European Commission 10 July 2007, Proposal for a Directive of the European Parliament and of the Council on the taking-up and pursuit of the business of Insurance and Reinsurance - Solvency II {SEC(2007) 870} {SEC(2007) 871}

Also known as

The Proposal for a Directive on the business of Insurance and Reinsurance, known as Solvency II, aims to modernize outdated solvency rules to enhance policyholder protection and align with international standards. Key provisions include a risk-based regulatory framework that emphasizes sound risk management and internal controls, while the application extends to all life and non-life insurance undertakings, excluding small mutuals and pension funds. The legislative approach involves recasting existing directives into a single document, ensuring clarity and accessibility, with enforcement mechanisms rooted in the principles of the Lamfalussy framework.AI