Implementing Solvency II—tips for SPVs

What’s next for special purpose reinsurance vehicles (SPVs) under the Solvency II Directive?

Hilary Evenett, insurance specialist and partner in the funds and investment management at Clifford Chance, comments on the EU’s Commissioning Regulations.

Original news

Official Journal of the European Union, L76, 20 March 2015—Regulation—Insurance, LNB News 20/03/2015 96

Commission Implementing Regulation (EU) 2015/462, which came into force on 21 March 2015, lays down implementing technical standards with regard to the procedures for supervisory approval to establish SPVs, for the cooperation and exchange of information between supervisory authorities regarding SPVs as well as to set out formats and templates for information to be reported by SPVs in accordance with Directive 2009/138/EC (Solvency II).

What is the background to these implementing regulations?

Solvency II, which is a framework directive, provides for the establishment of SPVs, and these Implementing Regulations provide more information about the way in which these SPVs will be approved and managed.

What do the implementing regulations cover?

The implementing regulations cover:

• procedures to be followed for granting approval for the establishment of an SPV
• procedures for cooperation and exchange of information between different EU supervisors, where the SPV is established in one member state and assumes risk from a (re)insurer established in another member state, and
• the f