In response to the challenging conditions which are being faced by the financial services sector as a result of the COVID-19 outbreak, the Malta Financial Services Authority ("MFSA") has announced extensions to certain reporting and disclosure deadlines due by March or April 2020.The MFSA Circular describes the different extensions being granted for each sector.
With specific reference to the insurance sector, MFSA announced the following extensions:
1. Insurance and Reinsurance Undertakings
For all supervisory reporting and public disclosure requirements under Solvency II, any extensions would only be entertained in line with direction provided by the European Insurance and Occupation Pensions Authority (EIOPA) to ensure consistent supervisory approaches. In this regard, EIOPA has issued recommendations on supervisory flexibility regarding the deadline of supervisory reporting and public disclosure ("EIOPA Recommendations").The EIOPA Recommendations urge competent authorities to ease reporting and disclosure requirements falling under the Solvency II Directive applicable to the insurance sector.
The EIOPA recommendations apply to the following reporting and disclosure obligations:
- 1. Regular Supervisory Report both at solo and group level;
- 2. Annual Quantitative Reporting Templates both at solo and group level;
- 3. Q1-2020 Quantitative Reporting Templates and the Quarterly Financial Stability reporting both at solo and group level;
- 4. Solvency and Financial Condition Report.
The EIOPA Recommendations can be accessed using the following link: file:///C:/Users/PC/AppData/Local/Packages/Microsoft.MicrosoftEdge_8wekyb3d8bbwe/TempState/ Downloads/eiopa-recomendation-on-reporting-and-disclosure.pdf
In a separate communication, MFSA has notified that it will be adopting the EIOPA Recommendations.
In the case of the conduct-related data return MFSA has expressed its reluctance to grant an extension for next submissions due by June in view that this information is needed in order to report to EIOPA regarding complaints and financial innovation.However, MFSA may exceptionally consider an extension with regards to this submission.
2. Insurance Intermediaries
For the reporting requirements applicable to insurance intermediaries, the MFSA has granted the following extensions:
- Audited Financial Statements - The MFSA granted an extension of two months to all entities in scope for next submissions due by March or April 2020.
- Management Accounts and Compliance Statements - The MFSA granted an extension of two months to all entities in scope for next submissions due by March or April 2020.
The MFSA circular can be accessed using the following link: https://www.mfsa.mt/wp-content/uploads/2020/03/2020.03.21-Circular-Timing-of-regulatory-reporting-due-to-the-outbreak-of-COVID-19-2.pdf
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