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2 min readBlockingBank of England taxonomy 2.2.0Updated 11 November 2026

Non-life income and expenditure: values must agree (IR.05.04, Bank of England rule IR_bv3000)

A blocking check on the non-life income and expenditure template (IR.05.04), in the annual solo (ARS) and annual third-country branch (ARB) returns.

Check your file for this rule

The rule in plain words

'Acquisition costs, commissions, claims management costs - other than ALAE' (R0985) must equal to 'Acquisition costs - commission' (R0950) + 'Acquisition costs - other' (R0960) + 'Claims management costs - other than ALAE' (R0940) less ‘Reinsurance commissions and profit participations’ (R0970)

The headline gives only the template and the kind of check, because the rule is too long to say in a headline. The plain words above say all of it.

This is a blocking check. A return that fails it is normally rejected, so fix it before you submit. It runs only when your filing indicators mark IR.05.04 as reported.

The cells it reads

Non-life income and expenditure: non-life income, expenditure and business model analysis: reporting period (IR.05.04.01.01)

Rows

  • R0940Claims management costs - other than ALAE
  • R0950Acquisition costs - commission
  • R0960Acquisition costs - other
  • R0970Reinsurance commissions and profit participations
  • R0985Acquisition costs, commissions, claims management costs - other than ALAE

Columns

  • C0010All business (including annuities stemming from accepted non-life insurance and reinsurance contracts)
  • C0015All non-life business (ie excluding annuities stemming from accepted insurance and reinsurance contracts)
  • C0110Medical expense insurance (lines of business 1 and 13)
  • C0120Income protection insurance (lines of business 2 and 14)
  • C0130Workers' compensation insurance (lines of business 3 and 15)
  • C0135All (lines of business 4 and 16)
  • C0140Personal lines - (sub-class of line of business 4)
  • C0141Non-personal lines (sub-class of line of business 4)
  • C0145All (lines of business 5 and 17)
  • C0150Personal lines - (sub-class of line of business 5)
  • C0151Non-personal lines (sub-class of line of business 5)
  • C0160Marine, aviation and transport insurance (lines of business 6 and 18)
  • C0165All (lines of business 7 and 19)
  • C0170Personal lines - (sub-class of line of business 7)
  • C0180Non-personal lines (sub-class of line of business 7)
  • C0185All (lines of business 8 and 20)
  • C0190Employers Liability (sub-class of line of business 8)
  • C0200Public & products Liability (sub-class of line of business 8)
  • C0210Professional Indemnity (sub-class of line of business 8)
  • C0220Other general liability (sub-class of line of business 8)
  • C0230Credit and suretyship insurance (lines of business 9 and 21)
  • C0240Legal expenses insurance (lines of business 10 and 22)
  • C0250Assistance (lines of business 11 and 23)
  • C0260Miscellaneous financial loss (lines of business 12 and 24)
  • C0310Health
  • C0320Casualty
  • C0330Marine, aviation and transport
  • C0340Property
  • C0525Annuities stemming from non-life insurance contracts
  • C0545Annuities stemming from non-life accepted reinsurance contracts

Which returns it applies to

Line4 Check runs it on annual solo (ARS) and annual third-country branch (ARB) returns on Bank of England taxonomy 2.2.0. The Bank of England applies it to annual third-country branch (ARB) and annual solo (ARS) returns, as a blocking check.

The Bank’s own words and formula

The plain words above are the Bank of England’s own, word for word, from its list of validations.

Show the formulaShow

The Bank of England's formula. Cells are written as {t: table, r: row, c: column}.

{t: IR.05.04.01.01, r: R0985} = ({t: IR.05.04.01.01, r: R0950} + {t: IR.05.04.01.01, r: R0940} + {t: IR.05.04.01.01, r: R0960}) - ({t: IR.05.04.01.01, r: R0970})

Every Solvency UK rule on IR.05.04

Checks like this one, run at the point of submission, are the first step to real-time supervision. Line4 builds SupTech software for financial regulators that runs checks like these as each return arrives.