Abstract:
While insurers are not typically the most significant contributors to systemic risk, their actions and
behaviour may materially contribute to such risk. This study considers the models that may be used
to detect systemic risk originating in the insurance market and proposes a framework for identifying
and classifying the sources of systemic risk attributable to insurers. It applies this framework to the
insurance market in South Africa, in the process providing practical recommendations for consideration
by all regulators.
