The Supervisory Convergence Plan for 2020 sets out priorities and activities for the coming year, building on previous years’ work while incorporating new priorities to reflect new trends and emerging risks. Activities fall under three building blocks of supervisory onvergence:
- Practical implementation of the common supervisory culture and further development of supervisory tools;
- Risks to the internal market and the level playing field which may lead to supervisory arbitrage; and
- Supervision of emerging risks.
Three new priorities have been identified for 2020
Supervisory technology (SupTech)
This is the use of technology by supervisors to deliver innovative and efficient supervisory solutions to support a more effective, flexible and responsive supervisory system. In 2020, EIOPA and national competent authorities will work together to develop such solutions.
The aim is to promote supervisory convergence in the area of supervision of institutions for occupational retirement provision (IORPs). EIOPA will identify and monitor supervisory risks in the authorisation of cross-border IORPs, with a view to developing appropriate supervisory responses.
EIOPA will promote appropriate cyber underwriting and cyber risk management practices by industry, as well as good supervisory practices. EIOPA will also promote adequate assessment and mitigation tools to address potential systemic cyber and extreme risks.
The plan has been developed according to a risk-based approach and in close cooperation with national supervisors. It is a strategic tool that supports EIOPA in its goal to build a European common supervisory culture.