Authorising third country insurance firms: has the Commission got it wrong?

maddockGeoff Maddock, partner

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By Geoff Maddock, corporate insurance partner

Commission view on authorisation

In July 2015 a Commission official expressed a controversial view on when third country insurance firms need authorisation. This was at a fully minuted meeting of the “Expert Group on Banking, Payments and Insurance”. The Commission said that a third-country insurance firm may only insure risks located in an EEA member State through a branch authorised by the competent supervisory authority of that member state.

I believe this opinion is wrong. If indeed it were right it would have a damaging effect on the London and probably other insurance markets. I give my reasons below. Continue reading