APRA introduced a new reporting framework on 1 July 2023, resulting in changes to the information it publishes. Similar to our previous report, we offer some key points to consider when reviewing this year’s RADAR hub:
- No class-by-class data is available for the September 2023 quarter. As a result, charts reflect only the nine months of data for the year ending 30 June 2024 (FY24).
- The new APRA statistics mask more items than the previous APRA statistics. In some cases, this creates difficulty in providing comprehensive commentary on the drivers of 2025 experience. For example, for direct insurers, other insurance service expenses are masked, which means we’re unable to comment on movements in expenses at an industry level.
- Data under the new reporting framework commenced from the December 2023 quarter. This means experience in FY23 and prior is reported on a different basis compared to FY24 and beyond. Where possible, we’ve mapped the new and old line items to support comparison over time. However, this mapping is imperfect. For example, under the AASB123, discount unwind was included in the claims expense line. Under AASB17, discount unwind is included in the insurance finance expense line, which applies after the insurance service result. This mapping means the loss ratios and expense ratios included in the pre-30 June 2023 raw APRA statistics don’t match those shown in this report.
- APRA hasn’t published institution-level statistics. Differences in the level of consolidation by region in each insurer’s annual accounts means we’re unable to comment on performance by insurer, specific to their Australian operations.