Notice - Insurance Groups and Commercial Insurers Quarterly Financial Returns (2024-04-11)

Summary

This is a notice from the Bermuda Monetary Authority informing insurance groups and commercial insurers that updated Quarterly Financial Return templates for the quarter ended 31 March 2024 are now available on the Authority's website. It also flags a specific reporting requirement relating to the Francis Scott Key Bridge collapse.

• Template update: The only change from the prior quarter's templates affects general business insurers reporting under IFRS, where the liquidity risk calculation has been updated to align with the Insurance Account Amendment Rules 2024 format.
• Catastrophe exposure reporting: Insurance Groups, Class 4, Class 3B and Class 3A Insurers required to file quarterly financial returns must include their exposure to the Francis Scott Key Bridge collapse (26 March 2024, Baltimore, Maryland, USA) under 'Underwriting Loss Event #1' in the Catastrophe Exposure tab.
• Scope of loss estimate: Estimated losses reported should include, but are not limited to, property, liability and contingent business interruption losses related to the event.
• Preliminary estimates accepted: Because loss estimates for this event may still be developing, insurers and insurance groups are required to report their preliminary best estimates available at the time of filing the quarterly financial return.

Questions on this notice or other regulatory matters can be directed to riskanalytics@bma.bm.

Key obligations

• Insurance Groups, Class 4, Class 3B and Class 3A Insurers filing quarterly financial returns must report exposure to the Francis Scott Key Bridge collapse under 'Underwriting Loss Event #1' in the Catastrophe Exposure tab.
• Reported loss estimates must include, but are not limited to, property, liability and contingent business interruption losses related to the bridge collapse.
• Insurers and insurance groups must report their preliminary best estimates of losses when filing the quarterly financial return, even if figures are still developing.
• General business insurers reporting under IFRS must use the updated liquidity risk calculation consistent with the Insurance Account Amendment Rules 2024 format in their Quarterly Financial Return.

Applies to

Insurance Groups, Class 4 Insurers, Class 3B Insurers, Class 3A Insurers, Commercial Insurers, General business insurers reporting under IFRS