Accounting adaptation to solvency II of the group of insurance and reinsurance institutions obligated to consolidate its accounts

Abstract

The new Solvency EU Directive II seeks to avoid repeating the uncertainty and destabilization situation produced in different sectors, especially in the financial, following a mispricing of assets. Special analysis deserves the application of this rule to the insurance business where, considering the type of obligations assumed, an appropriate assessment and management of both easily foreseeable and difficult to foresee risks, but not impossible to happen, is indispensable. Because of this feature, Solvency II aims at improving risk management and forecasting solvency needs beyond the short term. This safeguard solvency goal extends also to the accounting groups of insurance and reinsurers companies, and manifests itself, with the new regulation, in group settings and the formulation of the consolidated accounts.

Keywords

• consolidación
• grupo de entidades aseguradoras y reaseguradoras
• solvencia
• sociedad dominante