Commission adopts Solvency 2 Level 2 measures: The Commission has adopted the Delegated Act containing the implementing rules that detail the requirements of the Solvency 2 Directive. These Level 2 measures constitute the core of the single prudential rulebook for insurers and reinsurers, and cover:

  • valuation and matching adjustment;
  • the treatment of highly transparent, simple and sound securitisation instruments;
  • eligibility of own funds items;
  • calibration of the minimum and the solvency capital requirements;
  • internal models;
  • governance;
  • reporting and disclosure;
  • the use of special purpose vehicles for taking on reinsurance risk;
  • rules on insurance groups; and
  • third-country equivalence assessments.

(Source: Solvency 2 Delegated Act and Annexes and FAQ)

Commission adopts LCR and LR: The Commission has adopted the Delegated Acts supplementing the Capital Requirements Regulation (CRR) as regards the Liquidity Coverage Ratio (LCR) and the Leverage Ratio (LR). The latter introduces a common definition and calculation methodology with a view to the obligation for firms to publish the LR taking effect from 2015, but there will be no decision until 2016 as to whether to make the LR binding, and its calibration. The LCR Act, like the Solvency 2 Delegated Act, introduces a more proportionate and risk-sensitive prudential treatment for investments in eligible securitisations. (Source: Commission adopts LCR and LR)