Search QAs

Could you please explain how Premiums Earned should be calculated in case of the merger of 2 undertakings (t.i. one company takes over all business of another company and continues to operate, another company ceases operations)?

Could you please confirm if the market and counterparty risk are mutually exclusive? For example a cash account in GBP for a company reporting in euros , should be considered in the counterparty risk module as a type I exposure for its countervalue in euros and additionally in the currency risk...

The Article 192, paragraph 3, indicates the LGD formula to be applied per derivative. Let's assume that the undertaking has three contracts (=positions) with the same counterparty. Two positions share the same derivative (= same issue or same security or same ISIN code) and the third one on...

Would you be so kind and provide me with advice on the following:Are REINSURANCE RECEIVABLES type 1 or type 2 exposures for the purposes of the calculation of capital requirement for counterparty default risk?My understanding is that reinsurance receivables are Type 1 and LGD is calculated...

I have a simple and quick question. It is more a "language issue".Par 4, Article 182 suggest calculating weighted average CQS as a "rounded-up average". I was wondering what does "rounded-up" means. I will show my understanding on example:roundup of 3.2 = 4roundup of 3.7 = 4roundup of 3 = 3roundup...

§134(4) states that for recession risk the basis for calculation is "the premiums earned by the insurance or reinsurance undertaking....".Usually, it is clearly indicated whether premiums are gross premiums (before deduction of ceded premiums) or net premums (after such deduction).Could you please...

Subsection 2, Look-through approach, Article 84 (3)In relation to the above topic, can you please explain clearly the meaning of 'on the basis of the target underlying asset allocation of the collective investment.......and that they do not apply to more than 20% of the total value of the assets...

Do bonds from EU member states have to be included in the "Assets" calculation base for market risk concentration despite them carrying a concentration risk of 0?

How should a receivable from the tax authority of an EU member state be treated in the Counterparty default risk module?