Financial Sector (Collection of Data) (reporting standard) determination No. 7 of 2011 - GRS 300.0_G (2011) - Statement of Financial Position (Level 2 Insurance Group)
13.0Unearned premium
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13.0 Unearned premium
Unearned premium is to be recognised and measured in accordance with the requirements in AASB 1023 and other applicable Australian accounting standards. This treatment is different to that which applies to individual APRA-authorised insurers.
Any excess or deficiency of net premiums liabilities determined in accordance with AASB 1023 compared to the amount required by GPS 311 must be recognised in Tier 1 capital in GRF 210.1A_G - Premiums Liabilities – Insurance Risk Charge – Australia by class of business (Level 2 Insurance Group) (GRF 210.1A_G) or GRF 210.1B_G – Premiums Liabilities – Insurance Risk Charge – Australia by region (Level 2 Insurance Group) (GRF 210.1B_G). As portfolios for the liability adequacy test for the purposes of GPS 311 are based on APRA classes of business for Australian business and geographic regions for international business, the determination of excess technical provisions is carried out by comparing regional totals on GRF 210.1A_G or GRF 210.1B_G with equivalent totals recognised by region on GRF 302.0_G – Statement of Financial Position by Region (Level 2 Insurance Group) (GRF 302.0_G).