Updates have been made to the treatment of securitisations under Solvency II. John Loughrey of GR-NEAM examines the implications for insurers.
The treatment of securitisations in Europe has gained some publicity recently with updates coming from the European Commission (EC) and the European Insurance and Occupational Pensions Authority (EIOPA) on Solvency II. In this article we review the changes and provide additional comments on our interpretation of the regulatory requirements of holding such assets on the balance sheet of an insurance firm.
Asset-backed securities (ABS) have been used by investors to gain exposure to groupings of what would otherwise be highly illiquid and inaccessible assets. The underlying assets come in a variety of forms from auto loans to credit cards and from residential to commercial mortgages.
To continue reading, you need a subscription to Intelligent Insurer. Start a subscription today for £655.
In-house feature articles, the archive and expert comment require a paid subscription. Subscribe now.
Want to give it a try? We are offering a two week free trial to the Intelligent Insurer website – register and select “Two Week Free Trial” to begin access to the full Intelligent Insurer archive and read the latest news, features and expert comment. Begin your free trial here.
Is your 2 week free trial about to end? Upgrade to a 12 month subscription for £655 now.
If you have already subscribed please login.
If you have any technical issues please contact support.
Solvency II, GR-NEAM, Regulation, Europe. EIOPA