Document ID: chunk:federal_register_of_legislation:F2023C00194:body:0:p23
Version: federal_register_of_legislation:F2023C00194
Segment Type: other
Provision Reference: 
Character Range: 59267–62350

in respect of recognition and measurement.  AASB 136 and AASB 138 apply to customer lists and customer relationships reflecting the expectation of future contracts that are not part of the contractual insurance rights and contractual insurance obligations that existed at the date of a business combination or portfolio transfer.
13.3.4 AASB 138 includes specific disclosure requirements in relation to this intangible asset.

14 Underwriting Pools and Coinsurance

14.1 Insurance business allocated through underwriting pools and coinsurance arrangements, by an entity acting as agent, shall be accounted for by the accepting insurer as direct insurance business.
14.1.1 Direct insurers or reinsurers may form underwriting pools or enter coinsurance arrangements as vehicles for jointly insuring particular risks or types of risks.  Premiums, claims and other expenses are usually shared in agreed ratios by insurers involved in these arrangements.
14.1.2 Many underwriting pools and coinsurance arrangements involve the acceptance of risks by an entity acting as an agent for pool members or coinsurers.  The entity receives premiums and pays claims and expenses, and allocates shares of the business to each pool member or coinsurer in agreed ratios.  As the entity acting as agent is not an insurer, the business allocated to pool members and coinsurers is not reinsurance business.  Pool members and coinsurers treat such business allocated to them as direct insurance business.
14.2 Business directly underwritten by a member of an underwriting pool or coinsurance arrangement shall be treated as direct insurance business and the portion of the risk reinsured by other pool members or coinsurers, determined by reference to the extent of the shares in the pool or arrangement of other pool members or coinsurers, shall be treated as outwards reinsurance.  The pool member's or coinsurer's share of insurance business that other insurers place in the pool or arrangement shall be treated as inwards reinsurance.

15 Assets Backing General Insurance Liabilities

Fair Value Approach
15.1.1 Paragraphs 15.2 to 15.5 address the measurement of certain assets backing general insurance liabilities or financial liabilities that arise under non-insurance contracts.  The fair value approach to the measurement of assets backing general insurance liabilities or financial liabilities that arise under non-insurance contracts is consistent with the present value measurement approach for general insurance liabilities, and the fair value measurement for financial liabilities that arise under non-insurance contracts, required by this Standard.  Where assets are not backing general insurance liabilities or financial liabilities that arise under non-insurance contracts, general insurers apply the applicable accounting standards making use of any measurement choices available.

Measurement
15.2 Financial assets that:
(a) are within the scope of AASB 9;
(b) back general insurance liabilities; and
(c) are permitted to be designated as "at fair value through profit or loss" under