Document ID: chunk:federal_register_of_legislation:F2024L00884:body:0:p3
Version: federal_register_of_legislation:F2024L00884
Segment Type: other
Provision Reference: 
Character Range: 5561–8518

exercisable by APRA under this Prudential Standard.

Interpretation
8.             Terms that are defined in Prudential Standard LPS 001 Definitions appear in bold the first time they are used in this Prudential Standard.
9.             Where this Prudential Standard provides for APRA to exercise a power or discretion, this power or discretion is to be exercised in writing. In this Prudential Standard, unless the contrary intention appears, a reference to an Act, Regulations, Prudential Standard, Australian Accounting Standard is a reference to the instrument as in force from time to time.
10.         Unless otherwise indicated:
(a)          the term statutory fund will be used to refer to a statutory fund of a life company other than a friendly society, or an approved benefit fund of a friendly society, as relevant;
(b)          the term general fund will be used to refer to the shareholders' fund of a life company other than a friendly society, or the management fund of a friendly society, as relevant;
(c)          the term 'fund' will be used to refer to a statutory fund or a general fund, as relevant;
(d)          the term 'insurance policy receivables' will be used to refer to premiums and other accounts receivable including loans on policies that have been recognised within the net life contract liabilities derived from the insurance and reinsurance contract liabilities and assets reported on the balance sheet under AASB 17 Insurance Contracts; and
(e)          the term 'insurance policy payables' will be used to refer to claims and other accounts payable that have been recognised within the net life contract liabilities derived from the insurance and reinsurance contract liabilities and assets reported on the balance sheet under AASB 17 Insurance Contracts.
11.         For the purposes of this Prudential Standard:
(a)          a 'component of capital' is any form of capital defined in this Prudential Standard as eligible for inclusion in the capital base;
(b)          a 'category of capital' is a group of components of capital; and
(c)          the 'net assets' of a statutory fund, general fund, or life company is a reference to the net assets of the fund or life company determined under the life company's prudential reporting to APRA under the Financial Sector (Collection of Data) Act 2001 (Collection of Data Act). It includes shareholders' capital and retained profits, unallocated benefit fund reserves[4], other reserves and foreign currency translation reserves.

Definitions
12.         For the purposes of this Prudential Standard:
(a)          capital instruments – includes all capital instruments eligible to be included in Common Equity Tier 1 Capital, Additional Tier 1 Capital and Tier 2 Capital;
(b)          distributable items – means items which are permitted to be distributed to holders of capital instruments in accordance with relevant statutory and regulatory requirements applicable to