The National Bank of Moldova has set its priorities for the supervision of the insurance sector in 2024. The institution will assess whether insurance companies have a solid and reliable governance system, which includes a clear organizational structure, with well-defined, transparent and consistent lines of responsibility, as well as with effective risk identification, management, monitoring and reporting processes.

Last July, the NBM became the supervisory authority for the insurance sector. In 2024, supervisory efforts will focus on three key areas: internal governance of insurance companies, underwriting risk, asset coverage of technical provisions and the minimum capital requirement. “The NBM will draw attention to the methods of identification, measurement and monitoring by underwriting risk insurance companies, in order to make sure that they correspond to the regulations in force, but also to their risk profile”, the institution said in a press release.

At the same time, the NBM will monitor the holding by the insurance companies of a sufficient level of assets intended to cover the technical reserves and the minimum capital requirements.