Solvency II QIS4 receives lukewarm UK reception

Study reveals most UK insurance firms plan to avoid complex calculations for Solvency II QIS4

LONDON – Only a third of UK insurance firms are prepared to conduct the detailed calculations required by the fourth quantitative impact study (QIS4) for the European Union’s forthcoming Solvency II regulation, according to a study by insurance consultant Watson Wyatt.

While 80% of surveyed firms say they would take part in QIS4, two-thirds say they are only prepared to do the high-level simple calculations. Solvency II would bring capital requirements to the European insurance industry along the lines of Basel II for banks. QIS4 was launched by the Committee for European Insurance and Occupational Pensions Supervisors (CEIOPS) in April, with the deadline for final implementation set at 2012.