Entire Section

  • PIN 9.3.6 PIN 9.3.6

    An Insurer that has provided a written run-off plan to the DFSA must monitor the matters contained in the run-off plan and must notify the DFSA promptly and in writing of any significant departure from the run-off plan.

    Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]

    • PIN 9.3.6 Guidance

      An Insurer should decide whether a matter constitutes a significant departure from a run-off plan, having regard to the nature and size of the matter and its materiality relative to the size and complexity of the Insurer and, where relevant, the size and complexity of the Cell or Long-Term Insurance Fund concerned. The following matters will normally be considered as representing a significant departure from a run-off plan:

      a. significant revision of the Insurer's strategy for managing risks, and in particular its strategy for the use of reinsurance;
      b. a significant deterioration in the Insurer's claims experience, financial position or solvency position (the amount by which the Insurer's capital resources, determined in accordance with the provisions of PIN chapter 4 relevant to that Insurer, exceed the applicable minimum capital requirements set out in that chapter); or
      c. any other transaction or circumstance that is likely to have a material effect upon the Insurer's solvency position.

      Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]