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Health Insurance (prudential standard) determination No. 3 of 2024
Gains and losses arising from changes inGains and losses arising from changes in own creditworthiness
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Gains and losses arising from changes in own creditworthiness
- A private health insurer must eliminate all unrealised gains and losses that have resulted from changes in the value of liabilities (including capital instruments) and any associated embedded derivatives due to changes in the private health insurer’s own creditworthiness. Additional Tier 1 and Tier 2 Capital instruments must continue to be measured for capital adequacy purposes at their contractual values. Additional Tier 1 Capital and Tier 2 Capital instruments can be hedged in accordance with accounting standards.