The Slovenia Insurance Supervision Agency has assessed the suitability of source-data-based supervision, under which supervisors collect granular policy, claim and investment data and perform their own standardized calculations instead of relying solely on periodic reporting templates. It concludes that insurance supervision should move toward a hybrid model, using granular source data where practical while retaining annual prescribed reporting for actuarial estimates derived from models and assumptions. The approach could reduce insurers’ reporting burden over time, improve data consistency and support more timely analysis, cross-checking and anomaly detection. However, implementation would require costly system changes and precise data definitions, while creating data protection, confidentiality and cybersecurity risks. The diversity of insurance products and the need to reconcile differences between supervisory and insurer calculations add further complexity.
Slovenia Insurance Supervision Agency2026-07-30
Slovenia Insurance Supervision Agency assesses hybrid source-data model for insurance supervision
The Slovenia Insurance Supervision Agency has assessed source-data-based supervision and favors a hybrid approach for insurers. Granular data could improve timeliness and consistency for policies, premiums, claims and investments, while prescribed reporting would remain necessary for model-based actuarial estimates. Implementation poses system, cybersecurity, data protection and methodological challenges.