OSFI releases final insurance capital guidelines for January 1, 2023

These final guidelines are the result of extensive, iterative and collaborative consultation with the insurance industry, stakeholders and other regulators. The input from these groups helped us achieve outcomes that make sense for the Canadian market. Canada’s insurance industry is generally well-capitalized today under current accounting rules and will remain so after insurers implement IFRS 17.

OSFI’s engagement with stakeholders results in effective guidelines that support OSFI’s commitment to protect the rights and interests of Canadian policyholders and creditors and contribute to public confidence in the Canadian financial system.

“The guidance released today is the result of the concerted efforts to adapt our guidance to IFRS 17, while ensuring that the requirements are appropriate for the Canadian context. I would like to thank our colleagues at the Autorité des marchés financiers for their collaboration in developing and implementing consistent capital expectations.”

- Peter Routledge, Superintendent, OSFI

“I applaud the work of all the stakeholders involved, especially on the industry side, for whom the transition to IFRS 17 has been the focus of considerable efforts and investments. I would also like to thank the Office of the Superintendent of Financial Institutions, which worked closely with us throughout this multi-year project to ensure the implementation today of harmonized and robust capital requirements.”

- Louis Morisset, President and CEO, AMF​