1.The capital requirement for health disability-morbidity risk shall be equal to the sum of the following:
the capital requirement for medical expense disability-morbidity risk;
the capital requirement for income protection disability-morbidity risk.
2.Insurance and reinsurance undertakings shall apply:
the scenarios underlying the calculation of the capital requirement for medical expense disability-morbidity risk only to medical expense insurance and reinsurance obligations where the underlying business is pursued on a similar technical basis to that of life insurance;
the scenarios underlying the calculation of the capital requirement for income protection disability-morbidity risk only to income protection insurance and reinsurance obligations where the underlying business is pursued on a similar technical basis to that of life insurance.