{"id":"F2005L01657","name":"Financial Sector (Collection of Data) determination No. 20 of 2005","slug":"financial-sector-collection-of-data-determination-no-20-of-2005","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"repealed","isInForce":false,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":35681,"registerId":"commonwealth-F2005L01657-current","compilationNumber":null,"startDate":"2026-04-01","status":"Repealed","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Reporting Standard GRS 310.2 (2005)","sectionType":"part","heading":"Reporting Standard GRS 310.2 (2005)","content":"## Reporting Standard GRS 310.2 (2005)","sortOrder":0},{"sectionNumber":"Claims Expense and Reinsurance Recoverie","sectionType":"part","heading":"Claims Expense and Reinsurance Recoveries","content":"# Claims Expense and Reinsurance Recoveries\n\n### Objective of this reporting standard\n\nThis reporting standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001 (the Collection of Data Act). It requires general insurers (insurers), including foreign general insurers (foreign insurers) operating in Australia through branch operations, to report to APRA, generally on a quarterly and annual basis, claims expense and reinsurance recoveries.\n\nThis reporting standard outlines the overall requirements for the provision of this information to APRA. It should be read in conjunction with:\n\n-   the versions of Form GRF 310.2 Claims Expense and Reinsurance Recoveries (Form GRF 310.2) designated for a ‘Licensed Insurer’ and ‘Consolidated Insurance Group’ and the instructions to those versions of the form (which are attached and all form part of this reporting standard).\n\n# Purpose\n\n1.  Data collected in Form GRF 310.2 is used by APRA for the purpose of prudential supervision of insurers.\n\n# Application and commencement\n\n2. This reporting standard applies to all insurers and shall begin to apply to those entities on the later of 1 July 2005 and the date of registration on the Federal Register of Legislative Instruments.\n\n# Information required\n\n3. An insurer must provide APRA with the information required by the version of Form GRF 310.2 designated for a ‘Licensed Insurer’ for each reporting period.\n\n4. An insurer that is a highest parent entity in relation to a consolidated insurance group must also provide APRA with the information required by the version of Form GRF 310.2 designated for a ‘Consolidated Insurance Group’ for each reporting period.\n\n# Forms and method of submission\n\n5. The information required by this reporting standard must be given to APRA either:\n\n(a) in electronic form, using one of the electronic submission mechanisms provided by the ‘Direct to APRA’ (also known as ‘D2A’) application; or\n\n(b) manually completed on paper, which must be faxed or mailed to APRA’s head office.\n\nNote: the Direct to APRA application software and paper forms may be obtained from APRA.\n\n# Reporting periods and due dates\n\n6. Subject to paragraph 7, an insurer must provide the information required by this reporting standard:\n\n(a) in respect of each quarter based on the financial year (within the meaning of the Corporations Act 2001) of the insurer; and\n\n(b) in respect of each financial year (within the meaning of the Corporations Act 2001) of the insurer.\n\nNote: The annual information required by paragraph 3 read with subparagraph 6(b), together with certain annual information required by other reporting standards, will form part of the insurer’s yearly statutory accounts within the meaning of section 3 of the Insurance Act 1973 (the Insurance Act). This means that the information must be audited in accordance with paragraph 49J(1)(a) of the Insurance Act. Under subsection 49J(3), the auditor must give the insurer a certificate relating to the yearly statutory accounts, and that certificate must specify the matters provided for in the prudential standards. (The annual information required from a highest parent entity under paragraph 4 read with subparagraph 6(b) is not required to be audited. APRA proposes to determine an exemption, under section 7 of the Insurance Act, in relation to the obligations under Part IV Division 4 of the Act in respect of the auditing of this information.)\n\n7. APRA may, by notice in writing, change the reporting periods, or specified reporting periods, for a particular insurer to require it to provide the information:\n\n(a) more frequently (if, having regard to the particular circumstances of the insurer, APRA considers it necessary or desirable to obtain information more frequently for the purposes of the prudential supervision of the insurer); or\n\n(b) less frequently (if, having regard to the particular circumstances of the insurer and the extent to which it requires prudential supervision, APRA considers it unnecessary to require the insurer to provide the information as frequently as provided by subparagraph 6(a) or (b)).\n\n8. The information required by paragraph 3 of this reporting standard from an insurer must be provided to APRA by the following times:\n\n(a) in the case of the quarterly information required by subparagraph 6(a) – 20 business days after the end of the reporting period to which the information relates; and\n\n(b) in the case of the annual information required by subparagraph 6(b) – 4 months after the end of the reporting period to which the information relates.\n\nNote: Paragraph 49L(1)(a) of the Insurance Act provides that the auditor’s certificate required under subsection 49J(3) of that Act must be lodged with APRA in accordance with the prudential standards. The prudential standards provide that the certificate must be submitted to APRA together with the yearly statutory accounts. Accordingly, the auditor’s certificate relating to the annual information required by paragraph 3 read with subparagraph 6(b) must be provided to APRA by the time specified in subparagraph 8(b) of this reporting standard (unless an extension is granted under paragraph 10).\n\n9. The information required by paragraph 4 of this reporting standard from an insurer that is a highest parent entity must be provided to APRA by the following times:\n\n(a) in the case of the quarterly information required by subparagraph 6(a) – 30 business days after the end of the reporting period to which the information relates; and\n\n(b) in the case of the annual information required by subparagraph 6(b) – 4 months after the end of the reporting period to which the information relates.\n\n10. APRA may grant an insurer an extension of a due date in writing, in which case the new due date for the provision of the information will be the date on the notice of extension.\n\n# Quality control\n\n11. The information provided by an insurer under this reporting standard (other than the information required from a highest parent entity under paragraph 4) must be the product of processes and controls that have been reviewed and tested by the approved auditor of the insurer. This will require the auditor to review and test the systems, processes and controls supporting the reporting of the information to ensure that they produce accurate data and are otherwise reliable. This review and testing must be done on an annual basis or more frequently if necessary to enable the approved auditor to form an opinion on the accuracy and reliability of the data.\n\n12. The information provided by an insurer under this reporting standard must be subject to processes and controls developed by the insurer for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the insurer to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.\n\n# Authorisation\n\n13. If an insurer submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the insurer to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the insurer who have authority from the insurer to transmit the data to APRA.\n\n14. If information under this reporting standard is provided in paper form, it must be signed on the front page of the relevant completed form by either:\n\n(a) the Principal Executive Officer of the insurer; or\n\n(b) the Chief Financial Officer of the insurer (whatever his or her official title may be).\n\n# Minor alterations to forms and instructions\n\n15. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n> 16. If APRA makes such a variation it must notify insurers in writing.\n\nTransitional\n\n17. If a reporting period of an insurer ended on 30 June 2005, or ends after that date, the insurer must report under this reporting standard in respect of that reporting period.\n\nInterpretation\n\n18. In this reporting standard:\n\nAccounting Standard AASB 1024 means the accounting standard so designated made by the Australian Accounting Standards Board, being the accounting standard that applied in respect of reporting periods (within the meaning of the accounting standard) commencing immediately before 1 January 2005;\n\napproved auditor means an auditor who has been approved by APRA under section 40 of the Insurance Act;\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays;\n\nconsolidated insurance group means a group comprising:\n\n(a) an insurer that is a highest parent entity; and\n\n(b) each subsidiary under the control (within the meaning of Accounting Standard AASB 1024) of that insurer, whether the subsidiary is incorporated in Australia or not;\n\nforeign insurer means a foreign general insurer within the meaning of the Insurance Act;\n\nNote: A reference to a ‘branch’ or ‘branch operation’ is a reference to the Australian operations of a foreign insurer.\n\nhighest parent entity means an insurer that satisfies all of the following conditions:\n\n(a) it is incorporated in Australia;\n\n(b) it has at least one subsidiary under its control (within the meaning of Accounting Standard AASB 1024); and\n\n(c) it is not itself a subsidiary of an insurer that is incorporated in Australia;\n\nInsurance Act means the Insurance Act 1973;\n\ninsurer means a general insurer within the meaning of the Insurance Act;\n\nNote: In the forms and instructions, a reference to an ‘authorised insurer’, ‘authorised insurance entity’ or ‘licensed insurer’ is a reference to an insurer, and a reference to an ‘authorised reinsurance entity’ is a reference to an insurer whose business consists only of undertaking liability by way of reinsurance.\n\n# Principal Executive Officer means the principal executive officer of the insurer for the time being, by whatever name called, and whether or not he or she is a member of the governing board of the insurer;\n\nreporting period means a period mentioned in subparagraph 6(a) or (b) or, if relevant, paragraph 7.\n\n19. A reference to a prudential standard or guidance note means the prudential standard or guidance note, made under section 32 of the Insurance Act, mentioned in the reference, as amended from time to time. If the prudential standard or guidance note has been revoked and replaced, the reference shall be taken to be to the prudential standard or guidance note that has replaced it.","sortOrder":1},{"sectionNumber":"Objective of this reporting standard","sectionType":"division","heading":"Objective of this reporting standard","content":"### Objective of this reporting standard\n\nThis reporting standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001 (the Collection of Data Act). It requires general insurers (insurers), including foreign general insurers (foreign insurers) operating in Australia through branch operations, to report to APRA, generally on a quarterly and annual basis, claims expense and reinsurance recoveries.