EIOPA Issues SII Taxonomy and Guide on Sustainability Preferences
The European Insurance and Occupational Pensions Authority (EIOPA) published Version 2.8.0 of the Solvency II data point model (DPM) and XBRL taxonomy. EIOPA also published its guidance on integrating the customer’s sustainability preferences in the suitability assessment under the Insurance Distribution Directive (IDD).
Solvency II DPM and XBRL taxonomy
The EIOPA Solvency II DPM and XBRL taxonomy package version 2.8.0 contains release notes, DPM documentation, DPM dictionary, Solvency II annotated templates, detailed change logs from earlier versions, list of validations, Solvency II XBRL taxonomy, and XBRL taxonomy documentation and filing rules. The taxonomy package release 2.8.0 is provided to be used from the December 31, 2023 until a new version is announced. This taxonomy release 2.8.0 has been published without validations (that is templates and instructions are final). The final release of version 2.8.0 with validations and modeling will be published in January 2023 (hotfix is expected in March 2023).
Guidance on Integrating Sustainability Preferences
The guidance is based on Commission Delegated Regulation (EU) 2021/1257 and aims at easing the implementation of the Delegated Regulation by national competent authorities as well as by insurance undertakings and insurance intermediaries providing advice on insurance-based investment products. Commission Delegated Regulation (EU) 2021/1257 requires insurers and insurance intermediaries to integrate the customer’s sustainability preferences into the sales process when they provide advice on insurance-based investment products. The guidance will apply from August 02, 2022. EIOPA provides guidance on:
- how to help customers better understand the concept of “sustainability preferences” and their investment choices
- how to collect information on sustainability preferences from customers
- how to match customer preferences with products, based on product disclosures under the Sustainable Finance Disclosure Regulation (SFDR)
- what arrangements are necessary to ensure the suitability of an insurance-based investment product
- the sustainable finance-related training and competence expected of insurance intermediaries and insurance undertakings who provide advice on insurance-based investment products
The guidance is complemented by a feedback statement, which addresses the comments received from stakeholders in a public consultation on draft guidelines on integrating the customer’s sustainability preferences earlier this year. After the consultation, EIOPA decided to pause its work on guidelines on the topic of sustainability preferences in order to gather more information based on the implementation experience with the new legislative framework in the coming months.
Related Links
- Notification on Solvency II DPM and XBRL Taxonomy
- Release Notes on Solvency II Taxonomy (PDF)
- Press Release on Guidance on Integrating Sustainability Preferences
- Guidance on Integrating Sustainability Preferences (PDF)
Keywords: Europe, EU, Insurance, Reinsurance, Reporting, Solvency II, DPM, XBRL Taxonomy, Taxonomy, Insurance Based Investment Products, IDD, Suitability Assessment, SFDR, ESG, 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.
Adam Koursaris
Asset and liability management expert; capable modeler; risk and capital specialist
Previous Article
EESC Opines on Proposals on CRR and European Single Access PointRelated Articles
BIS Paper Studies Impact of Fintech Lending on Small Businesses in US
The Bank for International Settlements (BIS) published a paper that studies impact of fintech lending on credit access for small businesses in U.S.
UK Regulators Issue CRR Changes and Stress Test Scenarios for Banks
The Prudential Regulation Authority (PRA) issued the policy statement PS8/22 to amend the Own Funds and Eligible Liabilities (CRR) Part of the PRA Rulebook and update the supervisory statement SS7/13 titled "Definition of capital (CRR firms).
EBA Launches EU-Wide Transparency Exercise in 2022
The European Banking Authority (EBA) launched the EU-wide transparency exercise for 2022, with results of the exercise expected to be published at the beginning of December, along with the annual Risk Assessment Report.
SRB on CRR Quick-Fix to Policy for Multiple Point of Entry Banks
The Single Resolution Board (SRB) welcomed the adoption of the review of the Capital Requirements Regulation, or CRR, also known as the "CRR quick-fix."
EC Rule Lists Advanced Economies for Market Risk Capital Calculations
The European Commission (EC) recently adopted the Delegated Regulation 2022/1622, which sets out the regulatory technical standards to specify the countries that constitute advanced economies for the purpose of specifying risk-weights for the sensitivities to equity.
EBA Publishes Final Regulatory Standards on STS Securitizations
The European Banking Authority (EBA) published the final draft regulatory technical standards specifying and, where relevant, calibrating the minimum performance-related triggers for simple.
ECB Further Reviews Costs and Benefits Associated with IReF
The European Central Bank (ECB) is undertaking the integrated reporting framework (IReF) project to integrate statistical requirements for banks into a standardized reporting framework that would be applicable across the euro area and adopted by authorities in other EU member states.
EBA Publishes Funding Plans Report, Receives EMAS Certification
The European Banking Authority (EBA) has been awarded the top European Standard for its environmental performance under the European Eco-Management and Audit Scheme (EMAS).
MAS Launches SaaS Solution to Simplify Listed Entity ESG Disclosures
The Monetary Authority of Singapore (MAS) set out the Financial Services Industry Transformation Map 2025 and, in collaboration with the SGX Group, launched ESGenome.
BCBS to Finalize Crypto Rules by End-2022; US to Propose Basel 3 Rules
The Basel Committee on Banking Supervision met, shortly after a gathering of the Group of Central Bank Governors and Heads of Supervision (GHOS), the oversight body of BCBS.
