1
Introduction
1.1
This supervisory statement (SS) is relevant to all UK insurance and reinsurance firms and groups within the scope of Solvency (‘Solvency II firms’). The Prudential Regulation Authority (PRA) expects firms to read this statement alongside all relevant European legislation.
- 02/02/2023
1.2
This SS provides guidance for significant1 (PRA Category 1 and 2) Solvency II firms in complying with the requirements in Article 275 of the Commission Delegated Regulation (EU) 2015/35 (‘the Solvency II Regulation’). It may also be used as a guide for smaller firms when reviewing their remuneration policies and practices against the Solvency II Regulation requirements. This statement does not set absolute requirements as these are contained in the directly applicable Solvency II Regulation which came into force on 1 January 2016. Category 1 and 2 firms unable to meet or exceed the PRA’s expectations (as set out in this SS) should inform their PRA supervisory contact.
Footnotes
- 1. The ‘PRA’s approach to insurance supervision’ March 2016 explains that Category 1 and 2 firms are deemed significant within the PRA’s supervisory framework model; https://www.bankofengland.co.uk/-/media/boe/files/prudential-regulation/approach/insurance-approach-2016.pdf
- 02/02/2023