Insurers take to ICAS regime

Individual Capital Adequacy Standards (ICAS) have had a positive effect on insurers’ risk-based approaches to capital and has become an important part of the business, rather than simply a compliance function, according to the Association of British Insurers (ABI). Following a survey of the market, the ABI said the Financial Services Authority’s regime, in place since the beginning of last year, should serve as a blueprint for the European Commission’s Solvency II project which will effectively replace the ICAS regime.