Instruction GuideInstruction Guide

Instruction Guide

Introduction

This form collects information required to calculate the capital base of Level 2 insurance groups for the purposes of deriving a capital adequacy measure and to gauge compliance with the Minimum Capital Requirement (MCR) in accordance with Prudential Standard GPS 111 Capital Adequacy: Level 2 Insurance Group (GPS 111).

Prudential standards GPS 111 and Prudential Standard GPS 112 Capital Adequacy: Measurement of Capital (GPS 112) specify the methodology for measuring the Level 2 insurance group’s capital base. The range of instruments that are eligible for inclusion in the capital base of the Level 2 insurance group are outlined in GPS 112 as read with GPS 111.