The Guernsey Financial Services Commission has become a signatory to the Multilateral Memorandum of Understanding (MMoU) of the International Association of Insurance Supervisors (IAIS).
The MMoU is a framework for cooperation and the exchange of information between insurance supervisors and sets minimum standards to which signatories must adhere. It is a key initiative of the IAIS and will enable the supervisory community to improve the effectiveness of cross-border supervision of insurance and reinsurance companies.
Richard Walker, Director of Policy and International Affairs at the Guernsey Financial Services Commission, said: “Strong and effective cooperation and information exchange between supervisors are seen by the G20 countries as crucial to preserving financial stability. Each authority applying to be a signatory to the MMoU undergoes a rigorous validation process to ascertain whether the minimum standards of the MMoU are satisfied. The confirmation that Guernsey meets these standards is very positive.”
Nik van Leuven, Director General of the Guernsey Financial Services Commission, said: “Increasingly, other supervisors are only disclosing confidential information to us if we are willing to participate in international arrangements, and if the confidentiality regime to which we are subject in Guernsey is considered to be satisfactory. Becoming a signatory to the IAIS MMoU is a practical demonstration of our commitment to implementing international supervisory standards. I cannot emphasise too much the importance of cooperation and information exchange, which will enhance the views of the political and supervisory authorities in other jurisdictions of our legislation and practice as insurance supervisors.”