This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.

Bookmark Email Print page

Solvency II

The Solvency II project was initiated by the European Commission in 2001. The commission relies on advice from the CEIOPS (committee of european insurance and occupational pension schemes).

Work on the project was initially divided into two phases. The first phase was completed in early 2003 with the aim of delivering a high level design of the new regime. During the second phase, now in progress, the details of the system are to be finalised.

Solvency II will change the European insurance industry:

  • Risk management will be in the focus of regulators and companies
  • Particularly the investment risk and ALM risk will be crucial for life companies
  • Capital requirements for the different product lines will change
  • Product development and pricing will have to react
  • Value based management will become an important tool
  • Reinsurance will be able to support the risk management process significantly
  • Companies will increasingly seek to transfer or hedge the their risks in order to reduce capital requirements

Process of change will be a challenge for the industry, but there will be an award:

  • Companies will increase profitability over the time
  • Companies will be better managed
  • Insurance industry will become more attractive for investors and customers
Stay connected:

Material on this website is © 2014 Deloitte Global Services Limited, or a member firm of Deloitte Touche Tohmatsu Limited, or one of their affiliates. See Legal for copyright and other legal information.

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms.

More on Deloitte
Learn about our site