Revised technical specifications for the Solvency II valuation and Solvency Capital Requirements calculations (Part I)

EIOPA has recently published a revised technical specification for the Solvency II valuation and solvency capital requirements calculations (Part I). The updated technical specification is a working document proposed by EIOPA to be used by insurance and reinsurance undertakings when performing calculations for future quantitative assessments of the Solvency II requirements. There are essential parts of the valuation framework still under political discussion and the document is not, therefore, intended to be a complete set of technical specifications for the Solvency II balance sheet valuation or the Solvency Capital Requirements calculations.

The technical specification is inspired by the knowledge that EIOPA has on the current status of the negotiations on the Omnibus II Directive, the working documents on implementing measures and its own work in the development of Technical Standards and Guidelines. EIOPA intend to incorporate the relevant elements of the technical provisions valuation, once the outcome of the Omnibus II Directive negotiations has stabilised.

Please click here for the full text of the revised technical specifications.


EIOPA to launch the technical assessment of the Long-Term Guarantees package

EIOPA will assess the impact of the Solvency II Long-Term Guarantees "LTG" package as requested by the Trilogue parties (the European Parliament, the Council of the EU and the European Commission).

The Long-Term Guarantee Assessment "LTGA" is being completed at the request of the Trilogue parties in the context of the negotiations of the Omnibus II Directive. The goal of the LTGA is to assess the effects that the implementation of the various elements of the package may have on policyholders and beneficiaries, insurance and reinsurance undertakings, supervisory authorities and the financial system as a whole.

The launch of the LTGA exercise is scheduled for 28 January 2013 and it will be conducted in cooperation with national supervisory authorities. It is envisaged that EIOPA will publish its report on the LTGA in June 2013. 


EIOPA Guidelines on complaints-handling by insurance undertakings 

On 16 November 2012, EIOPA published the translation of Guidelines on Complaints-Handling by Insurance Undertakings into all official languages of the European Union (the “Guidelines”). The Guidelines, which are addressed to National Competent Authorities (NCAs), aim to provide guidance on appropriate internal systems and control for complaints-handling by insurers (such as having a complaints management policy and complaints management function in place), render them more effective and provide guidance on the provision of information and procedures for responding to complaints, thereby ensuring the adequate protection of policyholders and beneficiaries.

A transitional period of two months within which national supervisors must declare whether they intend to comply with the Guidelines, or otherwise explain the reasons for non-compliance, expired on 15 January 2013. According to Article 16(3) of the Regulation establishing EIOPA, national supervisors have to make every effort to comply with the Guidelines.

Please click here for the full text of the Guidelines

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.