The Securities and Exchange Commission of Pakistan (SECP) organized a session dedicated to insurance industry stakeholders, aimed at providing insights into the Risk-Based Capital (RBC) Regime and a detailed walkthrough of the recently distributed RBC templates.
CEOs, finance professionals, and risk experts from the insurance sector participated in the meeting, which was conducted virtually. Additionally, actuarial representatives and accounting specialists from the Pakistan Society of Actuaries and the Institute of Chartered Accountants of Pakistan joined the webinar.
Commissioner of Insurance, Aamir Khan, emphasized the significance of aligning Pakistan’s solvency regime with international standards. He highlighted the need for adopting a more risk-based approach to capital and solvency requirements, positioning Pakistan favorably within the global insurance industry.
Falak S.H. Soomro, Advisor Insurance at SECP, provided an overview of the RBC implementation journey, tracing its evolution from the concept paper developed in December 2022 to the dissemination of RBC templates for industry analysis. Soomro explained that the RBC templates are designed to help companies assess their risk exposures, conduct quantitative impact studies, and validate models.
The session included a comprehensive walkthrough of the RBC templates, focusing on technical aspects and operational considerations. Participants engaged in discussions regarding parameter calibrations, comparative impacts on solvency regimes, and finalization of the broader framework.
The interactive session saw industry professionals and participants posing questions and sharing observations on the RBC regime and templates. Commissioner Aamir Khan urged collaborative efforts from all stakeholders for the successful implementation of the RBC regime in Pakistan, encouraging participants to contribute questions for the creation of FAQs to facilitate mutual understanding.
