Modeling the Risk in Agreement with the Solvency II Regulations and Possible Implications on the Romanian Insurance MarketAbstract:In the process of capital adequacy, an insurance or re-insurance company is faced with the problem of shaping the risks to which all its entire activity is exposed to. Solvency II Directive 2009/138/EC brings under regulation the evaluation of the technical reserves and the capital requirements allowing the insurance and re-insurance companies to determine the respective sizes using a standard formula of modeling the risks or through the development and implementation of an internal model. In this work, a synthesis of the Solvency II regulations is proposed of modeling risks, and also an analysis on the way in which the respective regulations could influence the activity of insurance companies operating in Romania
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- G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
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