European Commission adopts Solvency II Delegated Act

On 10th October 2014, the European Commission adopted a Delegated Act containing implementing rules for Solvency II. This will enter into force once the European Parliament and Council have both approved it, following their scrutiny, for which a maximum period of 6 months can be taken.

The implementing rules cover, inter alia: the valuation of assets and liabilities; how to set the level of capital for asset classes an insurer may invest in; the eligibility of insurers' own fund items to cover capital requirements; how insurance companies should be managed and governed; equivalence assessments of third-country solvency regimes; the internal model framework; rules related to insurance groups.

More information is available here.