The Solvency 2 Regulations 2015

Related undertakings: calculation of group solvencyU.K.

This section has no associated Explanatory Memorandum

18.—(1) This regulation applies where—

(a)the PRA is the group supervisor of a group;

(b)the group contains at least three insurance undertakings, reinsurance undertakings [F1Gibraltarian insurance undertakings, Gibraltarian reinsurance undertakings], insurance holding companies or mixed financial holding companies (“A”, “B” and “C”);

(c)A and B are related undertakings;

(d)A and C are related undertakings; and

(e)either B or C has its head office in [F2Gibraltar].

(2) Except where paragraph (3) applies, the PRA must permit the group, in the calculation of group solvency, to take into account national laws which—

(a)are adopted by [F3Gibraltar] to implement the solvency capital requirement and the requirements relating to the own funds eligible to satisfy the solvency capital requirement; and

(b)apply to B or C (as the case may be).

(3) This paragraph applies where—

(a)there is a significant change to the national laws referred to in paragraph (2); and

(b)it is not in the interests of the group's policyholders to take into account the national laws referred to in paragraph (2).