EIOPA Proposes New Updates to its XBRL Taxonomies and DPMs
The European Insurance and Occupational Pensions Authority (EIOPA) published recommended updates on the 1st of June 2022 to its XBRL Taxonomies and Data Point Models (DPMs) that are used to align digital definitions with reporting requirements. Public feedback is now open for these second public working drafts (PWD2s).
In this blog, we shall take a brief look at the DPM, XBRL taxonomies, and related artifacts as well as the EIOPA Taxonomy Roadmap.
The Data Point Model (DPM)
The DPM is a structured representation of data identifying validation rules as well as business concepts and relations. Its goal is to implement consistent and uniform definitions that are part of the Implementing Technical Standards (ITS), guidelines, and Board of Supervisors’ decisions on disclosure and reporting. Along with the common DPM dictionary, it consists of annotated templates for pension funds and Solvency II.
The XBRL Taxonomies and Implementation
The EIOPA’s XBRL Taxonomies are used for implementing the validation rules and technical data requirements that are described by the DPM in the XBRL technical format. The XBRL standard is maintained by XBRL International whereas software solutions are developed and implemented by external vendors that meet the defined requirements.
The EIOPA Taxonomy Roadmap
The EIOPA aims to carry on with the one-taxonomy-release-per-year approach to minimize the number of taxonomy publications as much as possible. However, if there are extreme changes in the business climate or when a taxonomy release is eventually found to contain material defects, a successive release may be required. This potential corrective release, a Hotfix, is included as a precautionary measure in the annual schedule to support planning.
Source: EIOPA Website
Curiously, the EIOPA has released the PWD2s of both v2.7.0 and v2.8.0 of the Insurance Data Point Model and Taxonomy for review at the same time. The 2.7.0 release will only include the Pan-European Pension Personal Pension Prudential (PEPP PR) integration for Solvency II and Pension Funds frameworks, as well as PEPP PR standalone reporting.
The 2.8.0 release comes with no changes to PEPP nor to Pension Funds but only to Solvency II which includes 2022 ITS amendments on disclosure and reporting.
Whereas the final version of 2.8.0 without validations (i.e., final instructions and templates) will be published on 29th July this year, the final release of 2.8.0 with modeling and validations is expected to be published in January 2023 along with a Hotfix in March 2023. The 2.8.0 taxonomy will be applicable only in 2024 for first reporting FY 23 and Q4 23 and only for Solvency II while the 2.7.0 release will continue to apply to PEPP and Pension Funds.
More details on these releases can be found here.
