We recently reported that the Solvency II directive had been approved by the European Parliament (see the post here). The final stage of the European legislative process has now been completed with the European Commission adopting the directive on Tuesday 5 May. The implementation date, by which each of the EU member states must bring into force implementing regulations, is stated in the directive to be 31 October 2012. A series of consultation papers is now expected to be published by the Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS) regarding the more detailed technical measures which will implement the principles contained in the directive.
On 6 May, the FSA published feedback received in response to its Discussion Paper 08/4 (the DP) which highlighted and explained key elements of the Solvency II regime with the aim of encouraging UK insurers to make preparations for its implementation. We reported on publication of the DP here.
The FSA is currently preparing a thematic review linked to its Internal Models Approvals Process. The review will provide feedback and observations on industry practice to firms on Internal Models, while assisting the FSA to plan the Approvals Process. Stage 1 will be produced by the FSA based on its own knowledge and is expected to be published in September 2009. Stage 2 will involve visits to a selection of insurers and reinsurers and other interested persons and is planned to begin in October 2009.
The feedback in response to the DP can be found by clicking here.