CEIOPS has published its 2011 work programme, in preparation of the institutional change from a Level 3 Committee (CEIOPS) to the new European Insurance and Occupational Pensions Authority (EIOPA).
Below is an extract from the Solvency 2 section:
“Solvency 2
The implementation date of the Solvency II framework (31 December 2012) is coming closer and Member States are getting prepared to implement the new framwork in their national law. EIOPA is committed to further develop the future regime, and at the same time is preparing the necessary tools and processes to ensure a smooth transition.
The Solvency II work plan for 2011 will be characterised by a heavy regulatory work load at a time where the implementation efforts are increasing among Member States and industry. Coordination between the different work streams is of key importance to ensure the final consistency of the Level 2 measures, guidelines and technical standards.
The results of the last major quantitative impact study before implementation, QIS5, will be available in the first quarter of 2011, and will help identifying the major remaining regulatory issues that need to be solved before the implementation.
The Commission is aiming to make a proposal for the Level 2 implementing measures in June 2011. EIOPA will further contribute where necessary on key issues in the finalisation of the Level 2 proposals and final measures.
The process for EIOPA’s deliverables on technical standards and Level 3 guidelines is influenced by the timing of the proposals and adoption of the Level 2 measures, as well as the adoption of the Omnibus 2 Directive, which will amend the Solvency II Directive in respect of the powers of EIOPA.
The draft Omnibus 2 Directive foresees that EIOPA will be required to draft binding technical standards in various areas by December 2011.1 This will cover a large part of the work programme for 2011.
Non-binding Level 3 guidelines in various areas are being envisaged and will be further prepared by EIOPA in 2011 to support the convergent application of the new rules. The ultimate adoption date by EIOPA will be March 2012, in time for Member States to decide whether to apply the guidelines or to express their intention and rationale for not adopting (comply-or explain).
The drafting of technical standards and Level 3 guidelines are being prioritised according to whether they are considered essential before the implementation of Solvency II. Where appropriate, EIOPA will be assessing the costs and benefits of its proposed technical standards and guidelines as an ongoing requirement for better regulation.
In the absence of publicly available Level 2 measures until June 2011, CEIOPS will not be able to publicly consult on Level 3 guidelines, or on technical standards until then. Therefore, informal pre-consultations will be held with selected stakeholders that have been consulted by the Commission during the consultation on QIS5 technical specifications and the discussion on the Level 2 measures.”
Specifically, with regards to Internal Models, the programme mentions:
“Internal models
With regard to internal models, in 2011, CEIOPS will issue specific Level 3 guidelines in areas that it considers essential for a smooth implementation of the provisions for the internal models approval set out in Solvency II.
CEIOPS’ task force on pre-application will continue to carry out initiatives that should contribute to enhance supervisory convergence and consistency in the pre- application process, both in terms of processes and outcomes. To this end, CEIOPS will organise specific informal meetings to enhance experience and problems faced by Supervisory Authorities during the pre-application process and/or the review of internal models, and ad-hoc training initiatives will be carried out.”
For the full text of the work programme, download the pdf document from the CEIOPS website:
