Q&A

Question

-    In S.30.01 field C0020 "reinsurance programme code" allows to link the risk reinsured on a facultative basis with the treaty programme that eventually reinsures the same risk.

How has to be filled the field if the risk is not reinsured also on a treaty basis ? Has it to be left blank?

If we speak about reporting year 2018, in S.30.03 treaties whose period of validity includes or overlaps year 2018 (the majority with inception date 01/01/2018) are reported. If in S.30.01 a risk with inception date 25/12/2017 and expiry date 24/12/2018 is reported and this risk is covered also by a treaty cession with inception date 01/01/2017 (not reported in S.30.03) the field has to be filled so it links the protection program 2017 ?



-    In S.30.03 field C0070 Line of business, your specifications say:

1)Where the reinsurance treaty provides cover for more than one LoB and the terms of cover differ between LoBs then the treaty needs to be specified over multiple rows. The first row entry for the treaty needs to be entered as “Multiline” that provides details of the overall terms of the treaty (such as deductibles and reinstatements), with the subsequent rows providing details of the individual terms of the reinsurance treaty to each relevant LoB.

Our understanding is that in the “Multiline” row we report only the common values through all the lobs, while in each single lob we report all the data (common and not common through the all lobs) i.e. all the fields are filled (if pertinent to the type of treaty). Is this correct ?

2) Where the term of the cover do not differ by LoB only the dominant  (based on the Gross Estimated Treaty Premium Income) Solvency II LoB is required.

In this case, in the row reporting the dominant lob, fields like “C0150   Estimated Subject Premium Income (XL - ESPI)” and “C0160 Gross Estimated Treaty Premium Income (proportional and non-proportional)” have to report the amount relevant to the “dominant lob” only or the sum of the amounts of the all lobs ?

EIOPA answer

1)      In S.30.01, the code in C0020 should always be reported. This code is undertaking specific, covering all the individual reinsurance placements and/or treaties which belong to the same reinsurance program. See also Q&A 1258. As S.30.01 and S.30.03 are prospective template they should reflect the treaties effective during 2018. The validity date is the one to be considered to assess if treaties need to be reported or not.



In your example you should not connect the risk reported in S.30.01 with the treaty cession with inception date 01/01/2017 (not reported in S.30.03) but connected to the current treaty cession active in 2018.



2)      We confirm that in S.30.03 field C0070 "Line of business" in case of reinsurance treaty that provides cover for more than one LoB and the terms of cover differ between LoBs you should report the treaty over multiple rows. In the "Multiline" row is to be reported the common values through all the LoBs, while in each single LoB are to be provided details of the individual terms of the reinsurance treaty to each relevant line of business i.e. not all the fields are to be filled. In the "Multiline" row cells C0150 and C0160 are to be filled with the sum of the amounts of all LoBs.



3)      In case of "dominant LoB" the information to be reported is the one of the dominant LoB and not the sum of all LoBs.