Earlier this month, the Central Bank published its 'Long Term Guarantee Impact Assessment – National Report'. This provides key messages from the Central Bank in relation to its Impact Assessment (carried out between late January and late March 2013) of the long term guarantee (LTG) measures proposed under Solvency II. Those messages include that, contrary to the principle of freedom of establishment/services, the non-application of certain 'matching adjustment' measures to foreign insurers, and to reinsurers, would result in such entities being disadvantaged in the market. Other points highlighted included that (a) it would not be desirable for matching adjustments to only be available for ring-fenced funds, as currently proposed and (b) the lack of market-consistent discount rate yield curves would cause issues for (re)insurers that hedge liabilities.