Prudential Regulation Authority Rulebook

17.1

This Chapter applies to the Society in relation to the use of an internal model for the purpose of Solvency Capital Requirement – General Provisions 3.1.

17.2

The internal model must:

1. (1) separately identify and aggregate any diminution in basic own funds arising as a result of the application of risk scenarios taken into account in the internal model to:
1. (a) the insurance business of members; and
2. (b) the central assets and central liabilities; and
2. (2) where the risk scenarios taken into account in the internal model result in the own funds attributable to a particular member being exhausted, identify the consequent impact upon own funds attributable to the Society.