Insurance: EU proceedings against Italy on transposition of intermediary rules

The EU Commission has called on Germany, Italy and Austriaz to correctly transpose the Insurance Distribution Directive by sending a letter of formal notice. The directive sets minimum requirements for the distribution of insurance products in the single market in order to ensure a high level of professionalism, transparency and consumer protection.

The letters of formal notice concern provisions relating to insurance intermediaries controlled by third-country entities in the case of Austria and Germany, provisions relating to insurance intermediaries on an ancillary basis selling insurance products as an adjunct to their own products and services, and provisions relating to the publication of sanctions in the case of Germany, and the rules on cross-border activities of insurance intermediaries under the freedom to provide services in the case of Italy. The three States now have two months to respond and remedy the shortcomings reported by the Commission, after which, in the absence of a satisfactory response, the Commission may decide to issue a reasoned opinion.