Solvency II — capital, governance, reporting
Directive 2009/138/EC on capital requirements for insurance undertakings. Pillar I (SCR/MCR), Pillar II (ORSA, governance), Pillar III (QRT, SFCR, RSR).
Solvency II and the insurer's liability side
Solvency II (Directive 2009/138/EC) is the EU prudential framework for insurance and reinsurance undertakings, applicable from 1 January 2016. Articulated in 3 pillars: Pillar I (quantitative capital requirements - SCR, MCR, technical reserves), Pillar II (governance, risk management, ORSA), Pillar III (regulator QRT reporting and public SFCR). NewPicass 14.Net contributes to the \"liability side\": provides granular data on premiums, claims, reserves, passive reinsurance, customer exposure, needed to populate the main QRTs (S.02, S.05, S.17, S.19, S.23, S.31) and feed actuarial models for SCR/MCR computation. Final aggregation and EIOPA Standard Formula application remain in the customer's actuarial module scope (own or third-party).
QRTs natively generated by NewPicass 14.Net
Balance Sheet
Liability-side balance sheet
Technical reserves by LoB, claim reserves, unearned premiums. Fed by back-office + claims modules.
Premiums & claims
Premiums, claims, expenses
GWP, NWP, paid claims, change in claims provisions by LoB. Real-time data from back-office.
Non-Life Reserves
Non-life technical reserves
Best estimate by LoB, underwriting year, event year. Risk margin computed via standard formula.
Claims Triangles
Claims triangles
Claims by underwriting year and development year, paid vs incurred, IBNR + IBNER by LoB.
Own Funds
Own funds
Tier 1/2/3 distinction, eligible vs available. Liability-side input to actuarial module for finalisation.
Reinsurance
Passive reinsurance
Ceded treaties, ceded premiums, recoveries from reinsurers, retrocession. From the Reinsurance module.
What NewPicass does vs what's the customer's / actuarial module's
Covered by the platform
- QRTs S.02, S.05, S.17, S.19, S.23, S.31 generated
- Liability-side technical reserves by LoB
- Best estimate premiums + claims provisions
- Claims by underwriting year (triangles)
- IBNR + IBNER by LoB
- Exposure, loss ratio by LoB and coverholder
- EIOPA-ready XBRL export
- Submission history for IVASS audit
Actuarial module / customer
- SCR/MCR Standard Formula EIOPA computation
- Asset side (S.06 investments, ALM)
- Risk margin via cost-of-capital approach
- ORSA process and report (Pillar II)
- Public SFCR (narrative + data)
- RSR Regular Supervisory Report
- Actuarial module coordination (e.g. Prophet, SAS)
- Internal model approval if applicable
Where this framework lives in the platform
Frequently asked questions on Solvency II
What are Solvency II Pillar I, II and III?
Pillar I = quantitative capital requirements (Solvency Capital Requirement SCR and Minimum Capital Requirement MCR), technical reserves computation (best estimate + risk margin). Pillar II = governance system, risk management, ORSA (Own Risk Self Assessment). Pillar III = periodic reporting to regulators (QRT - Quantitative Reporting Templates) and to the public (SFCR - Solvency and Financial Condition Report, RSR - Regular Supervisory Report).
Which QRTs does NewPicass 14.Net auto-generate?
QRTs fed by platform operational data: S.02 (balance sheet), S.05 (premiums/claims by LoB), S.17 (non-life technical reserves), S.19 (claims by underwriting year), S.23 (own funds), S.31 (passive reinsurance). Other QRTs (e.g. S.06 investments, S.16 life reserves) require other customer systems (asset management) feeding the final consolidation.
What is ORSA and what support do you provide?
ORSA (Own Risk Self Assessment) is the Pillar II process where the insurer annually assesses current and prospective risks, required capital, and adherence to own risk appetite thresholds. NewPicass provides: historical exposure series, loss ratios, stress scenarios (e.g. customer concentration, sector deterioration), 1-3 year projections as input for the insurer's ORSA actuarial model.
Are SCR and MCR computed in the platform?
With a caveat. Formal SCR/MCR computation requires the EIOPA Standard Formula module (or approved internal model) with asset-side input, reinsurance, dependencies. NewPicass provides the "liability side" (technical reserves, premium reserves, claims reserves separated by LoB) which is key input, but final aggregation and EIOPA correlation matrix application can be done by separate actuarial module (e.g. Prophet, SAS Insurance) or by our dedicated module on the 2026 roadmap.
How is XBRL export to EIOPA handled?
Generated QRTs are exportable in XBRL format compliant with the latest published EIOPA taxonomy. The XBRL file is ready for submission via the IVASS portal (for Italian insurers) or the national regulator equivalent. Formal and business pre-submission validation through EIOPA tools. For cross-border insurers: multi-national-taxonomy support.
How frequent is Pillar III reporting?
Annual full QRTs within 14 weeks from year-end closing. Quarterly subset QRTs (S.02, S.05, S.06, S.23) within 5 weeks from quarter closing. Annual public SFCR within 14 weeks. NewPicass automates generation and maintains the historical version of submissions for IVASS audit.
Audit your Solvency II compliance with us
45 minutes with a compliance engineer. We walk through the platform's coverage on this framework and identify the gaps you still need to close on your side.