IAIS is consulting on an application paper that provides guidance on the draft supervisory material related to recovery planning in the Insurance Core Principles (ICPs) and the Common Framework for the Supervision of Internationally Active Insurance Groups (ComFrame). Feedback on the draft application paper is invited by January 07, 2019.
The paper addresses the revised material in ICP 16.13 and ComFrame 16.13 (ICP 16 on enterprise risk management for solvency purposes). It is also relevant to the supervisory cooperation and coordination arrangements set out in ICP 23 on the group-wide supervisor and the draft revised ICP 25 on supervisory cooperation and coordination. The application paper should be read in the context of the proportionality principle, which provides supervisors the flexibility to tailor their implementation of supervisory requirements and their application of insurance supervision to achieve the outcomes stipulated in the Principle Statements and Standards, as described in the introduction to ICPs and ComFrame. The key topics covered in the draft paper include the following:
- Objectives and concepts of recovery planning
- Requirements for recovery plans and the application of the proportionality principle to recovery planning
- Governance-related matters in recovery planning, including the development and approval process of a recovery plan and how it relates to the overall risk management of an insurer
- Key elements of a recovery plan, along with examples of how these can be addressed in a recovery plan
- The role of the supervisor (or supervisors in a cross-border group) with regard to recovery planning
Comment Due Date: January 07, 2019
Keywords: International, Insurance, Resolution Planning, Proportionality, ICP 16, ICP 23, ComFrame, IAIS
Previous ArticleBCBS Updates Basel III Monitoring FAQ in May 2018
EC published Regulation 2021/25 that addresses amendments related to the financial reporting consequences of replacement of the existing interest rate benchmarks with alternative reference rates.
BIS published a bulletin, or a note, that examines the cyber threat landscape in the context of the pandemic and discusses policies to reduce risks to financial stability.
HM Treasury, also known as HMT, has updated the table containing the list of the equivalence decisions that came into effect in UK at the end of the transition period of its withdrawal from EU.
EBA published an erratum for technical package on phase 1 of the reporting framework 3.0.
APRA updated a frequently asked question (FAQ), for authorized deposit-taking institutions, on the measurement of credit risk weighted assets.
EBA published the quarterly risk dashboard, along with the results of the Risk Assessment Questionnaire survey among 60 banks and 15 market analysts.
ECB concluded the public consultation on the introduction of a digital euro in EU.
ECB published a guide that sets out the supervisory approach to consolidation in the banking sector.
The SRB Chair Elke König published an article setting out work priorities for 2021.
FDIC has selected 11 technology companies—including BearingPoint, Fed Reporter, Inc, and S&P Global Market Intelligence, LLC—for inclusion in the third and final phase of the rapid prototyping competition.