Insurers struggle with prescribed asset investments

THE Insurance and Pensions Commission (Ipec) says none of the country’s 18 short-term insurers complied with the minimum prescribed assets ratio in the first quarter of 2021.
Even though the subsector’s investments in prescribed assets increased by 12,57 percent from $315,10 million as at December 31, 2020 to $354,72 million at March 31, 2021, compliance has been going down, with the average ratio for January to March this year at 2,85 percent. According to a previous Ipec report, only one insurer was compliant with the minimum prescribed assets ratio for the first half of 2019, while two were compliant as of December 2018.