Main
>
Legal Framework
>
8.3. Treatment of particular assets and liabilities - General Takaful Business
FINANCIAL SERVICES LEGISLATION
RULES
TAKAFUL AND RETAKAFUL PRUDENTIAL RULES
Schedule 6 Prudential returns by Takaful Operators
Entire Act

8.3. Treatment of particular assets and liabilities - General Takaful Business

8.3.1. Treatment of premium liability

A Takaful Operator carrying on General Takaful Business must recognise as a liability for the relevant Takaful Fund, the value of future claims payments and associated direct and indirect settlement costs, arising from future events insured under policies that are in force as at the Solvency Reference Date (premium liability).

8.3.2. Treatment of value of future claims payments

A Takaful Operator carrying on General Takaful Business must recognise as a liability for the relevant Takaful Fund, the value of future claims payments and associated direct and indirect settlement costs, arising from insured events that have occurred as at the Solvency Reference Date.

8.3.3. Treatment of expected recoveries

A Takaful Operator carrying on General Takaful Business must recognise as an asset for the relevant Takaful Fund, the value of Retakaful / reinsurance and other recoveries expected to be received in respect of claims referred to in TRR 8.3.1 (Treatment of premium liability) and TRR 8.3.2 (Treatment of value of future claims payments).