Governance, Risk and Compliance - The Paraguayan Insurance Industry

Published: Mar, 2016 | Pages: 41 | Publisher: Timetric
Industry: Insurance | Report Format: Electronic (PDF)

Synopsis
Timetric’s Governance, Risk and Compliance – The Paraguayan Insurance Industry report is the result of extensive research into the insurance regulatory framework in Paraguay.

It provides detailed analysis of the insurance regulations for life, property, motor, liability, personal accident and health, and marine, aviation and transit insurance. The report specifies various requirements for the establishment and operation of insurance and reinsurance companies and intermediaries.

The report brings together Timetric’s research, modeling and analysis expertise, giving insurers access to information on prevailing insurance regulations, and recent and upcoming changes in the regulatory framework, taxation and legal system in the country. The report also includes the scope of non-admitted insurance in the country.

Summary
The report provides insights into the governance, risk and compliance framework pertaining to the insurance industry in Paraguay, including:

• An overview of the insurance regulatory framework in Paraguay.

• The latest key changes, and changes expected in the country’s insurance regulatory framework.

• Key regulations and market practices related to different types of insurance product in the country.

• Rules and regulations pertaining to key classes of compulsory insurance, and the scope of non-admitted insurance in Paraguay.

• Key parameters including licensing requirements, permitted foreign direct investment, minimum capital requirements, solvency and reserve requirements, and investment regulations.

• Details of the tax and legal systems in the country.

Scope
• The report covers details of the insurance regulatory framework in Paraguay.

• The report contains details of the rules and regulations governing insurance products and insurance entities.

• The report lists and analyzes key trends and developments pertaining to the country’s insurance regulatory framework.

• The report analyzes the rules and regulations pertaining to the establishment and operation of insurance businesses in the country.

• The report provides details of taxation imposed on insurance products and insurance companies.

Reasons To Buy
• Gain insights into the insurance regulatory framework in Paraguay.

• Track the latest regulatory changes, and expected changes impacting the Paraguayan insurance industry.

• Gain detailed information about the key regulations governing the establishment and operation of insurance entities in the country.

• Understand key regulations and market practices pertaining to various types of insurance product.

Key Highlights
• The Superintendent of Insurance is the government authority responsible for the supervision and control of insurance and reinsurance companies and insurance intermediaries.

• Composite insurance is not permitted in the Paraguayan insurance industry, but both life and property insurance companies can underwrite and sell accident and health insurance.

• FDI up to 100% is permitted in the Paraguayan insurance industry.

• Non-life insurance products are subject to VAT at a rate of 10%, whereas life insurance products are exempt from VAT in Paraguay.

• The placement of non-admitted insurance and reinsurance by unauthorized insurers and reinsurers is not permitted in the Paraguayan insurance industry.

 Table of Contents

1 Introduction
1.1 What is this Report About?
1.2 Definitions

2 Governance, Risk and Compliance
2.1 Legislation Overview and Historical Evolution
2.2 Latest Changes in Regulations
2.3 Legislation and Market Practice by Type of Insurance
2.3.1 Life insurance
2.3.2 Property insurance
2.3.3 Motor insurance
2.3.4 Liability insurance
2.3.5 Marine, aviation and transit insurance
2.3.6 Personal accident and health insurance
2.4 Compulsory Insurance
2.4.1 Compulsory Traffic Accident Insurance
2.4.2 Insurance for passengers of public transport
2.4.3 Aviation third-party liability insurance
2.4.4 Social security scheme
2.5 Supervision and Control
2.5.1 International Association of Insurance Supervisors
2.5.2 Association of Insurance Supervisors Latin America
2.5.3 Superintendent of Insurance
2.6 Non-Admitted Insurance Regulations
2.6.1 Overview
2.6.2 Intermediaries
2.6.3 Market practices
2.6.4 Fines and penalties
2.7 Company Registration and Operations
2.7.1 Types of insurance organization
2.7.2 Establishing a local company
2.7.3 Foreign ownership
2.7.4 Types of license
2.7.5 Capital requirements
2.7.6 Solvency margins
2.7.7 Reserve requirements
2.7.8 Investment regulations
2.7.9 Statutory return requirements
2.7.10 Fee structure
2.8 Taxation
2.8.1 Insurance premium or policy taxations
2.8.2 Withholding taxes on premium paid overseas
2.8.3 Corporate tax
2.8.4 VAT
2.8.5 Captives
2.9 Legal System
2.9.1 Introduction
2.9.2 Access to court
2.9.3 Alternative dispute resolution

3 Appendix
3.1 Methodology
3.2 Contact Timetric
3.3 About Timetric
3.4 Timetric’s Services
3.5 Disclaimer

List of Tables
Table 1: Insurance Industry Definitions
Table 2: Paraguay – Insurance Regulatory Framework Key Features
Table 3: Paraguay – Life Insurance Regulatory Framework
Table 4: Paraguay – Property Insurance Regulatory Framework
Table 5: Paraguay – Motor Insurance Regulatory Framework
Table 6: Paraguay – Liability Insurance Regulatory Framework
Table 7: Paraguay – SOAT Tariff Rates
Table 8: Paraguay – Minimum Capital Requirements
Table 9: Paraguay – Corporate Tax Rates for the Financial Year 2016

List of Figures
Figure 1: Paraguay – Insurance Supervision and Control at Various Levels
Figure 2: Paraguay – Insurance Regulatory Frameworks for Company Registration and Operation