QIS

To prepare the Directive, a series of ‘Quantitative Impact Studies’ (QIS) have been undertaken. Three QIS have been completed so far. -       

QIS1 focused on technical provisions, calculations of best estimate and risk margins; -

QIS2 provided the first test of the capital assessment proposals for the ‘standard approach’; -       

QIS3 updated a number of elements of the calibration and tested group proposals for the first time.

QIS4 has taken place from April to 7 July (for solo entities) and 31 July (for groups). Results are currently being collated and analysed by CEIOPS and national supervisors.

QIS5 will run from August to the end of October 2010 (mid-November for groups). The final technical specification is available at http://ec.europa.eu/internal_market/insurance/solvency/index_en.htm. CEIOPS is expected to publish the final spreadsheets on or around 16 August. Whereas the official results will be published in April 2010, first preliminary results are expected to be available in December 2010.

The FSA is offering tailored support for firms during the exercise. Firms can address any queries about QIS5 to QIS5@fsa.gov.uk and can also get in touch with their usual supervisory contact. Firms may also address queries or concerns that have a more general relevance to CEIOPS directly. However, please note that the FSA should be the first contact point for any questions. Further information on QIS5 is also available on the FSA website at http://www.fsa.gov.uk/pages/About/What/International/solvency/qis/qis5/index.shtml.