What will your business look like in 2012?

The Financial Services Authority’s September 2008 discussion paper provides a call to action for insurance companies, one that should be heeded, says Jim Bichard, a partner at PricewaterhouseCoopers

Solvency II has been bouncing around the political debating halls of Europe for some time, but still has a target implementation date of 2012. Its aims are generally welcomed. It will provide a level playing field for insurance regulation across the European Union, replacing disparate rules and requirements. It will also introduce a higher level of sophistication to insurance regulation, requiring a far greater focus on risk management, particularly how that determines capital held.