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Life Insurance (prudential standard) determination No. 2 of 2023
Other insurance risksOther insurance risks
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Other insurance risks
51. The Appointed Actuary must determine an appropriate stress margin for risks arising from any other contingencies not specifically mentioned above. These risks may include, but are not limited to, changes to take-up rates on insurance options and premium dormancy rates. The stress must be determined so that the insurance risk charge for the statutory fund has a 99.5 per cent probability of sufficiency over a 12 month period. The stress may include allowance for correlations with other insurance stresses, with the exception of servicing expenses.