The UK’s Prudential Regulation Authority (PRA) has now officially launched its consultation on reforms for the insurance special purpose vehicle (ISPV) regulatory regime, which includes the accelerated pathway for certain catastrophe bond applications and a 10-day target for approvals of certain ILS arrangements.
The consultation was teased back in September, when we first reported that the UK government has an ambition to enhance the regulatory environment for use of ISPV’s for insurance-linked securities (ILS), so as to encourage more ILS and catastrophe bond issuance in the UK.
The PRA said today that, “The proposed reforms are intended to enhance the safety and soundness of the insurance sector by making more diversified reinsurance capital available to cedants while also furthering the PRA’s secondary competitiveness and growth objective by making authorisation of UK ISPVs faster and easier.”
FULL ORIGINAL PUBLICATION HERE
