A2ii Newsletter 08/21

Welcome! In this newsletter, we provide you with updates on the work of the A2ii, events and publications, and experiences and learning on inclusive insurance regulation and supervision across jurisdictions over the past month.

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Recent Events | Blog and Newsflash | Upcoming Events | Partner Events | Staffing Update | Useful Tools on Our Website

The A2ii taking precautionary measures related to Covid-19

To safeguard the well-being of the A2ii staff and its partners, the A2ii is currently conducting all its activities through virtual formats. As soon as it is possible, we will announce a return to physical events. The A2ii will continue to communicate any changes pertaining to our events on our website, social media channels and through our newsletter.

Recent events

Inclusive Insurance Training Programme: focus on climate change and technology for CEET | 5 – 13 July

In July the A2ii and the Toronto Centre delivered their 17th Inclusive Insurance Training Programme for Supervisors in Central and Eastern European and Transcaucasia region (CEET).

It is the first time that the training was conducted on the new A2ii learning platform, Connect.a2ii, as a combination of self-paced learning modules and live sessions with trainers.

The focus of the training programme was on climate change and innovation however more fundamental topics were also covered such as the role of the insurance supervisor in creating an enabling environment for inclusive insurance. The self-paced learning modules also included cross-cutting topics such as the Sustainable Developments Goals (SDGs) and the impact of Covid-19 on financial inclusion.

In total 26 participants joined from across 13 countries and authorities. During the live sessions, participants were able to engage and learn from one another as well as proactively engage with their trainers.

The live sessions were led by experts on regulation and inclusive insurance - Patricia Vargas, Andrea Camargo, Kofi Andoh and Janice Angove. Over the course of the training, participants addressed specific issues in inclusive insurance in their jurisdictions through the development of action plans. A common theme amongst the action plans was the development and promotion of agricultural insurance as a response to the growing vulnerability of farmers in the region due to climate change.

For supervisors interested in participating in future A2ii-Toronto Centre Inclusive Insurance Programmes, a training will be taking place in October targeting the Sub-Saharan Africa region.

IAIS Financial Inclusion Forum Second Plenary Meeting | 1 July

The second plenary meeting took place on 1 July. Financial Inclusion Forum (FIF) members shared their latest initiatives on inclusive insurance, including if they have, or are considering, a microinsurance framework. Next was a peer exchange session on Microinsurance Frameworks and Proportionality, led by Juan Paolo Roxas from the Insurance Commission of the Philippines, who presented their approach to microinsurance and the different circulars issued throughout the years to bring it into effect. Throughout his presentation he highlighted how rules for microinsurance contrasted with regular insurance. Topics such as licensing of microinsurance agents and use of key performance indicators were covered amongst others. We look forward to the next session, which will take place in the fall with a stakeholder dialogue on the opportunities and challenges of digitalisation in times of Covid-19 and how supervisors can respond, followed by a supervisory workshop in early 2022.

A2ii-IAIS Supervisory Dialogue on Climate-related risks in the insurance sector | 8 July

The A2ii and IAIS welcomed close to 130 supervisors across the morning and afternoon sessions of the Supervisory Dialogue on Climate-related Risks in the Insurance Sector.

The dialogue was moderated by Senior Policy Advisors from the IAIS Hanne van Voorden in the morning session and Jay Muska in the afternoon session. In both sessions, the co-chairs of the Sustainable Insurance Forum (SIF)/IAIS drafting team, Peter Kohlhagen (General Manager, Advice & Approvals, Australian Prudential Regulation Authority (APRA)) and Emmanuel Rocher (Director, International Affairs, Autorité de contrôle prudentiel et de resolution (ACPR)), presented highlights from the recently published joint IAIS-SIF Application Paper on the Supervision of Climate-Related Risks in the Insurance Sector.

They covered recommendations and examples of good practice for insurance supervisors to manage the challenges arising from climate change, including the Insurance Core Principles (ICPs) that can be used and ways in which insurers can drive climate resilience.

Participants also heard from supervisors who presented initiatives and progress so far from their jurisdictions. Siham Ramli (Director of Communications and International Relations, ACAPS, Morocco) presented on ACAP's journey in developing a framework that will seek to encourage insurers to integrate climate-related risks into risk management. Christiaan Henning (Senior Insurance Analyst, South Africa Reserve Bank) presented on the work of the Prudential Authority Climate Think Tank (PACTT) including their ongoing initiatives in developing a roadmap and publishing a climate survey report. In the afternoon session, Carolina Flores (Coordinator of the Climate Change Working Group, CMF, Chile) presented on CMF's journey in establishing a dedicated Commission that addresses Climate Change with its guiding principles being financial stability, market conduct and market development. Among other deliverables, the Commission has set up a Climate Change Working Group through which it will implement its strategies. More information on the work of CMF's Commission can be found here.

The presentations of this dialogue are available on our website here.

The next dialogue will be a public dialogue that will take place on 30 September on the topic of "Closing the health financial protection gap: Expanding Access to Health Insurance in times of crisis and beyond." Please click here to find out more and to register.

If you have any questions or comments, please send them to dialogues@a2ii.org.

