The United Kingdom Bank of England’s Prudential Regulation Authority (PRA) expects to launch a consultation into its insurance special purpose vehicle (ISPV) regulatory regime, including introducing a new, accelerated pathway for catastrophe bond applications and a 10-day target for approvals.
The moves are designed to enhance the regulatory environment for use of ISPV’s for insurance-linked securities (ILS) and to encourage more catastrophe bond issuance in the UK.
Speaking at the Bank of America Securities Annual Financials CEO Conference, Shoib Khan of the PRA outlined how the PRA aims to take a differentiated supervisory approach for segments of the UK’s insurance market, while also announcing changes to be consulted on relating to the ISPV regime and catastrophe bonds.
FULL ORIGINAL PUBLICATION HERE