Question ID: 1598
Regulation Reference: (EU) No 2015/35 - supplementing Dir 2009/138/EC - taking up & pursuit of the business of Insurance and Reinsurance (SII)
Article: 163
Status: Final
Date of submission: 26 Jul 2018
Question
Article 163 of COMMISSION DELEGATED REGULATION (EU) 2015/35 of 10 October 2014 refers to «Nc [which] denotes the number of insured persons of insurance and reinsurance undertakings ».
This article does not specify when the number of insured persons should be counted (at the end of the financial year or next year ?).
For example, for the year ended 31/12/2017, do we have to take into account the number of insured persons as of 31/12/2017 or 2018 ?
To avoid any problem of understanding, I would like to rephrase this example : for example, for the year ended 31/12/2017, do we must calculate the solvency capital requirement from the number of insured persons at 31/12/2017 or during the year 2018 ?
EIOPA answer
The term Nc denotes the number of insured persons of the insurance and reinsurance undertaking at the beginning of the 12-month period for which the Solvency Capital Requirement is calculated.
For the example provided where the SCR is calculated at the end of the year 2017 the number of insured persons at the end of 2017 is to be used.
The insurer should address anticipated material changes in the number of insured persons in its Own Risk and Solvency Assessment.