2285

Question ID: 2285

Regulation Reference: (EU) No 2015/35 - supplementing Dir 2009/138/EC - taking up & pursuit of the business of Insurance and Reinsurance (SII)

Topic: Solvency Capital Requirement (SCR)

Article: Annex IX

Status: Final

Date of submission: 06 May 2021

Question

Portugal has earthquake risk factors given for risk zones (1 to 79) as per Annex X of the Commission Delegated Regulation (EU) 2015/35.
However, the risk zone correlation factors given in Annex XXIII are given for local postal codes (10 to 99).
Commission Delegated Regulation (EU) 2019/981 included Portugal among the regions in Annex IX where the “zonation” must be based on the first 2 digits of the postal codes, but does not specify how to map these postal codes (unlike all the other territories) to risk zones.
Can you please advise how to map the postal codes of Annex IX to the risk factors in Annex X and with the correlation factors in Annex XXIII for Portugal?

EIOPA answer

The answer to this question is provided by the European Commission.

Commission Delegated Regulation (EU) 2019/981 amended the Annex IX of the Commission Delegated Regulation (EU) 2015/35 to specify that the mapping of risk zones for the region ‘PT’ must be based on postal zones.

In Annex X, there are 79 distinct earthquake risk zones in Portugal (numbered from 1 to 79) that represent the numerical order of the 79 postal zones in Portugal (which are numbered from 10 to 99, but not including all integers in between). Therefore, the mapping in Annex IX should be the following:

Risk Zone PT	Postal Zone PT
1	10
2	11
3	12
4	13
5	14
6	15
7	16
8	17
9	18
10	19
11	20
12	21
13	22
14	23
15	24
16	25
17	26
18	27
19	28
20	29
21	30
22	31
23	32
24	33
25	34
26	35
27	36
28	37
29	38
30	40
31	41
32	42
33	43
34	44
35	45
36	46
37	47
38	48
39	49
40	50
41	51
42	52
43	53
44	54
45	60
46	61
47	62
48	63
49	64
50	70
51	71
52	72
53	73
54	74
55	75
56	76
57	77
58	78
59	79
60	80
61	81
62	82
63	83
64	84
65	85
66	86
67	87
68	88
69	89
70	90
71	91
72	92
73	93
74	94
75	95
76	96
77	97
78	98
79	99

In Annex XXIII, the risk zones are identified by the same first two digits of the postal code (i.e. integers between 10 and 99 including, but not including all integers in between).
The Commission will consider to align the mapping in Annex IX and Annex XXIII in the context of future amendments to Delegated Regulation (EU) 2015/35.

Disclaimer provided by the European Commission:

The answers clarify provisions already contained in the applicable legislation. They do not extend in any way the rights and obligations deriving from such legislation nor do they introduce any additional requirements for the concerned operators and competent authorities. The answers are merely intended to assist natural or legal persons, including competent authorities and Union institutions and bodies, in clarifying the application or implementation of the relevant legal provisions. Only the Court of Justice of the European Union is competent to authoritatively interpret Union law. The views expressed in the internal Commission Decision cannot prejudge the position that the European Commission might take before the Union and national courts.

Risk Zone PT	Postal Zone PT
1	10
2	11
3	12
4	13
5	14
6	15
7	16
8	17
9	18
10	19
11	20
12	21
13	22
14	23
15	24
16	25
17	26
18	27
19	28
20	29
21	30
22	31
23	32
24	33
25	34
26	35
27	36
28	37
29	38
30	40
31	41
32	42
33	43
34	44
35	45
36	46
37	47
38	48
39	49
40	50
41	51
42	52
43	53
44	54
45	60
46	61
47	62
48	63
49	64
50	70
51	71
52	72
53	73
54	74
55	75
56	76
57	77
58	78
59	79
60	80
61	81
62	82
63	83
64	84
65	85
66	86
67	87
68	88
69	89
70	90
71	91
72	92
73	93
74	94
75	95
76	96
77	97
78	98
79	99

Risk Zone PT	Postal Zone PT
1	10
2	11
3	12
4	13
5	14
6	15
7	16
8	17
9	18
10	19
11	20
12	21
13	22
14	23
15	24
16	25
17	26
18	27
19	28
20	29
21	30
22	31
23	32
24	33
25	34
26	35
27	36
28	37
29	38
30	40
31	41
32	42
33	43
34	44
35	45
36	46
37	47
38	48
39	49
40	50
41	51
42	52
43	53
44	54
45	60
46	61
47	62
48	63
49	64
50	70
51	71
52	72
53	73
54	74
55	75
56	76
57	77
58	78
59	79
60	80
61	81
62	82
63	83
64	84
65	85
66	86
67	87
68	88
69	89
70	90
71	91
72	92
73	93
74	94
75	95
76	96
77	97
78	98
79	99

Q&A

Question

EIOPA answer

Risk Zone PT	Postal Zone PT
1	10
2	11
3	12
4	13
5	14
6	15
7	16
8	17
9	18
10	19
11	20
12	21
13	22
14	23
15	24
16	25
17	26
18	27
19	28
20	29
21	30
22	31
23	32
24	33
25	34
26	35
27	36
28	37
29	38
30	40
31	41
32	42
33	43
34	44
35	45
36	46
37	47
38	48
39	49
40	50
41	51
42	52
43	53
44	54
45	60
46	61
47	62
48	63
49	64
50	70
51	71
52	72
53	73
54	74
55	75
56	76
57	77
58	78
59	79
60	80
61	81
62	82
63	83
64	84
65	85
66	86
67	87
68	88
69	89
70	90
71	91
72	92
73	93
74	94
75	95
76	96
77	97
78	98
79	99