D.117 / R.C. Auto, Divers Risks and Transport (Direct Insurance Operations in Belgium)

64.392-1/PERM.TECHN./CV. Brussels, 18 January 1994. COMMUNICATION D. 117. Subject: R.C. Auto, Divers Risks and Transport (Direct Insurance Operations in Belgium)

• Statistical Statement
• Profitability of insurance product categories.

I. INTRODUCTION.
This communication does not call into question the basic principles set out in communications D. 95 and D. 102. It aims to provide some clarifications or corrections, essentially of a formal nature, which have been taken into account in the preparation of the electronic "reporting". Furthermore, we wish to remind companies that they are required to transmit to the Office, on computer media, the statistics relating to 1993. (For annual accounts, see communication D. 113).

II. ANNEX A.
We present below a comparative table of the differences between the annex contained in communication D. 102 and that which companies will have to fill in from the 1993 financial year (Annex A to this communication). These are almost exclusively modifications of the numbering.

2.-

Annex A D. 102	New Annex A
Start of financial year 31/12/previous financial year	End of financial year 31/12/current financial year
3.8.	3.4.A.
3.9.	3.4.Z
3.10.a	3.4.T.a
3.10.b	3.4.T.b
3.11.a	3.5.A.
3.11.b	3.6.A.
3.12.a	3.5.Z.
3.12.b	3.6.Z
3.13.a	distributed between 3.5.T.a and 3.6.T.a. 3.13.b

3.-
The same numbering adaptations have been made for the supplementary statistics (by year of occurrence).

III. ANNEXES C1 AND C2 OF COMMUNICATION D. 102. (only in the French language version)
C1 charges; replace in IV: code 059 by code 075 replace in V: code 075 by code 076 C2 charges; replace in X: code 085 by code 089

IV. ANNEXES D.1 AND D.2 OF COMMUNICATION D.102.
For premiums accumulated by year of subscription, the new "reporting" provides for a single table with only one column per product or group of products; as many columns as there are products or groups of products concerned must be created. The code of each product or group of products, as well as the name, must be mentioned by the company.

V. ANNEX E. OF COMMUNICATION D.102
For the breakdown of I.B.N.R. by year of occurrence or subscription, the same method as that mentioned in point IV of this communication must be used.

VI. POINT VI OF COMMUNICATION D.95
In the "Miscellaneous Information" table, companies must indicate whether the supplementary statistics were filled in by year of occurrence or by year of subscription. In the event that they use two methods concurrently for identical tables, companies will transmit to us, on computer media, the tables duly completed according to one method and will send us, in "paper" form, the tables filled in according to the second method.

4.-
VII. PROFITABILITY
Furthermore, the columns relating to the product groups covered by profitability no longer appear on a dark background in the "electronic reporting". We therefore wish to clarify that there is no change in principle and that the product groups concerned correspond to columns I to XXXIII of the basic statistics.

VIII. BORDERAU
When sending statistics to the Office, companies will attach a borderau (see Annex B). They will ensure that it is signed by the head of the company or their delegate.

IX. CONCORDANCE BETWEEN ANNUAL ACCOUNTS AND STATISTICS.
Given that the concordance tests between annual accounts and statistics will not be blocking until the entry into force of the new annual account schemas, companies are invited to correct themselves the discrepancies signaled by the system or to explain them. The President, J-M. DELPORTE.