\n\nThis reporting standard outlines the overall requirements for the provision of this information to APRA. It should be read in conjunction with:\n\n-   the versions of Form GRF 310.2 Claims Expense and Reinsurance Recoveries (Form GRF 310.2) designated for a ‘Licensed Insurer’ and ‘Consolidated Insurance Group’ and the instructions to those versions of the form (which are attached and all form part of this reporting standard).","sortOrder":2},{"sectionNumber":"Purpose","sectionType":"part","heading":"Purpose","content":"# Purpose\n\n1.  Data collected in Form GRF 310.2 is used by APRA for the purpose of prudential supervision of insurers.","sortOrder":3},{"sectionNumber":"Application and commencement","sectionType":"part","heading":"Application and commencement","content":"# Application and commencement\n\n2. This reporting standard applies to all insurers and shall begin to apply to those entities on the later of 1 July 2005 and the date of registration on the Federal Register of Legislative Instruments.","sortOrder":4},{"sectionNumber":"Information required","sectionType":"part","heading":"Information required","content":"# Information required\n\n3. An insurer must provide APRA with the information required by the version of Form GRF 310.2 designated for a ‘Licensed Insurer’ for each reporting period.\n\n4. An insurer that is a highest parent entity in relation to a consolidated insurance group must also provide APRA with the information required by the version of Form GRF 310.2 designated for a ‘Consolidated Insurance Group’ for each reporting period.","sortOrder":5},{"sectionNumber":"Forms and method of submission","sectionType":"part","heading":"Forms and method of submission","content":"# Forms and method of submission\n\n5. The information required by this reporting standard must be given to APRA either:\n\n(a) in electronic form, using one of the electronic submission mechanisms provided by the ‘Direct to APRA’ (also known as ‘D2A’) application; or\n\n(b) manually completed on paper, which must be faxed or mailed to APRA’s head office.\n\nNote: the Direct to APRA application software and paper forms may be obtained from APRA.","sortOrder":6},{"sectionNumber":"Reporting periods and due dates","sectionType":"part","heading":"Reporting periods and due dates","content":"# Reporting periods and due dates\n\n6. Subject to paragraph 7, an insurer must provide the information required by this reporting standard:\n\n(a) in respect of each quarter based on the financial year (within the meaning of the Corporations Act 2001) of the insurer; and\n\n(b) in respect of each financial year (within the meaning of the Corporations Act 2001) of the insurer.\n\nNote: The annual information required by paragraph 3 read with subparagraph 6(b), together with certain annual information required by other reporting standards, will form part of the insurer’s yearly statutory accounts within the meaning of section 3 of the Insurance Act 1973 (the Insurance Act). This means that the information must be audited in accordance with paragraph 49J(1)(a) of the Insurance Act. Under subsection 49J(3), the auditor must give the insurer a certificate relating to the yearly statutory accounts, and that certificate must specify the matters provided for in the prudential standards. (The annual information required from a highest parent entity under paragraph 4 read with subparagraph 6(b) is not required to be audited. APRA proposes to determine an exemption, under section 7 of the Insurance Act, in relation to the obligations under Part IV Division 4 of the Act in respect of the auditing of this information.)\n\n7. APRA may, by notice in writing, change the reporting periods, or specified reporting periods, for a particular insurer to require it to provide the information:\n\n(a) more frequently (if, having regard to the particular circumstances of the insurer, APRA considers it necessary or desirable to obtain information more frequently for the purposes of the prudential supervision of the insurer); or\n\n(b) less frequently (if, having regard to the particular circumstances of the insurer and the extent to which it requires prudential supervision, APRA considers it unnecessary to require the insurer to provide the information as frequently as provided by subparagraph 6(a) or (b)).\n\n8. The information required by paragraph 3 of this reporting standard from an insurer must be provided to APRA by the following times:\n\n(a) in the case of the quarterly information required by subparagraph 6(a) – 20 business days after the end of the reporting period to which the information relates; and\n\n(b) in the case of the annual information required by subparagraph 6(b) – 4 months after the end of the reporting period to which the information relates.\n\nNote: Paragraph 49L(1)(a) of the Insurance Act provides that the auditor’s certificate required under subsection 49J(3) of that Act must be lodged with APRA in accordance with the prudential standards. The prudential standards provide that the certificate must be submitted to APRA together with the yearly statutory accounts. Accordingly, the auditor’s certificate relating to the annual information required by paragraph 3 read with subparagraph 6(b) must be provided to APRA by the time specified in subparagraph 8(b) of this reporting standard (unless an extension is granted under paragraph 10).\n\n9. The information required by paragraph 4 of this reporting standard from an insurer that is a highest parent entity must be provided to APRA by the following times:\n\n(a) in the case of the quarterly information required by subparagraph 6(a) – 30 business days after the end of the reporting period to which the information relates; and\n\n(b) in the case of the annual information required by subparagraph 6(b) – 4 months after the end of the reporting period to which the information relates.\n\n10. APRA may grant an insurer an extension of a due date in writing, in which case the new due date for the provision of the information will be the date on the notice of extension.","sortOrder":7},{"sectionNumber":"Quality control","sectionType":"part","heading":"Quality control","content":"# Quality control\n\n11. The information provided by an insurer under this reporting standard (other than the information required from a highest parent entity under paragraph 4) must be the product of processes and controls that have been reviewed and tested by the approved auditor of the insurer. This will require the auditor to review and test the systems, processes and controls supporting the reporting of the information to ensure that they produce accurate data and are otherwise reliable. This review and testing must be done on an annual basis or more frequently if necessary to enable the approved auditor to form an opinion on the accuracy and reliability of the data.\n\n12. The information provided by an insurer under this reporting standard must be subject to processes and controls developed by the insurer for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the insurer to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.","sortOrder":8},{"sectionNumber":"Authorisation","sectionType":"part","heading":"Authorisation","content":"# Authorisation\n\n13. If an insurer submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the insurer to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the insurer who have authority from the insurer to transmit the data to APRA.\n\n14. If information under this reporting standard is provided in paper form, it must be signed on the front page of the relevant completed form by either:\n\n(a) the Principal Executive Officer of the insurer; or\n\n(b) the Chief Financial Officer of the insurer (whatever his or her official title may be).","sortOrder":9},{"sectionNumber":"Minor alterations to forms and instructi","sectionType":"part","heading":"Minor alterations to forms and instructions","content":"# Minor alterations to forms and instructions\n\n15. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n> 16. If APRA makes such a variation it must notify insurers in writing.\n\nTransitional\n\n17. If a reporting period of an insurer ended on 30 June 2005, or ends after that date, the insurer must report under this reporting standard in respect of that reporting period.\n\nInterpretation\n\n18. In this reporting standard:\n\nAccounting Standard AASB 1024 means the accounting standard so designated made by the Australian Accounting Standards Board, being the accounting standard that applied in respect of reporting periods (within the meaning of the accounting standard) commencing immediately before 1 January 2005;\n\napproved auditor means an auditor who has been approved by APRA under section 40 of the Insurance Act;\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays;\n\nconsolidated insurance group means a group comprising:\n\n(a) an insurer that is a highest parent entity; and\n\n(b) each subsidiary under the control (within the meaning of Accounting Standard AASB 1024) of that insurer, whether the subsidiary is incorporated in Australia or not;\n\nforeign insurer means a foreign general insurer within the meaning of the Insurance Act;\n\nNote: A reference to a ‘branch’ or ‘branch operation’ is a reference to the Australian operations of a foreign insurer.\n\nhighest parent entity means an insurer that satisfies all of the following conditions:\n\n(a) it is incorporated in Australia;\n\n(b) it has at least one subsidiary under its control (within the meaning of Accounting Standard AASB 1024); and\n\n(c) it is not itself a subsidiary of an insurer that is incorporated in Australia;\n\nInsurance Act means the Insurance Act 1973;\n\ninsurer means a general insurer within the meaning of the Insurance Act;\n\nNote: In the forms and instructions, a reference to an ‘authorised insurer’, ‘authorised insurance entity’ or ‘licensed insurer’ is a reference to an insurer, and a reference to an ‘authorised reinsurance entity’ is a reference to an insurer whose business consists only of undertaking liability by way of reinsurance.","sortOrder":10},{"sectionNumber":"Principal Executive Officer means the pr","sectionType":"part","heading":"Principal Executive Officer means the principal executive officer of the insurer for the time being, by whatever name called, and whether or not he or she is a member of the governing board of the insurer;","content":"# Principal Executive Officer means the principal executive officer of the insurer for the time being, by whatever name called, and whether or not he or she is a member of the governing board of the insurer;\n\nreporting period means a period mentioned in subparagraph 6(a) or (b) or, if relevant, paragraph 7.\n\n19. A reference to a prudential standard or guidance note means the prudential standard or guidance note, made under section 32 of the Insurance Act, mentioned in the reference, as amended from time to time. If the prudential standard or guidance note has been revoked and replaced, the reference shall be taken to be to the prudential standard or guidance note that has replaced it.","sortOrder":11},{"sectionNumber":"Reporting Form GRF 310.2","sectionType":"part","heading":"Reporting Form GRF 310.2","content":"## Reporting Form GRF 310.2\n\n## Claims Expense and Reinsurance Recoveries\n\n### Instruction Guide\n\n### Introduction\n\nThe purpose of this form is to provide information on the following:\n\n1.  