Revised answer published on 02/10/2023:

S.05.01 should be filled in according to the accounting principles used in the financial statements. However, it should be noted that under the principle of substance over form (see Article 6(1)(h) form the Directive 2013/34/EEC), “items in the profit and loss account and balance sheet shall be accounted for and presented having regard to the substance of the transaction or arrangement concerned". Therefore, reinsurance contracts where large amounts are transferred back to the insurer as reinsurance commissions or profit participation should be reported according to their economic nature, e.g. as claims corrections.

Old answer published until 02/10/2023

Reinsurance profit commissions depends on claims experience and therefore should be reported in row R0340 – Claims incurred – Reinsurer's share of template S.05.01.