Question ID: 2142
Regulation Reference: Guidelines on application of outwards reinsurance
Topic: Reporting Templates
Article: NA
Template: S.27.01
Status: Final
Date of submission: 04 May 2020
Question
According to the EIOPA-BoS-14/173 guidance (Guideline 27 – Re-aggregating the net losses to derive the SCR), if the dis-aggregation of gross losses is used to estimate the reinsurance recoveries to the more granular basis, undertakings should add up the net components to derive the SCR.
Therefore the aggregation of net risk capital figures with the correlation matrices defined in the delegated act (art. 121) does not seem reasonable. Can you confirm our understanding? Do you consider any change in the formula of the validation ID BV914?
EIOPA answer
BV914 shall be deactivated and corrected in the next taxonomy release.