8
Outwards reinsurance
8.1
The PPP applies to all assets, including reinsurance arrangements. As for any asset, the PRA will take a case-by-case approach to considering whether reinsurance arrangements meet the PPP’s standards (as set out in Chapter 1), and will take into account a particular firm’s circumstances, including the impact of various risk mitigation factors such as the use of collateral. The PRA has set out its expectations in relation to firms’ management of risk – particularly counterparty credit risk – in relation to their reinsurance arrangements in SS20/16.
- 27/05/2020