EIOPA submits technical standards on new macroprudential requirements following SII review

Written by Adam Cadle

19/11/2025

The European Insurance and Occupational Pensions Authority (EIOPA) has submitted two sets of draft regulatory technical standards (RTS) to the European Commission (EC) on new macroprudential tools that have been introduced in the Solvency II framework following its recent review.

The updated framework includes two key enhancements:

- Liquidity risk management plans (LRMPs) for insurers, which strengthen the sector’s resilience by ensuring they maintain sufficient liquidity to meet obligations even under stress;

- Macroprudential risk analyses, which improve supervisors’ ability to monitor systemic risks and potential spillovers by incorporating macroprudential considerations into insurers’ risk management practices.

EIOPA chair, Petra Hielkema, said: “This timely update strengthens the framework in the wake of market episodes that underlined the relevance of liquidity risks to long-term investors and amid heightened concerns about the level of interconnectedness between different corners of the financial system. The standards were developed to allow for a flexible, risk-based and proportional implementation.”

The EC will now review the RTS and decide on their adoption within the next three months.

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