Aggregated News From Investment Management Regulators

Adverse impacts of Brexit on policyholders and beneficiaries must be minimised

Report/Flag

Please complete the required fields.



Insurance companies operating in Finland on the basis of authorisation granted in the United Kingdom must take steps to ensure the smooth continuation of their activities also in the event that the United Kingdom withdraws from the EU without ratification of the withdrawal agreement. The companies must communicate to their Finnish policyholders how Brexit would affect their insurance contracts.

Insurance companies authorised in the UK are not allowed to carry out their activities in the EU area after Brexit. The activities must be transferred to a company established in the EU or to a third-country branch also requiring authorisation in the EU.

On 19 February 2019, the European Insurance and Occupational Pensions Authority (EIOPA) published its recommendations to insurance supervisors for a no-deal Brexit. The recommendations are concerned with both insurance companies and insurance intermediaries. The recommendations will also be published in Finnish at a later date.

The Financial Supervisory Authority complies with EIOPA’s recommendations and therefore states as follows:

  1. Insurance contracts valid on the date of entry into force of Brexit can only remain in effect to the end of the current insurance period. Continuous non-life insurance may not be renewed for the following insurance period.
  2. Life policies will remain valid in accordance with the insurance contract, but no amendments extending the scope or duration of the insurance cover may be made.
  3. Claims payable under policies valid on the Brexit date can be paid out normally.
  4. If an insurance company authorised in the UK does not have authorisation in an EU country after Brexit, it cannot be represented in the area by an agent either.
  5. The FIN-FSA processes applications for authorisation in accordance with the Act on Foreign Insurance Companies.
  6. Portfolio transfers between insurance companies initiated before the Brexit date can be completed in accordance with EU regulation. However, new policies may not be sold in the portfolio to be ceded before the portfolio has been transferred to an insurance company authorised in an EU country.
  7. In the event Brexit takes place, the FIN-FSA will remove from its registers insurance companies and insurance intermediaries that have filed a notification concerning a branch or free provision of services from the UK.

For further information, please contact

  • Teija Korpiaho, Head of Division, telephone +358 9 183 5528
  • Päivi Turunen, Market Supervisor, telephone +358 9 183 5557

Source link

Regulator Information

Abbreviation: FIN-FSA
Jurisdiction: Finland

Recent Articles

AMF and ACPR announce the withdrawal of BYKEPS SAS’s registration as a DASP

The company BYKEP SAS was registered as a DASP by the AMF, after receiving a positive opinion from the ACPR, on 18 February 2021, for the activities of custody of digital assets and buying or selling

CVM condemns controlling shareholder of São Paulo Turismo SA for abuse of power of control

This post was translated by Regulatory.News for informational purposes only; the content below is not an official translation from the regulator. See the content...

RC.No.4540 – Recovery Proceedings under RC.No.4540 Fact Enterprise Ltd. (PAN: AAACF0955A) in the matter of Ravi Kumar Distilleries Ltd. – General Remittance Orders...

This news item was originally published by the Securities and Exchange Board of India (SEBI IN). See the article here: Read more

EBA publishes Guidelines on transferability to support the resolvability assessment for transfer strategies

The European Banking Authority (EBA) today published its final Guidelines on transferability to support the resolvability assessment for transfer strategies.

Get the latest from Regulatory.News in your inbox!

×