Notice on Insurance Returns (Accounts and Statements) for Financial Guarantee Insurers

1 Notice No. : MAS 213 Issue Date : 28 September 2018 *Last revised on 30 December 2020 NOTICE ON INSURANCE RETURNS (ACCOUNTS AND STATEMENTS) FOR FINANCIAL GUARANTEE INSURERS Introduction 1 This Notice is issued pursuant to sections 36(3) and 64(2) of the Insurance Act (Cap. 142) (“the Act”) and applies to financial guarantee insurers. Definitions 2 For the purposes of this Notice: “Accounting Standards” has the same meaning as in section 4(1) of the Companies Act (Cap. 50); “composite reinsurer” means a reinsurer licensed to carry on both general business and life business; “direct composite insurer” means a direct insurer licensed to carry on both general business and life business; “direct general insurer” means a direct insurer licensed to carry on general business only; [Deleted by MAS Notice 213 (Amendment No. 2) 2020] “financial guarantee insurance policy” has the same meaning as in regulation 2 of the Insurance (Financial Guarantee Insurance) Regulations; “financial guarantee insurer” has the same meaning as in regulation 2 of the Insurance (Financial Guarantee Insurance) Regulations; “general reinsurer” means a reinsurer licensed to carry on general business only; “MASNET” means MAS Network; “Offshore Insurance Fund” means an insurance fund established and maintained under section 17(1) of the Act for offshore policies; “Singapore Insurance Fund” means an insurance fund established and maintained under section 17(1) of the Act for Singapore policies.

2 3 The expressions used in this Notice shall, except where expressly defined in this Notice or where the context otherwise requires, have the same respective meanings as in the Act. Forms 4 The forms mentioned in this Notice are those set out in the Appendix B. Submission Requirements 5 Every financial guarantee insurer that is — (a) a direct general insurer; (b) a direct composite insurer; (c) a general reinsurer; or (d) a composite reinsurer must lodge all applicable forms set out in Appendix A in the form and manner specified in Appendix A, in addition to the documents that must be lodged under Notice No.: MAS 129 (Notice on Insurance Returns (Accounts and Statements)). 6 A financial guarantee insurer must comply with the signatory requirements specified in Appendix A in respect of any form, annex or document that is required to be lodged by the licensed insurer under paragraph 5 by way of electronic submission via email. [MAS Notice 213 (Amendment No. 2) 2020] 7 Where a form is required to be signed by or on behalf of a financial guarantee insurer’s chief executive in Singapore, the financial guarantee insurer must ensure that — (a) the form is approved by its chief executive; and (b) if not signed by the financial guarantee insurer’s chief executive, be signed by one of the insurer’s officersin Singapore who is for the time being notified to the Authority as having authority for the purposes of this Notice to sign in place of the chief executive in Singapore. 8 A financial guarantee insurer must — (a) submit electronically via MASNET, any form, annex or document that has a submission deadline specified in its corresponding row under the column labelled “Annual Returns” – “Electronic submission via MASNET” – “Submission deadline” in Appendix A; and (b) submit electronically via email any form, annex or document that has a submission deadline specified in its corresponding row under the column labelled “Annual Returns” – “Electronic submission via email” – "Submission deadline”. [MAS Notice 213 (Amendment No. 2) 2020]

3 8A A financial guarantee insurer must submit the form, annex or document mentioned in paragraph 8(b) to the Authority by sending the form, annex or document by email to the email address specified by written notification sent by the Authority. [MAS Notice 213 (Amendment No. 2) 2020] Provisions as to Returns Lodged 9 A financial guarantee insurer must ensure that all of the following requirements are complied with in relation to any form that the financial guarantee insurer is required to lodge under this Notice — (a) The form is in English; and (b) All monetary amounts referred to in the form are in Singapore dollars unless otherwise specified in the applicable form. 10 In any form which a financial guarantee insurer is required to prepare in accordance with this Notice, the financial guarantee insurer must ensure that the value or amount given for an asset or a liability of the insurer or the calculation of financial resources and risk requirement of the insurer is the value or amount of that asset or liability or that calculation, as the case may be, as determined in accordance with any applicable regulation under the Insurance (Valuation and Capital) Regulations 2004, any applicable direction in MAS Notice 133 (Notice on Valuation and Capital Framework for Insurers), and any applicable direction issued under the Act. [MAS Notice 213 (Amendment) 2020] 11 In any form which a financial guarantee insurer is required to prepare in accordance with this Notice, the financial guarantee insurer must ensure that the value or amount given for an income item, an expense item, an equity item or a change in equity item of the insurer is valued in accordance with — (a) the instructions for completion in the forms; and (b) where there are no applicable instructions for completion in the forms, the Accounting Standards. 12 In any form which a financial guarantee insurer is required to prepare under this Notice, the financial guarantee insurer must recognise any asset, liability, equity, income, expense and change in equity in accordance with — (a) any applicable regulation under the Insurance (Valuation and Capital) Regulations 2004, any applicable direction in MAS Notice 133 (Notice on Valuation and Capital Framework for Insurers), and any applicable direction issued under the Act; and (b) where sub-paragraph (a) does not apply, the recognition requirements in the Accounting Standards. [MAS Notice 213 (Amendment) 2020] Frequency and Deadline for Submission of Returns 13 A financial guarantee insurer must lodge, for each accounting period, every form,

