The January issue of the IAIS newsletter highlights that Financial Stability Institute (FSI) published two insurance-related FSI Insights, which concern regulating and supervising the clouds and proportionality in the application of insurance solvency requirements. The IAIS Secretary General noted that 2019 will be a milestone year for the Association, as it is expected to finalize a part of the post-crisis reform agenda and transition to the new five-year strategic plan. The strategic plan comprises a range of emerging themes such as fintech, cyber risk, climate risk and sustainable development, and an increased focus on the implementation of agreed reforms. The reform agenda to be finalized involves the development phase of ComFrame and the holistic framework for mitigating systemic risk in the insurance sector.
The newsletter highlights that IAIS is hosting an Insurance Capital Standard (ICS) stakeholder event on February 01, 2019. The meeting will provide members and stakeholders with the opportunity to provide feedback on the ICS prior to the finalization of ICS Version 2.0 for the monitoring period. The newsletter further notes that, on January 15, IAIS held a successful stakeholder event on holistic framework for systemic risk in the insurance sector in Miami. The event was intended to provide an additional forum for discussion during the formal consultation period that closed on January 25. Additional key updates for this month are as follows:
- The Executive Committee met on January 13-14 in Miami and discussed issues on the finalization of the post-crisis reform agenda and forward-looking subjects related to the next five-year strategic plan. Specifically, the Executive Committee discussed the workplan for the holistic framework on systemic risk, including the global monitoring exercise, policy-measures, and implementation assessment. The Executive Committee also discussed the ComFrame and ICS workplan for 2019.
- The Accounting and Auditing Working Group met on December 5-6 in London. Members discussed the work of the Monitoring Group, held a dialog on IFRS 17, and hosted a call-in session for interested stakeholders. The Working Group is also expected to continue to monitor IFRS 17 implementation activities.
- At its meeting on December 6-7 in Basel, the Insurance Groups Working Group discussed 2018 public consultation comments on ComFrame material in Insurance Core Principle (ICP) 9 on supervisory review and reporting; in ICP 10 on preventive measures, corrective measures, and sanctions; in ICP 23 on group-wide supervision; and in ICP 25 on supervisory cooperation and coordination.
- The Macro-prudential Policy and Surveillance Working Group held its first quarterly meeting in Hyderabad, India. The focus of this meeting was on the finalization of the 2018 Global Insurance Market Report (GIMAR), a first discussion of the proposed 2019 GIMAR special topics, the further development of the key insurance risks and trends survey to support the IAIS sector-wide monitoring, and the review of ICP 24 on macro-prudential surveillance and insurance supervision.
Keywords: International, Insurance, Newsletter, ComFrame, ICP, Systemic Risk, Fintech, IFRS 17, IAIS
Previous ArticleIASB Publishes Summary of the December 2018 Meeting of ASAF
HKMA announced the publication of a report on fintech adoption and innovation in the banking industry in Hong Kong.
BIS published a working paper that examines the drivers of cyber risk, especially in context of the cloud services.
ECB launched consultation on a guide specifying how the Banking Supervision expects banks to consider climate-related and environmental risks in their governance and risk management frameworks and when formulating and implementing their business strategy.
ECB published an opinion (CON/2020/16) on amendments to the prudential framework in EU in response to the COVID-19 pandemic.
EBA published a report that examines the interlinkages between recovery and resolution planning under the Bank Recovery and Resolution Directive (BRRD).
SRB published the final Minimum Requirements for Own Funds and Eligible Liabilities (MREL) policy under the Banking Package.
US Agencies (FDIC, FED, and OCC) published a final rule that makes technical changes to the March 31, 2020 interim final rule that provides a five-year transition period for the impact of the current expected credit loss (CECL) methodology on regulatory capital.
ECB published results of the March 2020 survey on credit terms and conditions in euro-denominated securities financing and over-the-counter (OTC) derivatives markets.
FINMA published guidance (06/2020) on extending or discontinuing various exemptions that were granted due to the COVID-19 crisis.
SRB launched a consultation on the minimum data needed for valuation of a bank in resolution.