Where the parent undertaking referred to in Article 260 is itself a subsidiary of an insurance holding company havingor a mixed financial holding company which has its head office outsidein thea Communitythird country or of a third-country insurance or reinsurance undertaking, Member States shall apply the verification provided for in Article 260 only at the level of the ultimate parent undertaking which is a third-country insurance holding company, a third-country mixed financial holding company, a third-country insurance undertaking or a third-country reinsurance undertaking.
However, Member States shall allow their supervisorySupervisory authorities tomay, decide,however, in the absence of equivalent supervision referred to in Article 260, to carry out a new verification at a lower level where a parent undertaking of insurance or reinsurance undertakings exists, whether at the level of a third-country insurance holding company, a third country mixed financial holding company, a third-country insurance undertaking or a third-country reinsurance undertaking.
In such a case, the supervisory authority referred to in the second subparagraph of Article 260(1) shall explain its decision to the group.
Article 262 shall apply mutatis mutandis.