Solvency II
GFSC Approach
Solvency II is a fundamental review of the capital adequacy regime for the European insurance industry. It will establish a revised set of EU-wide capital requirements and risk management standards, which will be consistently applied across Europe.
The GFSC fully supports these European goals and takes our obligations to implement Solvency II seriously. We expect firms to do likewise as it is important to the reputation of Gibraltar that we have a well-managed and well-capitalised market.
GFSC Updates
July 2016 | ![]() | Own Risk and Solvency Assessment (ORSA) Feedback Document |
April 2016 | ![]() | Plan of supervisory engagement for 2016 under the Solvency II Directive |
March 2016 | ![]() | Solvency II Supervisory FAQ |
November 2015 | ![]() | Commentary around Solvency II Requirements for Insurance Groups |
September 2015 | ![]() | Deloitte Insurance Seminar – Less than 100 days to go
Solvency II Update presentation given at the Deloitte Insurance Seminar by Mr Joe Perdoni, Head of Prudential Supervision. |
June 2015 | ![]() | Update on Solvency II
This Update provides a reminder of the various communications from the GFSC and EIOPA over recent months. These are in addition to the many meetings we have held with individual firms, insurance managers and industry over this period to ensure that a constructive two-way dialogue continues. The GFSC continues to seek to take a proportionate approach where applicable. |
May 2015 | ![]() | Solvency II for Directors - Webinar Video
Seamus Creedon's contribution to the Solvency II for NEDs Webinar held by the Gibraltar Financial Services Commission on May 28, 2015 |
May 2015 | /uploads/webinar-SolvencyII.pdf | Solvency II for Directors - Webinar slides.
Presentation run during the webinar. |
May 2015 | ![]() | Feedback Paper - Self Assessment No. 2
As part of the GFSC’s ongoing assessment of insurers’ preparations for Solvency II a number of self-assessments were requested in quarter 3 of 2014. This paper looks at each pillar of Solvency II in turn, as well as a section on firms’ implementation plans. At the outset of each section we provide a reminder of the GFSC’s expectations of firms. The content of this paper is important. Firms should make their respective Boards of Directors aware of it. |
March 2015 | ![]() | Presentation and Follow Up Training
Solvency II - Presentation by Mr Ken Hogg – Solvency II Project Manager, Gibraltar Financial Services Commission |
March 2015 | ![]() | Solvency II – Technology Presentation.
Technology Update presentation by Mr John Pashley - Technical Consultant and Mr Ken Hogg – Solvency II Project Manager. |
February 2015 | ![]() | Solvency II – Technology Update.
This update sets out how firms can submit their data in XBRL. |
December 2014 | ![]() | Solvency II - December 2014 Update. (*The Annex to this update was revised in January 2015 with updated links to the EIOPA website)
The GFSC has published its latest update in relation to Solvency II. |
October 2014 | ![]() | Dear CEO letter Insurance Companies – Self-Assessments and Solvency II Plans.
A key aspect of the GFSC’s approach is to monitor firms’ progress with their implementation plans. To that end, the GFSC has issued a data request and requested that firms complete and submit further self-assessments. These relate to all 3 pillars of Solvency II. Directors should ensure that they are aware of the GFSC’s expectations and requirements. |
October 2014 | ![]() | Feedback Paper – Self Assessment.
The GFSC is working closely with all regulated firms to ensure that the Gibraltar market is fully prepared for the introduction of the Solvency II regulatory regime on 1 January 2016. As part of this process, firms were requested to assess their current state of readiness against the governance guidelines outlined in the Insurance Guidance Note 14, and their preparations to submit a “Forward looking assessment of own risks” by the end of 2014. Supporting documentation was requested for selected areas and the information supplied has now been reviewed by the GFSC and forms the basis of this feedback paper. The content of this paper is important. Firms should make their respective Boards of Directors aware of it. |
September 2014 | ![]() | Solvency II - Speech by Mr Ken Hogg – Solvency II Project Manager, Gibraltar Financial Services Commission.
These slides, from a speech at a conference hosted by Mazars, summarise the September 2014 Update on Solvency II. |
September 2014 | ![]() | Solvency II Progress Update.
The GFSC has published its latest update in relation to Solvency II. The purpose of the document is to ensure that Gibraltar insurers are aware of the key communications that will take place between the GFSC and firms as both parties ensure that they are prepared to operate in accordance with Solvency II Directive requirements from 1 January 2016. The document should be read by Directors and managers of Gibraltar insurers applicants to be Gibraltar insurers that will be carrying on insurance in Gibraltar from 1 January 2016 and that will fall to be regulated under the requirements of the Directive. The readers should ensure that they are aware of GFSC expectations and that Directors and Managers are governing the firms in a manner that those expectations will be met. |
December 2013 | ![]() | System of Governance
On 31 December 2013 the GFSC published Insurance Guidance Note No. 14 in which it set out its expectations in respect of the transition to Governance Requirements established under the Solvency II Directive. |
December 2013 | ![]() | Submission of Information to National Competent Authorities.
The GFSC wrote to the insurers falling within the 50% / 80% threshold on 12 December 2013, requiring that they submit the information set out in the EIOPA Guidelines in respect of Submission of Information to National Competent Authorities. The letter also required that insurers confirm their intention to build appropriate systems and structures to deliver high quality information for supervisory purposes, tailored to fit the organisational structure and risk management system and that take into consideration the nature, scale and complexity of the inherent risks. A key part of our work plan will relate to the Pillar 3 reporting requirements. As part of our work on the Fourth Capital Requirements Directive, we concluded that a strategic technology refresh will enable the GFSC to be more efficient in the use of personnel resources, and better prepared for the challenges of further EU initiatives. One of the key objectives of our programme will be to introduce a more integrated system across the GFSC that will benefit all parties that are required to communicate and exchange information with us. It will also support the GFSC in its analysis of information that it receives and enable it to forward relevant information to European Supervisory Authorities in an efficient manner. A project team is already in place and will be engaging with the industry when key milestones requiring industry input are reached. |
November 2013 | ![]() | Forward-looking assessment of own risks (based on the ORSA principles) ("FLAOR")
The GFSC wrote to insurers on 15 November 2013 advising them whether they met the threshold conditions set out in the guidelines, based on whether they fell within 50% / 80% of market share as defined in the Guidelines. The GFSC also required that insurers confirm their intention to actively prepare and begin the implementation of the FLAOR, and to develop processes with appropriate and adequate techniques, tailored to fit the organisational structure and risk management system and that take into consideration the nature, scale and complexity of the inherent risks, with assessments starting from 2014. |
May 2013 | ![]() | Approach to Solvency II.
On the 31 of May 2013, the GFSC sent a 'Dear CEO' letter to Gibraltar insurers setting out the areas on which it intended to focus its supervision of the insurance sector. These were on strengthening firms systems and controls in relation to capital adequacy, technical provisions, risk management and corporate governance. The GFSC recognises that many aspects of the new supervisory framework will be challenging, but we believe that implementation of Solvency II is strongly aligned with these areas of focus. |