Solvency II Art.51: Art. 51; DR Arts 290 to 297 Publish an annual solvency and financial condition report with the prescribed content

What does Art.51 require?

Undertakings must publicly disclose annually a solvency and financial condition report (SFCR) describing business and performance, the system of governance and its adequacy, risk exposure, concentration, mitigation and sensitivity by risk category, valuation bases for assets, technical provisions and other liabilities with differences from the financial statements, and capital management (own funds structure, amount and quality, SCR and MCR amounts with capital add-ons and specific parameters shown separately, the Article 304 option, internal model differences, and any MCR or significant SCR non-compliance with remedies), plus matching and volatility adjustment impacts. The Delegated Regulation fixes the Annex XX structure, a policy-holder-readable summary, materiality, and detailed items such as remuneration, fit and proper, ORSA process, outsourcing jurisdictions, expected profit in future premiums, deferred taxes and transitional impacts.