Instructions for completion of Form 58
1. Separate Forms must be completed for the total business and each subfund.
2. The entry at line 11 must be equal to the entry at line 59 in Form 40 for the relevant subfund.
3. Where interim, mortuary or terminal bonuses are determined in advance of a valuation and are paid in anticipation of surplus arising at the valuation, the amounts of such bonus actually paid in the period up to the relevant date must be entered at lines 12 and 41. To the extent that it is the practice of theinsurer to make special provision for the cost of such bonuses payable on future claims out of surplus arising at a valuation, such amounts must be treated as amounts allocated to policy holders at the valuation in question and included at line 44, and the actual amounts paid must not appear at lines 12 and 41 at future valuations. An appropriate supplementary note (code 5801) must identify the various items where necessary.
4. Where policies have been transferred from one subfund to another, the associated transfer of reserves must not be included as a “transfer” in this Form. Where any other transfer has been made, only one block of lines must be used (lines 13 and 14 or 32 and 33, depending on the direction of the net transfer) leaving the other block blank.
5. When the insurer records a transfer to the non-technical account or to another fund or part fund in a revenue account (Form 40) for a particular period, the amount of which has been derived from a valuation completed at the end of that period, that transfer must be shown at line 13 or 14 as appropriate, so that the true surplus appears in line 29.
6. Where the insurer decides to allocate to the long-term insurance business the whole or any part of the investment income or net capital gains arising from assets not attributable to its long-term insurance business, the allocation must be included in Form 58 as a transfer from the non-technical account. This transfer must be included at lines 13 or 32, depending on whether, for the financial year in question, there is an overall net transfer out of, or into, the fund (or part fund).
7. Where the entry at line 14 or line 33 represents more than one transaction, each transfer must be separately identified in a supplementary note (code 5802).
8. Line 61 is line 46 expressed as a percentage of line 48.
9. For each fund/subfund, the entry at line 21 must equal the total liabilities shown at line 48 in column 4 of Form 50.
10. The figure at lines 39 and 59 must equal the figure at line 29.
11. The figure at line 47 must equal the sum of lines 13 and 14.
12. Lines 61-64 are not applicable for the total business where there is more than one subfund.