As consumer’s expectations in service and personalisation increases, it is essential for insurers to provide a streamlined, frictionless and connected experience in all aspects of the customer journey. KPMG in the UK’s Louise Portelli neatly packages five areas insurers can work on to simplify the customer experience and drive higher engagement.
Interest in insurtech innovation continues to increase with new trends and investments at pace. To raise awareness of the opportunities and benefits that digital technologies and innovation can bring to the insurance industry, KPMG will continue to collaborate with TDI to provide invaluable and stimulating insights to insurers as they strengthen their digital insurance strategies. Click here to find out more.
In today’s highly-competitive marketplace, companies cannot afford to miss a great idea or ignore a different perspective. There is no room to waste capabilities or lose top talent. Diversity of thought is key; it’s those that surround themselves with smart people – not likeminded people – that ultimately achieve the greatest successes. For the leaders of tomorrow, the future is inclusive. Read further insights from Jim Liddy, Chairman of KPMG's Global Financial Services practice on his blog titled Time’s up: The urgent need for gender equality in financial services.
Watch videos from financial services leaders globally as they share insights on building an inclusive future.
Branches established in Ireland belonging to Third-Country Insurance Undertakings (“Third-Country Branches”)
On 4 May 2018 the Central Bank published a Policy Notice on Branches of Third-Country Insurance Undertakings Authorised by the Central Bank of Ireland as well as a Handbook for Branches of Third-Country Insurance Undertakings. The Policy Notice sets out the legislative and prudential framework that will apply to non-EEA insurers should they receive an authorisation to establish a third-country branch in Ireland; the Notice also describes the operations that would likely be deemed unsuitable for establishment as a branch, for instance oper ations with significant numbers of Irish policyholders. Compliance with the requirements of the Handbook will be imposed as a condition of authorisation upon third-country insurers wishing to establish a branch in Ireland.
The authorisation process for Third-Country Branches is outlined in the Central Bank’s Guidance and Checklist for Completing and Submitting Applications for Authorisation of a Branch of a Third-Country Insurance Undertaking. The ‘Addendum to the Domestic Actuarial Regime and Related Governance Requirements under Solvency II 2015’, also published on 4 April, provides for the application of the Domestic Actuarial Regime to Third-Country Branches.
The 2018 Addendum to the Domestic Actuarial Regime, the Handbook for Third-Country Branches and the Policy Notice on Third-Country Branches can be found in the ‘Requirements & Guidance’ section for Solvency II insurers of the Central Bank website.
Dear CEO Letter on Regulatory Reporting
On 16 April 2018 the Central Bank published its observations following a number of onsite inspections of the governance, internal controls and data quality relating to the production of quantitative reporting templates; the Central Bank’s review included an assessment of the regulatory reporting policies and procedures; key internal controls; error reporting process; board of directors’ oversight; independent review of the regulatory reporting process; as well as an assessment of overall data quality. The Dear CEO Letter lists examples of good and poor practices observed by the Central Bank.
Guidance on the Approval and Supervision of SPVs
The Central Bank published on 4 April guidance on the authorisation and supervision of Solvency II Special Purpose Vehicles (SPVs), as well as on the Central Bank’s expectations regarding SPVs’ compliance with the requirements of the Solvency II Regulations, Solvency II Delegated Regulations and Implementing Regulation (EU) 2015/462.
On 26 of April EIOPA published its Supervisory Convergence Plan 2018-2019. Over the next two years, EIOPA will focus on the supervisory assessment of conduct risks; the implementation of the bilateral agreement between the EU and the USA on insurance and reinsurance; the supervision of data management, data quality and IT security and governance; and on cross-border business, among others. EIOPA also plans to carry out a thematic review of travel insurance and also a thematic review of the insurance industry’s use of Big Data. EIOPA will also continue to monitor the impact of Brexit on the insurance and pensions markets. The relevant Press Release can be viewed here.
KPMG is pleased to announce that our Global Insurance Deal Advisory practice will be launching our annual M&A research report on 19 June in New York City at the Global M&A, Strategy and Innovation Forum hosted by Mergermarket, a world-renowned research and media firm.
Earlier this year, we commissioned Mergermarket to conduct research of over 200 global insurance executives – decision-makers in M&A, strategy and innovation in their respective firms. The interviews focused on their outlook for the industry and their expectations as they plan to strategically deploy capital to achieve their transformation and innovation objectives. The findings of the research will be presented during the Forum, in addition there will be two panel discussions featuring KPMG clients.
If you would like to attend the forum as KPMG’s guest, please click here to register.
If you wish to view to view the agenda, please click here.
On 13 March of this year, EU finance ministers reached political agreement on mandatory disclosure rules for intermediaries and taxpayers.
Many financial services companies including banks, insurers, asset managers, brokers, agents, third party administrators and servicers are likely, based on the language within the proposed Directive, to be within the scope of the Directive and hence required to report to their tax authorities on a wide range of transactions.
We expect the publication of the final text in the EU Official Journal (OJ) in the coming month or two. Member States will then have until 31 December 2019 to implement the new rules, which will apply as of 1 July 2020. Although it might appear that this deadline gives you enough time to prepare for the new rules it is important to understand that where the first step of a reportable arrangement is implemented between the date when the Directive enters into force (20 days after its publication in the OJ) and 1 July 2020, then that arrangement must be reported before 31 August 2020. Hence those within scope of the Directive will need to have systems and processes in place to start tracking reportable arrangements as early as June 2018.
Against this backdrop, KPMG’s Global Financial Services Tax practice in conjunction with our EU Tax Centre is delighted to invite you to join us for a live webcast on the new EU mandatory disclosure rules for intermediaries and what this could mean for your business. Key issues to be discussed will include: