The annual bill

Competition: a push on motor insurance and a battle over telemarketing

The bill reaches the House of Commons: the government is speeding up the process to reform the bonus-malus scheme and direct compensation. The Competition Authority: differences between the energy and telecoms sectors regarding call centre calls should be eliminated

L'aula di Montecitorio. (Ansa)

4' min read

Translated by AI
Versione italiana

4' min read

Translated by AI
Versione italiana

The government is bringing forward the timetable for reform of the motor insurance sector, with the clear aim of finalising the matter by the end of the parliamentary term, even in the event of a snap election in the spring.

This acceleration is evident in the final version of the annual competition bill, where the time limit for exercising delegated powers through implementing decrees has been reduced: no longer nine, but four months from the date the law comes into force. This is one of the new features of the text which, after a long wait for approval from the State Audit Office (which arrived two months after its approval by the Council of Ministers), will shortly be tabled in the Chamber of Deputies, in the Productive Activities Committee.

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In summary, the reform of motor insurance, amongst other guiding principles, provides for a review of the no-claims bonus/penalty system, a reassessment of the flat-rate payment for direct compensation, and the strengthening of anti-fraud measures. There are also plans to reward safe driving behaviour, in order to reduce the impact of regional variables, which currently penalise certain southern provinces in particular. The scope of the mandate is extremely broad and could include measures likely to have a significant impact on the public in the midst of an election campaign.

The version of the draft bill reaching Parliament also incorporates the provision which – amidst protests from chartered accountants – extends the option for employment advisers to file financial statements with the Companies Register (see *Il Sole 24 Ore* of 30 October). Furthermore, the three-year budget allocated for grants to petrol station owners who convert their premises into charging points for electric vehicles has been increased by eight million, from 112 to 120 million. However, the provision aimed at reducing food waste – which would have introduced the right to a so-called ‘doggy bag’ in restaurants, i.e. the takeaway of food purchased but not consumed – has been omitted from the text.

However, whilst awaiting the first parliamentary reading scheduled in the Chamber of Deputies, attention is already focused on possible amendments. Among the measures that the Ministry for Enterprise and ‘Made in Italy’ would like to include in the draft bill are the digital business wallet for business procedures, inter-ministerial coordination on the strategy for the development of humanoid robotics; and the correction requested by the European Commission regarding measures to combat ‘shrinkflation’ – that is, the commercial practice whereby companies reduce the size, weight or quantity of a food product whilst maintaining the same retail price.

It is already a safe bet, however, that telemarketing will be the most contentious issue, with a clash between opposing lobbies. The tension is being fuelled by the report that the Competition Authority has sent to the government and Parliament, calling for amendments to Article 51 of the Consumer Code, as amended by last February’s ‘utility bills’ decree. The issue at stake is the ban on telemarketing operators making commercial solicitations by telephone – including via text messages – aimed at securing contracts for the supply of electricity and gas. The ban does not apply if the offer is made to a consumer who is already a customer of the telemarketer for electricity or gas and has also given specific consent to receive offers. It is precisely this exception that the Competition Authority deems anti-competitive, as it creates a distinction between energy suppliers and providers of other services, starting with telecommunications. The latter, in fact, even if they also operate in the energy sector – a situation that is becoming increasingly common with the spread of convergent offers – cannot use their telecoms-only customer base to offer electricity or gas services by telephone.

“This results,” explains the Competition Authority in the report adopted at its meeting on 22 September, “in an asymmetry in the opportunities available to operators to expand into the retail energy sector and to compete in the development of convergent offers.” And that is not all. The regulator, led by Saverio Valentino, emphasises that energy operators may use the telephone channel, under the conditions set out, to communicate with their own energy customers, but not to reach consumers already served by other suppliers. The consequence: less choice for consumers and potential customer retention practices that favour the energy operators that have historically been the strongest in the market.

The drafts of the bill coordinated by the Ministry for Enterprise and Made in Italy already contained an amendment to the legislation, creating a level playing field by extending the ban in the opposite direction as well – that is, to energy operators offering telecoms services. However, the measure was scrapped at the last minute. With the support of the Competition Authority, this amendment could now be back on the table.

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