CTHRepealedLegislation
Insurance (prudential standard) determination No. 1 of 2019
Insurance Concentration Risk ChargeInsurance Concentration Risk Charge
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Insurance Concentration Risk Charge
- The Insurance Concentration Risk Charge for a regulated institution represents the net financial impact on the regulated institution from either a single large event, or a series of smaller events, within a one year period. The determination of the Insurance Concentration Risk Charge is based on the formulae and requirements set out in Prudential Standard GPS 116 Capital Adequacy: Insurance Concentration Risk Charge (GPS 116). For lenders mortgage insurers, additional requirements for calculating the Insurance Concentration Risk Charge are also set out in GPS 116.