Abbreviations Glossary Executive summary Introduction Paragraph I - XIII 1 -8 1 -3 4 -6 7 -8 9 - 13 14 - 89 14 - 22 16 17 - 18 19 - 22 23 - 36 25 - 29 30 - 32 33 - 36 37 - 50 39 - 42 CONTENTS The insurance market in the European economy EIOPA as part of the European system of financial supervision ESA reform process Audit scope and approach Observations Part I - EIOPA’s actions to ensure consistent supervision by NCAs are sound, but lack a systematic approach to follow-up EIOPA identified significant weaknesses in supervision quality EIOPA’s recommendations reflect the weaknesses identified, but lack follow-up The underlying work was mostly thorough and comprehensive, but the processes were time-consuming Part II - Systemic weaknesses in the current supervisory system for cross-border business remain, but EIOPA made an effort to protect policyholders Set-up of the college system creates wrong incentives for insurers and supervisors EIOPA responds by developing ad hoc tools to protect consumers but supervisory convergence remains a challenge EIOPA played a helpful role in several colleges of cross-border groups, despite limited co-operation by NCAs Part III - Lack of convergence in internal model supervision, despite first steps made by EIOPA Convergence in the area of internal models remains very limited 2 EIOPA made an effort to enhance convergence through consistency projects EIOPA does not have sufficient access to data on internal models to perform oversight Part IV - EIOPA did reliable work to conduct the 2016 insurance stress test, but we found shortcomings in its design and recommendations The scope of the stress test and the identified risks were appropriate, however, the scenarios used had shortcomings in calibration and justification EIOPA accurately validated and aggregated the data EIOPA presented relevant results which showed the vulnerability of the sector Some of the recommendations were too general and did not propose specific action EIOPA organised the stress test in a structured way, with some problems in timing and documentation Part V - EIOPA’s governance and limited resources create a challenge in achieving the objectives The effectiveness of EIOPA’s work relies on the NCAs’ contributions, and its governance creates challenges The procedures for using legal instruments are sound, but sometimes lack transparency and a pro-active approach EIOPA’s resources for carrying out supervisory work were limited and not transferred from regulatory activities Conclusions and recommendations Annex I - Overview of EIOPA’s Peer Review recommendations Annex II - Underlying assumptions of the 2016 insurance stress test Annex III - Timeline of the 2016 stress test Annex IV - Lessons learned from the 2014 stress test and follow-up in 2016 The replies of EIOPA 43-47 48-50 51-75 52-63 64-65 66-68 69-70 71-75 76-89 77-79 80-84 85-89 90 - 105 3 
Förkortningar Ordlista Sammanfattnining Inledning Punkt I - VIII Försäkringsmarknaden i den europeiska ekonomin Eiopa som en del av det europeiska systemet för finansiell tillsyn Esa-myndigheternas reformprocess Revisionens inriktning och omfattning samt revisionsmetod Iakttagelser 1 1 4 7 9 - 14 - - 8 - 3 - 6 - 8 13 89 22 16 18 22 36 29 INNEHÅLL Del I – Eiopas åtgärder för att säkerställa att de behöriga nationella myndigheterna kontinuerligt utövar tillsyn är sunda, men det saknas en systematisk uppföljning 14 - Eiopa identifierade betydande brister i tillsynens kvalitet Eiopas rekommendationer avspeglar de identifierade bristerna, men det saknas uppföljning 17 - Det underliggande arbetet var till största delen grundligt och heltäckande, men processerna var tidskrävande 19 - Del II: Systembristerna i det nuvarande tillsynssystemet för gränsöverskridande verksamhet kvarstår, men Eiopa gjorde ansträngningar för att skydda försäkringstagarna 23 - Strukturen hos systemet med kollegier skapar fel incitament för försäkringsgivare och tillsynsmyndigheter 25 - Eiopa reagerar genom att ta fram särskilda verktyg för att skydda konsumenterna, men enhetlighet i tillsynen är fortfarande en utmaning 30 - 32 Eiopa bidrog till arbetet i flera kollegier för gränsöverskridande grupper, trots att samarbetet med behöriga nationella myndigheter var begränsat 33 - 36 Del III – Bristande konvergens i tillsynen över interna modeller, trots att Eiopa har tagit de första stegen 37 - 50 2