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AI Summary of Article 136a Deterioration of solvency position

Version status: Inserted | Document consolidation status: Updated to reflect all known changes
Version date: 28 January 2025 - onwards
Version 2 of 2

Article 136a Deterioration of solvency position

1. Following a notification pursuant to Article 136 or following the identification of deteriorating financial conditions pursuant to Article 36(3), where the solvency position of the undertaking deteriorates, the supervisory authorities shall have the power to take the necessary measures to remedy that deterioration.

2. The measures referred to in paragraph 1 shall be proportionate to the risk and commensurate with the significance of the deteriorating conditions. Member States shall ensure that supervisory authorities have the power to take at least the following measures:

(a) requiring the administrative, management, or supervisory body of the undertaking to update the pre-emptive recovery plan drawn up in accordance with Article 5 of Directive(EU) 2025/1 of the European Parliament and of the Council [Directive(EU) 2025/1 of the European Parliament and of the Council of 27 November 2024 establishing a framework for the recovery and resolution of insurance and reinsurance undertakings and amending Directives 2002/47/EC, 2004/25/EC, 2007/36/EC, 2014/59/EU and,(EU) 2017/1132 and Regulations(EU) No 1094/2010,(EU) No 648/2012,(EU) No 806/2014 and (EU) 2017/1129(OJ L, 2025/1, 8.1.2025, ELI: http://data.europa.eu/eli/dir/2025/1/oj).], where the circumstances are different from the assumptions set out in that plan;