The National Bank of Moldova has published draft amendments to strengthen audit requirements for insurance and reinsurance companies and refine the calculation and reporting of eligible assets covering technical reserves and the minimum capital requirement. The proposal continues the bank’s work to clarify audit team qualifications, with additional requirements covering information systems expertise, actuarial work, professional reputation and outsourced functions. At least one audit team member would need a Certified Information Systems Auditor qualification for specified supervisory audits, including reviews of outsourced information and communication technology activities where applicable. Audit firms would have to review any actuarial expert work before issuing their reports, while insurers would assess audit team members’ professional reputation and provide evidence of their experience and theoretical knowledge. The draft also expands notification and compliance provisions, requires supervisory audits to assess internal outsourcing rules, and permits an audit firm to serve several insurers concurrently only where their cumulative assets do not exceed 50% of total market assets for each insurance category when the supervisor accepts the firm. Separate prudential amendments clarify that certain calculations use net technical reserves and add excess admitted government securities above the minimum capital requirement to the aggregate asset coverage report.
National Bank of Moldova proposes revised insurer audit standards and prudential reporting changes
The National Bank of Moldova has proposed revised audit standards for insurers, including information systems certification, actuarial review, reputation assessments and stronger scrutiny of outsourced functions. The draft also limits audit firm market concentration and adjusts prudential reporting for net technical reserves and excess admitted government securities above the minimum capital requirement.