Insurers press case for new-look risk margin

Firms call for lower cost of capital and link to interest rates in key element of Solvency II

Eiopa headquarters, Frankfurt

Solvency II’s risk margin has been a bugbear for UK insurers for some time. More recently, the directive’s review has brought to light concerns from continental European firms and lobbyists, too – leading some in the industry to expect changes before the UK leaves the European Union.

“I think it is very likely that we will see change to the risk margin, as a result of the current European process that is under way… What is more uncertain is what that change will be,” says Steven Findlay, head

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