Implementing ICPs: Assessment as the First Step IAIS Global Seminar Budapest, Hungary, June 16-17, 2016 Michael Hafeman, Chair, Insurance and Pensions Advisory Board, Toronto Centre

Overview Prepare for the assessment Perform the assessment Prioritize the problems Plan the solutions Put the plans into action Types of assistance – ideas based on my experience

Prepare for the assessment Identify the objectives Assessments can serve many purposes Establish the scope and timeframe Obtain management’s commitment Identify the assessment team Develop an assessment plan Review previous assessments Understand the assessment methodology Understand the ICPs to be assessed Identify the information needed

Perform the assessment Consider the nature of the standard – powers, requirements, supervisory practices… Understand the requirements of the standard and their purpose Assess how your situation measures up to the standard What is written down? What is actually being done? How effectively is it working? Be honest and realistic – benchmark and peer review

Prioritize the problems Be realistic – not everything can be dealt with immediately Where are the biggest shortcomings in observance? Which problems pose the biggest risks to the achievement of supervisory objectives? How urgent is it that they be solved? How much time and resources might it take to solve them?

Plan the solutions Identify clear goals for solving your problems SMART – specific, measurable, actionable, realistic, time-bound Think broadly when identifying potential solutions More regulation is not the solution to every problem! What has worked (or has not) for other supervisors? Who are the key stakeholders? What are their concerns? Develop step-by-step action plans What needs to be done? When? Who is responsible? How much staff time and other resources will it take?

Put the plans into action Implementation projects should be adequately resourced and properly governed Communicate proactively with all key stakeholders – supervisory management and staff, industry, government… Allow sufficient time and resources for consultation, development of systems and procedures, training, and testing Evaluate the results Have the goals been achieved? Has ICP observance improved? Does something more or different need to be done?

Types of assistance – ideas based on my experience Toronto Centre programs International, regional, and country Focus on specific ICPs or themes FSAP preparation and follow-up Leadership skills – including action planning and stakeholder communication Supervisory resources – including TC Community Resource Database and Supervisory Guidance Notes, such as plan implementation, using outside experts, organizational alternatives Assessments FSAPs IAIS Self Assessment and Peer Review program Guided self-assessments Technical assistance needs assessments Capacity development Training seminars Short-term technical assistance Long-term technical assistance Core Curriculum modules A2ii consultation calls