July 14, 2025
CIPR Journal Club - Sectoral Asset Concentrations and Insurance Solvency Regulation
CIPR Journal Club: Sectoral Asset Concentrations and Insurance Solvency Regulation
Monday, July 14th at 12:00pm Central
Join CIPR on July 14th at 12:00 CDT for the next installment of our Journal Club webinar series. Each Journal Club features a guided discussion of one article from our Journal of Insurance Regulation. These sessions are interactive, and attendees are encouraged to turn on their cameras, unmute, and engage in the conversation.
We will be discussing 鈥,鈥 by Fabian Regele and Helmut Gr眉ndl (both at the International Center for Insurance Regulation (ICIR), Goethe-University, Frankfurt). The paper analyzes how sectoral asset concentrations affect insurer solvency. The authors find that concentrations in public sector assets enhance solvency, while those in real estate weaken it. Since current regulations do not consider these effects, the authors advocate for revised capital requirements and greater disclosure to address the systemic risks of sector-specific investments.
Please review the article before the webinar and bring your questions and observations. A brief executive summary is provided at the beginning of the article for your convenience.
This program is pre-qualified for 不良研究所官方 Designation Renewal Credits (DRCs). Active designees may apply awarded credit toward the current renewal cycle. Visit the Designation Program website for more information. Credit is available for those who participate in the full duration of the session, including breakout groups.
Learning Objectives:
- Articulate the implications of sectoral asset concentrations on insurer solvency.
- Articulate sectors in which insurers seem to have concentrated assets.
- Discuss why an insurer may want to concentrate assets in specific sectors.
- Discuss possible regulatory responses to sectoral asset concentrations on insurer balance sheets and the regulatory levers that could be used, such as enhanced disclosure and RBC.
- Discuss possible downside risk of regulatory intervention in the case of sectoral asset concentrations.
- Discuss some of the lessons learned about asset concentrations from the 2007-2009 financial crisis and how sectoral asset concentration is similar or different.
About the National Association of Insurance Commissioners
As part of our state-based system of insurance regulation in the United States, the National Association of Insurance Commissioners (不良研究所官方) provides expertise, data, and analysis for insurance commissioners to effectively regulate the industry and protect consumers. The U.S. standard-setting organization is governed by the chief insurance regulators from the 50 states, the District of Columbia and five U.S. territories. Through the 不良研究所官方, state insurance regulators establish standards and best practices, conduct peer reviews, and coordinate regulatory oversight. 不良研究所官方 staff supports these efforts and represents the collective views of state regulators domestically and internationally.