Paragraph 13

(1)

Specifying the information which is necessary for the supervision of insurance and reinsurance undertakings^f1.

(2)

The information specified must include that which is necessary—

(a)

to assess the system of governance applied by the undertakings, the business they are pursuing, the valuation principles applied for solvency purposes, the risks faced and the risk-management systems, and their capital structure, needs and management;

(b)

to make any appropriate decisions resulting from the exercise of their supervisory rights and duties;

(c)

to determine the nature, the scope and the format of the information which they require insurance and reinsurance undertakings to submit at the following points in time:

(i)

at predefined periods;

(ii)

upon occurrence of predefined events;

(iii)

during enquiries regarding the situation of an insurance or reinsurance undertaking;

(d)

to obtain any information regarding contracts which are held by intermediaries or regarding contracts which are entered into with third parties; and

(e)

to require information from external experts, such as auditors and actuaries.

(3)

The information must be specified to comprise the following—

(a)

qualitative or quantitative elements, or any appropriate combination thereof;

(b)

historic, current or prospective elements, or any appropriate combination thereof; and

(c)

data from internal or external sources, or any appropriate combination thereof.

(4)

The information must be specified to comply with the following principles—

(a)

it must reflect the nature, scale and complexity of the business of the undertaking concerned, and in particular the risks inherent in that business;

(b)

it must be accessible, complete in all material respects, comparable and consistent over time; and

(c)

it must be relevant, reliable and comprehensible.

Annotations

Footnotes

f1: Article 35(1) to (4) of the Solvency 2 Directive.