Taiwan Eases Rules to Help Insurers Cope With Currency Surge

Taiwan regulators have moved to help the island’s insurers deal with the impact of a recent surge in the local currency, which had left them with massive paper losses on their foreign holdings.

Insurers will be allowed to use six-month average exchange rates when they calculate risk-based capital in their semi-annual reports, the Financial Supervisory Commission said in a statement. At present, insurers use the exchange rates of the final day of the reporting period.

The decision is set to be a relief for the island’s massive life insurance industry, which this week reported more losses for May, on top ...