Insurance (Prudential Standards) (Insurance Group Solvency Requirement) Amendment (No. 2) Rules 2015

Summary

This instrument amends Schedule V of the Bermuda Monetary Authority's Insurance (Prudential Standards) (Insurance Group Solvency Requirement) Rules, which govern the group solvency reporting obligations of insurance groups. It changes the specific disclosure content required in the governance structure section of the group solvency filing and adds a new financial disclosure item.

• Governance structure disclosure replaced: Paragraph (a) of the instructions affecting Schedule V is replaced to require disclosure of the parent company's name, board structure (names, roles, residence, work experience), management structure (names, roles, work experience, employment arrangements, responsibilities of chief and senior executives), terms of reference of the parent board and sub committees, all major shareholder controllers, and a group organisational chart.
• New financial disclosure item: Paragraph (aa) is amended to require disclosure of gross premiums written for the period, in addition to collateral.

The amendments take effect from 1 January 2016 and apply to financial years beginning on or after that date, meaning affected insurance groups must apply the revised Schedule V disclosure requirements from that reporting period onward.

Key obligations

• Insurance groups must disclose in their Schedule V governance structure filing the name of the parent company, the structure and membership details of the parent company's board of directors, the parent company's management structure, the terms of reference of the parent board and its sub-committees, all major shareholder controllers, and a group organisational chart.
• Insurance groups must include gross premiums written for the period in the Schedule V disclosure alongside collateral information.
• Affected insurance groups must apply these revised Schedule V requirements starting with financial years commencing on or after 1 January 2016.

Applies to

insurance groups

Deadlines

• 1 January 2016: Rules come into operation and apply to financial years commencing on or after this date.

Related documents

• This document is made under Insurance Act 1978