IAIS Publishes Newsletter for August 2018
The August issue of the IAIS newsletter highlights the conclusion of the 11th Annual Global Seminar, which featured two days of discussion on topics such as ComFrame, the Insurance Capital Standard (ICS), and the holistic framework for the mitigation of systemic risk. Also examined were emerging issues such as climate risk and cybersecurity, along with the role of insurance in promoting inclusive economic development.
The Executive Committee achieved key milestones on several current commitments to the post-financial crisis reform agenda, including approval of the consultation documents for the draft overall ComFrame and ICS Version 2.0. It approved consultation on the draft issues paper on the increasing use of digital technology in insurance, adopted the issues paper on climate change risks to the insurance sector, approved the mandate of the FinTech Forum, discussed the status of the 2018 global systemically important institution (G-SII) data collection exercise and approved the draft strategic plan (for 2020-2024) to be released for member comment. Additional key updates for this month are as follows:
- On September 12 in Basel, IAIS will hold a stakeholder meeting on recovery planning and resolution to discuss revisions to supervisory material on recovery planning in Insurance Core Principle (ICP) 16 (Enterprise Risk Management for Solvency Purposes) and the ComFrame material integrated therein, as well as on the ComFrame material integrated into ICP 12 (Exit from the Market and Resolution). There will also be an opportunity for stakeholders to provide inputs for the development of an application paper on recovery planning.
- At its meeting on July 23, the Policy Development Committee agreed to recommend certain items to the Executive Committee for approval for public consultation. These include draft issues paper on the increasing use of digital technology in insurance and its potential impact on consumer outcomes; overall comFrame for a 90-day public consultation; and ICS Version 2.0 consultation document, along with the 2018 Field Testing Package. The Committee also agreed to publish a summary of the main comments from the public consultation launched in November 2017 on ComFrame material in ICP 8 (Risk Management and Internal Controls), ICP 15 (Investment), and ICP 16 and the resolution thereof.
- At its meeting, the Capital, Solvency and Field Testing Working Group discussed proposed revisions to ICP 15s and 16 as a result of the public consultation in November 2017. The Working Group will next meet in Basel from October 16-19 to discuss preliminary results from 2018 Field Testing.
Keywords: International, Insurance, Newsletter, ComFrame, ICP, ICS, Fintech, Climate Change Risks, IAIS
Previous Article
NCUA Launches Digital Tool to Help with Chartering ProcessRelated Articles
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.
BIS Bulletin Examines Cognitive Limits of Large Language Models
The use cases of generative AI in the banking sector are evolving fast, with many institutions adopting the technology to enhance customer service and operational efficiency.
ECB is Conducting First Cyber Risk Stress Test for Banks
As part of the increasing regulatory focus on operational resilience, cyber risk stress testing is also becoming a crucial aspect of ensuring bank resilience in the face of cyber threats.
EBA Continues Momentum Toward Strengthening Prudential Rules for Banks
A few years down the road from the last global financial crisis, regulators are still issuing rules and monitoring banks to ensure that they comply with the regulations.
EU and UK Agencies Issue Updates on Final Basel III Rules
The European Commission (EC) recently issued an update informing that the European Council and the Parliament have endorsed the Banking Package implementing the final elements of Basel III standards