Solvency II introduces transparency

A major change set to occur under Solvency II is the introduction of risk-adequate capital charges. These will create transparency on which products are relevant for an insurer’s solvency position and which are not, and may have an important impact on how insurance products are designed and priced. Risk/return fundamentals will firmly be put in the spotlight, as Swiss Re’s PATRIZIA BAUR and RUDOLF ENZ explain

WORK on the Solvency II Directive continues apace. The results of the Quantitative Impact Study 2 (QIS 2) should make it possible to quantify the effect of the asset and liability restatement on insurers and provide options for setting the capital requirements.