Jurisdictions have different ways of protecting policyholders against the inability of an insurer to pay claims when they become due, for example because of insolvency. 

The Insurance Core Principles (ICPs) call for jurisdictions to put in place sound regulatory and supervisory frameworks that reduce the risk of harm to consumers by helping to maintain fair, safe and stable insurance markets for the benefit and protection of the interests of policyholders, and contribute to the stability of the financial system.

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