The Third Inclusive Insurance Innovation Lab (iii-lab) | July

The A2ii is excited to announce the four countries that have been selected to take part in the third round of the A2ii inclusive insurance innovation lab (iii-lab) with a focus on climate.

Representatives of the insurance sectors in Costa Rica, Grenada, Zambia, and Zimbabwe will embark on a one-year innovation journey to increase resilience of the vulnerable segments in their societies against the impacts of climate change. First sessions with insurance supervisors, who will be leading the teams, have taken place to convene a country team in each country, including the public and private sector and civil society. As soon as all country teams have been put together, the 12-month lab process that comprises three national workshops and three international workshops, as well as coaching calls and global webinars, will start.

The third iii-lab, organised by A2ii in partnership with Reos Partners and InsuResilience Global Partnership, will support participants in playing a more prominent role in championing disaster risk reduction and climate change adaptation and, in achieving the targets laid out in the Sustainable Development Goals.

Webinar on Environmental, Social and Governance Factors | 19 July

On Monday, 19 July, the A2ii participated in a panel discussion on Environmental, Social and Governance (ESGs) Factors and their relevance to the insurance sector.

The panel was organised by the Institutes Griffith Foundation and International Regulators Education Foundation and was part of a virtual summer webinar series organised for insurance regulators. The meeting was moderated by Jim Jones, Executive Director, Katie School of Risk Management of Illinois State University and included Sean Kevelighan, President and CEO of the Insurance Information Institute and Abhishek Varma, Associate Professor from Illinois alongside Hannah Grant, Head of Secretariat at the A2ii. Panellists discussed how a focus on the ESGs was beneficial for a company's reputation and attracting young talent. Green investment strategies could potentially have a significant impact on insurance companies' environmental footprint. However, how best to encourage this was not so easy. Many are now calling for mandatory disclosures and increased transparency. However, do supervisors/regulators have the capacity, particularly in developing countries, to monitor and enforce? Hannah Grant also highlighted the need for more to be done with respect to the 'S' (social) factors and highlighted the significant insurance protection gap.

For those keen to learn a little more about the ESGs or listen to the discussions a link to the recording is available here.

Blog and Newsflash

Lessons so far: Beema Samiti-A2ii-UNCDF insurance supervisory capacity building support on inclusive and digital insurance

by Hui Lin Chiew

What is it that makes digital, inclusive insurance possible – what kind of demand, supply or regulatory environment? What can the regulator reasonably do to provide such an environment, and how should a regulator go about planning and implementing this? Read more...

A2ii Newsflash| The Kingdom of Eswatini issues microinsurance regulations

The Kingdom of Eswatini has issued The Micro Insurance Regulations, 2020, which came into effect on 18 December 2020. The Regulations describe microinsurance products as available, accessible and affordable to low-income persons.

Eswatini has a population of about 1.2 million people, of whom 58.9% live below the poverty line. It is estimated that 72% are not insured. Recently, it has been reported that insurers have been exploring new channels to expand access, such as insurance products sold through Savings and Credit Co-Operative Societies (SACCOs), banks and the Post Office, as well as group products (i.e. church groupings). Keep reading...

Upcoming events

IAIS-A2ii First Strategic Roundtable for Asian Supervisors | 10 August

The International Association of Insurance Supervisors (IAIS) and the Access to Insurance Initiative (A2ii) are organising the first IAIS-A2ii Strategic Roundtable event for Asian supervisors.

During the event, A2ii, IAIS and Financial Stability Institute (FSI) will present their plans for the remainder of 2021 and beyond. Asian supervisors will be invited to share their strategic priorities and capacity-building needs. Other regional organisations will also participate. This is a platform for Asian supervisors to shape capacity-building activities for the region, hear about opportunities available while discussing your priorities with peers.

Click here to register.

Capacity Building for Insurance Supervisors - Leveraging Actuarial Skills |
18 August – 16 September

The training takes place from 18 August to 16 September with a combination of self-paced learning modules and live virtual sessions, involving a range of lecture-based sessions, case studies, breakout sessions and quizzes. Over the four weeks, live sessions take place on Wednesdays and Thursdays.

The course targets middle to senior technical staff from regulatory and supervisory agencies in the Sub-Sahara Africa region, ideally with a minimum of three years of working experience in the insurance industry. The course does not target qualified actuaries, however, participants should have a reasonable level of mathematical skills.

The course will be held in English.

There are no tuition fees to attend the training.

We invite a limited number representatives from each jurisdiction. There are still limited spaces available and we would encourage you to contact us via secretariat@a2ii.org by Wednesday, 11 August in case you are interested in participating.

You can find further information on the training on our website following this link.

Closing the health financial protection gap: Expanding Access to Health Insurance in times of crisis and beyond - A2ii-IAIS Public Dialogue | 30 September

On 30 September, the A2ii and IAIS will be hosting a public dialogue titled "Closing the health financial protection gap: Expanding Access to Health Insurance in times of crisis and beyond". Participants will hear from speakers representing international organisations, insurance providers, as well as select supervisory authorities who will share experiences related to increasing access to health insurance services.

