29 Amendments of José Manuel GARCÍA-MARGALLO Y MARFIL related to 2007/0143(COD)
Amendment 77 #
Proposal for a directive
Recital 14 a (new)
Recital 14 a (new)
(14a) Supervision of the reinsurance activity should take account of the specific features of the reinsurance business, particularly its global nature and the fact that the policyholders are themselves insurance or reinsurance undertakings.
Amendment 93 #
Proposal for a directive
Recital 36
Recital 36
(36) The Solvency Capital Requirement should reflect a level of eligible own funds that enables insurance and reinsurance undertakings to absorb significant losses and that gives reasonable assurance to policyholders and beneficiaries that payments will be made as they fall due. In this respect, an appropriate balance between risk sensitivity and stability of the solvency capital requirement should be reached in order to better serve policyholders’ needs and enhance their protection. Thus the calibration of the capital charge should properly take into account the long holding period of assets that is typical in insurance and pension business, in particular for certain types of assets such as equity and real estate, and should not discourage undertakings from holding participations in financial and non-financial firms and having own funds in excess of technical provisions and the solvency capital requirement.
Amendment 155 #
Proposal for a directive
Article 27
Article 27
Member States shall ensure that the supervisory authorities are provided with the necessary means to achieve the main objective of supervision, namely the protection of policyholders and beneficiaries and promotion of the insurance industry and activity.
Amendment 164 #
Proposal for a directive
Article 30 – paragraph 2 – point e a (new)
Article 30 – paragraph 2 – point e a (new)
(ea) any quantitative tools developed under the supervisory review process.
Amendment 172 #
Proposal for a directive
Article 36 – paragraph 5
Article 36 – paragraph 5
5. The supervisory authorities shall have the necessary powers to require insurance and reinsurance undertakings, by means of a reasoned resolution proportionate to the nature and extent of the facts ascertained, to remedy weaknesses or deficiencies identified in the supervisory review process.
Amendment 173 #
Proposal for a directive
Article 36 – paragraph 6 – subparagraph 2
Article 36 – paragraph 6 – subparagraph 2
The supervisory authorities shall establish the minimum frequency and scope of the reviews, evaluations and assessments referred to in paragraphs 1, 2 and 4 having regard to the nature, scalaid down in this article. For its part the Commission shall adopt the corresponding implementing measures with the aim of ensuring the same rules and complexity of the activities ofre applicable to all Member States of the European Union, developing the procedures necessary to ensure that the insurance orand reinsurance undertaking concernedis heard during the supervisory review process and in the subsequent adoption of measures, within the framework laid down by this Directive.
Amendment 176 #
Proposal for a directive
Article 38 – paragraph 2 – subparagraph 1
Article 38 – paragraph 2 – subparagraph 1
2. The Member State where the service provider is located shall permit the supervisory authorities of the insurance or reinsurance undertaking to carry out themselves, or through the intermediary of persons they appoint for that purpose, on- site- inspections at the premises of the service provider, after having first informed the insurance or reinsurance undertaking and its own appropriate authorities. In the case of a non -supervised entity the appropriate authority shall be the supervisory authority.
Amendment 177 #
Proposal for a directive
Article 38 – paragraph 2 a (new)
Article 38 – paragraph 2 a (new)
2a. Outsourcing to service providers situated in third countries shall be permitted in accordance with the conditions of paragraphs 1 and 2.
Amendment 193 #
Proposal for a directive
Article 44 – paragraph 6 a (new)
Article 44 – paragraph 6 a (new)
6a. Without prejudice to the above, the only solvency levels with which insurance and reinsurance undertaking must comply shall be those determined in accordance with the standard formula or, where appropriate, the internal model used, without prejudice to capital surpluses, in accordance with the provisions of this Directive.
Amendment 202 #
Proposal for a directive
Article 49 – point 1
Article 49 – point 1
(1) the elements of the systems referred to in Articles 41, 43, 44, 45 and 46, and in particular the areas to be covered by the asset – liability management and investment policy, as referred to in Article 43(2), of insurance and reinsurance undertakings;
Amendment 205 #
Proposal for a directive
Article 50 - paragraph 2 – point e – point iii
Article 50 - paragraph 2 – point e – point iii
Amendment 229 #
Proposal for a directive
Article 74 – paragraph 1 – subparagraph 1 - introductory part
Article 74 – paragraph 1 – subparagraph 1 - introductory part
1. Member States shall ensure that, unless otherwise statedfor reasons of solvency, insurance and reinsurance undertakings value assets and liabilities as follows:
Amendment 238 #
Proposal for a directive
Article 75 – paragraph 2
Article 75 – paragraph 2
2. The calculation of technical provisions shall be bascalculated oin their current exit valuea way which is objective, reliable and consistent with the market.
