Horizon scanning

This Overview guides insurance and reinsurance practitioners through horizon scanning resources, signposting analysis, trackers and primary materials on forthcoming legal and regulatory change. Anticipating developments is central to reserving, pricing, capital planning, product governance and claims strategies, given the pace of reform in prudential, conduct and reporting regimes.

Regulatory updates to track include UK Solvency II reforms led by HM Treasury and the PRA under FSMA, evolving FCA conduct standards (notably the Consumer Duty and general insurance pricing practices rules), the onshored Insurance Distribution Directive framework, operational resilience requirements, and financial crime, sanctions and outsourcing expectations across the FCA Handbook and the PRA Rulebook. Practitioners should monitor PRA and FCA consultations, policy statements and supervisory communications, and Lloyd’s market requirements.

Legal risk scanning focuses on trends in policy interpretation, causation and aggregation, the duty of fair presentation and warranties under the Insurance Act 2015, damages for late payment, cyber and war exclusions, and reinsurance issues such as follow the settlements and dispute resolution. Significant appellate decisions can reset wording and reserving assumptions.

Broader market and reporting change, including IFRS 17 implementation, climate‑related supervisory expectations (including PRA SS3/19) and ESG‑driven underwriting...

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