EUROPEAN UNION (INSURANCE DISTRIBUTION) REGULATIONS 2018
On 29 June, the Department of Finance published the European Union (Insurance Distribution) Regulations 2018 (the Regulations), which transpose the Insurance Distribution Directive (Directive 2016/97/EU) into Irish law. The Regulations will come into effect on 1 October and represent a significant departure from the way in which the distribution of (re)insurance products are regulated. The Regulations also repeal the European Communities (Insurance Mediation) Regulations 2005 and make a number of insurance related amendments to the Investment Intermediaries Act 1995. The Regulations are accessible here.
CENTRAL BANK CONSULTS ON CHANGES TO THE DOMESTIC ACTUARIAL REGIME AND RELATED GOVERNANCE REQUIREMENTS UNDER SOLVENCY II
On 22 June, the Central Bank published consultation paper CP122 in respect of amendments that it proposes to make to the Domestic Actuarial Regime relating to: (a) the governance of with-profits funds; and (b) the format of the Actuarial Opinion on Technical Provisions (AOTP) as outlined in the Domestic Actuarial Regime.
The Central Bank proposes introducing additional requirements on (re)insurers and on the Head of Actuarial Function (HoAF) in relation to With-Profits business, as follows:
(Re)insurers will be required to produce a With-Profits Operating Principles (WPOP) document, which will be available to fund members, and to provide With-Profits fund members with an annual report on compliance of the fund with the principles detailed in the WPOP; The HoAF will be required to report to the Board and fund members annually on the ongoing compliance of the With-Profits funds with the principles in the WPOP; The HoAF will be required to provide an opinion to the Board on...