EIOPA Consults on Solvency II Related Reporting and Disclosure Changes
EIOPA published a consultation linked to corrections and amendments of the implementing technical standards (ITS) on reporting and disclosures related to Solvency II. Comments are requested by May 14, 2019. In addition to the impact assessment and comments template, EIOPA published the draft amendment to the Commission Implementing Regulation (EU) 2015/2450, which lays down implementing technical standards on templates for the submission of information to the supervisory authorities. EIOPA also published the draft amendment to the Commission Implementing Regulation (EU) 2015/2452, which lays down implementing technical standards on the procedures, formats, and templates of the solvency and financial condition report or SFCR.
The draft amendments address the "Delegated Regulation (EU)…/… (C(2019) 1900)," adopted by EC on March 08, 2019, which amends the Delegated Regulation (EU) 2015/35 that supplements the Solvency II Directive (2009/138/EC) on the taking-up and pursuit of the business of insurance and reinsurance. The draft amendments also address the Commission Delegated Regulation 2018/1221, which amends Regulation (EU) 2015/35 regarding the calculation of regulatory capital requirements for securitizations as well as simple, transparent, and standardized securitizations (STS) held by insurance and reinsurance undertakings. The supervisory reporting templates need to be adapted to reflect these changes
Some of the proposals under consultation are based on the amendments to the Delegated Regulation (EU) 2015/35 adopted by EC on March 08, 2019 and are currently under the scrutiny period of the European Parliament and the Council. The proposed amendments have been kept to the minimum and do not reflect a detailed review of the requirements, which will be part of the 2020 Reporting and Disclosure Review. The proposals aim to align the reporting and disclosures with the amendments to the Delegated Regulation (EU) 2015/35.
In addition, the closed list of the nominated External Credit Assessment Institutions (ECAIs) has been amended to reflect the changes introduced in 2018 by ESMA, including new registrations and withdrawn registrations. Furthermore, one correction is part of the consultation addressing an error in the instructions of the template "S.25.02 - Solvency Capital Requirement," for groups using the standard formula and the partial internal model.
EIOPA will consider the responses it receives to this consultation and then finalize the draft amendments and corrections to the implementing technical standards on reporting and disclosure. The draft amendments and corrections to the implementing technical standards on reporting and disclosures will then be submitted to EC for endorsement. All corrections and amendments and the update of the taxonomy validations will be incorporated in the XBRL taxonomy version 2.4.0. The public working draft should be published by June 03, 2019 for consultation and the final version published by July 15, 2019, in line with the Governance of Taxonomy Releases.
Related Links
Comment Due Date: May 14, 2019
Keywords: Europe, EU, Insurance, Securities, Reinsurance, Solvency II, Reporting, SCR, Capital Requirements, Disclosures, STS Securitization, SFCR, Securitization Framework, EIOPA
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Scott Dietz
Scott is a Director in the Regulatory and Accounting Solutions team responsible for providing accounting expertise across solutions, products, and services offered by Moody’s Analytics in the US. He has over 15 years of experience leading auditing, consulting and accounting policy initiatives for financial institutions.
Previous Article
BCBS Publishes Basel III Monitoring Updates in April 2020Related Articles
OSFI Issues Phase2 Consultation on Climate Scenario Exercise for Banks
The Office of the Superintendent of Financial Institutions (OSFI) recently announced a consultation on the second phase of the Standardized Climate Scenario Exercise (SCSE) for banks and other financial institutions it regulates in Canada.
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
