Solvency Margin in Insurance Field – The Need for IFRS Compliance

Sahlian Daniela Nicoleta (), Stanila Georgiana Oana () and Ispas Simona ()
Additional contact information
Sahlian Daniela Nicoleta: Academy of Economic Studies
Stanila Georgiana Oana: Academy of Economic Studies
Ispas Simona: Academy of Economic Studies

Ovidius University Annals, Economic Sciences Series, 2013, vol. XIII, issue 1, 1480-1485

Abstract: The framework for insurance and reinsurance now in use needs updating. The proposal for a new solvency framework, called Solvency II, is introducing a risk- sensitive approach, taking into account optimal allocation of capital market, consistent valuation of assets and liabilities ("fair value" concept), timely calculations and more transparency, in accordance with the IFRS. The purpose of the paper is to offer a practical approach of calculation and reporting regarding the main liquidity and solvency indicators for implementing the Solvency II model at national scale. The study having a predominant methodological qualitative fundament based on casuistic and experience of national and multinational companies operates on the wide field of insurances. High value of the research is produced by the new approach of calculation and reporting solvency margin based on risk management, which is a beginning in Romania, lining up to international accounting insurances research.

Keywords: fair value; adequacy of capital; solvency margin; risk management; Solvency I (search for similar items in EconPapers)
JEL-codes: G22 M40 (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations:

Downloads: (external link)
http://stec.univ-ovidius.ro/html/anale/ENG/cuprins%20rezumate/volum2013p1.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ovi:oviste:v:xii:y:2012:i:1:p:1480-1485

Access Statistics for this article

Ovidius University Annals, Economic Sciences Series is currently edited by Spatariu Cerasela

More articles in Ovidius University Annals, Economic Sciences Series from Ovidius University of Constantza, Faculty of Economic Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Gheorghiu Gabriela ().