EIOPA publishes the first batch of guidelines and draft technical standards related to the IRRD
These EIOPA guidelines establish a framework for identifying critical insurance functions and removing resolvability impediments to protect policyholders and maintain financial stability. The sources evaluate whether to assume a "complete stop" or a more flexible "partial stop" of services when assessing a firm's failure, ultimately preferring the latter to better reflect economic reality. Authorities are empowered to address structural issues, such as complex group organizations or insufficient loss‑absorption mechanisms, that might hinder orderly resolution. Furthermore, regulators may restrict new business lines or products, particularly those under third‑country laws, if they complicate the enforcement of resolution powers. National authorities must integrate these standards into their regulatory frameworks to ensure a harmonized level playing field across the European Union. Implementation of these rules aims to safeguard public funds by reducing the necessity for extraordinary financial support during an insurance crisis.