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    S.22.04 — Information on the transitional on interest rates calculation Solo

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    S.22.04 — Information on the transitional on interest rates calculation PDF · reporting-explanations/EIOPA_Solvency_II/2.8.0/EIOPA_S.22.04_solo.pdf
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    S.22.04 — Information on the transitional on interest rates calculation

    General comments:

    This section relates to annual submission of information for individual entities.

    This template shall be reported by currency for which the transitional adjustment to the relevant risk-free interest rate term structure is applied. When filling C0020 only the guaranteed Best Estimate of obligations stemming from products providing a guaranteed rate shall be considered. The Future Discretionary Benefits shall not be considered.

    The assessment to distinguish between the Solvency I interest rate intervals might be done by Homogeneous Risk Groups (HRG).

    ITEMINSTRUCTIONS
    Overall
    calculation of
    the transitional
    adjustment
    Z0010CurrencyIdentify the ISO 4217 alphabetic code of each of the
    currency for which the transitional adjustment to the
    relevant risk-free interest rate term structure is
    applied.
    C0010/R0010Solvency I interest
    rate    		The interest rate (as a decimal) as determined by the
    insurance or reinsurance undertaking in accordance
    with the laws, regulations and administrative
    provisions which are adopted pursuant to Article 20
    of Directive 2002/83/EC at the last date of the
    application of that Directive.
    C0010/R0020Annual effective
    rate    		The annual effective rate, calculated as the single
    discount rate that, where applied to the cash flows of
    the portfolio of admissible insurance and reinsurance
    obligations, results in a value that is equal to the
    value of the best estimate of the portfolio of
    admissible insurance and reinsurance obligations
    where the time value of money is taken into account
    using the relevant risk-free interest rate term
    structure referred to in Article 77(2) of Directive
    2009/138/EC.
    C0010/R0030Portion of the
    difference applied
    at the reporting
    date    		Percentage (as a decimal) of the difference between
    the Solvency I interest rate (R0010) and the Annual
    effective rate (R0020) (e.g. 1,00 at the beginning of
    the transitional period and 0,00 at the end).
    C0010/R0040Adjustment to risk
    free rate    		Transitional adjustment to the risk-free
    rate
    expressed as a percentage (as a decimal).
    Solvency I
    interest rate
    C0020/R0100Best estimate — Up to 0.5 per centValue of the best estimate of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was up to
    0,5 % (inclusive).
    Only the guaranteed Best Estimate of obligations
    stemming from products providing a guaranteed rate
    shall be considered. The Future Discretionary
    Benefits shall not be considered.
    C0020/R0110 to
    R0200    		Best estimate — between 0.5% and
    8.0%    		Value of the best estimate of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was in
    the correspondent interval.
    The lower reference is exclusive and the higher
    reference is inclusive.
    Only the guaranteed
    Best Estimate of obligations
    stemming from products providing a guaranteed rate
    shall be considered. The Future Discretionary
    Benefits shall not be considered.
    C0020/R0210Best estimate — Above 8.0 per centValue of the best estimate of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was
    above 8,0 % (exclusive).
    Only the guaranteed Best Estimate of obligations
    stemming from products providing a guaranteed rate
    shall be considered. The Future Discretionary
    Benefits shall not be considered.
    C0030/R0100Average duration
    of insurance and
    reinsurance    		Residual Macaulay duration of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    obligations — Up
    to 0.5 per cent    		and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was up to
    0,5 % (inclusive).
    C0030/R0110 to
    R0200    		Average duration
    of insurance and
    reinsurance
    obligations — between 0.5% and
    8.0%    		Residual Macaulay duration of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was in
    the correspondent interval.
    The lower reference is exclusive and the higher
    reference is inclusive.
    C0030/R0210Average duration
    of insurance and
    reinsurance
    obligations — Above 8.0 per cent    		Residual Macaulay duration of the insurance and
    reinsurance obligations for which the interest rate as
    determined by the insurance or reinsurance
    undertaking in accordance with the laws, regulations
    and administrative provisions which are adopted
    pursuant to Article 20 of Directive 2002/83/EC at the
    last date of the application of that Directive was
    above 8,0 % (exclusive).