ATLANTIC INSURANCE TRADE TALKS YET TO REACH AGREEMENT

Talks aimed at better aligning US and EU insurance and reinsurance regulation closed last week without having reached a final agreement, although negotiators have vowed to resume talks. In a joint statement the US and EU negotiators said: “US and EU representatives are committed to pursuit of an agreement that will improve regulatory and supervisory treatment for insurers and reinsurers operating on both sides of the Atlantic. Both sides are considering next steps to ensure advancement of the negotiations”. The US and EU have, however, agreed to pursue an agreement on group supervision, exchange of supervisory information, and reinsurance supervision, including collateral. European and London market reinsurers would like the US to remove collateral requirements on foreign reinsurers and create a more level playing field.