EIOPA · 1377
1377
- Regulation
- (EU) No 2015/35 - supplementing Dir 2009/138/EC - taking up & pursuit of the business of Insurance and Reinsurance (SII)
- Article
- 199
- Submitted
- 2018-07-01
- Answered
- 2019-09-10
Question
As per regulation 'Type 1 exposures shall consist of exposures'1) Cash at bank and in hand. Meaning all items with CIC CODE 71?2) Deposits with ceding undertakings. Meaning all items with CIC CODE 72?3) Shall the look-through assets with CIC codes 71 & 72, be inlcuded in the Counterparty default risk? For example if i consider a Bond Fund 'A' with 10 underlying assets having CIC code 71, and 72, should someone include the sum of these 10 assets with counterparty name 'A'?4) Generally which categories of category 7 (Cash and deposits) shall be included? (i.e 71,72,73,,,)?
Answer
1. Transferable deposits (cash equivalents) CIC 72. Please note that cash at hand is not a type 1 exposure.2. CIC753. EIOPA confirms that according to article 84 (1)(c) the look-through approach is applied to counterparty exposures.4. Please see answer 1.
This Q&A is published by European Insurance and Occupational Pensions Authority and is non-binding. It does not constitute legal advice. Updated weekly from official ESA sources.
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