Prudential Regulation Authority Rulebook

18.1

The insurance market risk capital component is 3% of the adjusted mathematical reserves for all insurance liabilities except those of a kind which:

1. (1) arise from contracts of insurance falling in long-term insurance business classes III, VII or VIII to the extent that the firm does not bear any investment risk; or
2. (2) arise from contracts of insurance falling in long-term insurance business class V; or
3. (3) for a pure reinsurer or a mixed insurer, arise from contracts of insurance falling within:
1. (a) its life protection reinsurance business; or
2. (b) its permanent health reinsurance business.