The European Insurance and Occupational Pensions Authority (EIOPA) has launched a public consultation on the prudential treatment of adaptation measures within the Solvency II framework, focusing on how risk mitigation actions should interact with capital requirements for natural catastrophe (NatCat) insurance. The consultation explores whether a dedicated Solvency II treatment is justified to better reflect micro-adaptation measures in the NatCat standard formula module beyond regular parameter calibration. It focuses on risk sensitivity, including whether the current framework may hinder “impact underwriting”, materiality from a Standard Formula perspective, and proportionality in balancing risk sensitivity with complexity, supported by a quantitative assessment of standard formula parameters. EIOPA frames the work against a reported NatCat protection gap in Europe, where around a quarter of losses from extreme events have been insured in the past. Feedback is requested via an online survey by 17 April 2026, with responses to be published on EIOPA’s website unless otherwise requested.
European Insurance and Occupational Pensions Authority 2026-02-04
European Insurance and Occupational Pensions Authority launches consultation on how Solvency II should reflect adaptation measures in natural catastrophe capital requirements
The European Insurance and Occupational Pensions Authority (EIOPA) has initiated a public consultation on the prudential treatment of adaptation measures within the Solvency II framework, examining the interaction of risk mitigation actions with capital requirements for natural catastrophe insurance. Feedback is sought by 17 April 2026, with responses to be published unless otherwise requested.