This webinar will be open to all stakeholders and will take place at 14:00 CEST in English (with simultaneous Spanish and French interpretation). It will last one hour and will take place via WebEx.

If you have any questions or comments, please send them to dialogues@a2ii.org.

Please click here to find out more and to register.

Apply now for the SSA Inclusive Insurance Training Programme: focus on climate change and technology | 12 September

Are you an insurance supervisor from Sub-Saharan Africa? Would you like to gain a better understanding of how themes such as climate change and technology are impacting the insurance sector? Apply by 12 September for the Inclusive Insurance Training Programme from A2ii and the Toronto Centre, offered free of charge to insurance supervisors.

The Programme is a combination of self-paced learning modules and live virtual sessions taking place in English from 4 to 12 October 2021.

For supervisors wishing to participate from other regions, please register and the A2ii Secretariat will contact you depending on available spaces. For more information, please click here.

Regional Conference on Inclusive Insurance in the CEET region | 1-2 September

Access to affordable insurance plays an important role in sustainable economic development. There is a need for all stakeholders to work together in addressing the insurance protection gap in the region. The significant uninsured exposure to national catastrophes remains a particular challenge of climate change.

Policymakers need to align their disaster prevention and relief efforts with additional risk management tools, such as insurance, to facilitate market development.

Representatives from supervisory authorities, the industry and stakeholders involved in inclusive insurance are invited to discuss how new tech-enabled business models and supervisory approaches could help increase the very low insurance penetration rates across Central and Eastern Europe and the Transcaucasian (CEET) region.This virtual event is hosted by the Access to Insurance Initiative (A2ii), Insurance Supervision Agency of Slovenia (AZN), International Association of Insurance Supervisors (IAIS), Munich Re Foundation, and the Microinsurance Network (MiN). It will take place on 1-2 September, divided into four sessions:

Session 1: Overview of the Inclusive Insurance landscape in the CEET Region
Session 2: Climate risk and agricultural insurance
Session 3: Digitalisation
Session 4: How to create value for customers

Registration is open now at this link.

Partner Events

NAIC International Fellows VIRTUAL Program | 18-22 October

The NAIC invites you to apply for the NAIC International Fellows VIRTUAL Program taking place October 18 – 22, 2021. The program will feature recorded lectures by NAIC technical experts covering all aspects of U.S. state-based insurance regulation, with opportunities for participants to engage with NAIC staff in order to gain deeper insights into how insurance is regulated in the U.S. and the role of the NAIC in supporting state-based regulation.

For 17 years, the National Association of Insurance Commissioners (NAIC) International Fellows Program has welcomed insurance regulators from around the world to this unique training program, designed to give participants a deep understanding of the U.S. state-based insurance system and to strengthen relationships among U.S. and foreign regulators.

Since 2004, over 300 regulators from 37 countries have participated in the International Fellows Program, and 40 U.S. jurisdictions have proudly hosted these professionals, providing a rich training curriculum and offering insight into U.S. culture, as well as our national state-based system of insurance regulation.

Unfortunately, due to the global COVID-19 pandemic, the NAIC is unable to offer the in-person Fellows Program this fall.

Click here to apply for the VIRTUAL program.

Staffing Update

The A2ii warmly welcomes Sharon Mackay Sikhosana as our Regional Coordinator for Sub-Saharan Africa.

Sharon currently works as a Divisional Head responsible for insurance supervision in the Banking, Insurance and FMI Supervision Department at the Prudential Authority in South Africa.

After completing her articles of clerkship as a candidate attorney, she joined the Gauteng Provincial Government holding various positions in policy and legislation formulation and drafting. She has also worked in the financial services industry for nearly 20 years and has held several senior positions in the insurance industry in the areas of operations management, sales and marketing and key account management. Sharon also managed her own insurance brokerage and consultancy for 6 years.

Sharon holds a BA (Law) degree, B. Proc degree, Master’s Degree in Business Leadership as well as a Management Advancement Programme (MAP) qualification.

Useful Tools on Our Website

Covid-19 Insurance Supervisory Response Tracker

Global tracker of supervisory responses, insurance news and learning resources. Share relevant news with us via secretariat@a2ii.org, by tagging Access to Insurance Initiative on LinkedIn or by mentioning us on Twitter.

Supervisory KPIs Lexicon

Interactive, searchable directory of KPIs for insurance supervisors across four pillars: prudential soundness, market conduct, insurance market development and the Sustainable Development Goals.

Inclusive Insurance Regulations Map

The interactive map incorporates data about existing inclusive insurance regulation and regulation which supports inclusive insurance sourced through A2ii's research, work and interaction with supervisory authorities worldwide.

Insurance and the Sustainable Development Goals (SDGs)

The SDG pages include resources on the importance and the role of insurance across nine SDGs: 01 No Poverty, 10 Reduced Inequalities, 02 Zero Hunger, 03 Good Health and Well-being, 05 Gender Equality, 08 Decent Work and Economic Growth, 09 Industry Innovation and Infrastructure, 13 Climate Change and 17 Partnerships for the Goals.