Before and during the financial crisis in 2007 and 2008, the European Parliament
has called for a move towards more integrated European supervision in order to
ensure a true level playing field for all actors at the level of the European
Union and to reflect the increasing integration of financial markets in the Union.
As a result, the supervisory framework was strengthened to reduce risk and severity
of future financial crises. EIOPA is part of a European System of Financial Supervisors that comprises three European Supervisory Authorities, one for the banking sector, one for the securities sector and one for the insurance
and occupational pensions sector, as well as the European Systemic Risk Board.
EIOPA’s main goals are
Better protecting consumers, rebuilding trust in the financial system.
Ensuring a high, effective and consistent level of regulation and supervision
taking account of the varying interests of all Member States and the different
nature of financial institutions.
Greater harmonisation and coherent application of rules for financial institutions
& markets across the European Union.
Strengthening oversight of cross-border groups.
Promote coordinated European Union supervisory response.
EIOPA’s core responsibilities are to support the stability of the financial system,
transparency of markets and financial products as well as the protection of policyholders,
pension scheme members and beneficiaries. EIOPA is commissioned to monitor and
identify trends, potential risks and vulnerabilities stemming from the micro-prudential
level, across borders and across sectors.
EIOPA is an independent advisory body to the European Parliament, the Council
of the European Union and the European Commission.
To account for the specific conditions in national markets and nature of financial
institutions, the European System of Financial Supervision is an integrated network of national and European supervisory authorities, that
provides the necessary links between the macro and micro prudential levels, leaving
day-to-day supervision to the national level. EIOPA is governed by its Board of
Supervisors, which integrates the relevant national authorities in the field of
insurance and occupational pensions in each Member State. The European Union’s
national supervisory authorities are a source of expertise and information about
insurance and occupational pensions matters.