First published on 27 November 2015
SS44/15 replaces SS10/15 (published on 20 March 2015)
This supervisory statement is addressed to third-country insurance undertakings that have a UK branch (third-country branch undertakings). This includes third-country insurance undertakings that have a UK branch that solely carries out reinsurance activities (a third-country pure reinsurance branch). The statement replaces Supervisory Statement 10/15 ‘Solvency II: third-country branches’. It should be read alongside the Third-Country Branches Part of the Prudential Regulation Authority (PRA) Rulebook, any other rules in the PRA Rulebook that apply to third-country branch undertakings, the relevant European legislation (as it forms part of retained EU law), the European Insurance and Occupational Pension Authority‘s (EIOPA) third-country branches Guidelines (herein referred to as “the EIOPA Branch Guidelines” as at the end of the transition period) and the relevant provisions of the Financial Services and Markets Act 2000 (FSMA). It sets out the PRA’s expectations of third-country branch undertakings.
This statement does not apply to Swiss General Insurers, as defined in the PRA Rulebook, to which different requirements apply pursuant to the Swiss Treaty Agreement (No. 91/370/EEC).
This statement expands on the PRA’s general approach to supervision as set out in its insurance approach document. By clearly and consistently explaining its expectations of firms in relation to the particular areas addressed, the PRA seeks to advance its statutory objectives of ensuring the safety and soundness of the firms it regulates, and contributing to securing an appropriate degree of protection for policyholders. This statement was subject to public consultation in Consultation Paper 31/15 in August 2015, and reflects the feedback received by the PRA.