Tuesday, 23 June 2020

Questions (76)

Matt Carthy

Question:

76. Deputy Matt Carthy asked the Minister for Finance further to Parliamentary Question No. 89 of 20 May 2020, the insurers that have not yet indicated to the Central Bank that they will not pay discretionary dividends or implement share buyback schemes for 2020; and if he will make a statement on the matter. [12414/20]

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Written answers (Question to Finance)

The Deputy will be aware from my previous reply that on 2 April, EIOPA published a statement on dividend distribution and variable remuneration policies in the context of COVID-19. This statement sets out that (re)insurers should suspend all discretionary dividend distributions and share buy backs aimed at remunerating shareholders. In addition, any variable remuneration due to be paid by (re)insurers should also be considered for postponement at this time. The Central Bank of Ireland has confirmed that it remains fully aligned with this statement, and has communicated this to insurance firms bilaterally and through relevant industry bodies. I understand that a number of firms have already announced that they are deferring dividends in this context. I welcome this and believe others should also follow suit.

Specifically, in relation to the Deputy's question, as per my reply of 20 May, I indicated that the Central Bank of Ireland considers the information sought forms part of its day-to-day supervisory work of insurers and reinsurers. Therefore it has indicated to my officials that it is not in a position to assist your request as it does not divulge firm specific information with respect to its supervisory activities.