The rule in plain words
The "Total" value reported in Own funds (S.23.01) must be equal to the sum of "Tier 2" and "Tier 3"
EIOPA writes it out as separate checks, one for each table or return it covers. Line4 Check runs four of them (BV81-1 to BV81-4), and a failure names the one that failed.
This is a blocking check. A return that fails it is normally rejected, so fix it before you submit. It runs only when your filing indicators mark S.23.01 as reported.
The cells it reads
Own funds (S.23.01.01.01)
Rows
- R0320Unpaid and uncalled preference shares callable on demand
- R0330A legally binding commitment to subscribe and pay for subordinated liabilities on demand
- R0350Letters of credit and guarantees other than under Article 96(2) of the Directive 2009/138/EC
- R0370Supplementary members calls - other than under first subparagraph of Article 96(3) of the Directive 2009/138/EC
- R0390Other ancillary own funds
- R0400Total ancillary own funds
Columns
- C0010Total
- C0040Tier 2
- C0050Tier 3
Own funds (S.23.01.02.01)
Rows
- R0320Unpaid and uncalled preference shares callable on demand
- R0330A legally binding commitment to subscribe and pay for subordinated liabilities on demand
- R0350Letters of credit and guarantees other than under Article 96(2) of the Directive 2009/138/EC
- R0370Supplementary members calls - other than under first subparagraph of Article 96(3) of the Directive 2009/138/EC
- R0390Other ancillary own funds
- R0400Total ancillary own funds
Columns
- C0010Total
- C0040Tier 2
- C0050Tier 3
Own funds (S.23.01.04.01)
Rows
- R0320Unpaid and uncalled preference shares callable on demand
- R0330A legally binding commitment to subscribe and pay for subordinated liabilities on demand
- R0350Letters of credit and guarantees other than under Article 96(2) of the Directive 2009/138/EC
- R0370Supplementary members calls - other than under first subparagraph of Article 96(3) of the Directive 2009/138/EC
- R0390Other ancillary own funds
- R0400Total ancillary own funds
Columns
- C0010Total
- C0040Tier 2
- C0050Tier 3
Own funds (S.23.01.05.01)
Rows
- R0320Unpaid and uncalled preference shares callable on demand
- R0330A legally binding commitment to subscribe and pay for subordinated liabilities on demand
- R0350Letters of credit and guarantees other than under Article 96(2) of the Directive 2009/138/EC
- R0370Supplementary members calls - other than under first subparagraph of Article 96(3) of the Directive 2009/138/EC
- R0390Other ancillary own funds
- R0400Total ancillary own funds
Columns
- C0010Total
- C0040Tier 2
- C0050Tier 3
Which returns it applies to
Line4 Check runs it on quarterly solo (QRS), quarterly group (QRG), annual solo (ARS) and annual group (ARG) returns on EIOPA taxonomy 2.10.0. EIOPA applies it to annual solo (ARS), annual ECB solo (AES), annual group (ARG), quarterly ECB solo (QES), quarterly solo (QRS) and quarterly group (QRG) returns, as a blocking check.
EIOPA’s own words and formula
In EIOPA’s list of validations, word for word:
The "Total" value reported in S.23.01 - Own funds must be equal to the sum of "Tier 2" and "Tier 3".
Show the formulaShowHide
EIOPA's formula, for BV81-3. Cells are written as {t: table, r: row, c: column}.
{t: S.23.01.02.01, c: C0010, z: Z0001} = {t: S.23.01.02.01, c: C0040, z: Z0001} + {t: S.23.01.02.01, c: C0050, z: Z0001}BV81-1:
{t: S.23.01.01.01, c: C0010, z: Z0001} = {t: S.23.01.01.01, c: C0040, z: Z0001} + {t: S.23.01.01.01, c: C0050, z: Z0001}BV81-2:
{t: S.23.01.04.01, c: C0010, z: Z0001} = {t: S.23.01.04.01, c: C0040, z: Z0001} + {t: S.23.01.04.01, c: C0050, z: Z0001}BV81-4:
{t: S.23.01.05.01, c: C0010, z: Z0001} = {t: S.23.01.05.01, c: C0040, z: Z0001} + {t: S.23.01.05.01, c: C0050, z: Z0001}Other rules on Own funds (S.23.01)
- The "Total" value reported in Own funds must be equal to the same item for "Tier 2" (BV80)Blocking
- Own funds: values must agree (BV79)Blocking
- The item "Total ancillary own funds" reported in Own funds must be equal to the sum of the items reported above (BV83)Blocking
- Own funds: values must agree (BV78)Blocking
- The item "Total ancillary own funds" for "Tier 3" reported in Own funds must be equal to the sum of the items reported above (BV84)Blocking
- Own funds: values must agree (BV77)Blocking
- Own funds and impact of long-term guarantees measures and transitionals: a total must equal the sum of its parts (BV85)Blocking
- Own funds: values must agree (BV76)Blocking
Every Solvency II rule on S.23.01
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.