Holistic Framework virtual roundtable, 13.00-15.30 (CEST) Tuesday 19 July

The IAIS’ Holistic Framework is designed to assess and mitigate systemic risk in the global insurance sector. Nearly three years since the Framework was launched and in advance of a review by the Financial Stability Board on the future of the identification of Global Systemically Important Insurers, the IAIS has held a virtual public roundtable on the implementation of the Holistic Framework from 13.00-15.30 CEST on Tuesday 19 July.

The full recording of this Roundtable can be found below.

Two panel discussions have considered the key issues:

Panel 1: Holistic Framework: a risk-based framework for monitoring key risks and trends and the potential build-up of systemic risk in the insurance sector

(Moderated by Dieter Hendrickx, Chair, Macroprudential Committee, IAIS)

• Views on the process (data gathering, type of stakeholder engagement, reporting to public/participants) for the Global Monitoring Exercise and the insights it provides for stakeholders.
• Benefits of a more holistic approach towards monitoring and addressing financial stability risks (e.g. combining a sector-wide and individual insurer approach), relative to an approach focussed at identifying and addressing those risks at the level of individual Global Systemically Important Insurers (G-SIIs).
• Views on potential additional or different approaches to monitor and mitigate financial stability risks in the global insurance sector?

Introductory remarks by Institute of International Finance and AM Best. Plus additional responses from insurers: Aviva, Meiji Yasuda Life, Phoenix, Prudential Financial

Panel 2: Developments in managing and responding to potential systemic risks in the insurance sector using the Holistic Framework

(Moderated by Peter Braumüller, Chair, Implementation and Assessment Committee, IAIS)

• Supervisory measures and tools for managing and mitigating systemic risk.
• Discussion on the impact of changing supervisory approaches including a macroprudential focus and the extent to which this has improved the ability to manage systemic risk in the insurance sector, particularly those risks that pose a threat to financial stability.
• Benefits of globally consistent implementation of the Holistic Framework standards, compared to a set of prescribed  policy measures applied only to G-SIIs.

Introductory remarks by Global Federation of Insurance Associations and Geneva Association. Plus additional responses from insurers: Aegon, AXA, MetLife, Ping An, Sompo