Financial Sector (Collection of Data) (reporting standard) determination No. 6 of 2021
Facility Business Data: Public and ProduFacility Business Data: Public and Product Liability and Professional Indemnity Insurance
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Facility Business Data: Public and Product Liability and Professional Indemnity Insurance
Objective of this reporting standard
This Reporting Standard sets out requirements for the provision of information to APRA by Lloyd’s relating to certain facility business data on public liability, product liability and professional indemnity insurance.
It includes Reporting Form LOLRF 800.3 Facility Business Data: Public and Product Liability and Professional Indemnity Insurance and the associated instructions.
Authority
This Reporting Standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001.
Purpose
Information collected by Reporting Form LOLRF 800.3 Facility Business Data: Public and Product Liability and Professional Indemnity Insurance
(LOLRF 800.3) is used by APRA for the purpose of prudential supervision and publication, including publication in the National Claims and Policies Database (NCPD).
Application
This Reporting Standard applies to Lloyd’s.
Commencement
This Reporting Standard applies for reporting periods ending on or after 31 December 2021.
Information required
Lloyd’s must provide APRA with the information required by LOLRF 800.3 in respect of each reporting period and each reportable facility business in respect of which a Lloyd’s underwriter is on risk during the reporting period.
Reporting periods and due dates
Subject to paragraph 7 of this Reporting Standard, Lloyd’s must provide the information required by this Reporting Standard in respect of each calendar half-year (i.e. the periods ending 30 June and 31 December each year).
APRA may, by notice in writing, change the reporting periods, or specify reporting periods, to require Lloyd’s to provide the information required by this Reporting Standard more frequently, or less frequently, or in respect of reporting periods based upon a Lloyd’s underwriter’s own accounting financial year for that part of the information required by this Reporting Standard relating to that underwriter, having regard to:
(a) the particular circumstances of Lloyd’s or a Lloyd’s underwriter; and
(b) the extent to which the information is required for the purposes of the prudential supervision of Lloyd’s or a Lloyd’s underwriter.
The information required by this Reporting Standard must be provided to APRA:
Part Facility Business Data: Public and Produ - Financial Sector (Collection of Data) (reporting standard) determination No. 6 of 2021 - Facility Business Data: Public and Product Liability and Professional Indemnity Insurance | Zoe
(a) in the case of half-yearly information, by no later than four months after the end of the reporting period; or
(b) in the case of information provided in accordance with paragraph 7, within the time specified by notice in writing,
or such later time as APRA may determine in writing. APRA may determine a later time in writing in relation to the whole of the information required by this Reporting Standard, or in relation to part of the information required by this Reporting Standard to the extent that it relates to a particular class of Lloyd’s underwriters, or in relation to part of the information required by this Reporting Standard to the extent that it relates to one or more Lloyd’s underwriters named in the determination (to the extent that APRA may permit the late submission of part of the information required by this Reporting Standard).
Method of submission
The information required by this Reporting Standard must be rendered in comma separated values (CSV) format in accordance with the instructions in LOLRF 800.3, and must be provided electronically through the web site www.ncpd.apra.gov.au, by logging on using the relevant customer identification number and password provided by Fujitsu Australia (as agent of APRA), and following the instructions on that web site.
Despite paragraph 9, APRA may, in writing, make either or both of the following determinations:
(a) a determination that information required by this Reporting Standard must be provided in accordance with alternative information technology requirements specified by APRA in the determination; and
(b) a determination that information required by this Reporting Standard must be provided to APRA or an agent of APRA at an alternative address in accordance with requirements specified in the determination.
Quality control
The information provided by Lloyd’s in accordance with this Reporting Standard must be the product of processes and controls developed by Lloyd’s for the internal review and authorisation of the information.
Note: Lloyd’s General Representative in Australia must ensure that an appropriate set of policies and procedures is in place for the authorisation of data provided to APRA.
Authorisation
Fujitsu Australia (as agent of APRA) will provide Lloyd’s with a customer identification number. If Lloyd’s proposes to submit information required by this Reporting Standard using the method in paragraph 9 (i.e. via the website), Lloyd’s must apply for a password by viewing the web page referred to in paragraph 9, quoting Lloyd’s customer identification number and following the instructions for applying for a password on that page. Fujitsu Australia will advise Lloyd’s General Representative in Australia of the password for Lloyd’s. When a report is provided using the method in paragraph 9, Lloyd’s will be required to quote its customer identification number and password. Upon successful validation of the customer identification and password a secure session between Lloyd’s and Fujitsu Australia will be created and information will be encrypted before transmission.
