Solvency margin

The minimum amount by which the total value of a registered insurer’s admissible assets must at any time exceed the total amount of its liabilities is– (a) in the case of a registered insurer carrying on general insurance business only - twenty percent of the general insurer’s net retained annual premium income in the particular year (i.e. after deduction of reinsurance premiums paid in that year by the registered general insurer in relation to such business to a reinsurer acceptable to the Supervisor); and (b) in the case of a registered insurer carrying on long-term business only two hundred thousand dollars ($200,000.00).