Regulatory Alerts2016-06-27
Instruction No. 2016-I-20 of 27 June 2016 on the amplitude of declaration ranges for states S.21.01 and S.21.03 of Implementing Regulation (EU) No 2015/2450 to be communicated by insurance and reinsurance undertakings under Solvency II
The Prudential Control and Resolution Authority issued Instruction No. 2016-I-20 to standardize reporting requirements for insurance and reinsurance undertakings subject to Solvency II. The instruction mandates that these entities must exclusively use one of the five base options defined in Annex 2 of Implementing Regulation (EU) No 2015/2450 when declaring data for state S.21.01 regarding claim distribution risk profiles and state S.21.03 regarding non-life underwriting risk distribution by sum insured. This directive entered into application on the date of its publication in June 2016.
PRUDENTIAL CONTROL AND RESOLUTION AUTHORITY
Instruction No. 2016-I-20 regarding the amplitude of declaration ranges for states S.21.01 and S.21.03 of Implementing Regulation (EU) No 2015/2450 to be communicated by insurance and reinsurance undertakings subject to the so-called "Solvency II" regime
The Prudential Control and Resolution Authority: Having regard to Commission Implementing Regulation (EU) 2015/2450 of 2 December 2015 defining regulatory technical standards with regard to the templates for reporting information to supervisory authorities under Directive 2009/138/EC of the European Parliament and of the Council; Having regard to the Monetary and Financial Code, in particular Article L. 612-24; Having regard to the Insurance Code; Having regard to the Mutual Code; Having regard to the Social Security Code; Having regard to the opinion of the Prudential Affairs Consultative Committee dated 6 June 2016. Decides:
Article 1 The following are hereinafter referred to as "subject undertakings": insurance and reinsurance undertakings subject to the so-called "Solvency II" regime mentioned in Articles L. 310-3-1 of the Insurance Code, L. 211-10 of the Mutual Code and L. 931-6 of the Social Security Code.
Article 2 The subject undertakings mentioned in Article 1 must, when communicating the information contained in state S.21.01 ("Risk profile of the distribution of claims"), use only one of the 5 base options defined in Annex 2 of Implementing Regulation (EU) 2015/2450 for the valuation limits of incurred claims.
Article 3 The subject undertakings mentioned in Article 1 must, when communicating the information contained in state S.21.03 ("Distribution of underwriting risks in non-life - By sum insured"), use only one of the 5 base options defined in Annex 2 of Implementing Regulation (EU) No 2015/2450 for the valuation limits of sums insured.
Article 4 This instruction enters into application on the date of its publication. Done in Paris, on 27 June 2016 For the Insurance Sectoral Sub-College The President, [Bernard DELAS]