1.For the purposes of Article 317(7) of Regulation (EU) No 575/2013, institutions shall classify each loss event into a single Level 1 event type in accordance with Article 24 of this Regulation and into a single Level 2 category in accordance with Articles 25 to 31 of this Regulation. Where a loss event falls under multiple Level 1 event types or multiple Level 2 categories, institutions shall classify that event into the most relevant Level 1 event type or Level 2 category.