Insurers are more worried about what else regulators might have in store for them rather than how the incoming Solvency II capital rules might impact their business, a survey by actuarial consultants OAC found.
OAC found that three-fifths of the insurers polled were either 'slightly worried' or 'not worried' about Solvency II. Just three in ten said they were either 'very worried' or 'worried' about Solvency.
OAC said the biggest concern for insurers was how they would be impacted by any future regulations from the European Union or the UK.
Nigel Gardner, business development manager for financial modelling at OAC, said: 'Despite what we are hearing in the media about Solvency II, most insurers are now well in to their preparations for the regulation and understand what they need to do to be compliant.
'Of far greater concern to them is the impact of future regulation and how they may have to adapt to these.'
In September, Insurance Europe found that the insurance industry's total investment portfolio across Europe grew to about 8.5 trillion last year, warning that Solvency II could undermine long-term backing firms can provide.
But with new capital rules coming into force in January 1 2016 as part of the Solvency II reforms, the group warned this could make it more expensive for insurers to invest in long-term government and corporate backed-bonds, as well as infrastructure projects. This is because the new regulatory regime will require increased levels of capital to be held against long-term investments.
