It has become the first regulator in the Gulf Cooperation Council to sign the International Association of Insurance Supervisors’ (IAIS) Multi-Lateral Memorandum of Understanding, which is designed to improve oversight of insurance companies that are active in multiple jurisdictions.
The agreement means the DFSA must adhere to various standards in its supervision of insurance companies, as well as sets out certain rules about how information shared between regulators can be used.
Paul Koster, DFSA chief executive, said: “Acceptance as an IAIS multi-lateral MoU signatory is only permitted after rigorous assessment of the authority’s legislative and regulatory regime.
“The DFSA has established best practice utilising a modern legal framework and a risk-based approach to its supervisory measures.”
The DFSA noted the growing number of internationally active insurers and increasing integration of financial markets highlighted the need for such supervisory frameworks as contained in the IAIS MoU.
