Featured Product

    EC Issues Regulations Supplementing Insurance Distribution Directive

    December 20, 2017

    EC published the Commission Delegated Regulations (EU) 2017/2358 and 2017/2359, which supplement the Insurance Distribution Directive (IDD: Directive (EU) 2016/97). Regulation (EU) 2017/2358 covers product oversight and governance requirements for insurance undertakings and insurance distributors while Regulation (EU) 2017/2359 covers information requirements and conduct of business rules applicable to the distribution of insurance-based investment products (IBIPs). Both the regulations shall enter into force on the twentieth day following that of their publication in the Official Journal of the European Union and shall apply from February 23, 2018.

    IDD provides for a set of standards aimed at addressing IBIPs, in addition to the conduct of business standards laid down for all insurance products. CDR 2017/2358 lays down rules for the maintenance, operation, and review of product oversight and governance arrangements for insurance products; it also sets out rules for significant adaptations to the existing insurance products, before those products are brought to the market or distributed to customers (product approval process), in addition to the rules for product distribution arrangements for those insurance products. This regulation shall apply to insurance undertakings and to insurance intermediaries that manufacture insurance products that are offered for sale to customers (manufacturers) as well as to insurance distributors that advise on, or propose, insurance products that they do not manufacture.

    CDR 2017/2359 shall apply to insurance distribution in relation to the sale of IBIPs carried out by insurance intermediaries or insurance undertakings. To ensure an appropriate standard of advice with regard to the long-term development of the product, insurance intermediaries or insurance undertakings should include, in the suitability statement, and draw customer attention to, information on whether the recommended IBIPs are likely to require the customer to seek a periodic review of their arrangement. To allow competent authorities and insurance professionals to adapt to the new requirements contained in Regulations 2017/2358 and 2017/2359, the starting date of application of the regulations should be aligned with the entry into application of the national measures transposing IDD. 

     

    Related Links

    Effective Date: January 09, 2018

    Keywords: Europe, EU, Insurance, IDD, CDR 2017/2358, CDR 2017/2359, IBIP, EC

    Related Articles
    News

    APRA Plans to Assess Climate Risks and Develop Prudential Guidance

    APRA published a letter that outlines its plans to undertake a climate change vulnerability assessment and develop a prudential practice guide focused on climate-related financial risks.

    February 24, 2020 WebPage Regulatory News
    News

    FDIC Publishes Guide to Help with Third-Party Risk Management

    The technology lab of FDIC (FDiTech) published a new guide to help financial technology, or fintech, companies and others partner with banks.

    February 24, 2020 WebPage Regulatory News
    News

    APRA to Transition to Annual Stress Testing of Large Banks in 2020

    APRA published key findings of the stress testing assessment conducted on authorized deposit-taking institutions.

    February 21, 2020 WebPage Regulatory News
    News

    IAIS Statement on Monitoring Period of Insurance Capital Standard

    IAIS published a statement from its Secretary General Jonathan Dixon on the Insurance Capital Standard (ICS) monitoring period.

    February 21, 2020 WebPage Regulatory News
    News

    EC Consults on Review of Non-Financial Reporting Directive

    EC is launched a consultation on the review of the Non-Financial Reporting Directive or NFRD (Directive 2014/95/EU, as part of its strategy to strengthen sustainable investment in Europe.

    February 20, 2020 WebPage Regulatory News
    News

    EIOPA Consults on Standards for Supervisory Reporting Under PEPP Rule

    EIOPA is consulting on the implementing technical standards for supervisory reporting and cooperation, as mandated by the Pan-European Personal Pension Product (PEPP) Regulation (Regulation 2019/1238).

    February 20, 2020 WebPage Regulatory News
    News

    EIOPA Publishes Statement on Adverse Interest Rate Environment

    EIOPA published a supervisory statement on the impact of the ultra-low or negative interest rate environment on the insurance sector in EU.

    February 20, 2020 WebPage Regulatory News
    News

    ECB Report on Transfer of Liquidity from EONIA Products to €STR

    ECB published a report on the transfer of liquidity from the cash and derivatives products of the Euro Overnight Index Average (EONIA) to the Euro Short-Term Rate (€STR).

    February 19, 2020 WebPage Regulatory News
    News

    ESRB Publishes Report on Systemic Cyberattacks

    ESRB published a report that explores systemic implications of cyber incidents, such as cyberattacks.

    February 19, 2020 WebPage Regulatory News
    News

    FSB Chair Sets Out Key Deliverables for G20 Presidency of Saudi Arabia

    FSB published a letter from the Chair Randal K. Quarles to the G20 finance ministers and Central Bank governors ahead of the meetings in Riyadh on February 22-23.

    February 19, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 4720