EIOPA issued a press release expressing its position on EC’s sustainable finance proposals in the 2020 Review.
Key points made by EIOPA:
- It welcomes the EC’s proposals to give mandates to EIOPA for further action on sustainable finance, in particular the two mandates proposed by the EC regarding sustainability risks.
- EIOPA’s opinion is that a regular review of the scope and the calibration of parameters of the standard formula pertaining to natural catastrophe risk is an important step towards a more sustainable framework.
- EIOPA is also pleased about the inclusion of climate change scenarios in the Own Risk and Solvency Assessment (ORSA), which reflects EIOPA’s opinion (2021).
- EIOPA considers it essential to foster a forward-looking management of climate change-related physical and transition risks to ensure the long-term solvency and viability of the industry.
For more information, please see here.
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