Claims expense by class of business (direct business and Reinsurance);\n\n-   insurance business directly written (directly by the insurer and by inward reinsurance);\n\n2. Reinsurance recoveries received based on cashflows (i.e. payments received rather than accrued); and\n\n3. Claims paid based on cashflows (i.e. actually paid rather than accrued).\n\n#### Audit requirements\n\nThe form relating to authorised insurance entities and reinsurance entities is required to be subject to audit review and testing. The forms relating to the consolidated insurance group reporting unit is not subject to audit review and testing.\n\nThe scope and nature of audit testing required is outlined in the applicable Audit Guidance Statement issued by the Auditing and Assurance Board of the Australian Accounting Research Foundation.\n\nInformation provided in the form in respect of a financial year of an insurer forms part of the insurer’s ‘yearly statutory accounts’ within the meaning of section 3 of the Insurance Act 1973. This means that:\n\n-   the completed form for the financial year must be audited by the approved auditor of the insurer (see paragraph 49J(1)(a) of the Act);\n\n-   the insurer must make such arrangements as to enable the auditor to do this (subsection 49J(2));\n-   the auditor must give the insurer a certificate relating to the completed form (and other completed forms that are part of the insurer’s yearly statutory accounts), which must contain statements of the auditor’s opinion on the matters required by the prudential standards to be dealt with in the certificate (subsection 49J(3));\n-   the certificate must be lodged with APRA as provided for in the prudential standards (paragraph 49L(1)(a)), namely by the due date for lodging the form in respect of the financial year for the insurer.\n\n## Reporting entity\n\nForms are to be completed for the following reporting entities where appropriate:\n\n1.  Branch insurers of a foreign parent insurer (reference to licensed insurer in the form means total operations of the branch, excluding the parent operations);\n2.  Authorised insurance entities, including mutual entities (reference to licensed insurer in the form means total operations of the licensed entity);\n3.  Authorised reinsurance entities (reference to licensed insurer in the form means total operations of the licensed entity); and\n4.  Consolidated insurance groups.\n\nNote: the form for the consolidated insurance group is only required to complete the information requirements on the form. No risk change is applied to the consolidated insurance group at this stage.\n\nFor the purposes of APRA prudential reporting, the consolidated insurance group is interpreted as the accounts incorporating the highest parent entity in a group structure, that is an Australian authorised general insurance entity (for the purposes of the Act), and includes all subsidiaries, associates and joint ventures (registered both in Australia and overseas) of that parent entity.\n\nFor the purposes of this form, the highest parent entity in the corporate group does not include a company (e.g. non-operating holding company) that is not an authorised general insurance entity.\n\nDefinition of subsidiaries should be consistent with the requirements of Australian accounting standards AASB 1024 ‘Consolidated Accounts’ and definition of associates should be consistent with AASB 1016 ‘Accounting for Investments in Associates’.\n\nExemptions from the Consolidated Insurance Group requirements\n\n-   Australian authorised insurers which do not have any subsidiaries are not required to complete the forms for this reporting unit.\n-   Australian authorised insurers which have subsidiaries, but the financial position of the consolidated insurance group is not materially different from that of the licensed insurance entity, are not required to complete the forms for this reporting unit (i.e. the subsidiaries do not have any material dealings/balances).\n\n#### Definitions\n\nDefinitions for data reporting items required by this form have been provided where possible in the instructions under the section headed ‘Specific Instructions’. In addition, the ‘Glossary of Terms’ also contains a list of definitions of common data reporting items.\n\nUnit of measurement\n\nAmounts denominated in a currency other than Australian currency are to be converted to AUD in accordance with AASB 1012 ‘Foreign Currency Translation’.\n\nThe general requirements of AASB 1012 for translation are:\n\n1.  Foreign currency monetary items outstanding at the reporting date must be translated at the spot rate at the reporting date; and\n\n2. Other items outstanding at the reporting date must not be retranslated subsequent to initial recognition of the transaction.\n\nMonetary items are defined to mean money held and assets and liabilities that are to be received or paid in fixed or determinable amounts of money (e.g. claims payments, reinsurance recoveries).\n\nMonetary items arising under foreign currency derivative contracts at the reporting date must be translated as follows:\n\n-   Where the exchange rate is fixed in the contract, at that fixed exchange rate; and\n\n-   Where the exchange rate varies, at the spot rate at the reporting date.\n\nReporting period\n\nInsurers are required to report the information in the reporting form on a quarterly and annual basis.\n\n-   The quarterly information is to be completed in respect of each quarter based on the financial year of the insurer, not the calendar year.\n-   The annual information is to be completed in respect of the financial year of the insurer.\n-   The financial information requested in this form is to be reported as at the last day of the reporting period on a financial year to date basis of the insurer. See the Reporting Requirements table for details.\n\n## Reporting lag\n\nThis form must be lodged for each of the reporting units, within the number of business days after the end of the quarter as set out in the Reporting Requirements table.\n\nBasis of preparation\n\nUnless specifically mentioned in these instructions insurers are not to following the recognition and measurement requirements of the Australian accounting standards in completing this form.\n\nThe interpretation and required measurement basis for items listed in the form are specified in these instructions and also outlined in the introduction to the reporting package.\n\n## Netting\n\nUnless otherwise specifically stated, institutions are allowed to take advantage of netting agreements in relation to disclosure of data items in this form. Institutions are to comply with the prerequisite for netting outlined in Australian accounting standards notably AASB 1014 ‘Set-off and Extinguishment of Debt’.\n\nRelated party disclosure\n\nAmounts due from, loans to, debentures of, shares in, or units in a trust or body corporate that is related to the insurer are to be disclosed for items of assets and liabilities where indicated in the form. For the purposes of this form, related bodies corporate are to be interpreted consistently with the meaning as in AASB 1017. AASB 1017 provides that related party means, in relation to a reporting entity any:\n\n(a) other entity that at any time during the financial year, has control or significant influence over the reporting entity; or\n\n(b) other entity that at any time during the financial year, is subject to control or significant influence by the reporting entity; or\n\n(c) other entity that, at any time during the financial year, is controlled by the same entity that controls the reporting entity. Referred to as a situation in which entities are subject to common control; or\n\n(d) other entity that, at any time during the financial year, is controlled by the same entity that significantly influences the reporting entity; or\n\n(e) other entity that, at any time during the financial year, is significantly influenced by the same entity that controls the reporting entity; or\n\n(f) director of the reporting entity or any of their director-related entities; or\n\n(g) director of any other entity identified as a related party under any of paragraphs (a) to (e), or any of their director-related entities;\n\nbut excludes any other entity (except those identified as a related party under paragraph (f)) where the related party relationship results solely from normal dealings of:\n\n(h) financial institutions; or\n\n(i) authorised trustee corporations; or\n\n(j) fund managers; or\n\n(k) trade unions; or\n\n(l) statutory authorities; or\n\n(m) government departments; or\n\n(n) local governments.[\\[1\\]](#_ftn1)\n\nAASB 1017 defines director-related entities as meaning “the spouses of such directors, relatives of such directors or spouses and any other entity under the joint or several control or significant influence of such directors, spouses or relatives”.\n\nRelative in relation to a person is defined in the Corporations Law to mean the spouse, partner, son, daughter, or brother or sister of the person.\n\n  \nSpecific instructions\n\nClasses of Insurance Business\n\n1.  Direct Business\n\nThe classes of business for companies that are not specialist reinsurers are as follows:\n\n(I). Houseowners/Householders (H & H)\n\nThis class covers the common H & H policies inclusive of:\n\n-   Contents;\n-   Personal property;\n-   Arson; and\n-   Burglary.\n\nPublic liability normally attaching to these products are to be separated and included in Public and Product Liability class of business – item 8.\n\n(II). Commercial Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) other than insurance covering vehicles defined below under Domestic Motor Vehicle. It includes long and medium haul trucks, cranes and special vehicles and policies covering fleets.\n\n(III). Domestic Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) covering private use motor vehicles including utilities and lorries, motor cycles, private caravans, box and boat trailers and other vehicles not normally covered by business or commercial policies.\n\n(IV). Travel\n\nInsurance against losses associated with travel including loss of baggage and personal effects, losses on flight cancellations and overseas medical costs.\n\n(V). Fire and Industrial Special Risks (ISR)\n\n##### Fire\n\nIncludes all policies normally classified as 'Fire' and includes:\n\n-   sprinkler leakage;\n-   subsidence;\n-   windstorm;\n-   hailstone;\n-   crop;\n-   arson; and\n-   loss of profits and any extraneous risk normally covered under fire policies, e.g. flood.\n\n##### ISR\n\nStandard policy wordings exist for this type of policy. All policies which contain such standard wordings or where the wording is substantially similar are to be classified as ISR.\n\n(VI). Marine\n\nIncludes Marine Hull (including pleasure craft), Marine Cargo (including sea and inland transit insurance).\n\n(VII). Aviation\n\nAviation (including aircraft hull and aircraft liability).\n\n(VIII). Mortgage\n\nInsurance against losses arising from the failure of debtors to meet financial obligations to creditors or under which payment of debts is guaranteed. It includes lease guarantee.