News / Taiwan / cnyes
Taiwan Life Insurers to Disclose TIS Capital Ratios by September End
Finance · Life/Health Insurance · cnyes · 2026-09-08
Taiwan's insurance sector prepares for the 2026 TIS transition, with 14 firms required to label transitional measures in their upcoming capital adequacy reports.
What Happened
Regulatory Transition: Taiwan's Financial Supervisory Commission has finalized the TIS capital adequacy framework, mandating that insurers disclose their initial ratios by September 30, 2026. This transition requires rigorous verification by both certified actuaries and accountants to ensure financial accuracy.
Transitional Oversight: Fourteen life insurance companies have applied for transitional measures, which must be clearly marked in public disclosures to maintain market transparency. The regulator will monitor these firms' 15-year capital improvement plans to ensure long-term compliance.
Methodological Shifts: The TIS framework introduces stricter standards than the previous RBC system, including fair-value asset measurement and the inclusion of emerging risks like longevity and catastrophe risk. The confidence level for risk capital has been raised to 99.5%, significantly increasing capital requirements.
Localized Adjustments: To balance international standards with local market needs, the regulator has retained five localized measures, such as preferential risk coefficients for policy-driven investments. Additionally, firms with poor consumer protection ratings will face a 5% surcharge on their operational risk capital.