The Australian Prudential Regulation Authority (APRA) has finalised changes to six reporting standards that incorporate a clarification that’s important for the operation of the cyclone reinsurance pool.

Under the changes the Australian Reinsurance Pool Corporation is recognised as an APRA-authorised reinsurer and the reinsurance recoverables are not subject to a capital charge.

“No submissions were received in response to APRA’s consultation package,” the regulator says in a letter to insurers.

“APRA has finalised the amendments without further amendment, and has incorporated them into the relevant reporting standards as proposed.”

The change has been made to reporting standards for assets by counterparty grade, off-balance sheet business and asset concentration risk charge.

The standards are available here.