Ireland: Financial Sector Assessment Program-Technical Note on Insurance Regulation and Supervision
IMF Staff Country Reports, July 27, 2022
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- Ireland: Financial Sector Assessment Program-Technical Note on Insurance Regulation and Supervision
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Bibliographic details
- Published: July 27, 2022
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400216664.002
Summary findings
- Ireland’s insurance sector is characterized by high penetration and density in both the life and the non-life sector, which, however, stems largely from outward cross-border business.
- Irish insurers have proved to be resilient during the coronavirus disease 2019 pandemic, although the full effects have yet to be seen.
- Primary drivers of solvency ratios have been financial market and interest rate movements affecting insurers’ investment portfolios and liability valuations.
- The Central Bank has been expanding its analysis of climate risks and corresponding risk management practices in the financial sector.
Analysis of solvency and risk drivers
- Solvency ratios have been driven primarily by:
- financial market movements affecting insurers’ investment portfolios; and
- interest rate movements affecting liability valuations.
- Pandemic impact:
- Resilience observed during the coronavirus disease 2019 pandemic to date; full effects remain uncertain.
Climate risk and supervisory focus
- The Central Bank is expanding its analysis of climate risks and corresponding risk management practices across the financial sector.
- Emphasis on improving risk management practices to address climate-related exposures.
EU convergence and supervisory recommendations
- There is scope for the Central Bank to leverage its expertise and experience to promote further EU convergence on insurance oversight.
- The Central Bank has been very active in policy discussions at the European Insurance and Occupational Pensions Authority (EIOPA).
- The Central Bank is well placed to take a leading role in efforts to achieve consistent application of EU legislation, and generally supervisory convergence, on:
- the supervision of cross-border business;
- the supervision of intra-group transactions and group concentrations;
- the supervision of captives.
Publication and metadata
- Publication date: July 27, 2022
- Pages: 49
- Volume: 2022
- Issue: 244
- Series: Country Report No. 2022/244
- DOI: https://doi.org/10.5089/9798400216664.002
- Stock No: 1IRLEA2022010
- ISBN: 9798400216664
- ISSN: 1934-7685
- Subjects: Financial institutions, Financial sector policy and analysis, Financial services, International organization, Monetary policy
- Keywords: financial condition, Global, Insurance, Insurance companies, probability risk, risk mitigation program, Solvency, solvency ASSESSMENT, solvency capital requirement
- Citation preview (from page): International Monetary Fund. Monetary and Capital Markets Department "Ireland: Financial Sector Assessment Program-Technical Note on Insurance Regulation and Supervision", IMF Staff Country Reports 2022, 244 (2022), accessed 9/11/2026, https://doi.org/10.5089/9798400216664.002
Technical Note: Ireland—Insurance Regulation and Supervision (IMF Staff Country Report No. 2022/244).
Content in this bundle
- Executive Summary