BoE’s Director of General Insurance, Chris Moulder, has spoken at an industry forum about current regulatory issues and PRA’s expectations in current market conditions. Mr Moulder notes that, whilst the Solvency 2 regime has come into effect, there are to be many more changes for the insurance industry in the near future, including the phasing in of Solvency 2 reporting and market disclosure requirements and the embedding of governance and risk management requirements. He also drew out recent developments which may impact on PRA’s supervision of firms. These included the approval of the first internal models, the new own risk and solvency assessments and the senior insurance managers regime and corporate governance. Current market conditions were discussed by Mr Moulder in relation to the soft rating environment, underwriting controls and oversight, the release of prior year reserves, complex reinsurance arrangements re-emerging in the market and capital requirements assessments. (Source: Moulder – BoE discusses insurance market conditions)