One Move Ahead

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Two key-messages, as directions for action to mitigate the impact of COVID-19 on the insurance sector: business continuity and solvency

Publication: Adevarul Financiar

The European Insurance and Occupational Pensions Authority (EIOPA) warned, not long ago, that insurers would soon confront with a serious of progressively difficult conditions, both as regards the difficult market context, and the maintaining of operations, while taking measures to protect employees and clients.

This statement contains two key-messages, as directions for action to mitigate the impact of COVID-19 on the insurance sector: business continuity and solvency. On the one hand, from the perspective of business continuity, EIOPA draws attention to the insurers’ obligation to take measures to make sure that they are capable of providing services to the clients.

At the same time, EIOPA addresses also to the national supervisory authorities, showing that these should be flexible as regards the calendar of reporting and submission of financial statements. In turn, EIOPA says that it will limit the requests for information and consultations at the level of the industry to the essential elements that are necessary to assess and monitor the impact of the current situation on the market.

 

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