Larosière proposes strengthened Solvency II

Europe should implement a set of new measures to strengthen insurance supervision in addition to Solvency II rules, said Jacques de Larosière in his report to the European Commission. The focus of the High Level Group on Supervision’s report is on banking but among a list of recommendations Mr de Larosière said Solvency II should be adopted without delay alongside new measures including harmonized insurance guarantee schemes and binding mediation mechanisms for host and home supervisors. Mr de Larosière said offering new safeguard measures would help break the current deadlock in political negotiations over group support regime proposals, which some member states fear would leave them too exposed to the authority of other European regulators.