In 2014, developed economies saw another year of challenging economic conditions. Interest rates resumed a downward trend across many economies at the start of 2014, which was accompanied by poor growth in equity markets.

In April 2014, the European Insurance and Occupational Pensions Authority (EIOPA) published Technical Specifications for the Preparatory Phase for Solvency II. And in October 2014, EIOPA adopted the Delegated Acts, which contained implementing rules for Solvency II.

Based on our review of 32 companies, around 40% continue to use the European Embedded Value Principles rather than the European Insurance CFO Forum Market Consistent Embedded Value Principles. But there is a still a trend toward reporting on a market-consistent basis.