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

Summary

This policy statement sets out the Guernsey Financial Services Commission's approach to insurance group wide supervision. It confirms that the Commission does not act, and does not intend to act, as Group Wide Supervisor for any insurance group, and explains how it handles licensing and cooperation where applicants or licensees are part of a group supervised elsewhere.

• No Group Wide Supervisor role: The Commission will not assume Group Wide Supervisor responsibilities and, as policy, will not license an insurer where this would arise, though it may review this position in future and would consult industry before any change.
• Licensing of foreign subsidiaries: Where an applicant is a subsidiary of a foreign-regulated entity, the Commission will notify the home supervisor of the application and seek confirmation of the applicant's authorisation and good standing.
• Non-locally incorporated domestic insurers: For such applicants, the Commission will seek confirmation from the supervisor in the jurisdiction of incorporation that the insurer is authorised for the proposed business and in good standing.
• Group applicants: Where an applicant is or will be part of a group subject to group wide supervision, the Commission will seek confirmation from the Group Wide Supervisor on the scope of the group and the applicant's place within it.
• Cooperation and information sharing: The Commission will proactively engage 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, subject to section 80(f) of the IBL.

This is a statement of regulatory policy and approach rather than a set of binding rules imposing ongoing filing or reporting duties on licensees themselves.

Applies to

insurers, insurance groups, applicants for insurance licences