Question ID: 1726
Regulation Reference: (EU) No 2015/35 - supplementing Dir 2009/138/EC - taking up & pursuit of the business of Insurance and Reinsurance (SII)
Article: 117
Status: Final
Date of submission: 22 Nov 2018
Question
In Article 117 in the COMMISSION DELEGATED REGULATION (EU) 2015/35 it says that "For segments 1, 4 and 5 set out in Annex II the adjustment factor for non-proportional reinsurance shall be equal to 80 %. For all other segments set out in Annex the adjustment factor for non-proportional reinsurance shall be equal to 100 %." Can a company use the 80% facot if for segment 4 has both non-propotional and propotional reinsurance or it must have only non-proportional reinsurance?
EIOPA answer
The application of the adjustment factor of 80 % for non-proportional reinsurance for segment 4 set out in Annex II does not depend on the existence/non-existence of proportional reinsurance.