\n\n(IX). Consumer Credit (CCI)\n\nInsurance to protect a consumer's ability to meet the loan repayments on personal loans and credit card finance in the event of death or loss of income due to injury, illness or unemployment.\n\n(X). Other Accident\n\nIncludes the following types of insurance:\n\n-   Miscellaneous accident (involving cash in transit, theft, loss of money);\n-   All risks (baggage, sporting equipment, guns);\n-   Engineering when not part of ISR or Fire policy;\n-   Plate glass when not part of packaged policy (e.g. houseowners /householders)\n-   Guarantee (Insurance Bonds);\n-   Live Stock;\n-   Pluvius; and\n-   Sickness and Accident (which provides stated benefits where the insured is killed or suffers loss of specific parts of the body or is prevented from carrying out the insured’s normal occupation. In addition, regular benefits may be paid over a short period of time (typically less than 3 years), noting that continuous disability policies are now considered to be Life Insurance Policies and should not be provided by general insurance companies).\n\n(XI). Other\n\nAll other insurance business not specifically mentioned elsewhere. It includes, for example:\n\n-   All guarantees (e.g. fidelity Guarantee)\n-   Trade Credit;\n-   Extended Warranty (includes insurance by a third party for a period in excess of the manufacturer's or seller’s normal warranty;\n-   Kidnap and Ransom; and\n-   Contingency.\n\n(XII). Compulsory Third Party Motor Vehicle (CTP)\n\nThis class consists only of CTP business.\n\n(XIII). Public and Product Liability\n\n-   Public Liability covers legal liability to the public in respect of bodily injury or property damage arising out of the operation of the insured's business. Product Liability includes policies that provide for compensation for loss and or injury caused by, or as a result of, the use of goods. and also environmental clean-up caused by pollution spills where not covered by Fire and ISR policies.\n-   Also will include builders warranty insurance.\n\n  \n\n(XIV). Professional Indemnity (PI)\n\nIncludes Directors' and Officers' liability insurance plus legal expense insurance. Cover for legal expenses general included in this type of policy.\n\n(XV). Employers' Liability (EL)\n\nIncludes:\n\n-   Workers' compensation;\n-   Seamen's compensation; and\n-   Domestic workers compensation.\n\n#### 2. Reinsurance Business\n\nThe classes of business for companies that are specialist reinsurers are as follows:\n\n(I). Facultative\n\n(II). Proportional\n\n(III). Excess of loss.\n\n(I). Facultative Reinsurance.\n\nThe reinsurance of individual risks by offer and acceptance wherein the reinsurer has the “faculty” (option) to accept or reject each offer by the ceding company.\n\n(II). Proportional Reinsurance.\n\nA proportional treaty is an agreement between an insurer and a reinsurer in which the reinsurer shares an identical proportion of the premiums and losses of the ceding company.\n\n(III). Excess of Loss Reinsurance.\n\nReinsurance which, subject to a specified limit, indemnifies the ceding company against the loss in excess of a specified retention. This type of reinsurance can involve:\n\n-   any one risk reinsurance;\n-   any one event reinsurance;\n-   catastrophe reinsurance;\n-   aggregate excess of loss reinsurance; and\n-   stop loss reinsurance.\n\nReinsurance non-split\n\nThis line item classification disclosed under Reinsurance class of business is to be used where it is not possible for the insurer to separately slit out all the classes of reinsurance businesses. However as required by GGN 110.3 Insurance Risk Capital Charge, where an insurer writes inwards reinsurance business and is unable to split this business into the classes and types listed in Table 2 of that guidance note, they are to use the highest casualty factors on their outstanding claims liabilities.\n\nWhere an insurer writes inwards reinsurance which spans multiple classes and the insurer cannot readily split the contract between classes, APRA suggests that the contract should be allocated using one of the following methods:\n\n(a) allocate the contract to the category which represents the greatest exposure; or\n\n(b) allocate the contract to the category representing the greatest premium income.\n\nAn insurer that writes inwards reinsurance is free to choose which of the above methods it uses, or may use another appropriate method, provided the same method is used for all contracts and all subsequent periods.\n\n###### Claims expense\n\nClaims expense for the purpose of this form relates to events that occur during a financial period and which are paid in that same period (i.e. no provision for the liability has been recognised) and where a claims liability (and corresponding claims expense) has been recognised for those claims which have yet to be settled in that period (i.e. movements in the Outstanding Claims Provision).\n\nNote: Claims expense is to be reported in the column “Total Claims Expense” gross of reinsurance recoveries and other recoveries such as salvage.\n\nFor claims expense relating to movements in the Outstanding Claims Provision, the Outstanding Claims Provision as reported in GRF 300.0 Statement of Financial Position is to be used, not necessarily the Outstanding Claims Provision as calculated in accordance with GPS 210 Liability Valuation for General Insurers and reported in GRF 210.0 Outstanding Claims Provision and Insurance Risk Charge.\n\nThe total amount of claims expense reported in this form must match the component of total claims expense reported in line item called “Claims expense relating to current and prior years (i.e. in relation to outstanding claims provision)” in GRF 310.0 Statement of Financial Performance.\n\nThe claims expense is to be disclosed by type of business (i.e. direct business and inward reinsurance business).\n\nDo not recognise movements in the Premium Liabilities as claims expense for the purposes of this form.\n\nReinsurance recoveries received and receivable\n\nReport the amount of reinsurance recoveries receivable in relation to those claims recognised in the calculation of the gross claims expense.\n\n###### Reinsurance recoveries received - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of reinsurance recoveries received over the reporting period (on a year-to-date basis) in aggregate for direct business and reinsurance business (i.e. disclosure in relation to individual class of business is not required). Do not include reinsurance recoveries recognised on an accrual basis, as that is recognised in column titled “Reinsurance recoveries receivable”.\n\nThis relates to all reinsurance recoveries received on a cashflow basis in the current financial year, regardless of the financial year in which the reinsurance recovery may have been recognised as revenue (i.e. a prior financial year).\n\n###### Claims paid - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of claims actually paid over the reporting period (on a year-to-date basis) in aggregate for direct written business and re-insurance business (i.e. disclosure of claims paid in relation to individual class of business is not required). This relates to all claims paid on a cashflow basis in the current financial year, regardless of the financial year in which the claim may have been recognised as an expense (i.e. a prior financial year).\n\nRelated party disclosure\n\nAmounts due from or payable to a related entity to the insurer are to be disclosed where indicated in the form – at the bottom of the table. Specifically disclosure is required of total claims expense and total reinsurance recoveries that are with the following related parties:\n\n1.  Parent entity\n\n(Note: for the consolidated insurance group this is applicable if the ultimate parent entity is not included in the consolidated insurance group)\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from the parent entity of the licensed insurer or of the consolidated insurance group.\n\n2. Controlled entities/Controlled entities of the parent entity\n\n(Note: this is not applicable for the consolidated insurance group)\n\nFor branches, the line item “Controlled entities/Controlled entities of the parent entity” is to be interpreted as amounts in relation to “Controlled entities of the parent entity”, and for licensed insurance entities amounts are in relation to “Controlled entities” of the reporting insurer.\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from these entities.\n\n3. Associates/Joint Ventures\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from Associates or Joint Ventures of the licensed insurer, or of the consolidated insurance group. Associates and Joint Ventures are defined in accordance with AASB 1006 Joint Ventures and AASB 1016 Equity accounting for investments in associates.\n\n4. Other related parties\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from any other related entity of the licensed insurer or of the consolidated insurance group that is not specifically identified above. Refer to the definition of related parties as defined in the general section of this instruction guide.","sortOrder":12},{"sectionNumber":"Instruction Guide","sectionType":"division","heading":"Instruction Guide","content":"## Reporting Form GRF 310.2\n\n## Claims Expense and Reinsurance Recoveries\n\n### Instruction Guide\n\n### Introduction\n\nThe purpose of this form is to provide information on the following:\n\n1.  Claims expense by class of business (direct business and Reinsurance);\n\n-   insurance business directly written (directly by the insurer and by inward reinsurance);\n\n2. Reinsurance recoveries received based on cashflows (i.e. payments received rather than accrued); and\n\n3. Claims paid based on cashflows (i.e. actually paid rather than accrued).\n\n#### Audit requirements\n\nThe form relating to authorised insurance entities and reinsurance entities is required to be subject to audit review and testing. The forms relating to the consolidated insurance group reporting unit is not subject to audit review and testing.\n\nThe scope and nature of audit testing required is outlined in the applicable Audit Guidance Statement issued by the Auditing and Assurance Board of the Australian Accounting Research Foundation.\n\nInformation provided in the form in respect of a financial year of an insurer forms part of the insurer’s ‘yearly statutory accounts’ within the meaning of section 3 of the Insurance Act 1973. This means that:\n\n-   the completed form for the financial year must be audited by the approved auditor of the insurer (see paragraph 49J(1)(a) of the Act);\n\n-   the insurer must make such arrangements as to enable the auditor to do this (subsection 49J(2));\n-   the auditor must give the insurer a certificate relating to the completed form (and other completed forms that are part of the insurer’s yearly statutory accounts), which must contain statements of the auditor’s opinion on the matters required by the prudential standards to be dealt with in the certificate (subsection 49J(3));\n-   the certificate must be lodged with APRA as provided for in the prudential standards (paragraph 49L(1)(a)), namely by the due date for lodging the form in respect of the financial year for the insurer.