Question ID: 2139
Regulation Reference: (EU) No 2015/2450 - templates for the submission of information to the supervisory authorities
Topic: Reporting Templates
Article: NA
Template: S.05.01
Status: Final
Date of submission: 27 Apr 2020
Question
Regarding validations BV773 and BV775 (the total of expenses reported on template S.05.01 must be positive), in a specific case where reinsurers' share would amount to a higher number than gross expenses, the net expenses would be negative (and likely be considered as income). Is this a possible case figure on template? Are there reporting requirements to consider?
EIOPA answer
EIOPA confirms. While in general we expect the net expenses to be positive, we are aware that there exists examples where this will not be the case. Therefore the validation was put as non-blocking.