Document ID: chunk:federal_register_of_legislation:F2023L00578:front:0:p6
Version: federal_register_of_legislation:F2023L00578
Segment Type: other
Provision Reference: 
Character Range: 14154–17959

Charge Long Term Net Exposure Amount  This means the fair value of the exposure to long-term assets, net of provision for doubtful debts and after amounts that are deducted from the capital base. Long term exposures are those assets with a residual maturity of greater than one year.

Asset Concentration Risk Charge Net Exposure Amount            This means the fair value of the exposure, net of provision for doubtful debts and any regulatory adjustments to capital base related to this exposure, that is subject to Asset Concentration Risk Charge. For reinsurance exposures, regulatory adjustments would consist of reinsurance assets that do not meet the reinsurance documentation test and the governing law requirements as per Prudential Standard GPS 230 Reinsurance Management (GPS 230).

Asset Exposure Category After Eligible Credit Support          For reinsurance exposures that are covered by eligible credit support, report the counterparty grade grouping as:

                                                                    * grade 4; or
                                                                    * grade 5, 6 or 7.

                                                               For non-reinsurance exposures, categorise the exposure into one of the following in accordance with GPS 117:

                                                                    * related party (APRA-regulated group);
                                                                    * unrelated party (APRA-regulated group); or
                                                                    * other.

C

Counterparty Grade type                           This means the classification applied to the exposure as per Prudential Standard GPS 001 Definitions (GPS 001).

Counterparty Group Name                           This is the name of the group to which the counterparty to the exposure belongs.

Counterparty Name                                 This is the name of the counterparty to the exposure.

Counterparty Grade After Eligible Credit Support  This means the counterparty grade type related to exposures that are covered by collateral or guarantee.

E

Eligible Credit Support Applied                      The means whether the reinsurance or non-reinsurance exposure is covered by an eligible collateral, guarantee, or letter of credit, indicate whether the insurer has applied the eligible credit support to calculate the Asset Concentration Risk Charge.

                                                     Possible values are:

                                                          * yes; and
                                                          * no.
Exposure subject to Asset Concentration Risk Charge  For reinsurance exposures only: This is the total exposure that is subject to the Asset Concentration Risk Charge. This item is calculated at the level of each counterparty group name as the sum of:

                                                         * Asset Concentration Risk Charge net exposure amount; and
                                                         * adjustment for cumulative exposures amount.

N

Name of Provider of Eligible Credit Support      This means the name of the entity providing the collateral or guarantee where the insurer holds collateral against the asset or if the asset has been guaranteed.

Non-reinsurance Asset Concentration Risk Charge  This represents the Asset Concentration Risk Charge for non-reinsurance exposures and is the sum of the Asset Concentration Risk Charges for each non-reinsurance exposure category.

                                                 This is the excess (if any) of the net exposure amount over and above the respective Asset Concentration Risk Charge limit and is calculated