EIOPA published its annual report for 2018. The report contains a comprehensive account of the EIOPA activities toward the implementation of its mandate and work program during 2018. This year, the work of EIOPA was focused on strengthening supervisory convergence, strengthening consumer protection, preserving financial stability, activities related to insurtech, and monitoring developments on Brexit.
Through its 2018–19 supervisory convergence plan, EIOPA identified priorities and implemented actions to foster a common approach to supervision and address risks to the internal market. EIOPA provided its expertise related to the review of Solvency II, where EIOPA provided advice to EC on the review of the Solvency Capital Requirement. EIOPA also updated its conduct of business strategy to reflect changes to the regulatory landscape and developed a framework for conduct risk assessment. Together, these will support national supervisors to identify and mitigate risk.
In the area of financial stability, EIOPA carried out an insurance stress test, which included a natural catastrophe scenario as well as a questionnaire related to cyber insurance. EIOPA published key reports in 2018 related to cyber insurance, the causes and early identification of failure or near misses in insurance, the development of a macro-prudential framework for insurance, and the first annual insurance overview. As in previous years, EIOPA continued to monitor developments related to Brexit, publishing opinions addressed to national supervisors to ensure that businesses prepare accordingly and risks to consumers are minimized. Digitalization and sustainable finance were particular areas of focus, with EIOPA contributing to the fintech and sustainable finance action plans of EC.
Looking ahead, EIOPA will build on its work as a core pillar of the European supervisory framework. EIOPA remains ready for change and opportunities, notably those associated with the review of ESAs and the outcome of trilog discussions on the pan-European personal pension product (PEPP). EIOPA will also continue to closely monitor issues related to Brexit. In 2019, EIOPA remains committed to fulfilling its mandate to strengthen supervisory convergence in the insurance and pension sectors across Europe, for the benefit of the economy, businesses, and consumers.
Keywords: Europe, EU, Insurance, Annual Report, Supervisory Convergence, SCR, Solvency II, Stress Testing, Insurtech, Brexit, PEPP, EC, EIOPA
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