General Information & Client Services
  • Americas: +1.212.553.1653
  • Asia: +852.3551.3077
  • China: +86.10.6319.6580
  • EMEA: +44.20.7772.5454
  • Japan: +81.3.5408.4100
Media Relations
  • New York: +1.212.553.0376
  • London: +44.20.7772.5456
  • Hong Kong: +852.3758.1350
  • Tokyo: +813.5408.4110
  • Sydney: +61.2.9270.8141
  • Mexico City: +001.888.779.5833
  • Buenos Aires: +0800.666.3506
  • São Paulo: +0800.891.2518
July 14, 2017

OSFI published draft “Guideline E-19: Own Risk and Solvency Assessment (ORSA),” “Guideline A-4: Regulatory Capital and Internal Capital Targets,” and forms for ORSA Key Metrics Report (KMR). The consultation on these documents closes on August 18, 2017 and the guidelines become effective on January 01, 2018.

The Guideline E-19 sets out OSFI’s expectations about the ORSA of federally regulated insurers. The Guideline A-4 sets out OSFI’s expectations on the capital and solvency assessment of federally regulated insurers within the context of its supervisory framework. The ORSA KMR form provides a summary of the results of the insurer's ORSA process for determining own capital needs and internal targets, as per OSFI's expectations (outlined in Guidelines A-4 and E-19). OSFI released a public consultation for the revised versions of the mentioned documents. The updates are largely a result of the upcoming introduction of Life Insurance Capital Adequacy Test (LICAT) in 2018 for life insurers. The LICAT will result in a number of changes to the current life insurance capital framework, which must be reflected in all relevant OSFI guidance. OSFI also published ORSA KMR and accompanying instructions. All federally regulated insurance companies are required to complete a KMR. The KMR is to be submitted to OSFI at least annually and within thirty days of the ORSA report being reviewed by the federally regulated insurance companies’ Board of Directors or signed off by the Chief Agent. To help complete the KMR, OSFI has provided separate KMR instructions for life insurers and property and casualty insurers.

 

Related Links

Guideline E-19 (PDF)

Guideline A-4 (PDF)

KMR (XLSX)

KMR Instructions for P&C Insurers (PDF)

KMR Instructions for Life Insurers (PDF)

LICAT

Comment Due Date: August 18, 2017

Effective Date: January 01, 2018

Keywords: Americas, Canada, Insurance, LICAT, Guideline, Regulatory Capital, ORSA, OSFI

Related Insights
News

PRA Finalizes Policy on Minor Amendments to Regulatory Reporting

PRA published the policy statement PS30/18, which contains the final policy following a consultation (CP16/18) on certain amendments to regulatory reporting.

December 05, 2018 WebPage Regulatory News
News

EIOPA Publishes Q&A on Regulations and Guidelines

EIOPA published new sets of questions and answers (Q&A) on guidelines, implementing regulations, and delegated regulations applicable to insurers in Europe.

December 03, 2018 WebPage Regulatory News
News

ESMA Registers A.M. Best (EU) Rating Services as Credit Rating Agency

ESMA, the direct supervisor of credit rating agencies (CRAs) in EU, has registered A.M. Best (EU) Rating Services B.V. as a CRA under the CRA Regulation, with effect from December 03, 2018.

December 03, 2018 WebPage Regulatory News
News

ECB Publishes the Cyber Resilience Oversight Expectations

ECB published the final cyber resilience oversight expectations for financial market infrastructures (FMIs).

December 03, 2018 WebPage Regulatory News
News

ESAs Clarify Securitization Disclosure Requirements for Institutions

ESAs (EBA, EIOPA, and ESMA) published a statement in response to the industry concerns about severe operational challenges in meeting the transitional provisions of the Securitization Regulation disclosure requirements.

November 30, 2018 WebPage Regulatory News
News

OSFI Revises the 2019 Minimum Capital Test Guideline for P&C Insurers

OSFI released a revised Minimum Capital Test (MCT) Guideline for federally regulated property and casualty (P&C) insurers.

November 30, 2018 WebPage Regulatory News
News

BCBS Met to Discuss Challenges for Bank Supervision and Regulation

The Group of Central Bank Governors and Heads of Supervision (GHOS) met, on November 26–27, in Abu Dhabi to discuss a range of policy and supervisory topics. GHOS represents nearly 80 jurisdictions and is the governing body of BCBS.

November 29, 2018 WebPage Regulatory News
News

FED Consults on Rule Establishing Risk-Based Categories for Banks

FED proposed a rule that would establish risk-based categories for determining prudential standards for large U.S. banking organizations, consistent with section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection Act (EGRRCP Act).

November 29, 2018 WebPage Regulatory News
News

DNB Publishes Banking and Insurance Newsletters for November 2018

DNB issued the banking and insurance newsletters for November 2018.

November 29, 2018 WebPage Regulatory News
News

BoE Publishes Financial Stability Report and Stress Test Results

The Financial Policy Committee (FPC) of BoE published the financial stability report for 2018, including the results of its 2018 stress test for the banking sector in the UK.

November 28, 2018 WebPage Regulatory News
RESULTS 1 - 10 OF 2299