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Zhelyo Hristozov

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Open access Sep 2026

Reinsurance as a Mechanism for Optimizing Capital Requirements Under the Solvency II Regime: An Empirical Analysis of a Ten-Year Insurance Portfolio

The Solvency II regulatory framework (Directive 2009/138/EC) defines the Solvency Capital Requirement (Solvency Capital Requirement, SCR) using a value-at-risk (VaR) approach, with a confidence level of 99.5% and a one-year time horizon. This structure makes regulatory capital extremely sensitive to the characteristics...

R. Vazov, Zhelyo Hristozov · 0 citations

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