Insurance Authority Prudential Regulations

The recently issued Insurance Authority Prudential Regulations numbered 25 and 26 of 2014 (collectively the "Regulations"), have been a long awaited and much discussed development in the basic methodology underlying the manner in which the financial affairs of insurers in the UAE are regulated.  The new requirements represent a sea change on a going forward basis, and impose a fiscal regime not unlike the soon to be implemented European system known as Solvency II.  All UAE insurers are now required to adjust their financial models, record keeping, and investment portfolios to ensure compliance with the new Regulations, and as such will now be held to internationally accepted fiscal and accounting standards.