The Solvency II regulation of the European insurance industry came into force on January first last year after 15 years of work by EIOPA (European Insurance and Occupational Pensions Authority). I shall outline ideas and design and discuss whether the stated Solvency II goal of 99.5% solvency per company per year is likely to be true. Regulation of strongly random phenomena like those in insurance is typically a compromise between modelling accuracy on one hand and simplicity/transparency on the other, and there are several (or even many) loose threads in the Solvency II system that beg for changes.
Erik Bølviken: Where models meet reality - The Solvency II regulation of European insurance
Erik Bølviken (University of Oslo) gives a lecture with the title: Where models meet reality - The Solvency II regulation of European insurance
Published Jan. 31, 2017 7:21 PM