EIOPA strategic priorities for 2025-2027

To achieve these objectives, EIOPA has outlined the following priorities in its Annual Work Programme for 2025:

Priority 1

Contribute to building up sustainable insurance and pensions (including by addressing protection gaps) for the benefit of EU citizens and businesses.

• Sustainable finance will be a key focus across all EIOPA activities, including integrating ESG (Environmental, Social, and Governance) risks into prudential frameworks and supporting the analysis of sustainability risks.
• There will be an emphasis on corporate sustainability reporting, as well as reviews on the implementation of sustainability-related product disclosures and rules governing product design and sales processes.
• EIOPA will continue working on the review of the Solvency II Directive in 2025, recognising that the availability of data and models is critical for effective ESG risk management.
• The EU-wide dashboard on insurance protection gaps will be updated to promote risk awareness and financial inclusion. Additionally, sustainable finance will remain a central topic in EIOPA’s supervisory dialogues with third countries.

Priority 2 

Support the supervisory community and industry to mitigate the risks and seize the opportunities of the digital transformation, including by further promoting data driven culture.

• EIOPA will assess financial inclusion to ensure fair and ethical treatment of consumers, promote digital literacy, and encourage a consumer-centric digital transformation aligned with innovation.
• EIOPA will focus on building the sustainability and resilience of all market players, including updating the risk management framework to address the opacity of some AI algorithms, operational resilience in the face of rising cyber-attacks, and the increasing need for more robust and agile IT functions.
• Supervisory capabilities will be enhanced, with continued collaboration on more agile and efficient supervisory processes and technologies.
• In 2025, EIOPA will also support National Competent Authorities (NCAs) in the supervision of the AI Act and oversee market surveillance of the insurance and pensions sectors.

Priority 3

Promote sound, efficient and consistent prudential and conduct supervision throughout Europe, particularly in view of increased cross-border business.

• To improve the quality of supervision, EIOPA will enhance tools such as:
  • Independent oversight: Monitoring and challenging supervisory practices, supporting NCAs to ensure efficient supervision through bilateral country visits, group supervisor dialogues, and collaboration.
  • Internal models: EIOPA will help identify issues with internal models that could create an uneven playing field and hinder competitiveness, particularly among large groups.
  • Common benchmarks: EIOPA will continue to review tools to assist NCAs following the Solvency II review, IORP II implementation, and conduct of business supervision, while focusing on emerging supervisory risks.
• Review practices and outcomes: EIOPA will carry out peer reviews, thematic reviews, lessons learned, and coordinated mystery shopping exercises.
• EIOPA will address risks for policyholders arising from cross-border insurance services and highlight the need for the harmonisation of insurance guarantee schemes.
• EIOPA’s role in Colleges of Supervisors will focus on enhancing support for group supervisors and ensuring appropriate risks are discussed and followed up.
• EIOPA will continue calculating and publishing key information essential for the effective application of the Solvency II Directive, maintaining and improving production processes, and sharing experiences across departments, with other ESAs, and NCAs.

Priority 4 

Deliver high-quality advice and other policy work taking into account changing and growing needs of society as well as the effects of new horizontal regulation.

• EIOPA will update its technical standards and guidelines in line with amendments to Solvency II, with a focus on reducing the number of existing standards and guidelines where possible.
• In completing the Single European Rulebook, EIOPA’s focus in 2025 will be on conduct regulation and updating the already developed Rulebooks.
• EIOPA anticipates receiving new mandates as part of the Retail Investment Strategy, including guidelines and new IT tools, starting in Q2 2025.
• The Authority will also focus on addressing pension gaps, with a commitment to further develop sustainable and adequate supplementary pensions, particularly defined contribution schemes. Additionally, EIOPA will provide advice on the potential review of the Pan-European Personal Pensions Product (PEPP) or other long-term savings products.

Priority 5

Further enhance financial stability, with particular focus on the analysis of financial sector risks and vulnerabilities, and emerging threats.

• EIOPA will continue to monitor, analyse, and assess risks and vulnerabilities in the insurance and occupational pensions sectors, adopting a preventive approach and coordinating actions as necessary.
• In 2025, EIOPA will focus on the implementation of the Insurance Recovery and Resolution Directive (IRRD) and potential work on Insurance Guarantee Schemes.
• EIOPA will conduct EU-wide bottom-up IORP stress tests and increase the use of top-down modelling for financial stability risk assessment in the insurance sector.
• The Authority will continue providing guidance on monitoring and analysing risks arising from macroeconomic developments, financial markets, insurance undertakings, and IORPs, including developing recommendations and mitigating actions. This will be supported by ongoing economic research through the EIOPA External Research Platform, along with publishing insurance and IORP indicators and statistics to enhance the financial stability toolkit.

Priority 6 

Be a model EU supervisory authority setting global high standards of corporate governance, and fostering efficient cooperation within the EU and globally.

EIOPA aims to operate as a modern, agile organisation, ensuring sound public administration. In 2025, processes will be adjusted to facilitate swift decision-making and proactive resource allocation, while accommodating remote working and fostering cooperation across borders.

How Can We Help?

Our Prudential Risk experts recognise that regulations remain a pivotal driver of strategic priorities for financial institutions. Our team excels at helping clients navigate the intricate web of regulations within the financial services sector. We work closely with our clients to identify their regulatory responsibilities and develop strategies for full compliance.

This is the second in a four-part series of articles outlining the strategic priorities of European Supervisory Authorities for the financial sector. Read part one here