Further Changes To Reinsurance Regulations

Originally published in MARVAL, O'FARRELL & MAIRAL Insurance News No 4.

Since February 2011 the Argentine Superintendence of Insurance has been enacting regulations that are significantly reshaping the reinsurance regulatory framework.

Traditionally, Argentine cedants could reinsure with: (i) foreign reinsurers registered with the Argentine Superintendence of Insurance ("ASI") ; (ii) unregistered foreign reinsurers, when a reinsurance broker registered with the ASI intermediated in the reinsurance contract; or (iii) other Argentine insurance companies, up to certain small limits. As a consequence of resolution 35,615 enacted in February, from September 1, 2011 most cross-border reinsurance operations will be prohibited (see "Changes in reinsurance regulatory framework" in our Insurance News # 1).