The Risk Margin working party has two main objectives:

  • What can be done to fix known issues with the risk margin, either within Solvency II or using potential post-Brexit flexibility?
  • What should be the purpose of the risk margin, and how can that purpose best be fulfilled?

We are researching the issues, and are preparing a sessional paper, which we hope to present early in 2020.

We have carried out a survey of life insurers, and are analysing the results, which will inform our conclusions and be reported in the sessional paper.

We presented at CILA in May (in the form of a debate), and will present at the Life Conference in November.

We have also engaged in a debate on the risk margin in The Actuary magazine.

Andy Pelkiewicz

Chair: IFoA Risk Margin Working Party

Please visit our website to find out more about the Risk Margin Working Party and the work undertaken by other working parties.