Two key regulatory developments are high on the International Underwriting Association’s list of priorities for 2013. The association will be tracking various initiatives aimed at converging international regimes for the supervision of re/insurance. It will also be seeking to ensure the UK’s new Financial Conduct Authority acts proportionately towards the wholesale sector.
The IUA has drawn up a new business plan that identifies key objectives for the coming 12 months. These also include helping to develop a new strategy for modernising business process in the London Market. Other goals on the list are further enhancing the association’s research projects, encouraging those few London companies not already members of the IUA to join and successfully co-hosting the International Union of Marine Insurance annual conference.
Representation and regulatory compliance work continues to be a prominent part of the IUA’s services to member companies. 2013 will see the association monitoring the continued uncertainty and delay surrounding the EU’s new solvency regime for insurers, Solvency II, and preparing for the launch of the Financial Conduct Authority and Prudential Regulatory Authority in the UK.
IUA Chief Executive Dave Matcham said: “The IUA has strengthened its government affairs team this year in response to a growing demand from our members for information, guidance and a representative voice in many different areas of regulation and compliance.
“In 2013 we will be working with the FCA and PRA and hope to see cooperation between the two bodies at all levels that will ensure the regulatory burden placed on companies is reasonable, cost-effective and fair.
“Elsewhere discussions on global regulatory convergence and ideas on group supervision are important to our member companies, both in London and especially their parent organisations with whom we closely liaise.
“We will also continue to follow the progress of Solvency II. IUA members have invested heavily in preparing for the new regime. Given such expense it is essential that it fully delivers on its promise to promote financial stability and consumer protection and boost business opportunities across Europe.”
A number of proposals for the next generation of market modernisation work have been explored during 2012 under the Project Darwin initiative. Next year it is expected that this work will be consolidated with other efforts to improve placing and settlement processes.
Mr Matcham added: “The IUA is heavily involved in all aspects of the London Market’s modernisation plans and our member companies will supply many of the leading thinkers in the strategic discussions to come.
“Next year we will also be looking to expand the scope of reforms to non-bureau premium accounting processes which have already made dramatic progress saving much time and money for those companies involved in the project.”
The 2013 IUMI conference will see more than 600 delegates from the global marine market meeting in London. The IUA is co-hosting the event, which takes place from September 15-18 at Park Plaza, Westminster Bridge, with the Lloyd’s Market Association.
About the IUA
The International Underwriting Association of London (IUA) represents international and wholesale insurance and reinsurance companies operating in or through London. It exists to promote and enhance the business environment for its members.
The IUA’s London Company Market Statistics Report shows that premium income for the company market in 2011 was £17.261bn with a further £5.052bn controlled by London but written elsewhere. These results are based on a comprehensive survey of 57 companies and give an overall intellectual and economic premium total of £22.313bn for the London company market.