The Bermuda International Long Term Insurers and Reinsurers organisation has thrown its support behind the Bermuda Monetary Authority’s proposed enhancements to the regulatory and supervisory regime for long-term commercial insurers, reinsurers and insurance groups on the island.

The BMA has issued its first consultation paper, which it said is intended to serve the double goal of protecting policyholders and contributing to financial stability.

Biltir chairwoman Natasha Scotland Courcy said: “Biltir supports enhancements to the regulatory framework which further protect our life and annuities policyholders. The protection of policyholders and cedants is the number one priority of Biltir member companies.”

The proposed regulatory enhancements cover technical provisions, Bermuda solvency capital requirements, the governance of the EBS framework and BMA fee changes.

The process will include two field-testing exercises that the BMA has indicated will enable it to assess and refine the impacts of the proposed changes.

Biltir, which represents the Bermuda life insurance and reinsurance industry, is encouraging its members to take part in the consultation by providing requested data to the BMA by April 30.

Ms Scotland Courcy added: “Any changes to the regulatory framework are invariably complex, therefore we strongly encourage our members to participate in both field testing processes.”

Biltir said it will actively engage with the BMA throughout the year as the enhancements are developed.

The BMA intends to release a second consultation paper in third quarter of 2023 before the proposed changes are brought to legislation.

The changes are expected to come into effect on January 1, 2024.