EIOPA launches its 2021 insurance stress test

Published By Europa [English], Fri, May 7, 2021 1:46 AM


The European Insurance and Occupational Pensions Authority (EIOPA) has launched its 2021 insurance stress test for the European insurance market today. Insurance stress tests assess the resilience of the European insurance market in case of adverse financial and economic conditions and identify the market’s vulnerabilities.

The 2021 stress test focuses on a prolonged COVID-19 scenario - in a “lower for longer” interest rate environment. The scenario, developed in cooperation with the European Systemic Risk board (ESRB), will assess the impact of economic consequences of the COVID-19 pandemic, which affect confidence worldwide and prolong the economic contraction. The stress test will evaluate both the impact on the capital and the liquidity position of the undertakings in scope.

The objectives of the 2021 stress test are:

EIOPA is now carrying out a Question and Answers process to provide further clarifications to participants. The stress test results are planned to be published in December 2021.

Peter Braumüller, Vice-Chair of EIOPA, said: “This stress test is of particular importance because it assesses the resilience of the solvency and liquidity positions of the European insurers against an adverse scenario that could materialise in the aftermath of an economic crisis and in a period of high uncertainty. The scenario reflects severe but plausible shocks and will bring results that will shed light on the resilience of the European insurance sector. However, the exercise should not be considered a pass-or-fail exercise”.

Learn more about the stress test

Press release distributed by Media Pigeon on behalf of Europa, on May 7, 2021. For more information subscribe and follow


Eric Mamer

Chief Spokesperson
[email protected]
+32 2 299 40 73

Dana Spinant

Deputy Chief Spokesperson
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+32 2 299 01 50

Elisaveta Dimitrova

Head of Unit
[email protected]
+32 2 295 88 38

Johannes Bahrke

Coordinating Spokesperson
[email protected]
+32 2 295 86 15

Vivian Loonela

Coordinating Spokesperson
[email protected]
+32 2 296 67 12