PRA’s MAIA applications are now open: Here’s how insurers can move quickly and safely

The PRA has finalised the Matching Adjustment Investment Accelerator (MAIA) through policy statement, PS17/25, and applications opened on Monday (27 October 2025) for firms to apply for MAIA permissions.

Why the MAIA matters

MAIA creates a tightly controlled fast lane to include, within an MA portfolio, a limited amount of self‑assessed MA eligible assets with features not yet covered by a firm’s current permission. Insurers can immediately take the MA benefit and have 24 months to submit an MA variation to regularise new assets. The benefit will remain in place while the PRA reviews the variation application, and the core MA eligibility rules will not change.

Key guard rails to have in place

• Board‑approved MAIA policy: Setting out intended use, how an insurer will assess eligibility, risk appetite, and governance.
• Contingency plans per asset: Firms cannot assume an immediate sale if eligibility is later challenged and will need to explain how they can achieve continued investment, if an asset has to sit outside the MA.
• Reporting: A MAIA use report will be needed within 18 weeks of financial year-end (first due after permission takes effect). MALIR changes that reference MAIA apply from 31^st December 2026.
• Exposure guard rails: The standard approach is the lower of 5% of net BEL and £2bn, measured on amounts invested; committed amounts count too, and expectations are set at group level. HPC (highly predictable cashflow) assets brought in via MAIA count towards both the MAIA limit and the HPC limit.

What a good MAIA policy covers

Keep a MAIA policy short, practical and owned by the business. It should cover:

1. Purpose, scope and ownership;
2. A proportionate, risk-based process to self-assess eligibility against all MA conditions;
3. Intended use and exclusions (reinsurance assets are generally inappropriate);
4. Controls preventing use of MAIA for assets previously rejected or removed;
5. Risk appetite and limits (invested and committed amounts, with group level monitoring;
6. Per asset contingency plans and review cadence;
7. A regularisation pathway to meet the 24-month timeline, and the MI to be captured in the MAIA use report.

How soon can insurers expect to use the MAIA?

Early movers with well-prepared, evidence-based applications could begin using the MAIA by early 2026, provided permission is granted. The PRA aims to review initial applications promptly, making an early 2026 start feasible for insurers that are ready. However, MAIA usage is only permitted once approval is secured – there are no transitional rights.

A pragmatic road‑map (Oct 2025 – early 2026)

• From 27th October: Nominate an accountable owner; draft a MAIA policy and schedule board approval; set up a rapid eligibility review and evidence template; set a proposed exposure limit aligned to the standard approach. Open a line to the PRA.
• Early November: Build contingency plan templates; assemble the s138BA and MAIA supplementary forms and evidence.
• Mid to late November: File the application and be ready to respond quickly.
• Early 2026: If permission is granted, onboard initial MAIA assets, monitor headroom, and capture MI for the first MAIA use report (due within 18 weeks).

4most’s view

When used effectively, the MAIA serves as a proportionate accelerator that rewards strong governance and thorough preparation. Approach it with a governance mindset rather than treating it as a one-off application, and you’ll progress faster with fewer surprises.

Get in touch if you want to learn more about how our team of experienced actuaries can support your MA strategy – info@4-most.co.uk.