When SecondFloor launched Solvency II Service in the cloud the intention was always to offer end to end Pillar 1 and 3 reporting with the best cloud network, platform and data security. That’s why we chose IBM® SoftLayer®. The recent agreement between IBM® and DNB, The Netherlands’ financial services supervisor, means that a blanket ‘Right to Audit’ automatically covers our clients based in The Netherlands.
The DNB wants to ensure that in the event that it requires access to a firm’s data it should not be hindered by confusion as to whether a 3rd party data centre or cloud provider would be in breach of contract with its client by allowing access. To ensure clarity and certainty the DNB has ruled that, if not already in place, every firm must add an additional clause to its contract with cloud providers, stating that the DNB has an automatic right to audit.
In the interest of good governance and integrity our colleagues at IBM® have taken the step of agreeing the right to audit directly with the DNB. This means that any Netherlands-based users of a service that relies on IBM® Softlayer® need not approach their cloud services supplier to arrange the additional clause, by default it is already in place. So, SecondFloor and its clients using Solvency II Service do not need to amend contracts to include a separate right to audit clause.
For more information about the DNB’s right to audit requirement and its agreement with IBM® please follow these links: DNB – Right to examine and DNB – Wederom mogelijkheden tot gebruik cloud diensten voor financiële instellingen.