FR Q-1
Capital Requirements for Board-Regulated Institutions Significantly Engaged in Insurance Activities
Form:
Instructions:
Description:
This report collects financial data on certain legal entities within depository institution holding companies that are significantly engaged in insurance activities (Supervised Insurance Organizations or SIOs). The information collected includes data on ownership structure, legal entity capital requirements, and the adjustments made to these legal-entity requirements to calculate available and required capital under the Board’s Building Block Approach (BBA) capital framework. The report also collects financial data used to calculate risk-based capital ratios calculated by certain SIOs in addition to the BBA in 12 CFR part 217 subpart J (the section 171 calculation), consistent with section 171 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). Additionally, the report collects certain supplemental information, such as on intercompany transactions, to understand the capitalization of SIOs.
OMB Control Number:
7100-0386
Purpose:
This report is used by supervision and regulation staff in support of monitoring compliance with the BBA and the section 171 calculation. The information regarding capital along with the supplemental information collected assists in analyzing the overall financial condition of SIOs to ensure safe and sound operations.
Background:
The Dodd-Frank Act requires the Board to establish minimum risk-based capital requirements for depository institution holding companies. On October 6, 2023, the Board finalized the BBA for SIOs and adopted the FR Q-1 to support its implementation. Prior to this, SIOs had been excluded from the Board’s banking capital rule. The BBA includes a framework that builds on existing state-based insurance requirements, accounts for risks that are specific to the business of insurance and is different from the calculations used for bank capital requirements. The final rule also contains a risk-based capital requirement in compliance with section 171 of the Dodd-Frank Act.
Respondent Panel:
The FR Q-1 is filed by top-tier SIOs.
Frequency:
Annually, as of the last calendar day of the year, with a submission date of March 31 of the following year.
Public Release:
All items on the FR Q-1 are confidential with the exception of the cover page and the Section “Publicly Reported Items” in Schedule VI, Overall Results. This information will be available via the National Information Center (NIC) public website