ARTICLE · 25 FEBRUARY 2015

The PRA’s New Senior Insurance Managers Regime

Clyde & Co

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On 26 November 2014 the Prudential Regulation Authority (PRA) issued a consultation paper on its proposals for a revised regulatory regime for senior insurance managers (SIMR).

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On 26 November 2014 the Prudential Regulation Authority (PRA) issued a consultation paper on its proposals for a revised regulatory regime for senior insurance managers (SIMR). The purpose of the proposed changes is principally to implement Solvency II requirements but, as expected, the PRA has also taken the opportunity to apply aspects of the Senior Managers Regime proposed for banks, with the strong emphasis contained in those rules on individual accountability (see June 2014 In-Sight). While the PRA is the lead transposing authority in relation to Solvency II, the issue of fitness and propriety of key individuals at insurers impacts the objectives of the Financial Conduct Authority (FCA), which has also issued a consultation paper on changes to its existing Approved Person Regime (APR).

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