Featured Product

    PRA Consults on Financial Management and Planning by Insurers

    November 09, 2017

    PRA published the consultation paper CP23/17 on financial management and planning by insurers. PRA is seeking views on the draft supervisory statement—which has been included in the Appendix to CP23/17—on effective financial management and planning by insurance firms and groups. PRA invites feedback on the proposals set out in CP23/17 by February 09, 2018.

    The draft supervisory statement sets out the PRA expectations covering the framework for development and maintenance of a risk appetite statement by an insurer, the application of this risk appetite to an insurer’s business and financial plans, and the assessment of the suitability and sustainability of capital distribution plans in the context of this risk appetite. These proposals aim to set out how the application of effective risk management and governance may be linked together with the need for insurers to maintain a sound financial condition going forward. PRA considers that effective financial management and planning is especially important for insurers with a high risk appetite and for insurers with capital levels that may fluctuate significantly.

    The draft supervisory statement is intended to complement existing policy material, rather than to set any new expectations on governance or risk management for insurers. The supervisory statement is drafted in the context of the Conditions Governing Business and Investments Parts of the PRA Rulebook and Articles 258–267 of the Solvency II Regulation (Commission Delegated Regulation (EU) 2015/35). It would sit alongside "The PRA’s approach to insurance supervision"; SS41/15, titled "Solvency II: applying EIOPA Set 2, System of Governance and ORSA Guidelines"; SS5/16 titled "Corporate Governance: Board responsibilities"; SS19/16 titled "Solvency II: ORSA"; and SS5/17 titled "Dealing with a market turning event in the general insurance sector." CP23/17 is relevant to all UK insurance firms and groups, in scope of the Solvency II Directive, and to the Society of Lloyd’s and managing agents. 

     

    Related Link: CP23/17 (PDF)

    Keywords: Europe, UK, Insurance, Financial Management and Planning, CP23/17, Solvency II, Consultation, PRA

    Featured Experts
    Related Articles
    News

    EBA Single Rulebook Q&A: Second Update for November 2019

    EBA updated the Single Rulebook question and answer (Q&A) tool with answers to eight questions that relate to the Bank Resolution and Recovery Directive (BRRD) and the Capital Requirements Regulation and Directive (CRR and CRD).

    November 15, 2019 WebPage Regulatory News
    News

    FASB Delays Effective Dates for CECL, Leases, and Hedging Standards

    FASB issued two Accounting Standards Updates finalizing the delays in effective dates for standards on current expected credit losses (CECL), leases, hedging, and long-duration insurance contracts.

    November 15, 2019 WebPage Regulatory News
    News

    ESMA Updates Q&A on Securitization Regulation in November 2019

    ESMA updated questions and answers (Q&A) on the Securitization Regulation (Regulation 2017/2402).

    November 15, 2019 WebPage Regulatory News
    News

    HKMA Announces Finalization of Banking Liquidity Amendment Rules 2019

    HKMA issued a letter informing all authorized institutions that negative vetting of the Banking (Liquidity) (Amendment) Rules 2019 (BLAR) has now expired. Thus, the BLAR will now come into operation from January 01, 2020.

    November 15, 2019 WebPage Regulatory News
    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

    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

    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

    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

    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
    RESULTS 1 - 10 OF 4157