capital is fully under the issuer's control; and
                 4.         the instrument does not, directly or indirectly, expose the issuer to the credit risk of an investor;
         7.           related entity – means an entity over which a private health insurer or parent entity of the private health insurer exercises control or significant influence and can include a parent company, a sister company, a subsidiary or any other affiliate.

Capital base of a private