EIOPA publishes Work Programme 2014
On 10 October 2013, EIOPA published its Work Programme for 2014 (the 2014 Work Programme). This is the vehicle used by EIOPA to map, prioritise and monitor its goals and deliverables.
Some of the goals set out in the 2014 Work Programme include the following:
- Stronger emphasis on pensions, occupational and personal;
- Finalisation of technical standards and guidelines for Solvency II;
- Further development of leading role in consumer protection;
- Priorities driven by supervisory convergence.
Please click here to view the full text of the Work Programme.
EIOPA publishes Action Plan 2014/2015 for colleges and a list of cross-border insurance groups for which a college is in place
On 9 October 2013, EIOPA published the Action Plan 2014 / 15 for Colleges of supervisors (the Action Plan) and the list of cross-border insurance and re-insurance groups for which a College is in place (the List).
The focus of the Action Plan is the further development of consistent risk-based supervision according to Solvency II requirements. One of the goals is to reach a shared view on the assessment of the risk exposure of the group and its major solo entities. Colleges will also discuss and review the progress and consistency of the application of the Solvency II preparatory guidelines at group and solo level. The number of insurance groups increased from 90 in 2012 to 92 in 2013. The List aims at increased transparency and ensuring that non-EEA supervisors are aware of the existence of a College for a particular group. This is the second year that EIOPA has published the List.
Please click here to view the full text of the Action Plan and the List.
EIOPA appoints new stakeholder groups
On 4 October 2013, following an open selection process, EIOPA announced the appointment of the members of its Insurance & Reinsurance (IRSG) and Occupational Pensions Stakeholder Groups (OPSG). Stakeholder Groups help to analyse and assess the impact of EIOPA's activities. The new composition of groups represents, in a balanced way, consumers, users, employee representatives and beneficiaries, as well as diverse types of financial institutions across the EU. EIOPA has increased consumer representation in the Stakeholder Groups in which there are 20 EU Member States represented.
Please click here to view the press release in full.
EIOPA publishes final guidelines for the preparation of Solvency II
On 27 September 2013, EIOPA published its final guidelines for the preparation of Solvency II (the Guidelines). This is being viewed by many as a signal of renewed effort towards implementing Solvency II. The Guidelines were finalised following public consultation in early 2013 during which EIOPA received in excess of 4,000 comments. The Guidelines allow for gradual and proportionate preparation for Solvency II by both national supervisors and industry through the "phasing-in" and threshold provision. National supervisors are expected to ensure that insurance companies and groups take active steps towards implementing the Guidelines.
The Guidelines cover a number of key areas of Solvency II, including the following:
- System of governance, including risk management;
- Forward looking assessment of the undertaking's own risk (based on the Own Risk and Solvency Assessment (ORSA) principles;
- Submission of information to National Competent Authorities; and
- Pre-application for internal models.
Please click here to view the full text of the Final Report on Public Consultation No. 13/008 on the Proposal for Guidelines on the System of Governance;
Please click here to view the full text of the Final Report on Public Consultation No. 13/009 on the Proposal for Guidelines on Forward Looking Assessment of Own Risks (based on the ORSA principles);
Please click here to view the full text of the Final Report on Public Consultation No. 13/010 on the Proposal for Guidelines on Submission of Information to National Competent Authorities;
Please click here to view the full text of the Final Report on Public Consultations No. 13/011 on the Proposal for Guidelines on the Pre-application for Internal Models.
Thoughts on the potential of insurers as a source for SME financing
In a recent edition of the Eurofi Newsletter, Gabriel Bernardino, Chairman of EIOPA, provided his views on the potential of insurers as a source for SME financing. He states that the availability of financing for SMEs is a crucial factor for economic growth and that SMEs represent more than 98% of all enterprises in the EU and account for roughly 67% of total employment. He explains however that investors might be exposed to higher risks as SMEs benefit less from diversification and are generally more likely to experience difficulties in obtaining funds.
Please click here to view the full text of the Newsletter.
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