The European Commission (EC) has published a formal request to EIOPA for technical advice on the review of certain items of the Solvency II Delegated Regulation. The accompanying EC letter can be found here.
The EC notes that EIOPA provided in 2020 a comprehensive Opinion on the review of both the Solvency II Directive and its Delegated Regulation. However, the provisional interinstitutional agreement reached in December 2023 introduces new Commission mandates on topics for which EIOPA did not provide advice.
In addition, in its Communication on ‘A path towards a stronger EU clearing system’ the EC committed to review the prudential treatment of direct exposures to qualifying central counterparties, when insurance and reinsurance companies act as direct clearing members.
To this end, with the request for advice, the EC invites EIOPA to provide a technical advice on the items below:
- the methodology to be used when classifying undertakings as small and non-complex, and the conditions for granting or withdrawing supervisory approval for proportionality measures to be used by undertakings not classified as small and non-complex undertakings;
- the standard formula capital requirements for exposures to central counterparties (CCP) when they become direct clearing members; and
- the standard formula capital requirements for investments in crypto-assets.
This technical advice shall be delivered to the Commission by 31 January 2025 in relation to items 1) and 2), and by 30 June 2025 in relation to item 3).
Insurance Europe