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Solvent Exit Planning Task and Finish Group – Chair, Deputy Chair and members

Application closing date: 21 September 

The ÐßÐßÊÓƵ is seeking a Chair, Deputy Chair and members to join this newly launched short-term Task and Finish Group (TFG), which will run for 6 to 9 months. Non IFoA members are also welcome.

Background

18 December 2024, the Prudential Regulation Authority (PRA) requires (as detailed in Policy Statement PS20/24 and Supervisory Statement SS11/24) that, effective from 30 June 2026, PRA-regulated insurers are required to develop a Solvent Exit Analysis (SEA). The SEA, to be updated at least every three years or following material changes, must outline strategies for a solvent market exit, including potential actions, indicators, barriers, resource assessments, communication plans, governance structures, and assurance processes. Additionally, insurers must prepare a Solvent Exit Execution Plan (SEEP) when a solvent exit becomes a reasonable prospect or upon specific request by the PRA. This initiative aims to ensure insurers can exit the market in an orderly manner, thereby protecting policyholders and maintaining market stability.

Purpose

The Risk Management Board has established this Task & Finish Group to develop practical ideas and guidance for how insurers can develop their solvent exit plans. Adoption of these ideas and guidance should allow firms to not only demonstrate robust plans to their regulator but provide useful insight to the firm’s Board and executive management on how the firm would respond most effectively to severe financial stress.

Output from the TFG should help to establish and promote the actuarial profession as a source of expertise and insight on recovery and resolution planning. The TFG will consider at least:

  • the policy statement and supervisory statement papers published by the PRA on planning for a ‘solvent exit’
  • general lessons learned and best practice from other sectors (e.g. banking) and other jurisdictions (e.g. Ireland)
  • developing a proportionate but robust approach to Solvent Exit Analysis (SEA); these could involve either an implicit DCF based valuation of the business or an explicit options-based approach.  
  • developing appropriate trigger points for the execution of the Solvent Exit Execution Plan (SEEP)
  • drawing meaningful conclusions and appropriate next steps.

For additional background information, see: terms of reference (PDF, 200 KB)

Time commitment

As this is a short-term group which is reporting on a time sensitive issue, we expect the group to meet fortnightly and undertake research between meetings. The time commitment is likely to be 6 hours per month, for up to 9 months. Meetings will be held online.

Next steps

If you are interested in this role and would like an informal conversation before applying, please email us at engagement.team@actuaries.org.uk.

If you have read all the above and would like to apply, please send us:

  • brief details of your relevant experience
  • your reasons for wishing to get involved
  • your ARN (if you are a member)
  • a brief copy of your CV and full contact details (if you are a non-member)
  • confirmation that you have read, understood, and agree to the information and requirements laid out in our volunteer information pack (please be aware that until we have received this confirmation, we will not be able to appoint you as a volunteer)

Please email all the above to engagement.team@actuaries.org.uk. Please note, we are unable to accept late applications.

We are committed to promoting diversity, equality of opportunity, and inclusion, within all our vacancies and we actively encourage applications from a diverse range of potential candidates. Recognising and embracing the unique and diverse talents of our volunteers is fundamental to the success of our organisation.

What you need to know

Volunteering provides you with a wide range of opportunities. With all rights and opportunities come responsibilities and we ask all our volunteers to comply with the terms of the IFoA’s governance manual and volunteer information pack. Before offering to provide support, please read through: what you need to know.