64393/PERM.TECHN./CV.
ANNEX A. : EXAMPLE FOR THE 1993 FINANCIAL YEAR
STATISTICS OF DIRECT INSURANCE OPERATIONS "R.C. AUTO, DIVERS RISKS AND TRANSPORT" CARRIED OUT IN BELGIUM IN 1993

I. PREMIUMS AND ACCESSORIES (I = 1.1. + 1.2)
1. 1. ISSUED PREMIUMS REMAINING TO BE ISSUED
0. Amount of premiums subject to the I.N.A.M.I. contribution.
1. 2. POLICY AND ENDORSEMENT FEES

II. BENEFITS, RECOVERIES AND CLAIMS MANAGEMENT
(II = 2.1. + 2.2. + 2.3. - 2.4.)
2. 1. DIRECT BENEFITS IN FAVOUR OF BENEFICIARIES
2. 2. EXTERNAL CLAIM SETTLEMENT COSTS
2. 3. INTERNAL CLAIM SETTLEMENT COSTS
2. 4. RECOVERIES OF TECHNICAL CHARGES

III. TECHNICAL PROVISIONS AND ESTIMATED RECOVERIES
(III = - 3.1.A + 3.1.Z - 3.1.T.a. +3.1.T.b - 3.2.A + 3.2.Z - 3.2.T.a + 3.2.T.b + 3.3.A. - 3.3.Z - 3.4.A+ 3.4.Z - 3.4.T.a + 3.4.T.b - 3.5.A + 3.5.Z - 3.5.T.a + 3.5.T.b - 3.6.A + 3.6.Z - 3.6.T.a + 3.6.T.b) 3.1.A. PROVISION FOR RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES AT
31.12.1992 (3.1.A = 3.1.A.1 + 3.1.A.2.)

1. Provision for risks in course and suspended risks
2. Provision for probable losses

2.-
3.1.Z. PROVISION FOR RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES AT
31.12.1993 (3.1.Z = 3.1.Z.1 + 3.1.Z.2.)
1. Provision for risks in course and suspended risks
2. Provision for probable losses
3.1.T. PROVISION FOR RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES TRANSFERRED a. received b. ceded 3.2.A.PROVISION FOR BENEFITS TO BE SETTLED AT 31.12.1992 (3.2.A. = 3.2.A.1. + 3.2.A.2. + 3.2.A.3.)
1. Provision for declared claims
2. Provision for I.B.N.R. claims
3. Provision for internal claim settlement costs
3.2.Z. PROVISION FOR BENEFITS TO BE SETTLED AT 31.12.1993 (3.2.Z. = 3.2.Z.1. + 3.2.Z.2. + 3.2.Z.3.)
1. Provision for declared claims
2. Provision for I.B.N.R. claims
3. Provision for internal claim settlement costs
3.2.T. PROVISION FOR BENEFITS TO BE SETTLED TRANSFERRED a. ceded b. received 3.3.A.ESTIMATION OF RECOVERIES OF TECHNICAL CHARGES AT 31.12.1992 3.3.Z. ESTIMATION OF RECOVERIES OF TECHNICAL CHARGES AT 31.12.1993 3.4.A.PROVISION FOR EQUALIZATION OR BALANCING AT 31.12.1992 3.4.Z. PROVISION FOR EQUALIZATION OR BALANCING AT 31.12.1993 3.4.T. PROVISION FOR EQUALIZATION TRANSFERRED a. received b. ceded 3.5.A.PROVISION FOR AGING AT 31.12.1992 3.5.Z. PROVISION FOR AGING AT 31.12.1993 3.5.T. PROVISION FOR AGING TRANSFERRED a. received b. ceded 3.6.A.AOTHER TECHNICAL PROVISIONS AT 31.12.1992 3.6.Z. OTHER TECHNICAL PROVISIONS AT 31.12.1993 3.6.T. OTHER TECHNICAL PROVISIONS TRANSFERRED a. received b. ceded

3.-
IV. OTHER TECHNICAL CHARGES AND INCOME (IV = 4.1. - 4.2)
4.1. OTHER TECHNICAL CHARGES
4.2. OTHER TECHNICAL INCOME

V. PROFIT SHARING AND REBATES
(V = 5.1. + 5.2. - 5.3.A + 5.3.Z. - 5.3.T.a + 5.3.T.b)
5.1. ALLOCATION OF THE FINANCIAL YEAR TO THE PROVISION FOR PROFIT SHARING
5.2. PROFIT SHARING PAID (5.2.1. + 5.2.2.)

