University of St.Gallen
research platform alexandria
search publications
browse publications
by person
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
 
by year

The Impact of Solvency II on Insurance Market Competition - An Economic Assessment

fulltext etc. no fulltext attached
abstract The purpose of this article is a qualitative economic impact assessment of the Solvency II proposals. In a first step, we elaborate the economic foundations of insurance market regulation. Based on three sources of market failure, we derive economic objectives of regulatory intervention. In our impact analysis we e-xamine to what extent the proposed Solvency II rules will be able to achieve these objectives. The rules pro-posed in the Solvency II project will alleviate economic effects of market distortions to a certain degree, but further analysis is necessary. This paper elaborates a need for further analysis of regulatory measures and offers valuable insights into the obligatory impact as-sessment of the new Solvency II rules. Our analysis finds that the impact of a minimum solvency capital on insurance market competition needs further examinati-on. Furthermore, the economic justification for insu-rance market regulation needs to be evaluated in de-tail.
   
type working paper (English)
   
keywords Solvency II, Impact Assessment, Insurance Regulation, market failure
   
date of appearance 2007
review not reviewed
   
citation Schuckmann, S. (2007). The Impact of Solvency II on Insurance Market Competition - An Economic Assessment.