UK insurers will struggle to sell subordinated debt
without regard to the prospective Solvency II requirements,
even though they are not yet in place.
This is the view of financing partner Miranda
Leung, who led the Slaughter and May team that worked on
Aviva’s tier two issuance.
Aviva was the first UK insurer to comply with both
Solvency II and Standard & Poor’s equity
Insurers risk losing their regulatory credit if
they fail to take these requirements into account, Leung said.
And these are expensive notes to issue if they do not get
The Solvency II criteria have...