Regulatory Alerts2025-03-31
GFSC Guidance Note on External Audit of and Responsibilities of the Governing Body in Relation to the Public Disclosure Requirement
The Gibraltar Financial Services Commission issues this guidance to define the responsibilities of insurance undertakings' governing bodies for approving Solvency and Financial Condition Reports and to establish external audit expectations under the Insurance Companies Regulations. The document mandates reasonable assurance audits for specific valuation and capital management elements, explicitly excluding internal model-calculated solvency capital requirements and supervisory approvals from the audit opinion scope. It further details auditor obligations regarding the Matching Adjustment, requiring independent assessment of its scale and material impact while enforcing strict communication protocols for non-compliance or significant methodological changes.