Featured Product

    EIOPA Amends Decision on Cross-Border Supervisory Cooperation in EU

    July 06, 2021

    EIOPA published a report that examines the key financial stability risks in the insurance and pensions sector in EU. The report includes two thematic articles on the impact of insurance stress tests on equity prices and systemic risk and on the potential mitigating role of insurance with respect to the risks of climate change. EIOPA also announced that it amended its Decision on the collaboration of the insurance supervisory authorities of the member states in the European Economic Area. The Decision became applicable from July 01, 2021.

    The amended Decision takes into account the requirements defined in the Solvency II Directive, the recommendations to EIOPA from the Peer Review on Collaboration, and EIOPA’s own experience in the implementation of the previous Decision. In December 2019, the Solvency II Directive had introduced new notifications requirements for national competent authorities in case of an undertaking carrying out cross-border activities in another member state (Article 152a) and defined the regulatory framework for the cooperation platforms (Article 152b) previously established on the basis of the Decision on collaboration. In this context, the amended Decision will further strengthen and enhance the cooperation between the national competent authorities in relation to cross-border activities through:

    • the introduction of three new notifications requirements for national competent authorities: notification in case of intention to authorize an undertaking with cross-border activities, in case an undertaking carrying out cross-border activity shows deteriorating financial conditions or other emerging risks that may have cross-border effects, and in case of serious and reasoned concerns with regard to consumer protection
    • a more active role of EIOPA in the information exchange to allow the identification of potential risks at the earliest possible stage as well as to foster proactive supervision and timely supervisory actions
    • the clarification of the role of national competent authorities and EIOPA in the process of setting up and running cooperation platforms

    The Decision states that supervisory authorities shall perform the notifications and information exchange set out in its Annex by e-mails, until EIOPA develops an appropriate IT tool for this purpose. EIOPA shall provide an e-mail address to the supervisory authorities to enable them to perform the notifications and information exchange. If certain supervisory tasks fall under the competence of other supervisory authorities that are not members of the Board of Supervisors, those supervisory authorities may, subject to approval by the Board of Supervisors, apply this Decision by signing a declaration of commitment, if this contributes to further strengthening cross-border cooperation. EIOPA will continue to monitor the implementation of the Decision and will use its supervisory convergence tools to ensure a consistent application across EU.

     

    Related Links

    Effective Date: July 01, 2021 (Decision)

    Keywords: Europe, EU, Insurance, Financial Stability Report, Stress Testing, Climate Change Risk, Solvency II, Cross Border Cooperation, Supervisory Convergence, EIOPA

    Featured Experts
    Related Articles
    News

    PRA and FPC Finalize Changes to Leverage Ratio Framework in UK

    The Prudential Regulation Authority (PRA) published the final policy statement PS21/21 on the leverage ratio framework in the UK. PS21/21, which sets out the final policy of both the Financial Policy Committee (FPC) and PRA

    October 08, 2021 WebPage Regulatory News
    News

    CFPB Proposes Rule on Small Business Lending Data Collection

    The Consumer Financial Protection Bureau (CFPB) proposed to amend Regulation B to implement changes to the Equal Credit Opportunity Act (ECOA) under Section 1071 of the Dodd-Frank Act.

    October 08, 2021 WebPage Regulatory News
    News

    PRA Decides to Maintain O-SII Buffers for Another Year

    The Prudential Regulation Authority (PRA) decided to maintain, at the 2019 levels, the buffer rates for the Other Systemically Important Institutions (O-SII) for another year, with no new rates to be set until December 2023.

    October 08, 2021 WebPage Regulatory News
    News

    FSB Report Assesses Implementation of Recommendations on Stablecoins

    The Financial Stability Board (FSB) published a progress report on implementation of its high-level recommendations for the regulation, supervision, and oversight of global stablecoin arrangements.

    October 07, 2021 WebPage Regulatory News
    News

    APRA Updates Loan Serviceability Expectations for Home Lending

    In a letter to the authorized deposit taking institutions, the Australian Prudential Regulation Authority (APRA) announced an increase in the minimum interest rate buffer it expects banks to use when assessing the serviceability of home loan applications.

    October 06, 2021 WebPage Regulatory News
    News

    CPMI and IOSCO Consult on Guidance on Stablecoin Arrangements

    The Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) are consulting on the preliminary guidance that clarifies that stablecoin arrangements should observe international standards for payment, clearing, and settlement systems.

    October 06, 2021 WebPage Regulatory News
    News

    EBA and EIOPA Set Out Work Priorities for 2022

    The European Banking Authority (EBA) and the European Insurance and Occupational Pensions Authority (EIOPA) have set out their respective work priorities for 2022.

    October 05, 2021 WebPage Regulatory News
    News

    MFSA Issues Reporting Updates and Guidance for Banks

    The Malta Financial Services Authority (MFSA) updated the guidelines on supervisory reporting requirements under the reporting framework 3.0, in addition to the reporting module on leverage under the common reporting (COREP) framework.

    October 05, 2021 WebPage Regulatory News
    News

    EC Publishes Decision on List of Equivalent Third Countries Under CRR

    The European Commission (EC) published the Implementing Decision 2021/1753 on the equivalence of supervisory and regulatory requirements of certain third countries and territories for the purposes of the treatment of exposures, in accordance with the Capital Requirements Regulation or CRR (575/2013).

    October 04, 2021 WebPage Regulatory News
    News

    EC Rule on Contractual Recognition of Write-Down and Conversion Powers

    EC published the Implementing Regulation 2021/1751, which lays down implementing technical standards on uniform formats and templates for notification of determination of the impracticability of including contractual recognition of write-down and conversion powers.

    October 04, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7552