Clifford Chance

Clifford Chance regulatory insurance insights 2024

10 October 2024

During the summer, Clifford Chance hosted a conference on the global insurance (GI) sector. Chaired by Ashley Prebble, Head of the Financial Institutions Group, the third session featured insights from Dorian Drew, Hilary Evenett, and Michael Sicsic on the evolving regulatory landscape in the UK. The panel discussed strategic reforms by HM Treasury and the Prudential Regulation Authority (PRA), including the adaptation of Solvency II into a customised 'Solvency UK' model, aiming to balance competitiveness and financial robustness. The Financial Conduct Authority (FCA) is also enhancing consumer protection through the Consumer Duty, setting higher care standards across financial services.

The session highlighted the PRA's focus on orderly exits for insurers through the proposed Insurer Resolution Regime (IRR) and solvent exit planning, ensuring market stability. The panel emphasised proactive engagement with regulators, robust risk management, and a focus on consumer outcomes as firms navigate these changes. The PRA and FCA's efforts to reform capital management, facilitate market entry, enhance consumer protection, and strengthen the resolution regime reflect a proactive approach to safeguarding the UK's insurance sector's stability and competitiveness.

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