Minimum capital requirement - only life or only non-life insurance or reinsurance activity: a value must be more than zero (S.28.01, EIOPA rule BV923)

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.

What to do if your return fails it

1. 01Open the table below and find the cells the rule reads.
2. 02Look for a value of zero or below in these cells.
3. 03It runs only when your filing indicators mark S.28.02 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) and annual branch (ARB) returns on EIOPA taxonomy 2.10.0. EIOPA applies it to 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:

The Absolute floor of the MCR reported in S.28.02 - Minimum Capital Requirement - Both life and non-life insurance activity must be calculated as defined in Art 129(1)(d) of Directive 2009/138/EC.

Other rules on Minimum capital requirement - only life or only non-life insurance or reinsurance activity (S.28.01)

Every Solvency II rule on S.28.01

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.