Emma RadmoreEIOPA has published an opinion on the use of risk mitigation techniques by insurers and reinsurers.
It notes the importance of the structures that have emerged, but also the importance of having a proper balance between the risks that are effectively transferred and the capital relief in the Solvency Capital requirements in Solvency II. The opinion also notes that there is no substitute for a case by case analysis of the specifics of each structure.
