IAIS Adopts Group Capital Standard

Internationally active insurance groups (IAIGs) should take note of a critical new group capital standard adopted by a global insurance standard-setting body. This could have an effect on capital requirements for these large insurance businesses in one or more jurisdictions across the world. An IAIG, generally, is an insurance group as to which:

• Premiums are written in three or more jurisdictions, and
• Gross written premiums outside of the home jurisdiction are at least 10% of the group's total gross written premiums

And, with respect to size (based on a three-year rolling average):

• Total assets are at least USD 50 billion.
• Total gross written premiums are at least USD 10 billion.