1. charged to the previously constituted provision
2. charged to the financial year
   5.3.A.PROVISION FOR PROFIT SHARING AT 31.12.1992 5.3.Z. PROVISION FOR PROFIT SHARING AT 31.12.1993 5.3.T. PROVISION FOR PROFIT SHARING TRANSFERRED a. received b. ceded

VI. ACQUISITION COSTS AND COMMISSIONS (VI = 6.1. + 6.2.)
6.1. COMMISSIONS
6.2. ACQUISITION COSTS

S1.GROSS BALANCE OF INSURANCE ACTIVITY (S1 = I - II - III - IV - V - VI)

VII. ADMINISTRATIVE COSTS (VII = 7)
7. ADMINISTRATIVE COSTS

S2.GROSS BALANCE BEFORE INVESTMENT INCOME (S2 = I - II - III - IV - V - VI - VII)

4.-
VIII. INVESTMENT INCOME (VIII = 8.1. + 8.2. + 8.3.)
8.1. INCOME FROM PARTICIPATIONS AND OTHER INVESTMENTS
8.2. REVERSALS OF VALUE ADJUSTMENTS ON INVESTMENTS
8.3. REALIZED CAPITAL GAINS

IX. INVESTMENT CHARGES (IX = 9.1. + 9.2. + 9.3. + 9.4.)
9.1. INTEREST CHARGES
9.2. INVESTMENT MANAGEMENT CHARGES
9.3. VALUE ADJUSTMENTS ON INVESTMENTS
9.4. REALIZED CAPITAL LOSSES

S3.GROSS TECHNICO-FINANCIAL BALANCE (S3 = I - II - III - IV - V - VI - VII + VIII - IX)

X. REINSURANCE CEDED (X = 10)
10. BALANCE OF REINSURANCE CEDED

S4.BALANCE OF REINSURANCE CEDED (S4 = I - II - III - IV - V - VI - VII + VIII - IX + X)

XI. ALLOCATION OF NON-TECHNICAL INCOMES (net of charges) TO
INSURANCE PRODUCT CATEGORIES

XII. ALLOCATION OF UNREALIZED CAPITAL GAINS ON INVESTMENTS
to Insurance Product Categories

XIII. ALLOCATION OF UNREALIZED CAPITAL LOSSES ON INVESTMENTS
to Insurance Product Categories

5.-
CODES . Breakdown of annual accounts, Chapter II, Section II

I. PREMIUMS AND ACCESSORIES
1.1. ISSUED AND REMAINING TO BE ISSUED PREMIUMS 002+004-005
0 AMOUNT SUBJECT TO INAMI CONTRIBUTION
1.2. POLICY AND ENDORSEMENT FEES 006

II. BENEFITS, REC. AND CLAIMS MANAGEMENT
2.1 DIRECT BENEFITS IN FAVOUR OF BEN. 032
2.2. EXTERNAL CLAIM SETTLEMENT COSTS 033
2.3. INTERNAL CLAIM SETTLEMENT COSTS (149)-(148)
2.4. RECOVERIES OF TECHNICAL CHARGES 021

