| Author (Corporate) | European Commission: Press and Communication Service |
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| Series Title | Press Release |
| Series Details | IP/02/252 (14.2.02) |
| Publication Date | 14/02/2002 |
| Content Type | News |
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The European Commission has welcomed the adoption by the Council of Ministers on 14 February 2002 of two Directives to reinforce safeguards for policyholders by strengthening the solvency margin requirements for life and non-life assurance undertakings. The solvency margin is the extra capital that insurance providers are required to hold as a buffer against unforeseen events such as higher than expected claims levels or unfavourable investment results. These proposals are priority measures under the Financial Services Action Plan to create a single, integrated financial services market by 2005. The Directives could be adopted by the Council without the need for a second reading in the European Parliament, as the Council was able to endorse the amendments sought by the Parliament at its first reading. The Directives must be implemented by Member States within 18 months of their publication in the EU's Official Journal (although there are transitional arrangements for certain measures) and applied to accounts for financial years beginning on 1 January 2004 or during 2004. |
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| Source Link | Link to Main Source http://europa.eu/rapid/pressReleasesAction.do?reference=IP/02/252&format=HTML&rapid=0&language=EN&guiLanguage=en |
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| Subject Categories | Business and Industry, Internal Markets |
| Countries / Regions | Europe |
