It is for the insurance industry to consider future demographic trends when designing products and developing business models.
The Financial Services Authority (FSA) was established by the Government in 2001 to act as the UK’s independent financial regulator. As part of its supervision of insurance firms, the FSA takes a risk-based approach to discussing demographic considerations with insurers, for example when assessing the robustness of an insurer’s approach to risk management. The FSA requires insurers to sign off their annual returns through auditors and actuaries. This would typically involve an assessment of the impact of demographic trends.