APRA releases final revised reinsurance standard
The Australian Prudential Regulation Authority (APRA) has released a final revised Prudential Standard LPS 230 following consultation in November.
APRA made several amendments in response to the submissions.
These adjustments include amending the reference to “acquisition costs” to “acquisition expenses” and changing the term “Limited Risk Transfer Arrangements” to “Referable Reinsurance Arrangements” to avoid confusion.
It also clarified that the reinsurance report can be submitted to APRA as part of another report required to be provided to APRA or as a standalone report.
The revised LPS 230 will come into effect starting next month.