\n\n## Reporting entity\n\nForms are to be completed for the following reporting entities where appropriate:\n\n1.  Branch insurers of a foreign parent insurer (reference to licensed insurer in the form means total operations of the branch, excluding the parent operations);\n2.  Authorised insurance entities, including mutual entities (reference to licensed insurer in the form means total operations of the licensed entity);\n3.  Authorised reinsurance entities (reference to licensed insurer in the form means total operations of the licensed entity); and\n4.  Consolidated insurance groups.\n\nNote: the form for the consolidated insurance group is only required to complete the information requirements on the form. No risk change is applied to the consolidated insurance group at this stage.\n\nFor the purposes of APRA prudential reporting, the consolidated insurance group is interpreted as the accounts incorporating the highest parent entity in a group structure, that is an Australian authorised general insurance entity (for the purposes of the Act), and includes all subsidiaries, associates and joint ventures (registered both in Australia and overseas) of that parent entity.\n\nFor the purposes of this form, the highest parent entity in the corporate group does not include a company (e.g. non-operating holding company) that is not an authorised general insurance entity.\n\nDefinition of subsidiaries should be consistent with the requirements of Australian accounting standards AASB 1024 ‘Consolidated Accounts’ and definition of associates should be consistent with AASB 1016 ‘Accounting for Investments in Associates’.\n\nExemptions from the Consolidated Insurance Group requirements\n\n-   Australian authorised insurers which do not have any subsidiaries are not required to complete the forms for this reporting unit.\n-   Australian authorised insurers which have subsidiaries, but the financial position of the consolidated insurance group is not materially different from that of the licensed insurance entity, are not required to complete the forms for this reporting unit (i.e. the subsidiaries do not have any material dealings/balances).\n\n#### Definitions\n\nDefinitions for data reporting items required by this form have been provided where possible in the instructions under the section headed ‘Specific Instructions’. In addition, the ‘Glossary of Terms’ also contains a list of definitions of common data reporting items.\n\nUnit of measurement\n\nAmounts denominated in a currency other than Australian currency are to be converted to AUD in accordance with AASB 1012 ‘Foreign Currency Translation’.\n\nThe general requirements of AASB 1012 for translation are:\n\n1.  Foreign currency monetary items outstanding at the reporting date must be translated at the spot rate at the reporting date; and\n\n2. Other items outstanding at the reporting date must not be retranslated subsequent to initial recognition of the transaction.\n\nMonetary items are defined to mean money held and assets and liabilities that are to be received or paid in fixed or determinable amounts of money (e.g. claims payments, reinsurance recoveries).\n\nMonetary items arising under foreign currency derivative contracts at the reporting date must be translated as follows:\n\n-   Where the exchange rate is fixed in the contract, at that fixed exchange rate; and\n\n-   Where the exchange rate varies, at the spot rate at the reporting date.\n\nReporting period\n\nInsurers are required to report the information in the reporting form on a quarterly and annual basis.\n\n-   The quarterly information is to be completed in respect of each quarter based on the financial year of the insurer, not the calendar year.\n-   The annual information is to be completed in respect of the financial year of the insurer.\n-   The financial information requested in this form is to be reported as at the last day of the reporting period on a financial year to date basis of the insurer. See the Reporting Requirements table for details.\n\n## Reporting lag\n\nThis form must be lodged for each of the reporting units, within the number of business days after the end of the quarter as set out in the Reporting Requirements table.\n\nBasis of preparation\n\nUnless specifically mentioned in these instructions insurers are not to following the recognition and measurement requirements of the Australian accounting standards in completing this form.\n\nThe interpretation and required measurement basis for items listed in the form are specified in these instructions and also outlined in the introduction to the reporting package.\n\n## Netting\n\nUnless otherwise specifically stated, institutions are allowed to take advantage of netting agreements in relation to disclosure of data items in this form. Institutions are to comply with the prerequisite for netting outlined in Australian accounting standards notably AASB 1014 ‘Set-off and Extinguishment of Debt’.\n\nRelated party disclosure\n\nAmounts due from, loans to, debentures of, shares in, or units in a trust or body corporate that is related to the insurer are to be disclosed for items of assets and liabilities where indicated in the form. For the purposes of this form, related bodies corporate are to be interpreted consistently with the meaning as in AASB 1017. AASB 1017 provides that related party means, in relation to a reporting entity any:\n\n(a) other entity that at any time during the financial year, has control or significant influence over the reporting entity; or\n\n(b) other entity that at any time during the financial year, is subject to control or significant influence by the reporting entity; or\n\n(c) other entity that, at any time during the financial year, is controlled by the same entity that controls the reporting entity. Referred to as a situation in which entities are subject to common control; or\n\n(d) other entity that, at any time during the financial year, is controlled by the same entity that significantly influences the reporting entity; or\n\n(e) other entity that, at any time during the financial year, is significantly influenced by the same entity that controls the reporting entity; or\n\n(f) director of the reporting entity or any of their director-related entities; or\n\n(g) director of any other entity identified as a related party under any of paragraphs (a) to (e), or any of their director-related entities;\n\nbut excludes any other entity (except those identified as a related party under paragraph (f)) where the related party relationship results solely from normal dealings of:\n\n(h) financial institutions; or\n\n(i) authorised trustee corporations; or\n\n(j) fund managers; or\n\n(k) trade unions; or\n\n(l) statutory authorities; or\n\n(m) government departments; or\n\n(n) local governments.[\\[1\\]](#_ftn1)\n\nAASB 1017 defines director-related entities as meaning “the spouses of such directors, relatives of such directors or spouses and any other entity under the joint or several control or significant influence of such directors, spouses or relatives”.\n\nRelative in relation to a person is defined in the Corporations Law to mean the spouse, partner, son, daughter, or brother or sister of the person.\n\n  \nSpecific instructions\n\nClasses of Insurance Business\n\n1.  Direct Business\n\nThe classes of business for companies that are not specialist reinsurers are as follows:\n\n(I). Houseowners/Householders (H & H)\n\nThis class covers the common H & H policies inclusive of:\n\n-   Contents;\n-   Personal property;\n-   Arson; and\n-   Burglary.\n\nPublic liability normally attaching to these products are to be separated and included in Public and Product Liability class of business – item 8.\n\n(II). Commercial Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) other than insurance covering vehicles defined below under Domestic Motor Vehicle. It includes long and medium haul trucks, cranes and special vehicles and policies covering fleets.\n\n(III). Domestic Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) covering private use motor vehicles including utilities and lorries, motor cycles, private caravans, box and boat trailers and other vehicles not normally covered by business or commercial policies.\n\n(IV). Travel\n\nInsurance against losses associated with travel including loss of baggage and personal effects, losses on flight cancellations and overseas medical costs.\n\n(V). Fire and Industrial Special Risks (ISR)\n\n##### Fire\n\nIncludes all policies normally classified as 'Fire' and includes:\n\n-   sprinkler leakage;\n-   subsidence;\n-   windstorm;\n-   hailstone;\n-   crop;\n-   arson; and\n-   loss of profits and any extraneous risk normally covered under fire policies, e.g. flood.\n\n##### ISR\n\nStandard policy wordings exist for this type of policy. All policies which contain such standard wordings or where the wording is substantially similar are to be classified as ISR.\n\n(VI). Marine\n\nIncludes Marine Hull (including pleasure craft), Marine Cargo (including sea and inland transit insurance).\n\n(VII). Aviation\n\nAviation (including aircraft hull and aircraft liability).\n\n(VIII). Mortgage\n\nInsurance against losses arising from the failure of debtors to meet financial obligations to creditors or under which payment of debts is guaranteed. It includes lease guarantee.\n\n(IX). Consumer Credit (CCI)\n\nInsurance to protect a consumer's ability to meet the loan repayments on personal loans and credit card finance in the event of death or loss of income due to injury, illness or unemployment.\n\n(X). Other Accident\n\nIncludes the following types of insurance:\n\n-   Miscellaneous accident (involving cash in transit, theft, loss of money);\n-   All risks (baggage, sporting equipment, guns);\n-   Engineering when not part of ISR or Fire policy;\n-   Plate glass when not part of packaged policy (e.g. houseowners /householders)\n-   Guarantee (Insurance Bonds);\n-   Live Stock;\n-   Pluvius; and\n-   Sickness and Accident (which provides stated benefits where the insured is killed or suffers loss of specific parts of the body or is prevented from carrying out the insured’s normal occupation. In addition, regular benefits may be paid over a short period of time (typically less than 3 years), noting that continuous disability policies are now considered to be Life Insurance Policies and should not be provided by general insurance companies).\n\n(XI). Other\n\nAll other insurance business not specifically mentioned elsewhere. It includes, for example:\n\n-   All guarantees (e.g. fidelity Guarantee)\n-   Trade Credit;\n-   Extended Warranty (includes insurance by a third party for a period in excess of the manufacturer's or seller’s normal warranty;\n-   Kidnap and Ransom; and\n-   Contingency.\n\n(XII). Compulsory Third Party Motor Vehicle (CTP)\n\nThis class consists only of CTP business.\n\n(XIII). Public and Product Liability\n\n-   Public Liability covers legal liability to the public in respect of bodily injury or property damage arising out of the operation of the insured's business. Product Liability includes policies that provide for compensation for loss and or injury caused by, or as a result of, the use of goods. and also environmental clean-up caused by pollution spills where not covered by Fire and ISR policies.\n-   Also will include builders warranty insurance.