Financial Reports

Annual Report and Consolidated Financial Statement

This is the key report, by the Directors to the Members, on the activities and performance of the mutual over the relevant period. Along with the financial statements, there is a commentary on how the company views and manages the risks it faces and the activities undertaken to ensure the company is governed appropriately on behalf of Members.

The Solvency and Condition Financial Report (SFCR)

The SFCR is a report, by the directors, mandated by regulators, as part of the Solvency II regime, to provide to stakeholders with a qualitative and quantitative view of risk within the insurance business.

The qualitative elements of the report provide commentary on how risk arises, how these risks are identified and how they are mitigated, reduced or transferred as part of our overall risk management approach within the business.

From a quantitative perspective, we provide a balance sheet, re-presented on a modified valuation and disclosure basis in line with the regulations. The net assets in this balance sheet are compared to regulatory capital requirements. The regulatory capital requirements are calculated according to a formula based upon the type of risks the company takes and the amount of exposure to those risks the company faces.