The European Insurance and Occupational Pensions Authority (EIOPA) has published
the final guidelines to ensure that national competent authorities
(NCAs), insurance companies and groups take active steps toward implementing
key elements of Solvency II in a consistent and convergent way.
The guidelines cover the following key areas:
- system of governance;
- 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 NCAs; and
- pre-application for internal models.
The revised guidelines include details of the scope of the submission of information required with related thresholds together with Annexes on the content of quantitative information, descriptions of reporting items and identification codes.
The guidelines will be applied through 2014 and 2015 utilising "phasing-in" provisions.
EIOPA will aim to issue the guidelines in all EU languages on 31 October 2013
to apply from 1 January 2014. NCAs must report to EIOPA regarding their
compliance or intention to comply within two months after the guidelines’
publication. NCAs are required to submit a progress report to EIOPA on their implementation status in February 2015.
The PRA has updated its website to the effect that it intends to publish a
supervisory statement for consultation which will include its expectations of
firms form 2014.