Public Consultation on draft Application Paper on Supervision of Control Functions

Comments due by 26 March 2021

Background information:

Effective control functions with necessary independence, stature and resources help insurers identify and manage risks and are considered a crucial element of the corporate governance framework. In contrast, ineffective control functions may weaken an insurer and require heightened supervisory attention.

The draft Application Paper on Supervision of Control Functions describes practices aimed at helping supervisors address issues related to the supervision of control functions as described in Insurance Core Principles (ICPs) and the Common Framework for the Supervision of Internationally Active Insurance Groups (ComFrame). In particular, the Application Paper supports observance of ICP 8 (Risk Management and Control Functions), and is relevant to ICP 5 (Suitability of Persons) and ICP 7 (Corporate Governance).

The IAIS is now seeking feedback on this draft Application Paper through public consultation. Feedback on this consultative document is invited by 26 March 2021 at 24:00 CET (Basel time). Feedback received by this deadline will enable the IAIS to further develop and finalise the Paper. After this deadline, the Consultation Tool will be closed and it will no longer be possible to submit any further comments.

In addition, a public background session will be held via webinar on 10 February 2021 to discuss the draft Application Paper and receive public feedback. Click here for details.

How to provide feedback:

Please use the Consultation Tool available at the consultation page of the public section (accessed below) to provide your comments. Instructions for use are available when you access the Tool. Please note that only comments submitted through the Tool will be considered. All comments will be published on the IAIS website unless an option in the Tool to keep comments confidential is chosen.

Please note that some formatting (eg bullet points) may not be preserved when copying and pasting your comments into the Consultation Tool from other software such as Microsoft Word.