One of the main goals of EIOPA is to ensure high, effective and consistent level of supervision across Europe, with the aim of guaranteeing a similar level of protection of policyholders and beneficiaries across jurisdictions, preventing supervisory arbitrage and guaranteeing a level playing field.
EIOPA defines its priorities annually to strengthen supervision in Europe in the Supervisory Convergence Plan.
The priority areas included in the plan are identified following a risk-based approach and based on the following criteria:
- Areas with relevant impact on policyholders and financial stability;
- Areas that can affect fairness, the level playing field or the proper functioning of the internal market through the existence of possible supervisory arbitrage;
- Key areas of supervision where practices substantially differ.
To achieve its priorities in the area of supervisory convergence, EIOPA developed different tools.
Every year, EIOPA publishes a Report on supervisory activities describing the most important deliverables achieved. The annual report also includes a review of the priorities in the field of supervisory convergence, as they need to take stock of emerging and future challenges.