LONDON (Reuters) – The global insurance watchdog has launched a consultation on how to set up a new system making key firms hold enough capital to avoid a collapse that would pose a risk to the financial system.
The International Association of Insurance Supervisors (IAIS) on Monday released its proposed options for the development of 'basic capital requirements' for insurers it deems 'globally systemically important'.
The IAIS is inviting responses by Feb. 3 on how to run a system that assesses cross-border risks to firms in cases where it can be difficult to draw meaningful comparisons given different types of assets and exposure.
The IAIS aims to test the new capital requirements next year, before developing a system of "higher loss absorbancy" rules for insurers.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
