An initiative of the E.U. to undertake a “fundamental review of the capital adequacy regime for the European insurance industry.” It aims to establish a revised set of EU-wide capital requirements and risk management standards that will replace the current solvency requirements. The Solvency II Directive is intended to become effective on January 1, 2016.
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UK: Ongoing review of solvency regulation that appears likely to lead to the implementation of a risk-based capital model for solvency purposes in the EC in the next few years.