IDEAS home Printed from https://ideas.repec.org/h/spr/sptchp/978-3-319-52851-9_30.html
   My bibliography  Save this book chapter

Solvency II’s Capital Model

In: Fundamentals of the Insurance Business

Author

Listed:
  • Massimiliano Maggioni

    (University of Milano)

  • Giuseppe Turchetti

    (Sant’Anna School of Advanced Studies)

Abstract

The aim of this chapter is to provide a practical case for easing the reader to understand, step by step, the SCR calculation. The paragraphs begin with a numerical example. A complete financial statements drawn up with IFRS data is the starting point. In order to allow the comparison with Solvency II, these statements are adjusted and transformed into Solvency II’s principles. The deltas are highlighted. In paragraphs that follow, the value of the SCR is determined via a series of stress tests applied to the value of financial statements. The reader can learn, formula by formula, the detailed procedure for the SCR calculation. The approach is based on the standard formula. A detailed explanation for each type of risk (market risks, underwriting risk, life risk, non-life risk, health risk, counterparty risk, aggregation) is provided.

Suggested Citation

  • Massimiliano Maggioni & Giuseppe Turchetti, 2024. "Solvency II’s Capital Model," Springer Texts in Business and Economics, in: Fundamentals of the Insurance Business, chapter 30, pages 633-660, Springer.
  • Handle: RePEc:spr:sptchp:978-3-319-52851-9_30
    DOI: 10.1007/978-3-319-52851-9_30
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:sptchp:978-3-319-52851-9_30. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.