Council adopted Common Position on Insurance Mediation

19 March 2002



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As amended by the Council, the Directive would require that individuals or companies who carry out insurance or reinsurance mediation should be registered on the basis of the following minimum requirements:
  • possession of appropriate knowledge and ability
  • being of good repute
  • possession of professional indemnity insurance or any other comparable guarantee against liability arising out of professional negligence.

    The concept of 'tied insurance intermediary' was defined, along with a more substantial role for insurance undertakings in the registration process of these persons as well as in the verification of their professional knowledge and competence.

    The Common Position specifies that only the names of some persons in the management structure of intermediaries (legal persons) have to be specified in the registers.

    The treatment of intermediaries from third countries was clarified as well. The provision on indemnity insurance and guarantees was modified accordingly, in addition to which an aggregate ceiling of EUR 1 500 000 per year and per all claims was added.

    The Council added a special provision on information exchange between competent authorities with the objective of facilitating the act of deletion of names of persons from the national registers who have been subject to certain penalties.

    A special clause regarding telephone selling was inserted as well. Finally, the information requirements have been further clarified and thus the transparency for the clients has been improved.

    The Common Position preserves the main features of the Commission's proposal presented in September 2000 and takes account of amendments approved by the European Parliament in its first reading. However, some amendments could not be accepted by the Council.

    The proposal will now return to the Parliament for its second reading.

    See draft statement on Common Position and
    the adopted Common Position.
    See also the Commission press release.

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