GIM6210 - Technical provisions: periods of account beginning on or after 1 January 2000 and ending before 19 July 2007: General Insurance Reserves (Tax) Regulations: summary of regulation 3
Regulation 3 set out rules for recalculating the 바카라 사이트˜original provisions바카라 사이트™ for the earlier period of account.
Rule 1: Subject to regulation 5 (GIM6350), all calculations were to be made in sterling.
Rule 2: Determined the 바카라 사이트˜original provisions for the earlier period of account바카라 사이트™.
Rule 3: Determined out the cost of settling liabilities to which the original provisions related.
Rule 4: Applied where the insurer entered into a reinsurance contract or a novation.
Rule 5: Discounted each liability and aggregated them to find the 바카라 사이트˜recalculated provisions바카라 사이트™.
Rule 6: Compared the difference between original and recalculated provisions and a 바카라 사이트˜margin for error바카라 사이트™.
Rule 7: Subject to the margin for error, the difference represented the 바카라 사이트˜cumulative excess or deficiency바카라 사이트™.
Rule 8: Compared the cumulative excess or deficiency with amounts found in 바카라 사이트™intervening periods바카라 사이트™.
Rule 8A: Applied where an election had been made under FA00/S107 (4).
Rule 9: Calculated interest on the result of Rule 8 to find the excess or deficiency for the period in which the calculation is made.
Rule 10: UPP and URP were excluded from the rules.