The rule in plain words
For each LoB and Total in Non-Life Technical Provisions (S.17.01), "technical provisions" minus "recoverables from reinsurance" must be equal to "technical provisions (total)" minus "total recoverables from reinsurance"
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.
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.17.01 as reported.
The cells it reads
Balance sheet (S.02.01.02.01)
Rows
- R0280Non-life and health similar to non-life
- R0510Technical provisions - non-life
Column
- C0010Solvency II value
Balance sheet (S.02.01.08.01)
Rows
- R0280Non-life and health similar to non-life
- R0510Technical provisions - non-life
Column
- C0010Solvency II value
Non-life technical provisions (S.17.01.02.01)
Rows
- R0320Technical provisions - total
- R0330Recoverable from reinsurance contract/SPV and Finite Re after the adjustment for expected losses due to counterparty default - total
- R0340Technical provisions minus recoverables from reinsurance/SPV and Finite Re - total
Columns
- C0020Medical expense insurance
- C0030Income protection insurance
- C0040Workers' compensation insurance
- C0050Motor vehicle liability insurance
- C0060Other motor insurance
- C0070Marine, aviation and transport insurance
- C0080Fire and other damage to property insurance
- C0090General liability insurance
- C0100Credit and suretyship insurance
- C0110Legal expenses insurance
- C0120Assistance
- C0130Miscellaneous financial loss
- C0140Non-proportional health reinsurance
- C0150Non-proportional casualty reinsurance
- C0160Non-proportional marine, aviation and transport reinsurance
- C0170Non-proportional property reinsurance
- C0180Total Non-Life obligation
Which returns it applies to
Line4 Check runs it on quarterly solo (QRS) and quarterly branch (QRB) returns on EIOPA taxonomy 2.10.0. EIOPA applies it to quarterly branch (QRB) and quarterly solo (QRS) returns, as a blocking check.
EIOPA’s own words and formula
In EIOPA’s list of validations, word for word:
For each LoB and Total in S.17.01 - Non-Life Technical Provisions , "technical provisions" minus "recoverables from reinsurance" must be equal to "technical provisions (total)" minus "total recoverables from reinsurance".
Show the formulaShowHide
EIOPA's formula. Cells are written as {t: table, r: row, c: column}.
{t: S.17.01.02.01, r: R0340} = {t: S.17.01.02.01, r: R0320} - {t: S.17.01.02.01, r: R0330}Other rules on Non-life technical provisions (S.17.01)
- Non-life technical provisions and balance sheet: a total must equal the sum of its parts (BV845)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Medical expense insurance must not be negative (BV841_1)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Income protection insurance must not be negative (BV841_2)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Workers' compensation insurance must not be negative (BV841_3)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Motor vehicle liability insurance must not be negative (BV841_4)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Other motor insurance must not be negative (BV841_5)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Marine, aviation and transport insurance must not be negative (BV841_6)Blocking
- For each LoB and Total in Non-Life Technical Provisions, "Risk margin" for Fire and other damage to property insurance must not be negative (BV841_7)Blocking
Every Solvency II rule on S.17.01
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.