Your World of Legal Intelligence
 United Kingdom | +44 (0) 20 7284 8080

Chapter GIM3120

Document Cited in Related
Vincent
Published date15 April 2016
Record NumberGIM3120
CourtHM Revenue & Customs
IssuerHM Revenue & Customs

INSPRU now contains the detailed prudential requirements for insurers. Its sections deal with specific insurance aspects of types of risk set out in the INSPRU chapters below.

INSPRU amplifies, and must be read in conjunction with, the requirements set out in the other sourcebooks such as PRIN and SYSC, for example INSPRU1 amplifies the requirement under PRIN4 for a firm to maintain adequate financial resources (GIM3080). Firms must hold financial resources to meet liabilities, both capital and liquidity.

INSPRU therefore requires insurers to address various types of prudential risk. This applies to UK firms. Under ‘passport’ or Treaty arrangements, EEA and other firms (notably Swiss) will be regulated by their Home State.

  • INSPRU1 deals with capital resource requirements and technical provisions (see GIM3130).
  • INSPRU2 deals with credit risk, the risk an undertaking is exposed to if a counterparty to a contract fails to perform its financial obligations.
  • INSPRU3 deals with market risk, the risk from fluctuations in value of assets or other financial parameters...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT