- 4 min
Contingency Plan pursuant to Article 28(2) of the European “Benchmarks” regulation
As an entity subject to prudential supervision and a user of benchmarks in the EEA, Crédit Agricole Assurances must comply with the European Benchmarks Regulation (BMR)1.
In this context, Crédit Agricole Assurances produces and maintains robust written plans setting out the actions it would take if a benchmark that it uses:
- Undergoes a significant change;
- Ceases to exist or to be published by its administrator (permanently or temporarily);
- Is not authorised by the competent authorities.
These plans refer to the manner in which Crédit Agricole Assurances monitors these potential events to enable the implementation of the plans as soon as an event occurs and is detected.
A list of important actions to be implemented in the event of the activation of these plans has been drawn up and includes the following:
- An inventory of exposures and policies in order to determine the impact of such an event and assess its consequences, identify the priority areas (major exposures and most sensitive clients), analyze the documentation and products concerned;
- An assessment of the risk and financial consequences;
- A communication plan and customer support concerning the choice of the alternative index to be used, in accordance with the fallback clause defined in the contract2.
Different departments and functions at Crédit Agricole Assurances have been identified to facilitate their rapid and efficient participation in these plans.
This publication only provides general information on potential regulatory issues and obligations relating to Article 28.2 of the European Benchmarks Regulation. It is for information only, and is not intended to provide individual, legal or other forms of advice.
Crédit Agricole Assurances maintains and updates detailed and robust written contingency plans internally.
This publication and the detailed contingency plans may also be updated without notice, mainly in the event of amendments to regulations or any other situation in which adjustments need to be considered.
1 Article 28 (2).
2 A contractual clause defining the replacement index.