To ensure consistent application of principles of EU Law, EIOPA can issue guidelines and recommendations to NCAs regarding the application of EU legislation. For Solvency II it has done so on a “comply or explain” basis. EIOPA’s first set of Solvency II Guidelines was issued on 2 February 2015 and its second set was published on 14 September 2015. NCAs must comply with the Guidelines or explain why it does not comply with them.
In April, the CBI confirmed that it would comply in full with the first set of Guidelines. Its recently published eighth information note in relation to Solvency II confirms that the CBI also intends to comply in full with EIOPA’s second set of Solvency II Guidelines. (Re) insurers affected by Solvency II will also be required to comply.
The second set of nine Guidelines addresses topics including financial stability reporting, methods for determining market shares for reporting, reporting and public disclosure, system of governance and own risk and solvency assessments.
A link to EIOPA’s Solvency II Guidelines is here.
A link to Information Note No. 8 is here.