BMA's New Approach For Commercial Insurers

Continuing its recast of the Bermuda regulatory regime applicable to the insurance industry, the Bermuda Monetary Authority (BMA), has instituted a number of changes to its statutory and prudential reporting requirements.

The changes apply to commercial insurers (i.e. Class 3A, Class 3B, Class 4, Class C, Class D and Class E insurers) and insurance groups (Commercial Insurers) with the implementation of the Economic Balance Sheet (EBS) framework.

Effective 1 January 2016, EBS was embedded in the Bermuda legislative and regulatory regime through a variety of legislative amendments. It modified the reporting regime applicable to Commercial Insurers and, as a result, the procedure for Commercial Insurers seeking exemptions from accounting provisions or filing requirements that was previously granted by the BMA under sections 56 and 6C of the Insurance Act 1978, as amended (Act).