Only 31% of surveyed general insurers feel changes to the prudential framework have sufficiently considered the cost of regulations imposed on industry.

About 69% say the Australian Prudential Regulation Authority has provided ample opportunity for consultation with the industry over proposed changes; 73% say consultation packages have been readily understood; and 69% say the authority has clearly communicated with the industry over proposed changes to prudential standards and guidance materials.

The 48 general insurance respondents are among 262 APRA-regulated entities that took part in the authority’s biennial stakeholder survey on processes and communication methods.

The survey also asked respondents to rank concerns facing the financial services sector in the next two years.

About 92% of general insurers list cybersecurity dangers; 69% point to geopolitical tensions; and 56% flag operational risk. Only 25% are concerned over climate risk and its potential impacts on the industry. 

About 93% of all 262 respondents say APRA’s supervision enhances their financial and operational strength; 96% say it has a positive impact on their risk management practices; and 82% say the authority’s prudential requirements have a positive impact on their financial management.

See the survey results here.