Bermuda (re)insurers field-test new economic solvency approach
The Bermuda Monetary Authority (BMA) is continuing in its drive for Solvency II equivalence.
Bermudian (re)insurers are currently undertaking a mandatory field test of the Economic Balance Sheet (EBS) approach that has been introduced by the BMA as a key part of the new insurance solvency regime in Bermuda.
The EBS was developed as part of the BMA’s successful drive to obtain SII equivalence. It can be viewed as part of the broader global trend towards more market value-based, risksensitive solvency measures.