EC published the Implementing Regulation 2020/641, which lays down technical information for the calculation of technical provisions and basic own funds for reporting with reference dates from March 31, 2020 until June 20, 2020, in accordance with the Solvency II Directive. This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union. It shall apply from March 31, 2020.
Insurance and reinsurance undertakings shall use the technical information referred to in this regulation when calculating technical provisions and basic own funds. For each relevant currency, the technical information used to calculate the best estimate in accordance with Article 77 of Solvency II Directive (2009/138/EC), the matching adjustment in accordance with Article 77c of that Directive, and the volatility adjustment in accordance with Article 77d of that Directive shall be the following:
- The relevant risk-free rate term structures set out in Annex I
- The fundamental spreads for the calculation of the matching adjustment set out in Annex II
- The volatility adjustments, for each relevant national insurance market, set out in Annex III
Keywords: Europe, EU, Insurance, Solvency II, Reporting, Technical Information, Technical Provisions, Basic Own Funds, Volatility Adjustment, Matching Adjustment, EC
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