The protracted talks on new European Union capital adequacy rules for insurers are likely to be concluded next month, two sources involved said on Thursday.

Representatives from the European Parliament and EU states met on Thursday for only an hour in Strasbourg, France where the parliament holds a monthly plenary meeting.

Only the pressure of other parliamentary business meant there was not enough time to discuss in detail outstanding issues to get an outline deal, the sources said.

"We are on track for conclusion on November 13," one of the sources said.

After pressure from Germany, France and Britain, the final package is expected to weaken a compromise put forward by EU insurance regulators on how much capital is needed to cover products offering guaranteed long-term returns.

The EU has been deadlocked over the draft law, known as Solvency II, for several years but pressure is mounting for a deal to be formally voted on next February before parliament turns its attention to elections due in May.

The new insurance rules will come into effect from the start of 2016 with the industry set to get lengthy phase-in periods of about 16 years for some elements.

Special Reports /

EU Aiming for November Deal on New Insurance Rules: Sources

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