The Argentina Superintendency of Insurance introduced a resolution establishing a new single-capital regime for the insurance sector, setting minimum capital requirements for insurance and reinsurance operations. This move aims to enhance sector solvency, reduce insolvency risk, and promote market stability and competition by shifting towards technical criteria and policyholder protection.
Argentina Superintendency of Insurance issued a resolution introducing a new single-capital regime for the insurance sector, establishing a minimum capital amount to operate in insurance and updating capital requirements to operate in reinsurance, with the stated aim of strengthening sector solvency.
The authority framed the changes as part of a deregulation approach that removes inefficient rules and shifts the framework toward technical criteria and policyholder protection. It stated that ensuring an adequate minimum capital level should reduce insurer insolvency risk and support the solidity and stability of the insurance and reinsurance markets, while also strengthening solvency controls and promoting productivity and competition.
Guillermo Plate, head of Argentina’s Superintendency of Insurance, called for regulatory and tax incentives to attract capital and expand insurers’ capacity at the third Argentine Insurance Summit. The proposed regime would help local insurers cover larger, more specialized investment risks rather than transfer them entirely abroad. Insurance…