Fitch sees barriers to international insurance regulation
Tuesday, 04 11 2017, Category: Insurance and Reinsurance, Country: World
The International Association of Insurance Supervisors (IAIS) is creating a risk-based, single, global Insurance Capital Standard (ICS) for Global Systemically Important Insurers (G-SIIs), but Fitch questions if the goal is achievable.
The IAIS's ultimate goal is a single ICS with a common methodology to achieve comparable outcomes across jurisdictions, although in the immediate term two valuation approaches are likely to be allowed.
No date has been set for the adoption of an ICS based on a single calculation methodology. Fitch believes it will be particularly difficult to implement because of potential uncertainty on cross-border regulation where various competing regulatory bodies could have conflicting or overlapping mandates.
Source: Intelligent Insurer