The Reserve Bank issued this release today:
On the 17th December 2014 the Reserve Bank issued a set of Insurance Solvency Standards. The new standards commence on 1st January 2015, except for certain provisions relating to reinsurance within the Solvency Standard for Life Insurance Business 2014. The reinsurance provisions commence over a phased transition period set out within the standard. Conditions of licence will be amended throughout 2015 so that individual insurers will be required to calculate a solvency margin under the reissued solvency standards as at, and from, their 2015 balance date.
The new standards are available on the Reserve Bank website here.
The issue of the December 2014 solvency standards completes the Reserve Bank’s considerations in respect of the recent consultation on amendments to insurance solvency standards. The Reserve Bank’s response to submissions made, and copies of the standards indicating the changes made to the consultation exposure drafts, are available on the Reserve Bank’s website here.
The Reserve Bank has reviewed the submissions received in response to the recent consultation on the proposed treatment of Variable Annuity business within the Insurance Solvency Standards. The Reserve Bank’s response and the near final set of requirements for Variable Annuity business is set out in the Response to Submissions Variable Annuities available on the Reserve Bank website here.