Solvency II - a short summary

In Spring 2009, after extensive deliberations, the legislative and political institutions of the EU agreed on a Directive for the supervision and capital assessment of (re)insurers established in the EU. This Directive, known as Solvency II, will update the EU’s solvency calculation techniques, harmonise regulatory supervision across the EU and aims to promote increased confidence among policyholders and investors by making the failure of a (re)insurer less likely and by promoting enhanced transparency through more rigorous disclosure obligations.