\n\n  \n\n(XIV). Professional Indemnity (PI)\n\nIncludes Directors' and Officers' liability insurance plus legal expense insurance. Cover for legal expenses general included in this type of policy.\n\n(XV). Employers' Liability (EL)\n\nIncludes:\n\n-   Workers' compensation;\n-   Seamen's compensation; and\n-   Domestic workers compensation.\n\n#### 2. Reinsurance Business\n\nThe classes of business for companies that are specialist reinsurers are as follows:\n\n(I). Facultative\n\n(II). Proportional\n\n(III). Excess of loss.\n\n(I). Facultative Reinsurance.\n\nThe reinsurance of individual risks by offer and acceptance wherein the reinsurer has the “faculty” (option) to accept or reject each offer by the ceding company.\n\n(II). Proportional Reinsurance.\n\nA proportional treaty is an agreement between an insurer and a reinsurer in which the reinsurer shares an identical proportion of the premiums and losses of the ceding company.\n\n(III). Excess of Loss Reinsurance.\n\nReinsurance which, subject to a specified limit, indemnifies the ceding company against the loss in excess of a specified retention. This type of reinsurance can involve:\n\n-   any one risk reinsurance;\n-   any one event reinsurance;\n-   catastrophe reinsurance;\n-   aggregate excess of loss reinsurance; and\n-   stop loss reinsurance.\n\nReinsurance non-split\n\nThis line item classification disclosed under Reinsurance class of business is to be used where it is not possible for the insurer to separately slit out all the classes of reinsurance businesses. However as required by GGN 110.3 Insurance Risk Capital Charge, where an insurer writes inwards reinsurance business and is unable to split this business into the classes and types listed in Table 2 of that guidance note, they are to use the highest casualty factors on their outstanding claims liabilities.\n\nWhere an insurer writes inwards reinsurance which spans multiple classes and the insurer cannot readily split the contract between classes, APRA suggests that the contract should be allocated using one of the following methods:\n\n(a) allocate the contract to the category which represents the greatest exposure; or\n\n(b) allocate the contract to the category representing the greatest premium income.\n\nAn insurer that writes inwards reinsurance is free to choose which of the above methods it uses, or may use another appropriate method, provided the same method is used for all contracts and all subsequent periods.\n\n###### Claims expense\n\nClaims expense for the purpose of this form relates to events that occur during a financial period and which are paid in that same period (i.e. no provision for the liability has been recognised) and where a claims liability (and corresponding claims expense) has been recognised for those claims which have yet to be settled in that period (i.e. movements in the Outstanding Claims Provision).\n\nNote: Claims expense is to be reported in the column “Total Claims Expense” gross of reinsurance recoveries and other recoveries such as salvage.\n\nFor claims expense relating to movements in the Outstanding Claims Provision, the Outstanding Claims Provision as reported in GRF 300.0 Statement of Financial Position is to be used, not necessarily the Outstanding Claims Provision as calculated in accordance with GPS 210 Liability Valuation for General Insurers and reported in GRF 210.0 Outstanding Claims Provision and Insurance Risk Charge.\n\nThe total amount of claims expense reported in this form must match the component of total claims expense reported in line item called “Claims expense relating to current and prior years (i.e. in relation to outstanding claims provision)” in GRF 310.0 Statement of Financial Performance.\n\nThe claims expense is to be disclosed by type of business (i.e. direct business and inward reinsurance business).\n\nDo not recognise movements in the Premium Liabilities as claims expense for the purposes of this form.\n\nReinsurance recoveries received and receivable\n\nReport the amount of reinsurance recoveries receivable in relation to those claims recognised in the calculation of the gross claims expense.\n\n###### Reinsurance recoveries received - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of reinsurance recoveries received over the reporting period (on a year-to-date basis) in aggregate for direct business and reinsurance business (i.e. disclosure in relation to individual class of business is not required). Do not include reinsurance recoveries recognised on an accrual basis, as that is recognised in column titled “Reinsurance recoveries receivable”.\n\nThis relates to all reinsurance recoveries received on a cashflow basis in the current financial year, regardless of the financial year in which the reinsurance recovery may have been recognised as revenue (i.e. a prior financial year).\n\n###### Claims paid - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of claims actually paid over the reporting period (on a year-to-date basis) in aggregate for direct written business and re-insurance business (i.e. disclosure of claims paid in relation to individual class of business is not required). This relates to all claims paid on a cashflow basis in the current financial year, regardless of the financial year in which the claim may have been recognised as an expense (i.e. a prior financial year).\n\nRelated party disclosure\n\nAmounts due from or payable to a related entity to the insurer are to be disclosed where indicated in the form – at the bottom of the table. Specifically disclosure is required of total claims expense and total reinsurance recoveries that are with the following related parties:\n\n1.  Parent entity\n\n(Note: for the consolidated insurance group this is applicable if the ultimate parent entity is not included in the consolidated insurance group)\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from the parent entity of the licensed insurer or of the consolidated insurance group.\n\n2. Controlled entities/Controlled entities of the parent entity\n\n(Note: this is not applicable for the consolidated insurance group)\n\nFor branches, the line item “Controlled entities/Controlled entities of the parent entity” is to be interpreted as amounts in relation to “Controlled entities of the parent entity”, and for licensed insurance entities amounts are in relation to “Controlled entities” of the reporting insurer.\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from these entities.\n\n3. Associates/Joint Ventures\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from Associates or Joint Ventures of the licensed insurer, or of the consolidated insurance group. Associates and Joint Ventures are defined in accordance with AASB 1006 Joint Ventures and AASB 1016 Equity accounting for investments in associates.\n\n4. Other related parties\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from any other related entity of the licensed insurer or of the consolidated insurance group that is not specifically identified above. Refer to the definition of related parties as defined in the general section of this instruction guide.","sortOrder":14},{"sectionNumber":"Introduction","sectionType":"division","heading":"Introduction","content":"### Introduction\n\nThe purpose of this form is to provide information on the following:\n\n1.  Claims expense by class of business (direct business and Reinsurance);\n\n-   insurance business directly written (directly by the insurer and by inward reinsurance);\n\n2. Reinsurance recoveries received based on cashflows (i.e. payments received rather than accrued); and\n\n3. Claims paid based on cashflows (i.e. actually paid rather than accrued).","sortOrder":15},{"sectionNumber":"Audit requirements","sectionType":"subdivision","heading":"Audit requirements","content":"#### Audit requirements\n\nThe form relating to authorised insurance entities and reinsurance entities is required to be subject to audit review and testing. The forms relating to the consolidated insurance group reporting unit is not subject to audit review and testing.\n\nThe scope and nature of audit testing required is outlined in the applicable Audit Guidance Statement issued by the Auditing and Assurance Board of the Australian Accounting Research Foundation.\n\nInformation provided in the form in respect of a financial year of an insurer forms part of the insurer’s ‘yearly statutory accounts’ within the meaning of section 3 of the Insurance Act 1973. This means that:\n\n-   the completed form for the financial year must be audited by the approved auditor of the insurer (see paragraph 49J(1)(a) of the Act);\n\n-   the insurer must make such arrangements as to enable the auditor to do this (subsection 49J(2));\n-   the auditor must give the insurer a certificate relating to the completed form (and other completed forms that are part of the insurer’s yearly statutory accounts), which must contain statements of the auditor’s opinion on the matters required by the prudential standards to be dealt with in the certificate (subsection 49J(3));\n-   the certificate must be lodged with APRA as provided for in the prudential standards (paragraph 49L(1)(a)), namely by the due date for lodging the form in respect of the financial year for the insurer.","sortOrder":16},{"sectionNumber":"Reporting entity","sectionType":"part","heading":"Reporting entity","content":"## Reporting entity\n\nForms are to be completed for the following reporting entities where appropriate:\n\n1.  Branch insurers of a foreign parent insurer (reference to licensed insurer in the form means total operations of the branch, excluding the parent operations);\n2.  Authorised insurance entities, including mutual entities (reference to licensed insurer in the form means total operations of the licensed entity);\n3.  Authorised reinsurance entities (reference to licensed insurer in the form means total operations of the licensed entity); and\n4.  Consolidated insurance groups.\n\nNote: the form for the consolidated insurance group is only required to complete the information requirements on the form. No risk change is applied to the consolidated insurance group at this stage.\n\nFor the purposes of APRA prudential reporting, the consolidated insurance group is interpreted as the accounts incorporating the highest parent entity in a group structure, that is an Australian authorised general insurance entity (for the purposes of the Act), and includes all subsidiaries, associates and joint ventures (registered both in Australia and overseas) of that parent entity.\n\nFor the purposes of this form, the highest parent entity in the corporate group does not include a company (e.g. non-operating holding company) that is not an authorised general insurance entity.\n\nDefinition of subsidiaries should be consistent with the requirements of Australian accounting standards AASB 1024 ‘Consolidated Accounts’ and definition of associates should be consistent with AASB 1016 ‘Accounting for Investments in Associates’.\n\nExemptions from the Consolidated Insurance Group requirements\n\n-   Australian authorised insurers which do not have any subsidiaries are not required to complete the forms for this reporting unit.