The European Commission (Commission) launched a consultation on 24 November 2010 to obtain input on the impacts, costs and benefits to support the policy decision making-process for the Solvency II level 2 implementing measures (the Consultation). Views on the impact of policy decisions on pricing, design and availability of insurance products are also being sought.
The Solvency II Directive identifies a number of areas where the Commission is required to develop implementing measures (level 2) to provide further technical detail to elaborate the principles contained in the Directive. These level 2 implementing measures are currently being developed.
The Commission notes that the Consultation is not designed to pre-empt the results of the recent fifth quantitative impact study (QIS5), but instead the policy decisions on the level 2 implementing measures would be based on the outcome of both QIS5 and the Consultation. Various of the policy issues raised in the Consultation have already been considered by an external independent impact assessment, the conclusions of which are summarised in the Consultation.
The Commission is seeking views from consumers, investors and insurance undertakings. The Consultation is open until 26 January 2011.