The Slovakian insurance undertaking NOVIS has sold its life insurance product Wealth Insuring to a number of Icelandic policyholders from early 2018. Therefore, the Financial Supervisory Authority (FME) finds it appropriate to draw attention to a notification on the undertaking’s homepage where it states that NOVIS has stopped selling the Wealth Insuring product in Iceland.
The reason given for the aforementioned decision is the implementation of the IDD directive 2016/97 into Icelandic law. The directive makes more stringent requirements for insurance undertakings to define a relevant target market for product distribution. NOVIS’ assessment is that the Wealth Insuring product can, according to IDD provisions, only be considered appropriate for individuals that possess adequate investment knowledge and experience.
The undertaking also notes that these views have been communicated to the company by several regulators in Europe. FME is among regulators who have had extensive communications with the undertaking regarding issues with the product.
NOVIS states that its decision has no effect on the contracts that are in effect with the undertaking’s customers.
Further information can be read on NOVIS website: