Solvency capital requirement - life underwriting risk: a conditional check (S.26.03, EIOPA rule BV578_1)

The rule in plain words

The headline gives only the template and the kind of check, because the rule is too long to say in a headline. The plain words above say all of it.

EIOPA writes it out as separate checks, one for each table or return it covers. Line4 Check runs two of them (BV578_1-3 and BV578_1-4), and a failure names the one that failed.

What to do if your return fails it

1. 01Open the tables below and find the cells the rule reads.
2. 02The check applies only when its first part holds in your return. When it does, the second part must hold too: fix the second part, or correct the first.
3. 03It runs only when your filing indicators mark S.26.03 as reported.
4. 04This is a blocking check. A return that fails it is normally rejected, so fix it before you submit.

The cells it reads

Which returns it applies to

Line4 Check runs it on annual solo (ARS), annual group (ARG) and annual branch (ARB) returns on EIOPA taxonomy 2.10.0. EIOPA applies it to annual group (ARG), annual branch (ARB), annual solo (ARS), annual ECB solo (AES) and annual ECB branch (AEB) returns, as a blocking check.

EIOPA’s own words and formula

In EIOPA’s list of validations, word for word:

Only the solvency capital requirement must be reported in S.26.03 - Solvency Capital Requirement - Life underwriting risk for longevity risk when the simplification on longevity risk is applied.

Other rules on Solvency capital requirement - life underwriting risk (S.26.03)

Every Solvency II rule on S.26.03

Checks like this one, run at the point of submission, are the first step to real-time supervision. Line4 builds SupTech software for financial regulators that runs checks like these as each return arrives.