Hotels and airlines apart from IT also saw fall in demand due to global downturn. Recognising that the unexpected and swift turn of events could lead to problems of a spiralling downturn, the RBI took a series of regulatory measures in addition to providing liquidity and special refinance.
Some countries, such as France, had long developed a strong framework of regulatory returns under Solvency I. French general insurance companies have for decades submitted to the supervisor detailed templates of claims and reserves development by underwriting year and by accident year, while life companies have submitted to the French supervisor the granular decomposition of their insurance liabilities for a very long time as well.