The National Bank of Moldova published its supervisory priorities for the insurance sector for 2025-2026, outlining where it will concentrate off-site supervision and on-site inspections to identify, assess and manage key risks across insurers and other professional market participants. The priorities reflect the central bank’s medium-term supervisory approach, are reviewed annually and draw on risk and vulnerability analysis, insurer risk assessments and progress against earlier priorities; as of 30 September 2024, insurers reported positive results and prudential indicators remained within regulatory limits. Supervisory attention will focus on four areas. Governance work in 2025 will assess the robustness of insurers’ governance frameworks, including internal control, risk management (policies aligned to business strategy, decision-making procedures, risk categorisation, approved risk tolerance limits and reporting), the organisation and independence of key functions (internal audit, risk management, compliance and actuarial), and the effectiveness of internal risk and solvency assessments. Underwriting risk supervision will examine how insurers identify, quantify, manage and report underwriting risk, including prudent calculation of technical provisions under the technical provisions regulation and premium-setting based on reasonable actuarial assumptions, notably in the context of partial liberalisation of compulsory motor third party liability premiums; in the first nine months of 2024 the sector wrote MDL 2,421.9 million in gross premiums, up 10.9% year on year, with general insurance accounting for 97.0% of premiums. Solvency supervision will monitor the calculation and adequacy of own funds and the sufficiency of assets covering technical provisions and the minimum capital requirement, taking account of transitional increases in the absolute minimum capital requirement threshold in 2025 under Law 92/2022 and new solvency calculation requirements, and will review how covering assets are invested for safety, profitability and tradability. ICT risk work in 2025 will include detailed assessments of insurers’ ICT governance, vulnerability management, monitoring of essential services and systems and management of outsourced services, complemented by off-site supervision using a detailed questionnaire to identify major sector risks and track corrective actions. The priorities may be adjusted if the risk landscape changes and will be revisited through the National Bank of Moldova’s annual review process.

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