Solvency II Newsflash
Treasury issues Call for Evidence as part of post-Brexit review of Solvency II
21 Oct 2020
On Monday 19 October the Treasury issued a Call for Evidence, seeking the views of UK insurers on various aspects of the Solvency II risk management framework. This is the first stage of the much-anticipated review of Solvency II following the UK’s departure from the European Union and can be found in full here.
The review of Solvency II has been commissioned with the recognition that, while it has many desirable features, the current framework was designed to be appropriate for insurers across the EU and so may not be optimal for the unique characteristics of the UK insurance industry. The UK Government, the regulator and both industry and professional bodies are all in broad agreement that Brexit provides an opportunity to review and tailor the current framework to best allow for these characteristics.
In this newsflash, we summarise the Call for Evidence and give our view on the latest updates.