4 annex or document that has a submission deadline specified in its corresponding row under the columns labelled: (a) “Annual Returns” – “Electronic submission via MASNET” – “Submission deadline”; or (b) “Annual Returns” – “Electronic submission via email” – “Submission deadline”, in Appendix A, on or before the last day of the period specified in that row where the period is calculated from the last day of the accounting period. [MAS Notice 213 (Amendment No. 2) 2020] Effective Date and Transitional Provisions 14 This Notice shall take effect on 1 January 2019. 15 A financial guarantee insurer must comply with the version of MAS Notice 213 and the Insurance (Valuation and Capital) Regulations 2004, in force immediately before 31 March 2020 for the following periods: (a) the accounting period beginning on or after 1 January 2019 and ending on 31 December 2019; and (b) the financial year of the financial guarantee insurer beginning on any day between 1 January 2019 and 31 December 2019 (both dates inclusive). [MAS Notice 213 (Amendment) 2020] Notes on History of Amendments

1. MAS Notice 213 (Amendment) 2020 dated 6 March 2020 with effect from 31 March 2020.
2. MAS Notice 213 (Amendment No. 2) 2020 dated 30 December 2020 with effect from 31 December 2020.

SUBMISSION REQUIREMENTS Appendix A Quarterly Returns Other Annual Returns Electronic submission via MASNET Electronic submission via MASNET Electronic submission via MASNET Submission deadline Submission deadline Submission deadline Submission deadline Signatory requirement From the last day of the quarter From the last day of the accounting period Additional Returns Form G5 Statement of Premiums, Claims and Underwriting Results in respect of Financial Guarantee Insurance 3 months 3 months and 2 weeks Chief Executive + 2 Directors Additional Returns Form G6 Statement of Total Net Exposure 3 months 3 months and 2 weeks Chief Executive + 2 Directors Additional Returns Form G7 Qualified Capital (Financial Guarantee Insurance) - applicable to FG insurers incorpororated outside Singapore 6 months 6 months Chief Executive + 2 Directors From the last day of the accounting period

1. For a financial guarantee insurer which is a direct general insurer or general reinsurer that issues only financial guarantee insurance policies, it shall submit:

• the returns set out in Appendix A - 1 or Appendix A - 4 respectively (other than Form A4) in MAS 129 – Notice on Insurance Returns (Accounts and Statements); and
• additional returns Forms G5, G6 and G7 in Appendix B.

2. For a financial guarantee insurer which is a direct general insurer or general reinsurer that issues other types of insurance policies in addition to financial guarantee insurance policies, it shall submit:

• the returns set out in Appendix A - 1 or Appendix A - 4 respectively in MAS 129 – Notice on Insurance Returns (Accounts and Statements); and
• additional returns Forms G5, G6 and G7 in Appendix B.

3. For a financial guarantee insurer which is a direct composite insurer or composite reinsurer, it shall submit:

• the returns set out in Appendix A - 3 or Appendix A - 6 respectively in MAS 129 – Notice on Insurance Returns (Accounts and Statements); and
• additional returns Forms G5, G6 and G7 in Appendix B. Form Annex Title Financial Guarantee Insurers Annual Returns Electonic submission via email To be audited [MAS Notice 213 (Amendment No. 2) 2020]

Appendix B LIST OF INSURANCE FORMS FOR FINANCIAL GUARANTEE INSURERS Form Title G5 Statement of Premiums, Claims and Underwriting Results in respect of Financial Guarantee Insurance G6 Statement of Total Net Exposure G7 Qualified Capital (Financial Guarantee Insurance)

