Access to Insurance Initiative Newsletter 7/2016

Welcome to our monthly newsletter, where we update insurance regulators and supervisors on the work of the Initiative, inform you about events and publications, and share experiences and learning across jurisdictions.

Visit us at www.a2ii.org

Recent events

Global Partnership for Financial Inclusion (GPFI) Forum and Plenary
|18 – 20 July| Chengdu, China 

Approximately 120 participants came together to discuss the topic of ‘digital financial inclusion’ at the recent Global Partnership for Financial Inclusion (GPFI) Forum in Chengdu. The GPFI, established in 2010, is the G20s’ implementation arm on financial inclusion. The meeting was hosted by the Chinese G20 Presidency and welcomed delegates from government authorities, development agencies as well as a number of academics.

The Access to Insurance Initiative (A2ii) presented on a panel looking at Innovation, Risk Management and Regulation of Digital Financial Inclusion. The panel was chaired by UK Department for International Development and included representatives from Mexican Ministry of Finance, CGAP and Digital Frontiers Institute. In its comments the A2ii highlighted the considerable impact that digital financial inclusion has been having on the insurance sector as a result of the far-reaching and efficient new business models made possible by digital technologies. It also highlighted some of the challenges for insurance supervisors arising from this. Other panelists also highlighted work related to digital financial inclusion in their areas, which included an update on the guidance being developed by the Basel Consultative Group Committee on how to implement their core principles in a manner supportive of financial inclusion and a short presentation from the Mexican Ministry of Finance on a new financial inclusion law.

One of the key themes that emerged from this session, as well as others earlier in the day, was the increased need for different supervisory authorities as well as the different standard-setting bodies to work together collaboratively to ensure that all entities (including non-financial ones) involved in providing digital financial services are included within the regulatory perimeter.

The meeting also saw the launch of the G20 High-Level Principles for Digital Financial Inclusion and GPFI SME Finance Subgroup 2016 Work Plan.

The Forum was then followed by GPFI Plenary on July 20th. This meeting was restricted to delegates from G20 government authorities, GPFI, implementing partners and affiliated members such as A2ii, and welcomed around 60 participants. Key GPFI outputs for the Chines presidency were discussed. A short presentation was also provided by the German Ministry for Economic Cooperation and Development, BMZ, on their preliminary thoughts on the priorities for the upcoming German presidency.

As a member of the GPFI Regulation and Standard-Setting Bodies (SSBs) Subgroup, the A2ii discussed the High-Level Standard-Setting Body meeting being organised by the subgroup in Basel on October 26-27. This meeting will draw on the contents of the White Paper published by the subgroup earlier in the year and will bring together representatives of all 7 standard-setting bodies.

A2ii-IAIS 17th Consultation Call on “Experiences in implementing regulatory frameworks for inclusive insurance”
|21 July 2016|

Developing an appropriate and proportionate regulatory framework is key to supporting the growth of inclusive insurance markets. However, effectively implementing inclusion-friendly regulation is a challenging task in practice.

In the 17th IAIS-A2ii Consultation Call, technical experts Michael McCord, Andrea Camargo and Patricia Inga Falcon discussed the key aspects that need to be considered for the successful implementation of an inclusive insurance regulatory framework, as well as potential challenges arising in the process.

The insurance supervisors from CIMA, Jamaica and Peru presented on the calls and shared their experiences with implementing a regulatory framework for inclusive insurance.

Overall 48 supervisors from 17 jurisdictions participated in four calls that were held in English, Spanish and French.

Discussion evolved around the following points:

• Implementation timeframe and progression
  • The importance of adopting a two-phase approach to identify aspects within the existing framework where regulatory changes can be made
  • The need for an iterative process of adding or adjusting regulation in response to industry advances and technological change
• Essential elements of the regulatory implementation strategy (Regulatory Road Map) – e.g. inclusion of key issues identified in the country diagnostic (such as a definition, distribution or consumer protection), assessment of institutional capacity and mandate, industry input
• Implementation requirements in practice – e.g. appointing an inclusive insurance ‘champion’, targeted capacity building, involving the industry, adopting proportionality
• Limitations and challenges of effective implementation – e.g. how to coordinate with other bodies when the regulatory environment extends beyond the jurisdiction of the insurance regulator, such as with mobile insurance

Click here to download the presentations of the 17th Consultation Call in English, French and Spanish. A full report summarising the discussions of all four calls will follow soon.

The next Consultation Call will take place on 22 September – topic to be determined. If you have any suggestions for topics please let us know here.

If you are not currently on our mailing list and would like to receive invitations for future calls please send an email to: consultation.call@a2ii.org

Summer reading list

Report of the 16th Consultation Call (English)
Click here to download the report summarising the discussions of all four calls of the 16th Consultation Call in English on the topic of "Regulatory Definition of Microinsurance II". French and Spanish translations of the report will be available shortly.


Report of the 15th Consultation Call (English)
Click here to download the report summarising the discussions of all four calls of the 15th Consultation Call in English on the topic of "Proportionate Approaches to the Supervision of Intermediaries". French and Spanish translations of the report will also be available shortly.

