Overview
The Solvency II regime includes strict guidelines on outsourcing arrangements for insurance and reinsurance undertakings operating in the European Union. These rules are designed to ensure that outsourcing does not undermine the insurer's ability to meet regulatory requirements, including risk management, internal control, and compliance with the Solvency II Directive. Chapter 6 of the Insurance Rules issued under the Insurance Business Act (CAP.403). captures the obligation of authorised insurance and reinsurance undertakings, captive insurance and reinsurance undertakings to notify the MFSA of the outsourcing of key and/or critical or important functions or activities as well as of any subsequent material developments with respect to those functions or activities by such authorised undertakings.
The MFSA has now issued a circular to set its expectations clearly and formally with regards to the requirements listed in paragraph 6.8 of Chapter 6: System of Governance of the Insurance Rules in circumstances where authorised undertakings:
- outsource a key and/or critical/important function to a service provider; and/or
- enter into an arrangement with a Managing General Agent (“MGA”) and/or an intermediary (“INT”) and/or a Third-Party Administrator (“TPA”) giving them delegated underwriting and/or claims and/or distribution authority
The primary objectives of this event is to:
- explain the risk-based approach that will be adopted by the MFSA in relation to outsourcing arrangements;
- explain the scope of the new revised forms and how to be completed;
- set the Authority's expectations in relation to the entire notification process and post obligations following the no-objection;
- Share Good and Bad indicators identified by the MFSA; and
- To respond any queries from the market in relation to this process.
Who Should Attend
- Compliance Officers of Insurance Undertakings
Agenda
09:00H | Registration | |
09:15H | Introduction
Ray Schembri - Head of Insurance and Pensions Supervision, MFSA |
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09:30H | Opening Remarks
Luciano Micallef - Deputy Head, Insurance and Pensions Supervision, MFSA |
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09:40H | Technical Overview
Daphne Micallef - Senior Manager, Insurance and Pensions Supervision, MFSA |
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10:40H | Q&A Session | |
11:10H | Good and Bad Indicators Identified by the MFSA
Malcolm Aquilina - Assistant Manager, Insurance and Pensions Supervision, MFSA |
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11:40H | Networking |
Registrations
The Authority encourages interested participants to register by filling in the form below by not later than Tuesday 26 November 2024.
Registration is on a first come, first served basis.
Photos will be taken during the event with the intent to publish such photos on social media channels and websites.
By registering, one would be granting consent to such data being used.
Speakers
Head, Insurance & Pensions Supervision, MFSA
Ray Schembri
Ray Schembri joined the MFSA in February 2019 as Head of Insurance and Pensions Supervision and is responsible for the prudential supervision of insurance companies, insurance intermediaries and pension operators. Throughout his professional career spanning over 30 years, he held various senior executive positions and directorships with major insurance groups operating in Malta. An Associate of the Chartered Insurance Institute, Mr Schembri has specialised in Insurance Broking, Insurance Operations Management, Insurance Projects Management, Insurance Portfolio Transfers, Risk Management and Captive Insurance Management.
Deputy Head, Insurance & Pensions Supervision, MFSA
Luciano Micallef
Luciano Micallef is the Deputy Head of the Insurance and Pensions Supervision function within the Malta Financial Services Authority (MFSA). He is a Fellow of the Chartered Insurance Institute, an Associate of The London Institute of Banking and Finance, holds an Honours degree in Financial Services, and a Masters degree in Risk Management. Luciano started his career in the insurance industry where he spent 15 years working mostly in the non-life sector. He joined the MFSA in February 2012 and is currently managing a team responsible for the prudential oversight of authorised insurance and reinsurance undertakings, insurance intermediaries, retirement schemes, retirement funds and retirement plan service providers, including business carried out in an EU Member State or EEA State, either through establishment or under freedom to provide services. The primary area of responsibility is ensuring that license holders implement an effective system of governance and risk management system in line with the applicable regulation.
Senior Manager, Insurance & Pensions Supervision, MFSA
Daphne Micallef
Daphne Micallef is the Senior Manager of the Insurance and Pensions Supervision function within the Malta Financial Services Authority (MFSA). She graduated with an Honors Degree in Banking and Finance from the University of Malta in 2006 and then furthered her studies in 2016 and was awarded an ICA International Diploma in Governance, Risk and Compliance with distinction. Daphne Micallef joined the Insurance and Pensions Supervision Function within the MFSA in 2015 and she currently holds the position of Senior Manager within the said function. With over 18 years working experience in the financial industry, Daphne gained significant experience in the Prudential Supervision of the Insurance Industry.
Assistant Manager, Insurance & Pensions Supervision, MFSA
Malcolm Aquilina
Malcolm is an Assistant Manager in the Insurance and Pensions Supervision function within the Malta Financial Services Authority (MFSA) with over 15 years of experience in the local insurance market, specializing in motor claims and personal lines insurance. He holds diplomas in Banking and Financial Services and Insurance and is currently pursuing studies in Insurance and Compliance.