Solvency II Directive

The Solvency II Directive is a regulatory framework for insurance companies and other insurance providers in the EU. It was introduced in 2016 and replaced the Solvency I framework.

Solvency II requires insurance companies to hold enough capital to cover potential losses and risks, and ensure they have appropriate risk management systems in place. This is intended to provide greater protection for policyholders and improve the stability of the insurance industry.

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