\n-   Australian authorised insurers which have subsidiaries, but the financial position of the consolidated insurance group is not materially different from that of the licensed insurance entity, are not required to complete the forms for this reporting unit (i.e. the subsidiaries do not have any material dealings/balances).","sortOrder":17},{"sectionNumber":"Definitions","sectionType":"subdivision","heading":"Definitions","content":"#### Definitions\n\nDefinitions for data reporting items required by this form have been provided where possible in the instructions under the section headed ‘Specific Instructions’. In addition, the ‘Glossary of Terms’ also contains a list of definitions of common data reporting items.\n\nUnit of measurement\n\nAmounts denominated in a currency other than Australian currency are to be converted to AUD in accordance with AASB 1012 ‘Foreign Currency Translation’.\n\nThe general requirements of AASB 1012 for translation are:\n\n1.  Foreign currency monetary items outstanding at the reporting date must be translated at the spot rate at the reporting date; and\n\n2. Other items outstanding at the reporting date must not be retranslated subsequent to initial recognition of the transaction.\n\nMonetary items are defined to mean money held and assets and liabilities that are to be received or paid in fixed or determinable amounts of money (e.g. claims payments, reinsurance recoveries).\n\nMonetary items arising under foreign currency derivative contracts at the reporting date must be translated as follows:\n\n-   Where the exchange rate is fixed in the contract, at that fixed exchange rate; and\n\n-   Where the exchange rate varies, at the spot rate at the reporting date.\n\nReporting period\n\nInsurers are required to report the information in the reporting form on a quarterly and annual basis.\n\n-   The quarterly information is to be completed in respect of each quarter based on the financial year of the insurer, not the calendar year.\n-   The annual information is to be completed in respect of the financial year of the insurer.\n-   The financial information requested in this form is to be reported as at the last day of the reporting period on a financial year to date basis of the insurer. See the Reporting Requirements table for details.","sortOrder":18},{"sectionNumber":"Reporting lag","sectionType":"part","heading":"Reporting lag","content":"## Reporting lag\n\nThis form must be lodged for each of the reporting units, within the number of business days after the end of the quarter as set out in the Reporting Requirements table.\n\nBasis of preparation\n\nUnless specifically mentioned in these instructions insurers are not to following the recognition and measurement requirements of the Australian accounting standards in completing this form.\n\nThe interpretation and required measurement basis for items listed in the form are specified in these instructions and also outlined in the introduction to the reporting package.","sortOrder":19},{"sectionNumber":"Netting","sectionType":"part","heading":"Netting","content":"## Netting\n\nUnless otherwise specifically stated, institutions are allowed to take advantage of netting agreements in relation to disclosure of data items in this form. Institutions are to comply with the prerequisite for netting outlined in Australian accounting standards notably AASB 1014 ‘Set-off and Extinguishment of Debt’.\n\nRelated party disclosure\n\nAmounts due from, loans to, debentures of, shares in, or units in a trust or body corporate that is related to the insurer are to be disclosed for items of assets and liabilities where indicated in the form. For the purposes of this form, related bodies corporate are to be interpreted consistently with the meaning as in AASB 1017. AASB 1017 provides that related party means, in relation to a reporting entity any:\n\n(a) other entity that at any time during the financial year, has control or significant influence over the reporting entity; or\n\n(b) other entity that at any time during the financial year, is subject to control or significant influence by the reporting entity; or\n\n(c) other entity that, at any time during the financial year, is controlled by the same entity that controls the reporting entity. Referred to as a situation in which entities are subject to common control; or\n\n(d) other entity that, at any time during the financial year, is controlled by the same entity that significantly influences the reporting entity; or\n\n(e) other entity that, at any time during the financial year, is significantly influenced by the same entity that controls the reporting entity; or\n\n(f) director of the reporting entity or any of their director-related entities; or\n\n(g) director of any other entity identified as a related party under any of paragraphs (a) to (e), or any of their director-related entities;\n\nbut excludes any other entity (except those identified as a related party under paragraph (f)) where the related party relationship results solely from normal dealings of:\n\n(h) financial institutions; or\n\n(i) authorised trustee corporations; or\n\n(j) fund managers; or\n\n(k) trade unions; or\n\n(l) statutory authorities; or\n\n(m) government departments; or\n\n(n) local governments.[\\[1\\]](#_ftn1)\n\nAASB 1017 defines director-related entities as meaning “the spouses of such directors, relatives of such directors or spouses and any other entity under the joint or several control or significant influence of such directors, spouses or relatives”.\n\nRelative in relation to a person is defined in the Corporations Law to mean the spouse, partner, son, daughter, or brother or sister of the person.\n\n  \nSpecific instructions\n\nClasses of Insurance Business\n\n1.  Direct Business\n\nThe classes of business for companies that are not specialist reinsurers are as follows:\n\n(I). Houseowners/Householders (H & H)\n\nThis class covers the common H & H policies inclusive of:\n\n-   Contents;\n-   Personal property;\n-   Arson; and\n-   Burglary.\n\nPublic liability normally attaching to these products are to be separated and included in Public and Product Liability class of business – item 8.\n\n(II). Commercial Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) other than insurance covering vehicles defined below under Domestic Motor Vehicle. It includes long and medium haul trucks, cranes and special vehicles and policies covering fleets.\n\n(III). Domestic Motor Vehicle\n\nMotor vehicle insurance (including third party property damage) covering private use motor vehicles including utilities and lorries, motor cycles, private caravans, box and boat trailers and other vehicles not normally covered by business or commercial policies.\n\n(IV). Travel\n\nInsurance against losses associated with travel including loss of baggage and personal effects, losses on flight cancellations and overseas medical costs.\n\n(V). Fire and Industrial Special Risks (ISR)","sortOrder":20},{"sectionNumber":"Fire","sectionType":"section","heading":"Fire","content":"##### Fire\n\nIncludes all policies normally classified as 'Fire' and includes:\n\n-   sprinkler leakage;\n-   subsidence;\n-   windstorm;\n-   hailstone;\n-   crop;\n-   arson; and\n-   loss of profits and any extraneous risk normally covered under fire policies, e.g. flood.","sortOrder":21},{"sectionNumber":"ISR","sectionType":"section","heading":"ISR","content":"##### ISR\n\nStandard policy wordings exist for this type of policy. All policies which contain such standard wordings or where the wording is substantially similar are to be classified as ISR.\n\n(VI). Marine\n\nIncludes Marine Hull (including pleasure craft), Marine Cargo (including sea and inland transit insurance).\n\n(VII). Aviation\n\nAviation (including aircraft hull and aircraft liability).\n\n(VIII). Mortgage\n\nInsurance against losses arising from the failure of debtors to meet financial obligations to creditors or under which payment of debts is guaranteed. It includes lease guarantee.\n\n(IX). Consumer Credit (CCI)\n\nInsurance to protect a consumer's ability to meet the loan repayments on personal loans and credit card finance in the event of death or loss of income due to injury, illness or unemployment.\n\n(X). Other Accident\n\nIncludes the following types of insurance:\n\n-   Miscellaneous accident (involving cash in transit, theft, loss of money);\n-   All risks (baggage, sporting equipment, guns);\n-   Engineering when not part of ISR or Fire policy;\n-   Plate glass when not part of packaged policy (e.g. houseowners /householders)\n-   Guarantee (Insurance Bonds);\n-   Live Stock;\n-   Pluvius; and\n-   Sickness and Accident (which provides stated benefits where the insured is killed or suffers loss of specific parts of the body or is prevented from carrying out the insured’s normal occupation. In addition, regular benefits may be paid over a short period of time (typically less than 3 years), noting that continuous disability policies are now considered to be Life Insurance Policies and should not be provided by general insurance companies).\n\n(XI). Other\n\nAll other insurance business not specifically mentioned elsewhere. It includes, for example:\n\n-   All guarantees (e.g. fidelity Guarantee)\n-   Trade Credit;\n-   Extended Warranty (includes insurance by a third party for a period in excess of the manufacturer's or seller’s normal warranty;\n-   Kidnap and Ransom; and\n-   Contingency.\n\n(XII). Compulsory Third Party Motor Vehicle (CTP)\n\nThis class consists only of CTP business.\n\n(XIII). Public and Product Liability\n\n-   Public Liability covers legal liability to the public in respect of bodily injury or property damage arising out of the operation of the insured's business. Product Liability includes policies that provide for compensation for loss and or injury caused by, or as a result of, the use of goods. and also environmental clean-up caused by pollution spills where not covered by Fire and ISR policies.\n-   Also will include builders warranty insurance.\n\n  \n\n(XIV). Professional Indemnity (PI)\n\nIncludes Directors' and Officers' liability insurance plus legal expense insurance. Cover for legal expenses general included in this type of policy.\n\n(XV). Employers' Liability (EL)\n\nIncludes:\n\n-   Workers' compensation;\n-   Seamen's compensation; and\n-   Domestic workers compensation.","sortOrder":22},{"sectionNumber":"2. Reinsurance Business","sectionType":"subdivision","heading":"2. Reinsurance Business","content":"#### 2. Reinsurance Business\n\nThe classes of business for companies that are specialist reinsurers are as follows:\n\n(I). Facultative\n\n(II). Proportional\n\n(III). Excess of loss.\n\n(I). Facultative Reinsurance.\n\nThe reinsurance of individual risks by offer and acceptance wherein the reinsurer has the “faculty” (option) to accept or reject each offer by the ceding company.\n\n(II). Proportional Reinsurance.\n\nA proportional treaty is an agreement between an insurer and a reinsurer in which the reinsurer shares an identical proportion of the premiums and losses of the ceding company.\n\n(III). Excess of Loss Reinsurance.\n\nReinsurance which, subject to a specified limit, indemnifies the ceding company against the loss in excess of a specified retention. This type of reinsurance can involve:\n\n-   any one risk reinsurance;\n-   any one event reinsurance;\n-   catastrophe reinsurance;\n-   aggregate excess of loss reinsurance; and\n-   stop loss reinsurance.