Brussels, 11/02/2008 (Agence Europe) - “A very strong business case would be required before we start shifting Solvency II rules to pension funds, and, frankly, I would be surprised if there is such a case. I have no intention of sponsoring proposals that would risk closing down benefit pension schemes,” said Internal Market Commissioner Charlie McCreevy addressing the Insurance Institute of London on Thursday 7 February. In 2006, EU member states agreed to come back to the issue of a possible extension of the new European solvency regime for insurance companies to pension funds in 2008, as part of a review of directive 2003/41/EC on the activities and supervision of institutions for occupational retirement provision.
McCreevy said that the Commission would, “in the near future” bring forward a proposal amending the draft Solvency II directive (see EUROPE 9464 and 9465). He said that “no amendments” would be made to the part that referred to the new solvency requirements in the insurance sector. Amendment would concern the codification of 14 existing directives to take account of the comments of the legal services of the European institutions. In the commissioner's opinion, negotiations on the future Solvency II would have to proceed according to the timetable, so that the new rules could come into effect in 2012, particularly on the future system of monitoring insurers who operate across borders by national regulators. “It is crucial that the member states and the European Parliament reach an agreement on these issues without changing the substance of the proposal. In particular, it is important that the provisions on the group support regime and on streamlining the group supervision regime are preserved,” he stressed.
The framework directive will be adopted under Lamfalussy procedure Level 2 implementing measures, which apply during the drawing up of European legislation on financial services. The Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS) will give its opinion in May on the group support and group supervision systems, with a full opinion on implementing measures expected by October 2009. McCreevy also said that the CEIOPS would need to start preparing work on Level 3 supervisory guidance, which will need to be finalised during the “second half of 2010”. The Council and the EP aim to have the draft directive adopted by the end of 2008. (M.B.)