Report of the 14th Consultation Call (English, French, Spanish)
Click here to download the report summarising the discussions of all four calls of the 14th Consultation Call in English, Spanish and French on the topic of "Regulatory Incentives for Insurance Market Development".

Microinsurance Network: 'The State of Microinsurance 2016' (English)
The A2ii published an article in the new annual Microinsurance Network publication ‘The state of Microinsurance 2016’. In the article the A2ii gives an overview of its work in Peru, Columbia and Jamaica helping microinsurance market development though supporting the supervisory authorities in establishing an enabling regulatory environment.

Briefing Note 6th Consultative Forum Marrakesh (English, French, Spanish)
Click here to download the note summarising the 6th Consultative Forum in Marrakesh on the topic of "Innovative products for the emerging consumer" in English, French and Spanish.

A2ii Briefing Note (English, French)
The note describes the role of insurance for development and the concept of pathways to development. The A2ii Briefing Note in English and French is available here.

A2ii Policy Note on agricultural insurance (English, French)
The first A2ii policy note on “How agricultural insurance can improve food security – and why regulation matters” is now available in French as well as in English. It’s about agricultural insurance in the context of food security, explains the role of regulation to make effective risk protection work and highlights some of the challenges in regulating innovative index-based insurance approaches.

A2ii Factsheet 2016 (English, Spanish, French, Arabic)
The Factsheet informs about the work of the A2ii, the importance of insurance and the power of regulation to promote inclusive insurance markets. The factsheet also highlights some of A2ii’s achievements to date. Please share the factsheet with interested partners! The A2ii Factsheet 2016 is available here.


A2ii annual report (English, French, Spanish)
Please access the English, French or Spanish version of the report here. If you are interested in receiving a hard copy of the report, please send us an email with your address details to secretariat@a2ii.org.

Staffing Update

Farewell Patricia!

We are very sad to see Patricia Inga Falcon, Project Manager of the Access to Insurance Initiative and Inter-American Development Bank project for Latin America and the Caribbean, leave the A2ii.

We sincerely thank Patricia for all her hard work and dedication on the project as well as her support on our Spanish Consultation Calls. It has been an absolute pleasure working with Patricia and we wish her the very best of success and luck in her future endeavours.

Applications Open for Placement with the A2ii

The A2ii is looking for a junior-level insurance supervisor from Asia, Latin America or Africa to undertake a one-year placement at our headquarters in Eschborn, Germany, starting June 2017.

You will get to draw on your own perspective and experiences as a supervisor and actively contribute to the A2ii’s many exciting projects1 supporting supervisors on developing inclusive insurance markets.

Given the international nature of our work, this also means being part of a dynamic and culturally diverse community! You will work with other supervisors from a wide range of countries and there are also many opportunities to collaborate with microinsurance experts and international development organisations.

We are looking for someone with ideally 3-5 years’ experience in insurance regulation, supervision or insurance development policy.  If you are interested and would like more information on the job role and requirements, please do not hesitate to write an email introducing yourself to secretariat@a2ii.org by end of Septemberg 2016.

1 To find out more about what we do, see the A2ii Factsheet 2016.

IAIS-A2ii Consultation Call
|22 September 2016|

The next Consultation Call will take place on 22 September.

We are happy to hear your ideas and suggestions on the topic of our next call. Please submit them at this link.

If you are not currently on our mailing list and would like to receive an invitation please send an e-mail to: consultation.call@a2ii.org.

Save the Date: Financial Education Seminar for Sub-Saharan Africa
|29-30 September 2016| Sandton, Johannesburg, South Africa

This two-day Financial Education Seminar organised by the A2ii, IAIS, FinMark Trust and the Financial Services Board (FSB) South Africa  addresses policy makers and implementers of Consumer Financial Education in Sub-Saharan Africa. For more information, please contact secretariat@a2ii.org or click here.

Save the Date: Inclusive Insurance Training for Supervisors in the Caribbean Region
|3-7 October 2016| Kingston, Jamaica    

Held for the 6th time since 2013, the training is jointly organised by the Financial Services Commission of Jamaica (FSC), the A2ii, the IAIS and the Toronto Centre. It will be a highly interactive teaching approach to reinforce learning on both technical issues as well as leadership skills. The course will be held in English. However, supervisors from Latin America are most welcome to attend the training and, depending on interest shown, simultaneous translation from English to Spanish could be made available. If you are a Spanish-speaking supervisor and would like to request for translation services, kindly contact secretariat@a2ii.org by the end of August so we can make the necessary arrangements.

Save the Date: 7th Consultative Forum
|15 November 2016| Colombo, Sri Lanka

The IAIS, the A2ii and the Microinsurance Network are pleased to announce that the 7th Consultative Forum will take place on the morning of November 15 in Colombo, Sri Lanka, alongside the 12th International Microinsurance Conference. The half-day event on “The role of mutuals, cooperatives and community-based organisations (MCCOs) in inclusive insurance markets” will focus on how MCCOs can provide insurance access to low-income populations in the Asian region, and the related regulatory challenges and advances that come with it. View the event invitation here.

Also, the French version of the 6th Consultative Forum Brief Note has now been released and can be downloaded here.