Julian Adams has spoken on how FSA and its sucessor regulators, PRA and FCA, will regulate insurance. He started by sympathising with insurers over the uncertainty as to when Solvency 2 will be implemented. He said PRA will agree with firms a revised “landing slot” for their IMAP (Internal Model Approval Process) process, which can be any time up to 31 December 2015. Until then, the UK regulators will stick with the current ICAS (Individual Capital Adequacy Standards) regime, which they have no problem with. He then discussed PRA’s approach to with-profits. He said FCA’s role is to supervise the fair treatment of policyholders, while PRA will work on FCA’s decisions on fairness to assess whether the proposed course of action for a firm is affordable. Finally, he spoke of PRA’s continuing work on analysing business models in the current economic climate. (Source: Our Approach to Insurance Regulation – In Practice)