EIOPA reports about its 2018 supervisory activities and sets out the 2019 priorities

• ​In 2018, supervisory activities contributed to high-quality supervision, to enhanced convergence of supervisory practices and to stability in the European insurance sector
• EIOPA made use of different available tools to build common benchmarks for supervisory practices, to review national practices and to make its own independent assessment
• Among other deliverables important milestones were:

• The issuance of the Opinion on technical provisions on cross-border context
• The development of a common framework for assessing conduct risk through the product’s lifecycle were important milestones
• The use of cooperation platforms to ensure timely identification of preventive measures and successful implementation of recovery measures
• The issuance of Opinions related to Brexit to ensure service continuity and consistent supervisory approaches
• In 2019 EIOPA continues to focus on the practical implementation of the common supervisory culture, the assessment of risks to the internal market and to the level playing field as well as the supervision of emerging risks
• New supervisory activities include work on conduct of business supervisory practices under the Supervisory Handbook, analysis of the consistency of technical provisions best estimate calculation and the supervision of run-off undertakings

Today, the European Insurance and Occupational Pensions Authority (EIOPA) published its 2018 Supervisory Activities Report in accordance with Article 259 of the Solvency II Directive. Following the publication of the Common Supervisory Culture in November 2017 and the Supervisory Convergence Plan for 2018 -2019 in April 2018 this first annual Report outlines the supervisory activities conducted in 2018 and sets out the priorities for 2019.

In 2018, EIOPA addressed supervisory convergence from different perspectives and using different tools depending on the issue and risks at stake. Among others, the following deliverables were important milestones:

• The development of a common framework for assessing conduct risk through the product’s lifecycle to identify drivers of conduct risk throughout all stages of the product’s lifecycle and the implications of these in the emergence of consumer detriment
• The issuance of the Opinion on non-life cross border insurance business of a long-term nature and its supervision to address specific cross-border situations where evidence has shown that not all market players might be properly and prudently calculating the Technical Provisions and therefore could be jeopardising the policyholders of the host country
• The use of cooperation platforms to ensure timely identification of preventive measures resulting in successful implementation of recovery measures
• The issuance of two Opinions related to Brexit to ensure service continuity and consistency in supervisory approaches, namely on the disclosure of information to customers and on risks to the solvency position of (re)insurance undertakings