TP (L) – F2
ITEM
General Comment
CELL
NUMBER(S)
N/A
DEFINITION
This template applies to all Best Estimates
EXAMPLE
N/A
It is similar to the one used on the Non-Life
Side (See TP – NL => template TP – E2)
1 = 1st year after the
reporting year
PURPOSE
Give an overview of the timing of future cash
flows used for calculation of gross BE =>
description of risk profile (short / long term),
ALM analysis, liquidity risk management (for
each Balance Sheet category of BE)
Assess expected cash-flows on a year-by-year
basis, in order to roughly compare with
projected investment returns (see Assets
templates) and other cash-flows
Year (projection of
undiscounted
cash-flows)
1st column
For each line, amount of cash-flows expected
for the year
Life BE excl U-L
(gross)
A1-F33
U-L BE (gross)
AU1-FU33
Health SLT BE
(gross)
AH1-FH33
Future Guaranteed
Benefits (FGB)
A1-A33, AH1AH33
Balance Sheet category for TP (i.e. excl. U-L
and health SLT)
Reconciliation of total (sum A33-F33) with
gross Life BE (excl. U-L) in BS-C1 (cell L8)
Balance Sheet category for TP
Reconciliation of total (sum AU33-FU33) with
gross U-L BE in BS-C1 (cell L11)
Balance Sheet category for TP
Reconciliation of total (sum AH33-FH33) with
gross health SLT BE in BS-C1 (cell L6D)
Payments to policyholders and beneficiaries
other than future discretionary benefits (see
art. 78 (3) of L1 text)
Future
Discretionary
Benefits (FDB)
Future Benefits
B1-B33, BH1BH33
FDB as defined in CEIOPS L2 advice (ex-CP 39)
Assess importance of discretionary obligations
in BE
AU
For unit-linked, all payments to policyholders
and beneficiaries (see art. 78 (3) of L1 text)
Assess importance of payments of policyholders
(where split guaranteed / discretionary not
relevant)
Assess importance of guaranteed obligations in
BE, and therefore importance of minimum
engagements towards policyholders
TP (L) – F2
ITEM
Future Expenses
and other cash-out
flows
Future Premiums
CELL
NUMBER(S)
C, CU, CH
D, DU, DH
DEFINITION
EXAMPLE
PURPOSE
Expenses as defined in CEIOPS L2 advice (exCP 39); this also includes other gross cashflow items other than payments to
policyholders and beneficiaries, such as
taxation payments charged to policyholders;
Assess importance of expenses (esp. compared
to benefits)
Future premiums (cash-in flows) as defined in
CEIOPS L2 advice (ex CP-30)
Assess importance of future premiums, i.e.
expected future payments from policyholders
Other cash-in flows F, FU, FH
This item does not include investment
returns, which are not cash-in flows for BE
calculation purposes.
Value of future
cash-flows (sum)
A32-FH32
Formula
Expected present
value (best
estimate) of future
cash-flows
A33-FH33
Sum of cash-flows, after impact of discounting
Reconciliation with TP-F1, e.g. for
Recoverables :
TP-F2 cell A33 is equal to TP-F1 cell BA1 + BA5
+ BA7
TP-F2 cell AU33 is equal to TP-F1 cells BA3
TP-F2 cell AH33 is equal to TP-F1 cells
BA10+BA12
Compare sum of undiscounted cash flows with
BE (discounted) to see overall impact of
discounting
Reconcile with other templates, and have
overall view of TP