Featured Product

    EIOPA Recommends Ways to Address Issues Identified by EU Stress Test

    April 26, 2019

    EIOPA published the recommendations, to the national competent authorities in EU, to address risks and vulnerabilities identified by the 2018 stress testing exercise for insurers. EIOPA first analyzed the stress test results at the individual group level and then, as a second step, put forward these recommendations.

    The five EIOPA recommendations have been categorized as follows: 

    • Supervisory convergence and financial stability (Recommendations 1 to 3). EIOPA highlights the need to strengthen the supervision of the affected groups and requests the national competent authorities to review and, where necessary, to challenge capital and risk management strategies of those groups. Furthermore, the national competent authorities should require groups to identify the range of possible management actions, assess whether these actions are realistic, and consider potential second-round effects.
    • Efficiency and enhancing the stress test exercise process (Recommendation 4). EIOPA requests national competent authorities to check the adequacy and flexibility of systems and risk models used by groups for stress testing.
    • Cross-sectoral coordination (Recommendation 5). EIOPA calls on national competent authorities to enhance cooperation and information-sharing with relevant authorities, such as the ECB Single Supervisory Mechanism and/or other national supervisory authorities of affected insurers that are part of a financial conglomerate.

     

    Related Links

    Keywords: Europe, EU, Insurance, Stress Testing, Recommendations, Financial Stability, Risks and Vulnerabilities, EIOPA

     
    Featured Experts
    Related Articles
    News

    HKMA on Fintech Adoption and Innovation by Banks in Hong Kong

    HKMA announced the publication of a report on fintech adoption and innovation in the banking industry in Hong Kong.

    May 20, 2020 WebPage Regulatory News
    News

    BIS on Impact of Increasing Use of Cloud Technology on Cyber Risk

    BIS published a working paper that examines the drivers of cyber risk, especially in context of the cloud services.

    May 20, 2020 WebPage Regulatory News
    News

    ECB Consults on Guide for Managing Climate and Environmental Risks

    ECB launched consultation on a guide specifying how the Banking Supervision expects banks to consider climate-related and environmental risks in their governance and risk management frameworks and when formulating and implementing their business strategy.

    May 20, 2020 WebPage Regulatory News
    News

    ECB Issues Opinion on Revisions to CRR in Response to COVID Crisis

    ECB published an opinion (CON/2020/16) on amendments to the prudential framework in EU in response to the COVID-19 pandemic.

    May 20, 2020 WebPage Regulatory News
    News

    EBA Assesses Interlinkages Between Recovery and Resolution Planning

    EBA published a report that examines the interlinkages between recovery and resolution planning under the Bank Recovery and Resolution Directive (BRRD).

    May 20, 2020 WebPage Regulatory News
    News

    SRB Publishes Final MREL Policy Under the Banking Package

    SRB published the final Minimum Requirements for Own Funds and Eligible Liabilities (MREL) policy under the Banking Package.

    May 20, 2020 WebPage Regulatory News
    News

    US Agencies Amend Interim Final Rule on Transition Period for CECL

    US Agencies (FDIC, FED, and OCC) published a final rule that makes technical changes to the March 31, 2020 interim final rule that provides a five-year transition period for the impact of the current expected credit loss (CECL) methodology on regulatory capital.

    May 19, 2020 WebPage Regulatory News
    News

    ECB Releases Results of March Survey on Credit Terms and Conditions

    ECB published results of the March 2020 survey on credit terms and conditions in euro-denominated securities financing and over-the-counter (OTC) derivatives markets.

    May 19, 2020 WebPage Regulatory News
    News

    FINMA Adjusts Deadlines for COVID-19 Relief Measures for Banks

    FINMA published guidance (06/2020) on extending or discontinuing various exemptions that were granted due to the COVID-19 crisis.

    May 19, 2020 WebPage Regulatory News
    News

    SRB Consults on Standardized Data Set for Bank Valuation in Resolution

    SRB launched a consultation on the minimum data needed for valuation of a bank in resolution.

    May 19, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5203