Financial Services Authority (FSA) annual insurance sector conference back in March. “So now we get to hear from the guy with the funny accent,”he qipped. The rest of his speech, however, concentrated on the regulator’s announcement that it was planning to implement a more “principles based” approach to general insurance regulation.
“Arguing with compliance is like wrestling with a pig. After a while you realise the pig enjoys it.
Plumeri wrapped up by highlighting the advantage the UK has over the US with a regulator that has national authority. The FSA controls the financial sector across the whole of the UK, unlike in the US where each state has its own systems and rules.
“Imagine not one rules-based regulator, but having to work with 50 different rules-based systems,” said Plumeri. “I am not one for more regulation, but I would welcome an optional federal charter in the US just as we have the FSA here in the UK,” Plumeri stated. His words echoed those of CV Starr CEO Hank Greenberg, who made a similar call in a speech at Lloyd’s two months ago.
Plumeri was unable to resist one last dig at the regulators. “Arguing with compliance is like wrestling with a pig. After a while you realise the pig enjoys it,” he said.
Joe Plumeri, Willis chairman and chief executive, commenting on the decision to reject supplemental compensation proposals.