Insurance: Minimum Capital Requirement (MCR) ratio in Europe by country 2017-2022

In 2022, the total European insurance industry had a ratio of own funds to minimum capital requirement (MCR) of 7.1 percent. The country with the highest MCR ratio was Austria with 10, while Iceland recorded the lowest with 3.54 This means the funds available to Austrian insurers were 10 times larger than the MCR, while the funds available to Icelandic insurers were only 3.54 times higher. SCR Ratio and MCR RatioAccording to the European Insurance and occupational Pensions Authority (EIOPA) “Insurance undertakings are required by the Solvency II regulation to hold a certain amount of capital of sufficient quality in addition to the assets they hold to cover the contractual obligations towards policyholders. The amount of capital (called eligible own funds) required is defined by the Minimum Capital Requirement (MCR) and the Solvency Capital Requirement (SCR), which depend on the risks to which the undertaking is exposed. "In addition to the MCR ratio, insurers must also calculate Solvency capital requirement (SCR). The SRC is a ratio that ensures insurers have enough capital of quality to cover their financial obligations over a 12-month period and avert becoming solvent. In Europe, it was the German insurance market that had the highest SCR ratio at the end of 2020.Profitability of insurersThe combined ratio, which is the sum of claims and expenses incurred divided by premiums earned, is a measure of profitability used by insurance companies to see how efficiently they are running their business. The combined ratio can be displayed as a measure of 1 or as a percentage of 100. Insurance markets with a ratio of over 1 means that companies are paying out more in claims than they are receiving through premiums earned. The expense ratio is another measure of profitability and is calculated as the sum of expenses divided by premiums earned.

于2022年，欧洲保险业整体的自有资本与最低资本要求（MCR）之比为7.1%。其中，奥地利以10%的最高MCR比率位居首位，而冰岛则以3.54%的最低比率记录在案。这意味着奥地利保险业者的可用资金是MCR的10倍，而冰岛保险业者的可用资金仅比MCR高出3.54倍。根据欧洲保险与职业养老金管理局（EIOPA）的规定，保险公司须依据偿付能力II法规，在持有其资产的基础上，保持一定数额且质量充分的资本，以覆盖对保单持有人承担的合同义务。所需资本量（称为合格自有资本）由最低资本要求（MCR）和偿付能力资本要求（SCR）确定，这两者均取决于企业所面临的风险。除MCR比率外，保险公司还必须计算偿付能力资本要求（SCR）。SCR比率是一种确保保险公司拥有足够质量资本以覆盖12个月内的财务义务并避免资不抵债的比率。在2020年底，欧洲保险市场中，德国的SCR比率最高。保险公司的盈利能力综合比率，即索赔和发生的费用总额与所赚取的保费之比，是保险公司用来衡量其业务运营效率的盈利能力指标。综合比率可以表示为1或100%的百分比。比率超过1的保险市场意味着公司在索赔支付上的支出超过了通过赚取的保费所获得的收入。费用比率是衡量盈利能力的另一个指标，其计算方法为费用总额除以所赚取的保费。