2023 Year-End Filing Requirements for Insurance Groups

Summary

This is a filing requirements notice from the Bermuda Monetary Authority setting out what designated insurers and insurance groups must submit to the Authority in respect of the 2023 financial year end. It consolidates the statutory returns, capital and solvency filings, audited financial statements and quarterly returns required under the Insurance Act 1978 and the Insurance (Group Supervision) Rules 2011, and flags changes to the 2023 BSCR model compared with 2022.

• Group Statutory Financial Return (SFR): Must be filed within five months of financial year end (extendable to eight months with Authority approval); includes cover sheet, solvency certificate, statutory statements (Forms 1, 2, 8), reinsurance particulars, EBS reconciliation, list of non-insurance regulated entities and qualifying member particulars.
• Group Capital and Solvency Return (CSR): Comprises the Group BSCR, schedules, GSSA, catastrophe risk return, group solvency margin/eligible capital schedules, operational risk assessment, Financial Condition Report and Group Actuary's opinion; reported in USD; declaration signed by two directors and the CRO or CFO.
• 2019 CSR methodology: For 2023 year end, groups must complete the BSCR under both the 2018 and 2019 methodologies unless they obtain the Authority's permission (via email to RiskAnalytics@bma.bm) to use only the revised methodology.
• Audited Group Financial Statements: Consolidated financial statements prepared under IFRS, recognised GAAP (Bermuda, Canada, UK, US) or other Authority-recognised GAAP, audited annually by the group's approved auditor, and filed within five months of year end (extendable to eight months).
• Financial Condition Report (FCR): Must be published on the insurance group's website within 14 days of filing with the Authority, or, if no website exists, provided to the public within 10 days of a written request.
• Quarterly Financial Return: Filed on or before the last day of May, August and November each year, covering unaudited consolidated financial statements, intra-group transactions and risk concentrations, ECR ratio, bond holdings by BSCR rating, and catastrophe events.
• 2023 BSCR model changes: IFRS 17 reporters must complete Forms 1ASFS, 2ASFS and 8ASFS; Schedule V(e) stress/scenario tests moved to an EBS reporting basis with updated financial market and mortgage loan stress scenarios; Schedules VI and VIA updated for clarity based on industry feedback.

Submissions require both an electronic version (via the BSCR model's embedded submit macro) and a printed copy, and insurers are encouraged to test the submit functionality with the Authority's IT team ahead of the deadline.

Key obligations

• A designated insurer must file a Group Statutory Financial Return within five months after financial year end (or up to eight months if the Authority allows an extension).
• A designated insurer must file the Group Capital and Solvency Return (including BSCR, schedules, FCR and Group Actuary's opinion) within five months after financial year end (or up to eight months with extension), reported in USD, with the declaration signed by two directors and the CRO or CFO.
• Insurance groups must complete the BSCR under both the 2018 and 2019 year end methodologies for 2023 unless they obtain the Authority's permission by email to use the revised methodology only.
• Insurance groups must prepare and have audited annually consolidated group financial statements in accordance with IFRS or a recognised GAAP, and file them within five months (or up to eight months with extension) after financial year end.
• The group must publish its Financial Condition Report on its website within 14 days of filing with the Authority, or provide it to the public within 10 days of a written request if it has no website.
• Every insurance group must prepare and file quarterly financial returns to the Authority on or before the last day of May, August and November each year.
• Submissions must include both an electronic version (via the BSCR model submit macro) and a printed copy of the Group CSR.

Applies to

designated insurers, insurance groups

Deadlines

• within five months after the end of the financial year (extendable up to eight months with Authority approval): Deadline for filing the Group Statutory Financial Return, Group Capital and Solvency Return, and audited group financial statements.
• within 14 days of filing with the Authority: Deadline to publish the Financial Condition Report on the insurance group's website.
• within 10 days of receipt of a written request: Deadline to furnish the public with the latest financial condition report if the group has no website.
• on or before the last day of May, August and November of every year: Deadline for filing quarterly financial returns.