The International Association of Insurance Supervisors (IAIS) says setting standards to meet members’ needs is one of its key challenges.

“Does the IAIS provide all the international insurance supervisory and regulatory standards our members want?” Secretary-General Yoshihiro Kawai wrote in the association’s annual report.

“The IAIS still faces challenges and it is important we regularly review whether the work of the [association] meets the needs of our members.”

He also questions why member organisations fail to exchange critical information in times of crisis.

“Does the IAIS provide sufficient assistance to members to enable them to effectively exchange information with other supervisors?” Mr Kawai said.

“We recognise that while the Insurance Core Principles provide a ground foundation for insurance supervisors, our members need more concrete benchmarks and guidelines to cope with global insurance markets.”

Mr Kawai says completion of the IAIS common framework project is the first step to meeting this need. “Another is the delivery of tools and a methodology for macro-prudential surveillance for members.”

He says there must be a better way to exchange information between supervisors, especially when documents are confidential.

The annual report shows IAIS operating revenue increased in calendar 2011, to CHF6.4 million ($6.6 million) from CHF5.1 million ($5.2 million) the previous year.

Operating expenses grew to CHF6.2 million ($6.3 million) from CHF4.5 million ($4.6 million).