Taiwan Considers Easing Rules for Insurers After Currency Swings

Taiwanese insurers are facing difficult questions about the damage of recent swings in the local currency. Regulators may have a partial solution: letting firms change how they calculate the value of foreign currency assets.

The island’s financial regulator is considering allowing insurers to use six-month average exchange rates when they calculate risk-based capital in their semi-annual reports, a shift from the current system where insurers use exchange rates on the final day of reporting.