We reduced policy rates to an all-time low of 1%. (See slide 12). At the same time, the disappearance of market arbitrage was a challenge that interest rate action could not tackle in full. We therefore started acting as market makers and we played an intermediation role which the market was unwilling or unable to perform.
Some countries, such as France, had long developed a strong framework of regulatory returns under Solvency I. French general insurance companies have for decades submitted to the supervisor detailed templates of claims and reserves development by underwriting year and by accident year, while life companies have submitted to the French supervisor the granular decomposition of their insurance liabilities for a very long time as well.