2 feedback and looking ahead n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
2. Feedback and Looking Ahead PowerPoint Presentation
Download Presentation
2. Feedback and Looking Ahead

Loading in 2 Seconds...

play fullscreen
1 / 10

2. Feedback and Looking Ahead - PowerPoint PPT Presentation


  • 89 Views
  • Uploaded on

2. Feedback and Looking Ahead. Reg Clarke Associate, Retail General Insurance Team. 2.1 What we are seeing Data review Peer review Board capability and governance Firm Enquiries Function: Trends. Feedback and Looking Ahead. Key Performance Indicators: 2012 Total funds up 17%

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about '2. Feedback and Looking Ahead' - gella


Download Now An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
2 feedback and looking ahead

2. Feedback and Looking Ahead

Reg Clarke

Associate, Retail General Insurance Team

slide2

2.1 What we are seeing

  • Data review
  • Peer review
  • Board capability and governance
  • Firm Enquiries Function: Trends

Feedback and Looking Ahead

slide3

Key Performance Indicators: 2012

  • Total funds up 17%
  • Gross Written Premiums up 15%
  • Capital levels increased
  • BUT at individual firm level

experiences rather mixed

Feedback and Looking Ahead

slide4

Capital data supports PRA supervisory approach

      • Better use of data to help identify outliers and trends
      • Enhances our supervision of firms (more proactive)
  • Capital levels increasing steadily
  • Fewer than 10% of firms have Pillar 1 ratios below 150% of their capital resource requirement

Feedback and Looking Ahead

slide5

2.1 What we are seeing: Data review (annual

returns)

  • Reporting quality generally good but
    • Review of ECR (Enhanced Capital Requirement) forms reveal misreporting of individual capital guidance
        • Firms need to understand the ICG they have been set
        • Firms ICG cannot be lower than MCR
    • Misreporting of base capital resource requirement by some firms
        • Impacted by Euro : Sterling exchange rate
        • Applies from 31 December

Feedback and Looking Ahead

slide7

Annual periodic summary meeting for peer groups of firms

  • Key objectives of review is to focus on identifying and feeding back trends and issues to the firms within that peer group
  • Challenging exercise given niche markets of some firms
  • PRA in early stages of review. Expect to cover our specified groupings over 18 month timeframe (by Q2 2015)

Feedback and Looking Ahead

slide8

First point of contact, liaising closely with key areas of the PRA and Bank.

  • Dedicated team of five, wide range of regulatory experience.
  • Webpage available to provide information on the issues you contact us about or are relevant to you, including reporting and authorisations.

Feedback and Looking Ahead

slide9

Significant PRA resource spent in dealing with the issue of Board capability and governance.

  • PRA expects firms to have regular Board review and assess:
    • Does the board have a good mix and balance of skills, experience, independence and knowledge to enable them to discharge their responsibilities effectively?
    • Is the Board satisfied that the business is run prudently?
    • Have clear structures of accountability and delegation been established?
    • Does the Board provide appropriate direction and challenge to the management team?

NB:

  • These expectations apply to all firms, regardless of size
  • The things we would expect of a Board are referenced in the our Principles and in UK Corporate Governance Code

Feedback and Looking Ahead

slide10

Intend to seek forward looking quarterly capital data

  • PRA assessing the potential for a ‘programme’ of ICA reviews for Category 5 firms
  • Electronic Reporting [Deadline for comments on OCP 8/13 is 1 November 2013]
  • PRA intend to develop a proportionate NDF regime once SII position is clearer

Feedback and Looking Ahead