Changing minimum capital requirement

The Insurance and Pension Commission (IPEC) has revised the list of assets that insurance companies can include in the calculation of the minimum capital required. This move follows the discovery by the authorities of breaches to the rules previously laid down. Some companies do not hesitate to make recourse to accounting trickery in order to meet the criteria imposed.

Early June, IPEC clearly specified the eligible assets in a list of items from which disappeared, among others: the motor fleet, furniture and accessories, computer equipment including software. Assets such as intangible business assets, non-guaranteed loans, deferred tax assets, etc. are also no longer allowed.