Document ID: chunk:federal_register_of_legislation:F2023L00706:body:0:p11
Version: federal_register_of_legislation:F2023L00706
Segment Type: other
Provision Reference: 
Character Range: 32370–36748

Standards.

                                                          This item must also include:

                                                              * capital instruments the reporting Level 2 insurance group could be contractually obliged to purchase; and
                                                              * unused portion of the limits agreed with APRA as per the requirements of GPS 112.

Holdings of own Tier 2 Capital instruments                This is the total effective holdings of own eligible Tier 2 Capital instruments that were issued by the reporting Level 2 insurance group unless exempted by APRA or eliminated under Australian Accounting Standards.

I

Investment in non-consolidated subsidiaries or controlled entities  This is the value of equity exposures and other capital investments in non-consolidated subsidiaries or controlled entities, whether regulated or unregulated, subject to the materiality of the controlled entity, as determined in accordance GPS 112.

M

Minority interests       This is the value of minority interests arising from the issue of ordinary shares to third parties by a fully consolidated subsidiary included in the Level 2 insurance group, calculated in accordance with GPS 112.

Mutual equity interests  This is the value of all mutual equity interests on issue up to a maximum limit of 25 percent of the reporting Level 2 insurance group's total Common Equity Tier 1 Capital before applying regulatory adjustments.

                         For the purposes of this item, only include proceeds of issues that have been received by the issuer. Any partly paid issue is reported only to the extent that it has been paid-up.

N

Net assets (less equity components classified as Additional Tier 1 Capital)  This is net assets as reported in the balance sheet after deducting for any equity components classified as Additional Tier 1 Capital.

Net assets plus Additional Tier 1 Capital ratio                              Net assets plus Additional Tier 1 Capital ratio is calculated as the sum of:

                                                                                 * Additional Tier 1 Capital; and
                                                                                 * net assets (less equity components classified as Additional Tier 1 Capital) multiplied by 1.2

                                                                             divided by:

                                                                                 * prescribed capital amount.
Net assets ratio                                                             Net assets ratio is calculated as:

                                                                                 * net assets (less equity components classified as Additional Tier 1 Capital) multiplied by 1.2

                                                                             divided by:

                                                                                 * prescribed capital amount.
Net surplus / (deficit) relating to insurance liabilities                    This is the total technical provisions in surplus or deficit of those required by GPS 340. Technical provisions refer to the accounting insurance and reinsurance liabilities and assets.

                                                                             Net surplus / (deficit) relating to insurance liabilities is calculated as the sum of:

                                                                                 * OCL surplus / (deficit);
                                                                                 * PL surplus / (deficit); and
                                                                                 * cost of reinsurance for future business not yet written;

                                                                             less:

                                                                                 * tax effect of net OCL and PL surplus / (deficit).

Non-reinsurance recoveries receivable                                        This is the value of non-reinsurance recoveries on paid claims.

                                                                             Non-reinsurance recoveries receivable is netted against insurance contract liabilities or