FOR IMMEDIATE RELEASE
NAIC Hosts Sixth Insurance Regulatory
Dialogue with Japanese Regulators
Regulators exchange views in biannual meeting
NEW YORK (Oct. 24, 2016) —The National Association of Insurance Commissioners (NAIC) hosted the Sixth Insurance Regulatory Dialogue with the Financial Services Agency of Japan (JFSA) on Friday to discuss key issues for insurance regulators. This biannual dialogue brings together regulators from the world’s two largest insurance markets, representing more than 47 percent of worldwide premium income.
“The United States and Japan have mature insurance markets, and U.S. insurers generate more than $52 billion in premium in Japan annually; consequently these dialogues are critical to our markets and to ensure the effective supervision of these entities. We share common goals with respect to supervisory initiatives at the domestic and global levels, including standard setting at the International Association of Insurance Supervisors (IAIS),” said Julie Mix McPeak, NAIC Vice President and Tennessee Insurance Commissioner. “We are working together to ensure that new proposed international standards promote policyholder protection, avoid adverse effects on the insurance industry and support overall economic growth.”
The dialogue included updates from U.S. regulators on cybersecurity, principle-based reserving (PBR) and the group capital calculation. The JFSA offered updates on Japan’s Own Risk and Solvency Assessment (ORSA) reporting and its amended Insurance Business Act implementation. The regulators also exchanged their views on the IAIS risk-based global insurance capital standard (ICS).
“The JFSA welcomes the opportunity to exchange views with our U.S. counterparts,” said Ryozo Himino, JFSA Vice Minister for International Affairs. “We both have large, well-developed insurance markets, and insurers in both countries have important overseas activities in the market of the other. Information sharing and exchange of views on recent developments help us further enhance the mutual understanding of our respective supervisory practices and regulatory frameworks.”
The NAIC and JFSA are committed to more frequent meetings to intensify the dialogue between their technical experts. Japan was among the first to be recognized effective January 2015 by the NAIC as a qualified jurisdiction for the purposes of reinsurance recognition and relief from 100 percent collateral requirements.
Along with McPeak, the U.S. delegation included Eric A. Cioppa, NAIC Secretary-Treasurer and Maine Insurance Superintendent; Peter Hartt, Director, Division of Insurance, New Jersey Department of Banking and Insurance; Kristine A. Maurer, Assistant Director of Insurance, Division of Insurance, New Jersey Department of Banking and Insurance; and Scott Fischer, Executive Deputy Superintendent, New York Department of Financial Services.
The next NAIC-JFSA Insurance Regulatory Dialogue will be held in Tokyo in early 2017.