EIOPA published yesterday a consultation, Methodological Considerations regarding Illiquid Liabilities (see here) with a deadline for comments of 7 December 2018.
EIOPA have set up two project groups to inform its work on the 2020 Review; the LTG Review Project Group and the Illiquid Liabilities Project Group.
The Illiquid Liabilities PG aims to analyse
1) the illiquidity characteristics of insurance liabilities,
2) the holding periods of insurer’s investments and
3) the unintended consequences of the current regulatory treatment.
The current consultation requests feedback on the methodological approaches envisaged for assessing the first two of these objectives.
Following the consultation, EIOPA foresees the next steps to be;
1. An information request to undertakings in early 2019
2. A consultation on results derived from the information request in Autumn 2019
IE response to EIOPA Illiquid Liabilities consultation
Insurance Europe final response to EIOPA Illiquid Liabilities Consultation.pdf