Argentina’s Superintendency of Insurance issued Resolution No. 705/2025 amending point 33 of the General Regulation of Insurance Activity to update and harmonise technical criteria for calculating insurance reserves and liabilities, with changes covering environmental surety, valuation of pending mediations and procedural inactivity, and incurred but not reported (IBNR) claims. For Collective Incidence Environmental Surety, the Special Contingency Reserve calculation is simplified to a five per mille (5‰) factor applied to the total sums insured in force at the quarter-end closing date. The valuation approach for pending mediations and procedural inactivity is adjusted by refining the use of correction factors to reflect a progressive reduction in expected payment depending on the age of the most recent procedural act in the case. For IBNR, the methodology for determining reinsurers’ participation is specified more precisely, particularly for excess of loss and surplus contracts, taking into account historical claims experience. The provisions apply to financial statements closed on 31 December 2025 and subsequent reporting dates.
Argentina Superintendency of Insurance 2026-01-05
Argentina Superintendency of Insurance amends reserving rules for environmental surety, pending mediations and IBNR including a 5 per mille contingency reserve
Argentina's Superintendency of Insurance issued Resolution No. 705/2025, amending the General Regulation of Insurance Activity to update criteria for calculating insurance reserves and liabilities. Key changes include simplified calculations for Collective Incidence Environmental Surety, refined valuation for pending mediations, and precise methodologies for reinsurers' participation in IBNR claims. These provisions apply to financial statements closed on 31 December 2025 onward.