Europe

MEPs agree Solvency II draft

The European Parliament committee overseeing Solvency II has agreed to the draft rules, adding several amendments to the text proposed by the European Commission in July last year. The Committee on Economic and Monetary Affairs (ECON) said supervisory colleges should be mandatory for insurance groups operating in more than one European country and CEIOPS should take a mediatory role in any disputes that arise between home and host regulators in their supervision of groups. ECON also proposed the Minimum Capital Requirement (MCR) calculation should fall within 25% and 45% of a firm’s Solvency Capital Requirement (SCR). This combined approach is supported the Comité Européen des Assurances (CEA). The proposal will be put before the full European Parliament and also the Council of Ministers before it can be adopted. Under the current timetable, the directive should be adopted by the end of this year.