The Insurance (No. 2) Amendment Act 2019 (Amendment Act) became
operative on 31 December 2019. It supplements provisions in the
Insurance Act 1978 (Insurance Act) regarding the power of the
Bermuda Monetary Authority (BMA) to make, and insurers' and
designated insurers' right to apply for, adjustments to the
enhanced capital requirement, available statutory capital and
surplus and available statutory economic capital and surplus of an
insurer or insurance group.
Adjustment of the total statutory capital and surplus
These provisions make explicit the BMA's power to adjust the
total statutory capital and surplus (Line 40 of Form 1EBS)
and they extend rights of insurers and designated insurers to apply
for adjustments. In many ways these are tidy-up changes and
clarifications. But they are important in that they make explicit
certain rights of insurers and designated insurers and powers of
the BMA.
