2024 Year-End Filing Requirements for Class 3A

Summary

This document sets out the Bermuda Monetary Authority's filing requirements for Class 3A (re)insurers for the 2024 financial year end, covering the Statutory Financial Return, Capital and Solvency Return, audited financial statements, and related BSCR model changes and guidance.

• Statutory Financial Return (SFR): Includes Insurer Information Sheet, auditor's report, Statutory Financial Statements (Forms 1SFS, 2SFS, 8SFS with notes), and a Statutory Declaration of Compliance; filed within four months of year end (extendable to seven months with BMA approval).
• Capital and Solvency Return (CSR): Comprises the BSCR, associated schedules (including CISSA, Catastrophe Risk Return, Eligible Capital, Solvency schedules), Financial Condition Report, loss reserve specialist opinion, and supporting attachments; also due within four months (extendable to seven).
• 2024 BSCR methodology: Insurers must complete the BSCR under both the 2019 and 2024 year end methodologies unless they obtain BMA permission to use the 2024 methodology only.
• Audited financial statements: GAAP or IFRS financial statements (or condensed general purpose statements under the Insurance Accounts Rules 2016) must be filed within four months of year end, extendable to seven months.
• Alternative capital: Insurers with alternative capital arrangements (e.g. cat bonds, sidecars, collateralized reinsurance) must complete Schedule V(m) of the BSCR model.
• BSCR model changes for 2024: Updates include enhanced cyber risk stress testing detail, addition of rating agencies (AM Best, Fitch) in fixed asset and ceding reinsurer schedules, inclusion of Man Made Catastrophe Risk as a capital requirement, and new Risk Margin reporting fields.
• Additional guidance: Insurers must correctly complete the Information Sheet tab (filing period start date and currency exchange rate), note that condensed general purpose financial statements do not trigger a qualified opinion flag, and perform the annual Latent Liability Stress Test under Schedule V(e).

The requirements apply specifically to Class 3A insurers, with certain BSCR model changes also affecting Class 3B and Class 4 general business insurers.

Key obligations

• File the Statutory Financial Return within four months after the financial year end, or up to seven months if the BMA grants an extension on application
• File the Capital and Solvency Return (including BSCR, CISSA, Financial Condition Report and supporting schedules) within four months after the financial year end, or up to seven months with BMA approval
• Have the CSR declaration signed by two directors and the insurer's principal representative
• Have the Financial Condition Report signed by the chief executive and a senior executive responsible for actuarial, risk management, internal audit or compliance functions
• Publish the Financial Condition Report on the insurer's website within 14 days of filing it with the Authority, or furnish a copy within 10 days of a written request if no website exists
• Submit both an electronic and a printed copy of the CSR, or apply to submit electronically only via the BSCR model's submit macro
• Complete the BSCR under both the 2019 and 2024 year end methodologies for 2024 year end, unless permission is obtained via email to RiskAnalytics@bma.bm to use the 2024 methodology only
• File audited financial statements (GAAP, IFRS or condensed general purpose statements) within four months of year end, extendable to seven months with BMA approval
• Complete Schedule V(m) of the BSCR model if the insurer has alternative capital arrangements
• Complete the annual Latent Liability Stress Test under Schedule V(e) of the BSCR model
• Correctly complete the Information Sheet tab fields for filing period start date and currency exchange rate in the BSCR model

Applies to

Class 3A insurers, Class 3B insurers, Class 4 insurers, Bermuda general business insurers

Deadlines

• within four months after the end of the financial year: Deadline to file the Statutory Financial Return, Capital and Solvency Return, and audited financial statements for the 2024 year end
• not exceeding seven months after the end of the financial year: Maximum extended filing period the Authority may grant on application for the SFR, CSR, and audited financial statements
• within 14 days of filing the Financial Condition Report with the Authority: Deadline to publish the Financial Condition Report on the insurer's website
• within 10 days of receipt of a written request: Deadline to furnish a copy of the latest Financial Condition Report to the public if the insurer has no website