Amendment 243 #
Proposal for a directive
Article 75 – paragraph 3
Article 75 – paragraph 3
3. The calculation of technical provisions shall make use of and be consistent with information provided by the financial markets and generally available data on insurance and reinsurance underwriting technical risks (market consistency).
Amendment 245 #
Proposal for a directive
Article 75 – paragraph 4
Article 75 – paragraph 4
Amendment 246 #
Proposal for a directive
Article 76 – paragraph 2 – subparagraph 1
Article 76 – paragraph 2 – subparagraph 1
2. The best estimate shall be equal to the probability-weighted average of future cash-flows, taking account of the time value of money (expected present value of future cash-flows), using the relevant risk- free interest rate term structure so that the discount rate is consistent with market prices for observable cash flows whose characteristics are similar to those of liabilities in terms of duration, currency, liquidity, etc.
Amendment 352 #
Proposal for a directive
Article 103 – paragraph 1 – introductory part
Article 103 – paragraph 1 – introductory part
1. The Solvency Capital Requirement shall be the sum of the following items, correlated where appropriate:
Amendment 366 #
Proposal for a directive
Article 105 – paragraph 5 – subparagraph 1
Article 105 – paragraph 5 – subparagraph 1
5. The market risk module shall reflect the risk arising from the level or volatility of market prices of financial instruments which have an impact upon the value of the assets and liabilities of the undertaking. It shall properly reflect the structural mismatch between assets and liabilities, in particular with respect to the duration thereof.
Amendment 373 #
Proposal for a directive
Article 105 – paragraph 5 – subparagraph 2 b (new)
Article 105 – paragraph 5 – subparagraph 2 b (new)
The equity (or property) risk sub-module shall be calculated using the Value-at- Risk based on the annualised return on equities (or on property), subject to a confidence level of 99.5 %, taking duly into account the holding period of equities (or property), consistently with the duration of liabilities, the amount of own funds in excess of technical provisions and the Solvency Capital Requirement, and the long-term nature of the investment in the case of participations.
Amendment 378 #
Article 105 – paragraph 5 – subparagraph 1 c (new)
Notwithstanding the foregoing, insurance and reinsurance undertakings may assess the impact of changes in equity (or property) market prices by simulating a fixed shock in equity (or property) prices.
Amendment 381 #
Proposal for a directive
Article 106 – paragraph 1
Article 106 – paragraph 1
1. The capital requirement for operational risk shall reflect operational risks to the extent they are not already reflected in the riskother modules making up the Basic Solvency Capital Requirement referred to in Article 104. That requirement shall be calibrated in accordance with Article 101(3).
Amendment 382 #
Proposal for a directive
Article 106 – paragraph 3
Article 106 – paragraph 3
3. With respect to insurance and reinsurance operations other than those referred to in paragraph 2, the calculation of the capital requirement for operational risk shall take account of the volume of those operations, in terms of earned premiums and technical provisions which are held in respect of those insurance and reinsurance obligations. In this case, the capital requirement for operational risks shall not exceed 30%a fixed percentage of the Basic Solvency Capital Requirement relating to those insurance and reinsurance operations and, by way of a mitigating factor, shall allow for the internal control environment in which the undertaking operates.
Amendment 394 #
Proposal for a directive
Article 111 – paragraph 2
Article 111 – paragraph 2
Amendment 422 #
Proposal for a directive
Article 127 – paragraph 1 – point d a (new)
Article 127 – paragraph 1 – point d a (new)
(da) its calibration shall be risk sensitive and ensure appropriate interplay with the Solvency Capital Requirement so as to make for a gradual increase in supervisory intervention.
Amendment 442 #
Proposal for a directive
Article 136 – paragraph 2
Article 136 – paragraph 2
2. Within two months from the observation of the significant non-compliance with the Solvency Capital Requirement the insurance or reinsurance undertaking concerned shall submit a realistic recovery plan for approval by the supervisory authority.
Amendment 443 #
Proposal for a directive
Article 136 – paragraph 3 – subparagraph 1
Article 136 – paragraph 3 – subparagraph 1
3. The supervisory authority shall require the insurance or reinsurance undertaking concerned to take the necessary measures to achieve, within six months from the observation of the significant non- compliance with the Solvency Capital Requirement, the re- establishment of the level of eligible own funds covering the Solvency Capital Requirement or the reduction of its risk profile to ensure compliance with the Solvency Capital Requirement.
Amendment 446 #
Proposal for a directive
Article 141 – subparagraph -1 a (new)
Article 141 – subparagraph -1 a (new)
The Commission shall adopt implementing measures specifying the conditions for intervention in the forms referred to in Article 136(3) and (4) and clarifying the application of the principles referred to in Article 139.
Amendment 811 #
Proposal for a directive
Article 304 - paragraph 3 a (new)
Article 304 - paragraph 3 a (new)
Amendment 821 #
Proposal for a directive
Annex IV
Annex IV