Policy Statement: Insurance Group Wide Supervision (Issued May 2015)

Summary

This policy statement, issued by the Guernsey Financial Services Commission (GFSC) in May 2015, sets out the Commission's approach to insurance group wide supervision. The document text itself is marked as archived and may no longer reflect current requirements. It explains that Guernsey does not currently host any insurance group and that the Commission does not intend to act as Group Wide Supervisor for any insurer.

• No Group Wide Supervisor role: The Commission will not assume the role of Group Wide Supervisor for any insurance group, citing resource and cost constraints, and as a matter of policy will not license an insurer where this responsibility would arise.
• Possible future review: The Commission may revisit this policy if industry seeks to base insurance groups in Guernsey, and would consult with industry before amending the position.
• Host supervision checks: Where a licence applicant is a subsidiary of a foreign regulated entity, or a non-locally incorporated domestic insurer, the Commission will contact the home/incorporation jurisdiction's supervisor to confirm authorisation and good standing.
• Group applicant confirmation: Where an applicant is or will be part of a group subject to group wide supervision, the Commission will seek confirmation from that group's Group Wide Supervisor as to the group's scope and the applicant's place within it.
• Cooperation with other supervisors: The Commission will proactively engage and cooperate with Group Wide Supervisors of entities significant to the Guernsey market, and cooperate with other Group Wide Supervisors on request, including participation in supervisory colleges and information sharing.
• Information sharing basis: Disclosure of otherwise confidential information to overseas regulators is permitted under section 80(f) of the Insurance Business Law, where it assists a relevant supervisory authority outside the Bailiwick in exercising its functions.

The statement is informational and describes the Commission's supervisory policy rather than imposing new compliance duties on individual licensees, though it does affect how applications from group-affiliated insurers are processed.

Applies to

insurers, insurance groups, applicants for insurance licences, subsidiaries of foreign regulated entities, non-locally incorporated domestic insurers