Solvency II — Insurance Regulation Post-Brexit Changes

Introduction

This course provides an overview of the implementation of the Solvency II Directive in Europe. The UK's exit from the EU will significantly affect how domestic insurers must comply with regulations, as British authorities now possess greater discretion over solvency requirements. Recent guidance from the Bank of England indicates that regulatory modifications could elevate insolvency risks for insurance entities, potentially altering capital retention mandates.

Who Should Attend

Professionals working in insurance compliance roles will find this course beneficial. It also targets executive leaders engaged in organisational strategy who want to understand how Solvency II will reshape the insurance landscape across the UK and Europe, particularly following Brexit.

Approach

Content delivery employs structured explanations using visual aids, spontaneous illustrations and direct clarifications. Participants are encouraged to engage actively, with practical exercises integrated throughout the session.

Agenda

Risk categories

• Operational, liquidity, market, credit and insurance risk

Solvency II overview

• Bank of England solvency review
• Implementation timetable and regulator requirements
• EIOPA's role
• Prudential Regulation Authority guidelines
• Group supervisor functions
• Internal model approval processes

Solvency II objectives

• Life assurance valuation and cash flow projections
• Interest rate structures and currency considerations
• Case studies: Prudential & Equitable Life lessons

Margins and profit calculations

• Residual margins and day-one profit
• Capital requirements and contract boundaries

Integration with financial reporting

• Solvency II and IFRS interaction
• Value calculations and tier structures