# Directive 2005/68/EC of the European Parliament and of the Council of 16 November 2005 on reinsurance and amending Council Directives 73/239/EEC, 92/49/EEC as well as Directives 98/78/EC and 2002/83/EC (Text with EEA relevance) (repealed) EU Directive 2005/68 ยท adopted 16 November 2005 Directive 2005/68/EC of the European Parliament and of the Council of 16 November 2005 on reinsurance and amending Council Directives 73/239/EEC, 92/49/EEC as well as Directives 98/78/EC and 2002/83/EC (Text with EEA relevance) (repealed) ## Introductory text Directive 2005/68/EC of the European Parliament and of the Council of 16 November 2005 on reinsurance and amending Council Directives 73/239/EEC, 92/49/EEC as well as Directives 98/78/EC and 2002/83/EC (Text with EEA relevance) (repealed) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title I: SCOPE AND DEFINITIONS ## 1 Scope . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 2 Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title II: THE TAKING-UP OF THE BUSINESS OF REINSURANCE AND AUTHORISATION OF THE REINSURANCE UNDERTAKING ## 3 Principle of authorisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 4 Scope of authorisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 5 Form of the reinsurance undertaking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 6 Conditions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 7 Close links . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 8 Head office of the reinsurance undertaking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 9 Policy conditions and scales of premiums . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 10 Economic requirements of the market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 11 Scheme of operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 12 Shareholders and members with qualifying holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 13 Refusal of authorisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 14 Prior consultation with the competent authorities of other Member States . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title III: CONDITIONS GOVERNING THE BUSINESS OF REINSURANCE ### Chapter 1: Principles and methods of financial supervision ### Section 1: Competent authorities and general rules ## 15 Competent authorities and object of supervision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 16 Supervision of branches established in another Member State . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 17 Accounting, prudential and statistical information: supervisory powers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 18 Transfer of portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Section 2: Qualifying holdings ## 19 Acquisitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 19a Assessment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 20 Acquisitions by regulated financial undertakings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 21 Disposals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 22 Information to the competent authority by the reinsurance undertaking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 23 Qualifying holdings: powers of the competent authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Section 3: Professional secrecy and exchanges of information ## 24 Obligation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 25 Exchange of information between competent authorities of Member States . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 26 Cooperation agreements with third countries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 27 Use of confidential information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 28 Exchange of information with other authorities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 29 Transmission of information to central banks and monetary authorities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 30 Disclosure of information to government administrations responsible for financial legislation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Section 4: Duties of auditors ## 31 Duties of auditors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Chapter 2: Rules relating to technical provisions ## 32 Establishment of technical provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 33 Equalisation reserves . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 34 Assets covering technical provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Chapter 3: Rules relating to the solvency margin and to the guarantee fund ### Section 1: Available solvency margin ## 35 General rule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 36 Eligible items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Section 2: Required solvency margin ## 37 Required solvency margin for non-life reinsurance activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 38 Required solvency margin for life reassurance activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 39 Required solvency margin for a reinsurance undertaking simultaneously conducting non-life and life reinsurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Section 3: Guarantee fund ## 40 Amount of the guarantee fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 41 Review of the amount of the guarantee fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Chapter 4: Reinsurance undertakings in difficulty or in an irregular situation and withdrawal of authorisation ## 42 Reinsurance undertakings in difficulty . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 43 Financial recovery plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 44 Withdrawal of authorisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title IV: PROVISIONS RELATING TO FINITE REINSURANCE AND SPECIAL PURPOSE VEHICLES ## 45 Finite reinsurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 46 Special purpose vehicles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title V: PROVISIONS RELATING TO RIGHT OF ESTABLISHMENT AND FREEDOM TO PROVIDE SERVICES ## 47 Reinsurance undertakings not complying with the legal provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 48 Winding-up . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title VI: REINSURANCE UNDERTAKINGS WHOSE HEAD OFFICES ARE OUTSIDE THE COMMUNITY AND CONDUCTING REINSURANCE ACTIVITIES IN THE COMMUNITY ## 49 Principle and conditions for conducting reinsurance business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 50 Agreements with third countries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title VII: SUBSIDIARIES OF PARENT UNDERTAKINGS GOVERNED BY THE LAWS OF A THIRD COUNTRY AND ACQUISITIONS OF HOLDINGS BY SUCH PARENT UNDERTAKINGS ## 51 Information from Member States to the Commission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 52 Third country treatment of Community reinsurance undertakings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title VIII: OTHER PROVISIONS ## 53 Right to apply to the courts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 54 Cooperation between the Member States and the Commission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 55 Committee procedure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 56 Implementing measures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title IX: AMENDMENTS TO EXISTING DIRECTIVES ## 57 Amendments to Directive 73/239/EEC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 58 Amendments to Directive 92/49/EEC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 59 Amendments to Directive 98/78/EC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 60 Amendments to Directive 2002/83/EC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Title X: TRANSITIONAL AND FINAL PROVISIONS ## 61 Right acquired by existing reinsurance undertakings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 62 Reinsurance undertakings closing their activity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 63 Transitional period for Articles 57(3) and 60(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 64 Transposition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 65 Entry into force . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## 66 Addressees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Annex I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ## Annex II . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . --- Source: https://www.legislation.gov.uk/eudr/2005/68 (the official version) Page: https://openlegislation.uk/eu-directive-2005-68 Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.