Final Report on draft RTS on liquidity risk management plans - Solvency II Review

The review of the Solvency II Directive introduced a requirement for undertakings and groups to develop LRMPs to ensure they have sufficient liquidity to meet financial obligations toward policyholders and other counterparties, even under stressed conditions.

The RTS set out the criteria for selecting undertakings that need to perform medium and long-term liquidity analyses in addition to short-term assessments. They also specify the content of LRMPs and how frequently undertakings must update them.