The European Insurance and Occupational Pensions Authority (EIOPA) has set out its strategy for 2023-2026, which aims to strengthen the resilience and sustainability of the insurance and pensions sectors.

It stated that the need for effective supervision had been magnified by the ongoing market volatility and inflation amid current geopolitical tensions due to the lingering effects of the Covid-19 pandemic and Russia’s invasion of Ukraine.

EIOPA has identified six strategic priorities to focus on to meet its aim of building a safe and sustainable EU for citizens.

It wants to contribute to building up sustainable insurance and pensions, including by addressing protection gaps; support the supervisory community and industry to mitigate the risks and seize the opportunities of the digital transformation, including by promoting a data-driven culture; and promote sound, efficient and consistent prudential and conduct supervision in Europe, particularly in view of increased cross-border business.

The authority also wants to deliver high-quality advice and policy work, taking into account changing and growing needs of society; further enhance financial stability, with particular focus on the analysis of financial sector risks, vulnerabilities and emerging threats; and be a model EU authority with high professional standards, cost-effective governance and a positive reputation within the EU and globally.

To fulfil these objectives, EIOPA stated that it will “continue to work in a collaborative and consultive way, valuing the guidance of its board of supervisors, and the input from a range of stakeholders".

Alongside its strategy, the authority has published its Single Programming Document, which includes its Annual Work Programme for 2023.

Its key activities planned for 2023 include integrating ESG risks in the prudential frameworks on insurers and pension funds, initiating a one-off coordinated climate change stress test, and implementing the Digital Operational Resilience Act.

Furthermore, the authority will look to address consumer detriment from cross-border activities, deliver advice in relation to the review of the IORP II Directive, and follow up on the potential materialisation of downside risk stemming from the ongoing crises in the context of high inflation and low/potentially negative growth.

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