The amendments being introduced by the MFSA require the external audit of certain sections and specific templates forming part of the Solvency and Financial Condition Report (“SFCR”).

The audit of the SFCR is a separate engagement to the statutory audit of the financial statements and it is the approved auditor who is to determine whether the use of an auditor’s expert such as an actuarial expert would be required. A new annex, Annex V to Chapter 8, lists the templates that require external audit.

The approved auditor’s report in relation to the new SFCR audit is to be first submitted for financial years ending on or after 31st December 2017.