III. TECHNICAL PROVISIONS AND ESTIMATED REC.
3.1. A. PROV. RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES
AT 31.12.1992
009
1. prov. risks in course and suspended
2. prov. probable losses
3.1. Z. PROV. RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES AT
31.12.1993
010
1. prov. risks in course and suspended
2. prov. probable losses
3.1. T. PROV. RISKS IN COURSE, SUSPENDED RISKS AND PROBABLE LOSSES
TRANSFERRED a. received 012 b. ceded 013
3.2. A. PROV. FOR BENEFITS TO BE SETTLED AT 31.12.1992 041
1. prov. for declared claims
2. prov. claims IBNR
3. prov. internal claim settlement costs
3.2. Z. PROV. FOR BENEFITS TO BE SETTLED AT 31.12.1993 040
1. prov. for declared claims
2. prov. claims IBNR.
3. prov. internal claim settlement costs
3.2. T. PROV. FOR BENEFITS TO BE SETTLED TRANSFERRED
a. received 056 b. ceded 055
3.3. A. ESTIM. REC. OF TECHNICAL CHARGES AT 31.12.1992 024
3.3. Z. ESTIM. REC. OF TECHNICAL CHARGES AT 31.12.1993 023
3.4. A. PROV. FOR EQUALIZATION OR BALANCING AT 31.12.1992 (053)
3.4. Z. PROV. FOR EQUALIZATION OR BALANCING AT 31.12.1993 (052)
3.4. T. PROV. FOR EQUALIZATION TRANSFERED ()
a. received b. ceded
3.5. A. PROV. FOR AGING AT 31.12.1992 (053)
3.5. Z. PROV. FOR AGING AT 31.12.1993 (052)

6.-
3.5. T. PROV. FOR AGING TRANSFERED ()
a. received b. ceded
3.6. A. OTHER TECHNICAL PROV. AT 31.12.1992 (053)
3.6. Z. OTHER TECHNICAL PROV. AT 31.12.1993 (052)
3.6. T. OTHER TECHNICAL PROV. TRANSFERED ()
a. received b. ceded

IV. OTHER TECHNICAL CHARGES AND INCOME
4.1. OTHER TECHNICAL CHARGES 065
4.2. OTHER TECHNICAL INCOME ()

V. PROFIT SHARING AND REBATES
5.1. ALLOC. OF FINANCIAL YEAR TO PROV. FOR PROFIT SHARING AND
REBATES
058
5.2. PROFIT SHARING AND REBATES PAID

1. charged to the previously constituted prov. 062
2. charged to the financial year 063
   5.3. A. PROV. FOR PROFIT SHARING AT 31.12.1992 (053)
   5.3. Z. PROV. FOR PROFIT SHARING AT 31.12.1993 (052)
   5.3. T. PROV. FOR PROFIT SHARING AND REBATES TRANSFERRED ()
   a. received b. ceded

VI. ACQUISITION COSTS AND COMMISSIONS
6.2. COMMISSIONS 068+069-
070+071
6.2. ACQUISITION COSTS (149)-(148)

S1. GROSS BALANCE OF INSURANCE ACTIVITY

VII. ADMINISTRATIVE COSTS
7 ADMINISTRATIVE COSTS (149)-(148)

S2. GROSS BALANCE BEFORE INVESTMENT INCOME

VIII. INVESTMENT INCOME
8.1. INCOME FROM PARTICIPATIONS AND OTHER INVESTMENTS (144)
8.2. VALUE ADJUSTMENTS ON INVESTMENTS (154)
8.3. REALIZED CAPITAL GAINS (162)

7.-
IX. INVESTMENT CHARGES
9.1. INTEREST CHARGES (145)
9.2. INVESTMENT MANAGEMENT CHARGES ()
9.3. VALUE ADJUSTMENTS ON INVESTMENTS (157)
9.4. REALIZED CAPITAL LOSSES (165)

S3. GROSS TECHNICO-FINANCIAL BALANCE

X. REINSURANCE CEDED
10. BALANCE OF REINSURANCE CEDED 115-130

S4. NET TECHNICO-FINANCIAL BALANCE

XI. ALLOCATION OF NON-TECHNICAL INCOMES (net of charges) TO
INSURANCE PRODUCT CATEGORIES

XII. ALLOCATION OF UNREALIZED CAPITAL GAINS ON
INVESTMENTS TO INSURANCE PRODUCT CATEGORIES

XIII. ALLOCATION OF UNREALIZED CAPITAL LOSSES ON
INVESTMENTS TO INSURANCE PRODUCT CATEGORIES