Solvency II is the updated set of regulatory requirements for insurance, reinsurance firms that operate in the European Union. It is scheduled to come into effect on 31 Dec 2012.
The framework’s primary goals are to facilitate the development of a single European market in insurance services and provide an adequate level of consumer protection. Among other objectives, it seeks to improve product development and pricing, increase the transparency of risk reporting, raise industry standards of risk management, and upgrade companies’ internal controls.
