Brussels, 07/01/2010 (Agence Europe) - An initiative was launched at the meeting of French mutual insurance group companies denouncing the new “Solvency II” directive, definitively endorsed in November 2009. In an online “blog” and petition, it considers that the European rules applicable at the end of 2012 will entail a rise by way of 40% in capital requirements compared to simulations carried out shortly before such rules were adopted, according to recent work by the European Insurance and Occupational. Pensions Committee. French mutual insurance companies are opposed to the obligation of holding assets deemed ill-adjusted for covering long term risks (for example: retirement or construction). In their view, the directive will increase the volatility of the insurance sector by giving over-optimistic or over-pessimistic views based on exaggerated variations in own funds and results. The supervision of insurance companies, especially multinational companies, would also be impossible to verify. See: http: //http://www.stopsolvabilit é2.com.
The above stance is a minority view within the Association of Mutual Insurers and Insurance Cooperatives in Europe (AMICE), to which French mutual insurers belong. “We must move forward with the Solvency II Directive and work hard to elaborate measures for implementation and in support for our members that are preparing for the new rules”, AMICE General Secretary Gregor Pozniak told EUROPE. The Commission is currently developing measures for implementation of the framework directive that will define in greater detail provisions such as the evaluation of assets, risk calibration and organisational and publication requirements. Once the Solvency II Directive has been published in the Official Journal, the Commission will present a second so-called “omnibus” directive intended to adapt the European insurance legislation to the future European financial supervision system. Discussions are underway between the European Commission and industry on how appropriate it is to grant a longer transitional period for implementation of Solvency II. (M.B./transl.jl)