Reports

Insurance Sector Developments

Tuesday January 17th, 2012

Today, the Bahamas Financial Services Board (BFSB) and the Insurance Commission of The Bahamas (ICB) in collaboration with corporate sponsor Ernst & Young hosted a Breakfast Briefing for members, providing an update on insurance sector developments. Special Guest Philip Burrill, a partner in The Bahamas, Bermuda and Cayman Islands (BBC) Sub-Area of Ernst & Young’s Financial Services Office, joined Arvind Baghel Head of Insurance Supervision at ICB. Also on the Panel was Mike Poulding, a former Deputy Director International at the Guernsey Financial Services Commission, now providing consultancy services to the ICB.

Mr. Baghel’s presentation entitled “Regulation and Supervision: A New Paradigm”, (copy attached) covered several issues.

  • Overview of ICB
  • Risk-based Supervision
  • 2011 Highlights
  • 2012 Plans
  • External Insurance

Consultant Mike Poulding focused more on “International Regulatory Developments”, (copy attached) covering:

  • IAIS Insurance Core Principles
  • IAIS Captive Guidance Paper
  • EU Solvency II
  • IMF FSAP programme
  • Developments in other jurisdictions
  • Implications for The Bahamas

Phillip Burrill shared his insight on the successes as well as some of the challenges of Bermuda as an international insurance domicile, including the history of captive insurance development in that jurisdiction.

Aliya Allen, BFSB CEO, expressed the hope that the event will serve to spark creative thoughts and ideas for sector development. She reminded participants that in 2010 the Bahamas Government and BFSB had partnered to produce a shared vision for financial services in The Bahamas, and that among the 10 identified areas of opportunity, international insurance was again singled out as an area which is integral to realisation of this vision. CEO Allen indicated that BFSB will continue to collaborate with the Regulator and Industry to flesh out a strategy for sector development, “that will eventually see our shared vision finally turned into shared action.”