Insurance Regulatory Update, August 2013

CENTRAL BANK PUBLISHES CONSULTATION ON THE REVIEW OF THE CORPORATE GOVERNANCE CODE FOR CREDIT INSTITUTIONS AND INSURANCE UNDERTAKINGS

On 1 August 2013, the Central Bank published a consultation paper on the Review of the Corporate Governance Code for Credit Institutions and Insurance Undertakings (CP69). It contains a summary of the most significant proposed amendments as follows: (1) Risk Committees: an amendment to require that the risk committee be composed of a majority of non-executive directors, with a non-executive director as Chairman; (2) Chief Risk Officer: a new requirement for all institutions to appoint a Chief Risk Officer; (3) Board Meetings: (i) an invitation to comment on the number of board meetings which High Impact Institutions¹ must hold per year; and (ii) an amendment to the requirement that all non-High Impact Institutions hold their four board meetings in separate calendar quarters so they must now hold one meeting per half year with the