Chapter34-Reporting results

Question 1

Framework

Answer 1

1 Changes in accounting standards and impact of using market values for liabilities/ assets
2 Accounting concepts (CMG BRAMDM PC)
3 Analysing accounts
4 Reports accompanying accounts (CIRCUS)
5 Accounting ratios for general insurer
To members of schemes, by sponsors:
6 Importance of disclosure (SIMMERS)
7 Timing of disclosure (PRICE)
8 Info to be disclosed (SCRIBE)
9 Common aims of accounting standards (CARD)
10 Info required to be disclosed by owners of benefit schemes (DIM CLAIMS)

Question 2

Accounting ratios for general insurer

Answer 2

1. Incurred expenses to premium income
2. Commission to premium income
3. Operating ratio (total of incurred claims and expenses to premium income)
4. Outward reinsurance premium to gross premium income

Question 3

Info to be disclosed (to members)

Answer 3

Strategy for investment

Contribution obligations

Risks involved

Insolvency entitlement

Benefit entitlements

Expense charges