art_19__para

SUBJECT TO ARTICLE 20 , THE MINIMUM SOLVENCY MARGIN SHALL BE DETERMINED AS SHOWN BELOW ACCORDING TO THE CLASSES OF INSURANCE UNDERWRITTEN : ( A ) FOR THE KINDS OF INSURANCE REFERRED TO IN ARTICLE 1 ( 1 ) ( A ) AND ( B ) OTHER THAN ASSURANCES LINKED TO INVESTMENT FUNDS AND FOR THE OPERATIONS REFERRED TO IN ARTICLE 1 ( 3 ) , IT MUST BE EQUAL TO THE SUM OF THE FOLLOWING TWO RESULTS : FOR TEMPORARY ASSURANCE ON DEATH OF A MAXIMUM TERM OF THREE YEARS THE ABOVE FRACTION SHALL BE 0,1 % ; FOR SUCH ASSURANCE OF A TERM OF MORE THAN THREE YEARS BUT NOT MORE THAN FIVE YEARS THE ABOVE FRACTION SHALL BE 0,15 % . ( B ) FOR THE SUPPLEMENTARY INSURANCE REFERRED TO IN ARTICLE 1 ( 1 ) ( C ) , IT SHALL BE EQUAL TO THE RESULT OF THE FOLLOWING CALCULATION : THE RESULT SHALL BE OBTAINED BY MULTIPLYING THE SUM SO CALCULATED BY THE RATIO EXISTING IN RESPECT OF THE LAST FINANCIAL YEAR BETWEEN THE AMOUNT OF CLAIMS REMAINING TO BE BORNE BY THE UNDERTAKING AFTER DEDUCTION OF TRANSFERS FOR REINSURANCE AND THE GROSS AMOUNT OF CLAIMS ; THIS RATIO MAY IN NO CASE BE LESS THAN 50 % . IN THE CASE OF THE ASSOCATION OF UNDERWRITERS KNOWN AS LLOYD'S , THE CALCULATION OF THE SOLVENCY MARGIN SHALL BE MADE ON THE BASIS OF NET PREMIUMS , WHICH SHALL BE MULTIPLIED BY FLAT-RATE PERCENTAGE FIXED ANNUALLY BY THE SUPERVISORY AUTHORITY OF THE HEAD-OFFICE MEMBER STATE . THIS FLAT-RATE PERCENTAGE MUST BE CALCULATED ON THE BASIS OF THE MOST RECENT STATISTICAL DATA ON COMMISSIONS PAID . THE DETAILS TOGETHER WITH THE RELEVANT CALCULATIONS SHALL BE SENT TO THE SUPERVISORY AUTHORITIES OF THE COUNTRIES IN WHOSE TERRITORY LLOYD'S IS ESTABLISHED . ( C ) FOR PERMANENT HEALTH INSURANCE NOT SUBJECT TO CANCELLATION REFERRED TO IN ARTICLE 1 ( 1 ) ( D ) , AND FOR CAPITAL REDEMPTION OPERATIONS REFERRED TO IN ARTICLE 1 ( 2 ) ( B ) , IT SHALL BE EQUAL TO A 4 % FRACTION OF THE MATHEMATICAL RESERVES CALCULATED IN COMPLIANCE WITH THE CONDITIONS SET OUT IN THE FIRST RESULT IN ( A ) OF THIS ARTICLE . ( D ) FOR TONTINES , REFERRED TO IN ARTICLE 1 ( 2 ) ( A ) , IT SHALL BE EQUAL TO 1 % OF THEIR ASSETS . ( E ) FOR ASSURANCES COVERED BY ARTICLE 1 ( 1 ) ( A ) AND ( B ) LINKED TO INVESTMENT FUNDS AND FOR THE OPERATIONS REFERRED TO IN ARTICLE 1 ( 2 ) ( C ) , ( D ) AND ( E ) IT SHALL BE EQUAL TO :

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Source: EUR-Lex (Cellar) · retrieved 2026-10-29 · Text as adopted (Official Journal); later amendments are not incorporated in this text.