The Australian Prudential Regulation Authority (APRA) has opened consultation on amendments to three life insurance reporting standards as it completes the transition of life data collections from its Direct to APRA (D2A) platform to APRA Connect. The consultation package, published on April 24, covers proposed updates to Reporting Standard LRS 112.3 Related Party Exposures, Reporting Standard LRS 114.2 Derivatives Activity, and Reporting Standard LRS 114.3 Off-balance Sheet Business. Written submissions are due by July 3, 2026.
The amendments would move the last remaining life insurance collections off D2A and onto APRA Connect, aligning them with the reporting instructions, taxonomy, and definitions already used for other life insurance returns lodged through the newer system. APRA has indicated there are no material changes to the underlying data that life insurers and friendly societies (life companies) must report. The proposals follow APRA’s March 27, 2026, announcement that D2A has been decommissioned as part of a wider program to replace its data collection infrastructure. APRA has said the migration to APRA Connect is intended to reduce duplication for reporting entities, standardise data quality, and consolidate submissions onto a single platform across reporting regimes.
Under the proposals, the structure of LRS 112.3 would remain the same, with one additional data item added in one table. APRA’s stated aim is to align life company reporting on related party exposures with the equivalent collection used for private health insurers. For LRS 114.2, APRA plans to move from the current form-based format to a concept-dimension model, in line with other APRA Connect collections that use structured data models. For LRS 114.3, the regulator is proposing to change the reporting frequency from quarterly to annual. APRA is not proposing changes to the structure of the return or the set of data items required. Marked-up versions of the three reporting standards have been published on APRA’s consultation webpage so that life insurers can see the detailed drafting changes. APRA has stated that, once these amendments take effect, life companies will submit all information required under APRA’s reporting standards via APRA Connect, using a single reporting interface and a consistent taxonomy.
APRA is proposing a shorter transition timetable than it had previously outlined. The current plan is to consult with life companies during May and June 2026, publish its response to consultation in August, and make the updated collections available in the APRA Connect external test environment in September. The first reporting period that would be lodged under the revised standards in APRA Connect is for periods ending Dec. 31, 2026. The regulator is seeking feedback on the feasibility of this timetable, including operational impacts, implementation challenges, and any other transition issues. APRA has also invited suggestions from life companies on how to manage the move of the remaining collections to APRA Connect. Submissions should be addressed to the Chief Data Officer, Data, Technology and Security Division, and sent by email to [email protected] by July 3, 2026.
APRA has advised that submissions will be published on its website unless respondents request confidentiality and provide confidential material in a separate marked attachment. The regulator has also reminded stakeholders that submissions may be subject to applications under the Freedom of Information Act 1982, with certain confidential information about APRA-regulated entities protected under the Australian Prudential Regulation Authority Act 1998. After the consultation period, APRA will consider the feedback and set out its final implementation approach for moving these life insurance collections to APRA Connect.
APRA’s data transition work is occurring alongside the independent review of the Life Insurance Code of Practice (Life Code), with Independent Reviewer Peter Kell releasing an interim report on April 10, 2026. The Life Code, owned by the Council of Australian Life Insurers (CALI), sets out standards that participating life insurers agree to follow in their dealings with customers. The interim report presents initial observations, findings, and recommendations from the first phase of the review.
According to the reviewer, the interim report follows consultation with a wide range of stakeholders, including life insurers and industry associations, consumer representatives, regulators and government agencies, medical experts, legal practitioners, the Australian Financial Complaints Authority (AFCA), and the Life Code Compliance Committee (LCCC). In response to a consultation paper released in October 2025, the review received 11 public submissions and three confidential submissions, some of which incorporated views from multiple organisations. The interim report includes recommendations across several themes, including industry commitments and communication on mental health cover and support, measures for customers experiencing vulnerability, approaches to engaging with First Nations customers, claims handling processes and communication, and the enforceability of the Life Code by oversight bodies and individual consumers.
The reviewer is seeking further feedback on mental health exclusions, including views on recommendations put forward in a recent supplementary submission from CALI. The interim report includes targeted questions designed to guide stakeholder responses on this topic. Submissions on the interim report and its proposed areas for reform are requested by May 8, 2026. Feedback will inform the final stage of the review, with a final report, including recommended changes to the Life Code, due to be provided to the council by June 30, 2026.
