Capital Requirements, Disclosure, and Supervision in the European Insurance Industry : New Challenges Towards Solvency II

Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. Solvency II is the most important regulatory innovation in the field of insurance in the last 20 years. This book combines a theoretical approach with empirical implications to analyse the effect of this new regulatory framework and to discuss the new challenges facing the European insurance industry. European insurance companies are facing a range of new challenges and innovations. Solvency II will pose capital requirement, disclosure and supervision issues, and is one of the most important regulatory innovations in the field of insurance in the last 20 years. The wide range of innovations occurring and the number of operators involved through impact studies and assessments have created an atmosphere of great expectation surrounding Solvency II and its implementation. The adoption of a risk-based approach will be one of the most important innovations of the new regulatory framework, determining important issues related to capital requirements and their supervision as well as their disclosure to the market. Capital Requirements, Disclosure and Supervision in the European Insurance Industry provides an in-depth analysis of Solvency II's issues by combining both a theoretical approach and evidence of the empirical implications and effects on the European insurance industry. This study discusses the new challenges facing insurance companies through the examination of its structure, the rules with which insurance companies operating in Europe have to be compliant, and their implementation. Providing a comprehensive analysis of the risk management practices and supervisory issues in the European insurance industry, it will be of interest to anyone researching or practicing in the field, as well as providing an invaluable resource for students of related degree programs and researchers interested in financial intermediaries and the risk and capital management factors of insurance companies "Solvency II is the most important regulatory innovation in the field of insurance in the past 20 years. The length of this project, the number of operators involved through impact studies and assessments, the adopted procedure and the wide range of innovations have created an atmosphere of great expectation around Solvency II entering into force. The adoption of a risk-based approach appears to be the most important innovation of the new regulatory framework because it determines important issues related to capital requirements and their supervision as well as their disclosure to the market. Capital Requirements, Disclosure, and Supervision in the European Insurance Industry provides an interesting analysis of Solvency II's issues by combining both the theoretical approach and the empirical implications and effects on the European insurance industry. It discusses the new challenges facing insurance companies through the examination of its structure, the rules with which insurance companies operating in Europe have to be compliant, and their implementation."-- Provided by publisher Front Matter....Pages i-xvi Introduction....Pages 1-10 Front Matter....Pages 11-11 Solvency II Directive and the Key Features of the European Insurance Market....Pages 13-58 Front Matter....Pages 59-59 The Solvency Capital Requirement....Pages 61-120 The Supervision of Insurance Companies....Pages 121-173 Front Matter....Pages 175-175 The Regulatory Framework for Market Discipline....Pages 177-223 The Actual Disclosure....Pages 224-283 Conclusions....Pages 284-290 Back Matter....Pages 291-292