Calculation cycle; reporting duties

(1) Insurance undertakings must calculate the Minimum Capital Requirement quarterly and report the result of the calculation to the supervisory authority. For the purposes of determining the limits of the Minimum Capital Requirement, a quarterly calculation of the Solvency Capital Requirement is not required.
(2) Where one of the limits named in Article 129(3) of Directive 2009/138/EC determines the Minimum Capital Requirement of an insurance undertaking, that undertaking must explain the reasons for this to the supervisory authority.