Global capital standard raises calibration and consistency questions

International efforts to develop a global capital standard are gathering pace, but the plans are controversial, raising fears that the competitiveness of international insurance groups could be damaged. There are also questions over how any global standard could be calibrated and applied. Louie Woodall reports

Plans to enhance the supervision of internationally active insurance groups (IAIGs) have taken a disturbing turn of late. The International Association of Insurance Supervisors (IAIS) originally embarked on this project in the interests of fostering supervisory convergence and closing regulatory gaps. But over time it has morphed into something that closely resembles a whole new layer of