Co Code Year Month PREMIUMS Gross premiums Direct business Reinsurance business accepted from cedants in - Singapore Other ASEAN countries Other countries Total (2 to 4) Total gross premiums (1 + 5) Reinsurance business ceded to reinsurers in - Singapore Other ASEAN countries Other countries Total (7 to 9) Net premiums written (6 - 10) Increase/ (decrease) in premium liabilities (gross of reinsurance) Decrease/ (increase) in reinsurers’ share of premium liabilities Premiums earned during the period (11 - 12 - 13) CLAIMS Gross claims settled Direct business Reinsurance business accepted from cedants in - Singapore Other ASEAN countries Other countries Total (16 to 18) Total gross claims settled (15 + 19) Recoveries from reinsurance business ceded to reinsurers in - Singapore Other ASEAN countries Other countries Total (21 to 23) Net claims settled (20 - 24) Increase/ (decrease) in claim liabilities (gross of reinsurance) Decrease/ (increase) in reinsurers’ share of claim liabilities Net claims incurred (25 + 26 + 27) MANAGEMENT EXPENSES Management Expenses DISTRIBUTION EXPENSES/ (INCOME) Commission expenses Reinsurance commission income Net commission expenses/ (income) (30 - 31) Other distribution expenses/ (income) Total distribution expenses/ (income) (32 + 33) UNDERWRITING RESULTS Underwriting gain/ (loss) (14 - 28 - 29 - 34) NET INVESTMENT INCOME/ (LOSS) OPERATING RESULTS (35 + 36) Names and Signature of: ___________________________________ _____________________________________________ ______________________________________________ Date: _________________________________________ Director Director Chief Executive 36 37 31 32 33 34 35 30 21 22 23 24 25 26 27 28 29 12 13 14 15 16 17 18 19 20 Total 11 2 3 4 10 1 Infrastructure Government Real Estate Corporate Others 5 6 7 8 9 NAME OF INSURER _____________________________________________________________________________________________________ FORM G5 – STATEMENT OF PREMIUMS, CLAIMS AND UNDERWRITING RESULTS IN RESPECT OF FINANCIAL GUARANTEE INSURANCE FROM _______________ TO _______________ Description Row No. Singapore Insurance Fund (Financial Obligation) Offshore Insurance Fund (Financial Obligation) Asset Backed Total Asset Backed Infrastructure Government Real Estate Corporate Others

Co Code Year Month A. YEAR PAYABLE Current Year + 1 _____ Current Year + 2 _____ Current Year + 3 _____ Current Year + 4 _____ Current Year + 5 _____ Current Year + 6 _____ Current Year + 7 _____ Current Year + 8 _____ Current Year + 9 _____ Current Year + 10 _____ Current Year + 11 _____ Current Year + 12 _____ Current Year + 13 _____ Current Year + 14 _____ Current Year + 15 _____ Current Year + 16 to +20 _____ to _____ Current Year + 21 to +25 _____ to _____ Current Year + 26 + _____ + _____ B. GEOGRAPHICAL DISTRIBUTION Bangladesh China Hong Kong India Indonesia Korea Malaysia Pakistan Philippines Singapore Sri Lanka Taiwan Thailand Others C. SHADOW RATING Aaa/AAA Aa/AA A/A Baa/BBB Ba/BB Below Ba/BB Nonrated TOTAL Names and Signature of: ___________________________________ _____________________________________________ ______________________________________________ Date: _________________________________________ Director Director Chief Executive Asset Backed Infrastructure NAME OF INSURER _____________________________________________________________________________________________________ FORM G6 – STATEMENT OF TOTAL NET EXPOSURE AS AT __________ Description Row No. Singapore Insurance Fund (Financial Obligation) Offshore Insurance Fund (Financial Obligation) Asset Backed Infrastructure Government 1 Real Estate Corporate Others Total Government Real Estate Corporate Others Total 13 2 3 4 5 6 7 8 9 10 11 12 24 14 15 16 17 18 19 20 21 22 23 35 25 26 27 28 29 30 31 32 33 34 36 37 38 39 40

Co Code Year Month $ ( )* QUALIFIED CAPITAL Paid-up share capital Share premium reserves Surplus/ Retained earnings **Contingency reserves ***Others ****Capital on call TOTAL QUALIFIED CAPITAL (1 to 6)

• Please state the reporting currency ** As defined under regulation 6 of the Insurance (Financial Guarantee Insurance) Regulations *** Other securities and interests of the company as the Authority may consider to be qualified capital as prescribed under paragraph (b)(ii) of the definition of "qualified capital" in regulation 2 of the Insurance (Financial Guarantee Insurance) Regulations **** Means capital commitments backed by proper agreements to effect the call on capital on demand. Names and Signature of: Date: ________________ Director 5 NAME OF INSURER __________________________________________________________ FORM G7 – QUALIFIED CAPITAL (FINANCIAL GUARANTEE INSURANCE) FROM _______________ TO _______________ Description Row No. Amount 1 2 3 4 6 7 Director Chief Executive [MAS Notice 213 (Amendment) 2020]