Regulatory Notice on Adjustments to the Life Insurance Capital Adequacy Test Guideline (2025) – Letter
Information
Publication type
Letter
Category
Capital Adequacy Requirements
Date
Sector
Foreign Insurance Branches,
Life Insurance and Fraternal Companies
Table of contents
Today, we are publishing a regulatory notice that outlines adjustments to the 2025 Life Insurance Capital Adequacy Test (LICAT) guideline to provide timely and clear guidance to insurers.
The adjustments are related to the capital treatment of certain stop-loss reinsurance arrangements and unregistered reinsurance of segregated fund guarantees and are effective immediately.
OSFI will host an Industry Day on June 6, 2025 to provide more details to stakeholders.
Should you have any questions, please contact Regis Dahany, Managing Director, Insurance Capital and Liquidity Standards Division by email at regis.dahany@osfi-bsif.gc.ca or use the mailbox LICAT-TSAV@osfi-bsif.gc.ca.
Sincerely,
Amar Munipalle
Executive Director, Risk Advisory Hub