The implementing measures for Solvency II, level 2, published in the European Union's Official Journal of 17 January 2015, represent a key step towards implementation of the directive, which will apply to European insurance companies from 1 January 2016.
The aim of the directive is to develop internal organisation ans assessment models to manage risks and guarantee solvency.
The directive is based on three pillars:
- The first pillar sets out the quantitative financial requirements.
- The second pillar makes the setting up of a risk management body compulsory.
- The third pillar states the information that must be provided to the supervisory authorities and the public for better transparency.
Solvency II timeline
Challenges & Solutions
- Reporting obligation to national competent authorities (pillar 3)
- Financial data enhancement and look-through approach
- Solvency Capital Requirement (SCR) calculation
CACEIS offers asset managers and insurance companies tailor-made solutions for the production of reporting in compliance with Solvency II Directive.
- Inventories recovery, data enhancement and look-through
- Quarterly look-through inventories
- Calculation of aggregates of the gross market SCR
Look-through reporting and SCR calculation (CACEIS News No 41)