P06 / SCRPROFESSIONAL TOOLSolvency II standard formula
Solvency Capital Requirement (SCR) Estimator
Estimate minimum regulatory capital under Solvency II standard formula principles. Stress test across market crash, catastrophe year, and combined scenarios. Solvency ratio gauge with adequacy rating.
Risk and Coverage Cluster
Professional users usually need to move between exposure sizing, limit adequacy, and scenario modelling. This cluster keeps those supporting paths shallow and crawlable.
Balance Sheet
Risk Factors
% of assets at risk from market movements
% of premiums at risk from claims volatility
% of combined risk for operational risk
Reduction for diversification between risk modules
Solvency Ratio
Well-capitalised. Significant buffer above regulatory minimum.
SCR Components
Net Asset Value (NAV)
£17,000,000
34.0% of assets
Adjusted SCR
£7,632,273
Required capital
Market Risk
£9,000,000
Underwriting Risk
£2,640,000
Operational Risk
£1,746,000
Capital Surplus
£9,367,727
Above SCR
Stress Test Scenarios
BASE CASE — CAPITAL WATERFALL
Total Assets
£50,000,000
−
Technical Provisions
£28,000,000
−
Other Liabilities
(£5,000,000)
=
Net Asset Value (NAV)
£17,000,000
Market Risk SCR
(£9,000,000)
Underwriting Risk SCR
(£2,640,000)
Operational Risk SCR
(£1,746,000)
→
Basic SCR (quadrature)
(£9,540,342)
+
Diversification Credit (20%)
£1,908,068
=
Adjusted SCR
(£7,632,273)
=
Surplus
£9,367,727
Solvency II Reference Thresholds
< 100%
Deficit
Regulatory intervention
100–129%
Marginal
Near MCR / SCR floor
130–199%
Adequate
Meets SCR
≥ 200%
Strong
Well-capitalised
INDICATIVE ONLY — This tool provides an approximation based on simplified Solvency II standard formula principles. It is not a substitute for an actuarial SCR calculation, internal model, or regulatory submission. Risk factors, correlation matrices, and diversification credits require actuarial judgement. Consult your appointed actuary and compliance team before using results for regulatory purposes.
Cluster Hubs
Use these organising pages when you want the main calculators and supporting guides for this topic grouped in one place.
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Related Guides
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