EIOPA Publishes Concerns on Investment Insurance Products’ Inclusion under MiFID II

more+
less-
more+
less-

A letter sent on September 19 from Gabriel Bernardino, the Chairman of the European Insurance and Occupational Pensions Authority (EIOPA), to the European Commission Director General of Internal Market and Services, Jonathan Fowl, was published by EIOPA on September 20. The letter sets out EIOPA’s concerns around the selling of investment insurance products covered by the MiFID II.

In the letter, EIOPA states that such an inclusion could lead to regulatory inconsistency and have a negative impact on consumer protection, with the consequential risk that the products could be sold in accordance with sub-optimal requirements. The letter goes on to list three reasons why rules governing the sale of investment insurance products should instead be included under the Insurance Mediation Directive (IMD) regime:

  • To keep the rules of the sale of insurance packaged retail investment products within legislation designed for diverse forms of insurance distribution;
  • To avoid MiFID-style client categorization; and
  • To maintain the “demands and needs” test. Letter.

 

Written by:

Published In:

EU

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Orrick - Structured Finance Group | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.
×
Loading...
×