\n\nReinsurance non-split\n\nThis line item classification disclosed under Reinsurance class of business is to be used where it is not possible for the insurer to separately slit out all the classes of reinsurance businesses. However as required by GGN 110.3 Insurance Risk Capital Charge, where an insurer writes inwards reinsurance business and is unable to split this business into the classes and types listed in Table 2 of that guidance note, they are to use the highest casualty factors on their outstanding claims liabilities.\n\nWhere an insurer writes inwards reinsurance which spans multiple classes and the insurer cannot readily split the contract between classes, APRA suggests that the contract should be allocated using one of the following methods:\n\n(a) allocate the contract to the category which represents the greatest exposure; or\n\n(b) allocate the contract to the category representing the greatest premium income.\n\nAn insurer that writes inwards reinsurance is free to choose which of the above methods it uses, or may use another appropriate method, provided the same method is used for all contracts and all subsequent periods.","sortOrder":23},{"sectionNumber":"Claims expense","sectionType":"section","heading":"Claims expense","content":"###### Claims expense\n\nClaims expense for the purpose of this form relates to events that occur during a financial period and which are paid in that same period (i.e. no provision for the liability has been recognised) and where a claims liability (and corresponding claims expense) has been recognised for those claims which have yet to be settled in that period (i.e. movements in the Outstanding Claims Provision).\n\nNote: Claims expense is to be reported in the column “Total Claims Expense” gross of reinsurance recoveries and other recoveries such as salvage.\n\nFor claims expense relating to movements in the Outstanding Claims Provision, the Outstanding Claims Provision as reported in GRF 300.0 Statement of Financial Position is to be used, not necessarily the Outstanding Claims Provision as calculated in accordance with GPS 210 Liability Valuation for General Insurers and reported in GRF 210.0 Outstanding Claims Provision and Insurance Risk Charge.\n\nThe total amount of claims expense reported in this form must match the component of total claims expense reported in line item called “Claims expense relating to current and prior years (i.e. in relation to outstanding claims provision)” in GRF 310.0 Statement of Financial Performance.\n\nThe claims expense is to be disclosed by type of business (i.e. direct business and inward reinsurance business).\n\nDo not recognise movements in the Premium Liabilities as claims expense for the purposes of this form.\n\nReinsurance recoveries received and receivable\n\nReport the amount of reinsurance recoveries receivable in relation to those claims recognised in the calculation of the gross claims expense.","sortOrder":24},{"sectionNumber":"Reinsurance recoveries received - cashfl","sectionType":"section","heading":"Reinsurance recoveries received - cashflow basis (as a proxy the basis required by AASB 1026 can be used)","content":"###### Reinsurance recoveries received - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of reinsurance recoveries received over the reporting period (on a year-to-date basis) in aggregate for direct business and reinsurance business (i.e. disclosure in relation to individual class of business is not required). Do not include reinsurance recoveries recognised on an accrual basis, as that is recognised in column titled “Reinsurance recoveries receivable”.\n\nThis relates to all reinsurance recoveries received on a cashflow basis in the current financial year, regardless of the financial year in which the reinsurance recovery may have been recognised as revenue (i.e. a prior financial year).","sortOrder":25},{"sectionNumber":"Claims paid - cashflow basis (as a proxy","sectionType":"section","heading":"Claims paid - cashflow basis (as a proxy the basis required by AASB 1026 can be used)","content":"###### Claims paid - cashflow basis (as a proxy the basis required by AASB 1026 can be used)\n\nReport the amount of claims actually paid over the reporting period (on a year-to-date basis) in aggregate for direct written business and re-insurance business (i.e. disclosure of claims paid in relation to individual class of business is not required). This relates to all claims paid on a cashflow basis in the current financial year, regardless of the financial year in which the claim may have been recognised as an expense (i.e. a prior financial year).\n\nRelated party disclosure\n\nAmounts due from or payable to a related entity to the insurer are to be disclosed where indicated in the form – at the bottom of the table. Specifically disclosure is required of total claims expense and total reinsurance recoveries that are with the following related parties:\n\n1.  Parent entity\n\n(Note: for the consolidated insurance group this is applicable if the ultimate parent entity is not included in the consolidated insurance group)\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from the parent entity of the licensed insurer or of the consolidated insurance group.\n\n2. Controlled entities/Controlled entities of the parent entity\n\n(Note: this is not applicable for the consolidated insurance group)\n\nFor branches, the line item “Controlled entities/Controlled entities of the parent entity” is to be interpreted as amounts in relation to “Controlled entities of the parent entity”, and for licensed insurance entities amounts are in relation to “Controlled entities” of the reporting insurer.\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from these entities.\n\n3. Associates/Joint Ventures\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from Associates or Joint Ventures of the licensed insurer, or of the consolidated insurance group. Associates and Joint Ventures are defined in accordance with AASB 1006 Joint Ventures and AASB 1016 Equity accounting for investments in associates.\n\n4. Other related parties\n\nOf the total premium revenue and reinsurance expense that is reported as required by this form, disclose amounts that are with/from any other related entity of the licensed insurer or of the consolidated insurance group that is not specifically identified above. Refer to the definition of related parties as defined in the general section of this instruction guide.","sortOrder":26}],"analysis":{"kimi_summary":{"_metrics":{"model":"kimi-k2.5","source":"moonshot-realtime","completionTokens":2769},"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":false,"description":"The legislation maintains its original scope focused on data collection for prudential supervision of general insurers. All provisions—including detailed insurance business classifications, related party disclosure requirements, and audit obligations—serve the core purpose of enabling APRA to monitor insurers' claims expenses and reinsurance recoveries."},"complexity_factors":["18 defined terms including complex entity classifications such as 'highest parent entity' and 'consolidated insurance group'","Extensive cross-referencing to the Insurance Act 1973, Corporations Act 2001, and multiple Australian Accounting Standards (AASB 1024, 1012, 1014, 1017, 1006, 1016)","Differential reporting timelines based on entity type (20 vs 30 business days for quarterly reporting)","Detailed classification system requiring categorization into 15 direct insurance classes and 3 reinsurance classes with specific allocation rules for multi-class contracts","Technical accounting distinctions between cashflow basis and accrual basis reporting for different data items","Conditional audit and quality control requirements that vary depending on whether the reporter is a licensed insurer or a consolidated insurance group"],"plain_english_summary":"This Reporting Standard requires general insurers, foreign branches and consolidated insurance groups in Australia to regularly report detailed claims activity — including amounts paid, reserves and reinsurance recoveries — to APRA via prescribed electronic filings. Those audited, controlled submissions give APRA the data it needs to monitor insurer solvency, claims funding and emerging sector risks to protect policyholders and financial stability."},"flash_summary":{"complexity_score":7,"scope_assessment":{"changed":false,"description":"The text sets out who must report, what data is required, reporting units, and deadlines; it contains no statement that the instrument alters or retracts that scope from an earlier version. APRA retains explicit powers to vary reporting periods for particular insurers and to make minor form changes (paras 2, 7, 15–16)."},"complexity_factors":["Multiple reporting units and entity types (licensed insurer, branch, authorised reinsurance entity, consolidated insurance group) with exemptions for some consolidated groups (paras 3–4; Reporting entity sections).","Differing lodgement deadlines and APRA discretion to change reporting frequency for particular insurers (paras 6–10).","Audit and quality‑control obligations: approved auditor review/testing of processes and an auditor’s certificate for annual returns tied to the Insurance Act (paras 11; Note under 6; Audit requirements).","Measurement and reconciliation requirements: cashflow vs accrual bases, specific use of Outstanding Claims Provision from GRF 300.0, and matching to GRF 310.0 components (Claims expense section).","Detailed classification of insurance classes and reinsurance types, plus allocation rules where reinsurance spans multiple classes (Specific instructions).","Foreign currency translation rules referencing AASB 1012 and related accounting standard cross‑references (Unit of measurement).","Related‑party disclosure requirements referencing multiple AASB standards (AASB 1017, AASB 1006, AASB 1016) and specific line‑item disclosures (Related party disclosure sections).","Permitted netting subject to prerequisites in AASB 1014 (Netting section).","Submission and authorisation mechanics including D2A electronic submission, APRA digital certificates and officer signatures for paper lodgements (paras 5, 13–14).","APRA’s ability to make minor variations to forms/instructions without changing substantive requirements, with notification to insurers (paras 15–16)."],"plain_english_summary":"This reporting standard requires all general insurers, including foreign branches, to submit quarterly and annual claims‑expense and reinsurance‑recovery data to APRA using Form GRF 310.2 to support APRA’s prudential supervision (paras 1–4, 6). Insurers bear the compliance cost: they must maintain auditor‑reviewed controls, lodge returns electronically or on paper signed by senior officers, meet specific due dates (20–30 business days for quarters; four months for annual), and APRA may vary frequency or make minor form changes (paras 8–14, 7, 15–16)."}},"importantCases":[],"_links":{"self":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005","history":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005/history","analysis":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005/analysis","conflicts":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005/conflicts","importantCases":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005/important-cases","documents":"/api/acts/financial-sector-collection-of-data-determination-no-20-of-2005/documents"}}