After multi-year press, less than 1 in 5 insurers agree to publish stress tests.
Regulator considering further guidance beyond work on wordings and exclusions in nat cat & pandemic.
Second-round effects from economy and spillovers from other parts of financial sector merit vigilance, says EIOPA.
EU regulators cannot back down on capital requirements or Solvency review to clear path for ESG agenda
Solvency requirements are the sine qua non; the rest is all bonus, says EIOPA’s Hielkema.
Some 59% of EU regulators see clients getting taken for a ride in auto, 29% in household.
European insurers could handle Covid-redux, but may be leaning too much on loopholes, says regulator
Three-quarters of industry would fail solvency stress-test without LTG & transitional measures.
Sharply rising ESG risks to pose challenges for insurers once pandemic-era markets & macro abate, warns EU regulator
ESG risks are “least adequately mitigated” category; macro risks seen abating as recovery takes hold.
Eventual prudential requirements may follow lead being set for banks by the ECB.
Public aid is no first step in systemic risk protection: EIOPA’s Hielkema.
The 2021 exercise includes 44 European re/insurance companies covering 75% of the EEA market.