The Jersey Financial Services Commission (JFSC) has released a notice requesting feedback from the insurance sector on a proposed 12.9% increase in the sector’s fee rates.
The request is composed of a combination of increases with the intention to combat rising inflationary pressures.
Headline fee rates are subject to an increase of 5% above the Retail Prices Index (RPI) to contribute to their financial resilience objectives.
The Commission Law contemplates increases to fees in line with RPI, which was recorded as 7.9% in June 2022.
However, the cost of regulation continues to rise well in excess of this metric, says JFSC.
The change is set to affect any person applying for, or already holding a permit to undertake insurance business.
JFSC affirms that the rise in fee rates will provide sufficient funding to carry out its supervisory objectives and ensure the stability of the state’s Financial Resilience.
The deadline for feedback is Sunday 25 September 2022.
JFSC has said it will publish feedback and the final fee notices in September. It will also administer fees.
The notice states that businesses are to receive an email prompt to notify them that an invoice is awaiting payment.
