The Hong Kong Insurance Authority has published consultation conclusions on proposed amendments to the Insurance (Valuation and Capital) Rules in relation to the Risk-based Capital regime. The changes are intended to encourage insurance companies to invest in infrastructure investments while maintaining prudential safeguards. The proposals follow a review of the Risk-based Capital regime and were consulted on in February 2026. Respondents generally supported the amendments, with feedback focusing mainly on the scope of eligible infrastructure investments and the reduction factors. The Insurance Authority has refined the draft amendment rules where appropriate. The package also includes a consequential amendment to the Insurance (Maintenance of Assets in Hong Kong) Rules. The final draft amendment rules will now be introduced to the Legislative Council for negative vetting, with implementation targeted for 31 December 2026.
Hong Kong Insurance Authority 2026-05-08
Hong Kong Insurance Authority publishes consultation conclusions on risk based capital amendments to incentivise infrastructure investment
The Hong Kong Insurance Authority has published consultation conclusions on amendments to the Insurance (Valuation and Capital) Rules under the Risk-based Capital regime, aimed at encouraging infrastructure investment by insurers while maintaining prudential safeguards. Following generally supportive feedback, the authority refined the draft amendments, including the scope of eligible infrastructure investments and reduction factors, and introduced a consequential amendment to the Insurance (Maintenance of Assets in Hong Kong) Rules.