Featured Product

    PRA Publishes PS15/18 on the Extension of SM&CR to Insurers

    July 04, 2018

    PRA published a policy statement (PS15/18) providing feedback to responses to CP14/17 on extension of the Senior Managers and Certification Regime (SM&CR) to insurers and to CP28/17 on implementing the extension of the SM&CR to insurers (along with certain other amendments). Additionally, PRA updated the supervisory statements SS39/15, SS5/16, SS28/15, SS10/16, and SS3/17 to reflect changes in terminology as a result of the publication of PS15/18. The extension of the SM&CR will apply with effect from December 10, 2018.

    CP14/17 was issued on July 26, 2017 and its comment period ended on November 03, 2017 while CP28/17 was issued on December 13, 2017 and its comment period ended on February 21, 2018. PRA received 14 responses to the proposals in CP14/17 and eight responses to the proposals in CP28/17. The responses received were broadly supportive of the policy intent and PRA made some minor changes to the policy proposals as a result of the feedback. Chapters 2 and 3 of PS15/18 summarize feedback on the PRA proposals in CP14/17 and CP28/17 and on the final policy of PRA. PS15/18 is relevant to all Solvency II insurance firms (UK Solvency II firms, the Society of Lloyd’s and managing agents, and third-country (re)insurance branches) and to insurance special purpose vehicles, large non-Directive firms, and small non-Directive firms. PS15/18 contains the following:

    • The final rules for the extension of SM&CR to insurers by amending the Senior Insurance Managers Regime or SIMR (Appendix 1)
    • An updated SS35/15 on strengthening individual accountability in insurance (Appendix 2) and terminology updates to other existing supervisory statements 
    • A consolidated Statement of Policy on conditions, time limits, and variations of approval (Appendix 3)
    • The streamlined set of forms for SM&CR and amendments to Part 4A permissions forms (Appendix 4)

    SS39/15 sets out the RA expectations for firms in relation to the whistleblowing procedures, training, and whistleblowers’ champion. SS5/16 is related to corporate governance. SS28/15 sets out the PRA approach to strengthening individual accountability in banking. SS10/16 is related to remuneration requirements under Solvency II and SS3/17 sets out the PRA expectations from firms investing in illiquid, unrated assets within their Solvency II matching adjustment portfolios.


    Related Links

    Effective Date: December 10, 2018

    Keywords: Europe, UK, Insurance, Banking, Solvency II, SM&CR, SIMR, Accountability, PS15/18, CP14/17, CP28/17, PRA

    Featured Experts
    Related Articles
    News

    BCBS Consults on Revised Disclosures for Market Risk Framework

    BCBS launched a consultation on the revised disclosure requirements for the market risk framework for banks.

    November 14, 2019 WebPage Regulatory News
    News

    FSB Examines Implementation of Resolution Regimes in Financial Sector

    FSB published a report that examines progress in implementing policy measures to enhance the resolvability of systemically important financial institutions and sets out plans for further work.

    November 14, 2019 WebPage Regulatory News
    News

    PRA Publishes Final Policy on Maintenance of TMTP Under Solvency II

    PRA published the policy statement (PS25/19) that contains the final supervisory statement (SS6/16) on maintenance of the transitional measure on technical provisions (TMTPs) under Solvency II.

    November 14, 2019 WebPage Regulatory News
    News

    BCBS Consults on Disclosure Templates of Sovereign Exposures of Banks

    BCBS published a consultation on the voluntary disclosure templates related to sovereign exposures of banks.

    November 14, 2019 WebPage Regulatory News
    News

    IAIS Adopts ComFrame, ICS, and Holistic Framework for Systemic Risk

    IAIS adopted a comprehensive set of reforms—Common Framework (ComFrame), Insurance Capital Standard (ICS) Version 2.0, and Holistic Framework for Systemic Risk—that will enable effective cross-border supervision of insurance groups and contribute to global financial stability.

    November 14, 2019 WebPage Regulatory News
    News

    PRA Publishes Templates for Statistical Disclosures Under Solvency II

    PRA published templates for statistical disclosures, as required under Article 31(2) of the Solvency II Directive.

    November 14, 2019 WebPage Regulatory News
    News

    FASB Proposes Improvements to Derivatives and Hedging Standard

    FASB proposed an Accounting Standards Update, on codification improvements to hedge accounting under Topic 815, to clarify certain sections of the 2017 hedge accounting standard (Update 2017-12).

    November 13, 2019 WebPage Regulatory News
    News

    FASB Approves Guidance to Assist in Transition to New Reference Rates

    FASB approved an Accounting Standards Update (Topic 848) to provide temporary, optional guidance to ease the potential burden in accounting for, or recognizing the effects of, the reference rate reform on financial reporting.

    November 13, 2019 WebPage Regulatory News
    News

    BIS and MAS Launch Innovation Hub in Singapore

    BIS and MAS launched the BIS Innovation Hub Center in Singapore.

    November 13, 2019 WebPage Regulatory News
    News

    MAS and Industry to Create Framework for Adoption of Responsible AIDA

    MAS announced that it is working with financial industry partners to create a framework for financial institutions to promote the responsible adoption of Artificial Intelligence and Data Analytics (AIDA).

    November 13, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 4142