Despite paragraph 12, or where APRA has made a determination under subparagraphs 10(a) or (b) specifying an alternate method of submission, APRA may also determine in writing that:
(a) a specified person (who need not be Lloyd’s General Representative in Australia or agent);
(b) a person holding a specified position (who need not be Lloyd’s General Representative in Australia or agent); or
(c) a person authorised by Lloyd’s to use Lloyd’s customer identification number and password,
may, or must, authorise (in a manner specified) information provided by Lloyd’s under this Reporting Standard.
Minor alterations to forms and instructions
APRA may:
(a) make minor variations to LOLRF 800.3 (either generally, or in relation to a class of Lloyd’s underwriters, or in relation to one or more named Lloyd’s underwriters) to correct technical, programming or logical errors, inconsistencies or anomalies;
(b) vary, omit or substitute (either generally, or in relation to a class of Lloyd’s underwriters, or in relation to one or more named Lloyd’s underwriters) an occupation code or description in Appendix C to LOLRF 800.3, if APRA forms the view that the existing code or description is inappropriate having regard to the circumstances or business of Lloyd’s and any other relevant considerations; or
(c) vary, omit or substitute (either generally, or in relation to a class of Lloyd’s underwriters, or in relation to one or more named Lloyd’s underwriters) a specification in a Table in LOLRF 800.3, if APRA forms the view that the specification is inappropriate having regard to the circumstances or business of Lloyd’s underwriters and any other relevant considerations.
If APRA makes such a variation it must notify Lloyd’s in writing.
Interpretation
In this Reporting Standard:
agent of APRA means a person appointed under s 47 of the Australian Prudential Regulation Authority Act 1998 to receive data on behalf of APRA.
APRA means the Australian Prudential Regulation Authority established under the Australian Prudential Regulation Authority Act 1998.
facility business means business that is closed by bordereau and for which the relevant Lloyd’s underwriter does not receive individual policy or claims data from the facility manager, and includes business undertaken through an underwriting pool or joint venture arrangement.
Fujitsu Australia means Fujitsu Australia Limited ABN 19 001 011 427.
Lloyd’s has the meaning in the Insurance Act 1973.
Lloyd’s General Representative in Australia means the employee of Lloyd’s or Lloyd’s Australia Ltd who holds the position of Lloyd’s General Representative in Australia, or performs the functions and duties described by that title.
Lloyd’s underwriter has the meaning in the Insurance Act 1973.
product liability insurance includes policies that provide for compensation for loss and or injury caused by, or as a result of, the use of goods.
professional indemnity insurance includes:
(a) insurance that provides cover for a professional for actions taken against that professional in tort, contract or under statute law in respect of advice or services provided as part of their professional practice, including cover in respect of damages and legal expenses;
(b) directors’ and officers’ liability insurance and legal expense insurance; and
(c) medical indemnity insurance.
public liability insurance includes:
(a) insurance covering legal liability to the public in respect of bodily injury or property damage arising out of the operation of the insured’s business; and
(b) insurance in respect of environmental clean-up costs resulting from pollution where not covered by Fire and Industrial Special Risk policies.
reportable facility business means facility business underwritten by a Lloyd’s underwriter on or after 1 January 2003 under which the risk, or a risk, assumed by the Lloyd’s underwriter relates to product liability, professional indemnity or public liability insurance, not being a risk that relates to:
(a) reinsurance or retrocession cover;
(b) marine insurance;
(c) domestic householder’s or owner’s insurance, or tenant’s liability insurance, sold in conjunction with a building or contents policy; or
(d) an event that could neither occur in Australia nor in relation to an insured resident of Australia.
For the purposes of paragraph 8, where information must be provided no later than a particular date, Lloyd’s is required to ensure that the information is received by the person to whom it must be provided (whether APRA or an agent of APRA) no later than that date.
Unless the contrary intention appears, any reference to an Act, Regulation, Prudential Standard, Reporting Standard, Australian Accounting Standard or Auditing Standard is a reference to the instrument as in force or existing from time to time.
Where this Reporting Standard provides for APRA to exercise a power or discretion, this power or discretion is to be exercised in writing.