This policy statement publishes the rules and accompanying supervisory statements required for the PRA’s implementation of the Solvency II Directive. The rules and supervisory statements were proposed in five consultation papers, listed below, during 2014/15. Feedback to these consultation papers is provided in the policy statement.
- CP16/14: Transposition of Solvency II: Part 3;
- CP22/14: The PRA’s approach to with-profits insurance business;
- CP23/14: Solvency II approvals;
- CP24/14: Solvency II: further measures for implementation; and
- CP3/15: Solvency II: transitional measures and the treatment of participations.
The policy statement is relevant to all UK Solvency II Firms and to Lloyd’s. The sections which relate to with-profits will also be relevant to non-directive firms that write with-profits business in the UK.
From 1 April 2015, firms will be able to submit applications for Solvency II approvals via the Bank of England webpage ‘Approvals and waivers under the Solvency II Directive’, available as a related link.
HM Treasury is also making corresponding amendments to statutory legislation for their implementation of Solvency II.
Please note: On 18 August 2016 the appendices to PS2/15 were updated to include links to the documents on the Bank of England's website.
Background
Appendix 1
PRA Rulebook instruments PRA 2015/9 to PRA 2015/31
Appendix 2 - Supervisory Statements
- Insurance general application – SS1/15
- Own funds – SS2/15
- The quality of capital instruments – SS3/15
- The solvency and minimum capital requirements – SS4/15
- The treatment of pension scheme risk – SS5/15
- The internal model treatment of participations – SS6/15
- Supervision of firms in difficulty or run-off – SS7/15
- Composites – SS8/15
- Group supervision – SS9/15
- Third-country branches – SS10/15
- Regulatory reporting and exemptions – SS11/15
- Lloyd’s – SS12/15
- Surplus funds – SS13/15
- With-profits – SS14/15
- Approvals – SS15/15
- Conditions governing business – SS16/15
- Transitional measures on risk-free interest rates and technical provisions – SS17/15
Appendix 3 - National Specific Templates and log files
Please see below for the Solvency II regulatory reporting page, which hosts the National Specific Templates and log files referred to in PS2/15.
Solvency II: regulatory reporting