Entire Section

  • PRU PIN 3.15 PRU PIN 3.15 PIN15 — Statement of assets covering non-linked Direct Long-Term Insurance Liabilities and Minimum Capital Requirement

    • Instructional Guidelines

      1. This form is required only for an Annual Regulatory Return prepared by a DIFC Incorporated Insurer conducting Direct-Long-Term Insurance Business and is required only in respect of that business.
      2. This form, which is prepared only by a DIFC Incorporated Insurer conducting Direct Long-Term Insurance Business, provides the DFSA with information on the assets held to cover policy liabilities under insurance contracts other than Class III, and assets held to cover the Minimum Capital Requirement. This form also provides the DFSA with information on the yields of those assets, to assist in interpretation of the Actuary’s Report.
      3. On this form, a reference in part I to assets held to cover participating contract liabilities, in part II to assets held to cover non-participating contract liabilities and in part III to assets held to cover the Minimum Capital Requirement means assets that:
      a. in the case of assets held to cover participating or non-participating contract liabilities, are held by the Insurer with the intention of meeting those liabilities under contracts of insurance effected by it, and in the opinion of the Directors, formed on reasonable grounds, are appropriate assets for that purpose; and
      b. are not reported by the Insurer on Form PRU PIN14 or in any other part of this form.
      4. An Insurer must present at items 1.1 to 4.3 in column 1 the amount of its assets disclosed on Form PRU PIN1 that are held to cover contract liabilities under participating Direct Long-Term Insurance Business. The instructional guidelines at section 3.1 apply to the completion of this form where an item on this form has the same description as an item on Form PRU PIN1, except that no distinction is made on this form between current and non-current assets.
      5. An Insurer must present at item 4.4 in column 1 the amount of any assets not falling within items 1.1 to 4.3 that are held to cover contract liabilities under participating Direct Long-Term Insurance Business. Where an Insurer includes an amount at this item, particulars of the asset must be included in a Supplementary Note, including a description of how that asset is disclosed on Form PRU PIN1.
      6. An Insurer must disclose at item 5.1 in column 1 the amount of assets included in item 5 that represent amounts due from, balances with or investments in Related parties, other than amounts due under insurance contracts.
      7. The amount at item 5 in column 1 must be not less than the amount on Form PRU PIN13 of the sum of item 8 in columns 1 and 2 less the sum of item 17 in columns 1 and 2, together with any element of the amount in column 4 that relates to participating business.
      8. An Insurer must present at items 6.1 to 9.3 in column 1 the amount of its assets disclosed on Form PRU PIN1 that are held to cover contract liabilities under non-participating Direct Long-Term Insurance Business other than Class III. The Rules at section 3.5 apply to the completion of this form where an item on this form has the same description as an item on Form PRU PIN1, except that no distinction is made on this form between current and non-current assets.
      9. An Insurer must present at item 9.4 in column 1 the amount of any assets not falling within items 6.1 to 9.3 that are held to cover contract liabilities under non-participating Direct Long-Term Insurance Business other than Class III. Where an Insurer includes an amount at this item, particulars of the asset must be included in a Supplementary Note, including a description of how that asset is disclosed on Form PIN1.
      10. An Insurer must disclose at item 10.1 in column 1 the amount of assets included in item 10 that represent amounts due from, balances with or investments in Related parties, other than amounts due under insurance contracts.
      11. The amount at item 10 in column 1 must be not less than the amount on Form PRU PIN13 in column 3 of item 8 after deducting item 3, less item 17 after deducting item 12, together with any element of the amount in column 4 that relates to non-participating business other than Class III.
      12. An Insurer must present at items 11.1 to 15.3 in column 1 the amount of its assets disclosed on Form PRU PIN1 that are held to cover the Minimum Capital Requirement in respect of Direct Long- Term Insurance Business. The Rules at section 3.5 apply to the completion of this form where an item on this form has the same description as an item on Form PRU PIN1, except that no distinction is made on this form between current and non-current assets.
      13. An Insurer must present at item 15.4 in column 1 the amount of any assets not falling within items 11.1 to 15.3 that are held to cover the Minimum Capital Requirement in respect of Direct Long- Term Insurance Business. Where an Insurer includes an amount at this item, particulars of the asset must be included in a Supplementary Note, including a description of how that asset is disclosed on Form PRU PIN1.
      14. An Insurer must disclose at item 15.1 in column 1 the amount of assets included in item 15 that represent amounts due from, balances with or investments in Related parties, other than amounts due under insurance contracts.
      15. For each item on this Form for which an Insurer is required to disclose an amount in column 1, the Insurer must disclose in column 2 the lower of the two following figures, expressed as a percentage:
      a. the actual annual yield achieved on the assets disclosed under that item, in the reporting period; and
      b. the annual yield expected to be achieved on the assets disclosed under that item, in the year following the reporting date.
      16. Where the figure in column 1 is derived as the result of a mathematical calculation expressed on the face of the Form. The amount to be disclosed in column 2 is not the sum of the values in column 2 for the items specified in the mathematical calculation expressed on the face of the form, but the yield in accordance with instrumental guideline 17 on the assets disclosed at the item in question in column 1.

      [Added] DFSA GM2/2007 (Made 5 July 2007). [VER3/08-07]