Instructional Guidelines

1. This form summarises the financial performance of the Insurer.
2. This form is required for each reporting unit in respect of which the Insurer must prepare a Return, except for a DIFC Business Return.
3. This form must agree with other forms in the Return (where those forms are prepared for the same reporting unit) in the following respects:
a. Item 1.1 must agree to form 4 item 9 column 5;
b. Item 1.2 must agree to form 4 item 28 column 5;
c. Item 2.1 must agree to form 4 item 19 column 5;
d. Item 2.2 must agree to form 4 item 37 column 5;
e. Item 4.1 must agree to form 5 item 9 column 5;
f. Item 4.2 must agree to form 5 item 28 column 5;
g. Item 5.1 must agree to form 5 item 19 column 5;
h. Item 5.2 must agree to form 5 item 37 column 5;
i. Item 10.1 must equal the sum of items 9 and 28 in column 5 on form 8;
j. Item 10.2 must equal the sum of items 19 and 37 in column 5 on form 8;
k. Item 13.1 must equal item 7 minus item 6.3 on form 7; and
l. Item 13.2 must agree to form 7 item 6.3.
4. An Insurer must present at item 7 the amount of the movement in the period reported on in the balance of Insurance Liabilities.
5. An Insurer must present at item 8 the amount of the movement in the period reported on in the balance of reinsurance and other recoveries in respect of Insurance Liabilities.
6. Insurance Liabilities are reported gross of reinsurance and other recoveries. Reinsurance and other recoveries that are recorded in respect of Insurance Liabilities are reported as assets. An increase in Insurance Liabilities is reported on form 3 as an expense. In the same manner, an increase in the reinsurance and other recoveries in respect of Insurance Liabilities is recorded as revenue.
7. The other expenses disclosed at item 10.4 must be only those attributable to a Long-Term Insurance Fund. Expenses that are not so attributable are disclosed at item 10.5. By virtue of PIN Rule 3.5.5, expenses that do not relate to the Insurer’s Long-Term Insurance Business may not be attributed to a Long-Term Insurance Fund.
8. An Insurer must present the following information in a Supplementary Note to this form:
a. the amount if any included in item 11.2 that represents other operating income receivable from Related parties, and a description of the nature of that income;
b. the amount if any included in item 13.3 that represents investment expenses payable to Related parties; and
c. where item 18 does not agree to form 1 item 39.5, a reconciliation showing the differences between the two figures.
Derived from DFSA RM44/2007 (Made 1st June 2007). [VER2/06-07]
[Amended] DFSA GM2/2007 (Made 5th July 2007). [VER3/08-07]