Italy: IVASS is consulted on amendments to certain provisions concerning the distribution of insurance Hogan Lovels

On 24 June 2022, IVASS launched a public consultation on a draft regulation providing for some amendments to IVASS Regulation № 40/2018 on the distribution of insurance and reinsurance (“Draft regulation”).

The draft regulation aims in particular at:

  • adaptation to the current Italian primary law of the content of the provisions which currently provide for the obligation of insurance intermediaries to obtain a qualification not lower than a high school diploma obtained after a five-year or four-year course supplemented by an annual course required by law or an equivalent foreign qualification;
  • introduction of the obligation to notify IVASS of the internet domain used to promote and place insurance contracts through remote communication techniques from Italian insurance intermediaries and EU insurance intermediaries operating in Italy.

Professional requirements

With regard to point 1) above, Regulation IVASS № 40/2018 currently provides for the requirement, inter alia, to obtain a qualification not lower than the high school diploma obtained after a five-year or four-year course supplemented by the annual course required. by law, or an equivalent foreign qualification, for the following purposes:

  • entry in sections C (direct traders), E (staff and associates of insurance intermediaries involved in distribution outside their premises) and F (supplementary insurance intermediaries) of the register of insurance intermediaries kept by IVASS (“RUI”);
  • appointment as a person responsible for insurance or reinsurance distribution of companies acting as distributors;
  • exercising the distribution activity by the employees working in the premises of the intermediary; and
  • participation in the enrollment test in sections A (agents) and B (brokers) of RUI.

The new regulatory intervention will remove the reference to the duration of the course and the additional year of high school diploma in order to bring the provision in line with the current Italian school system, which also provides for the possibility of completing a four-year higher education course. years, keeping the total number of training hours unchanged.

In addition, with regard to equivalent foreign qualifications, regulatory intervention takes into account the provisions of Law №. 148 of 11 July 2002 (by which Italy ratified the Lisbon Convention – Convention on the Recognition of Qualifications concerning Higher Education in the European Region, Lisbon, 11 April 1997), which assigns the responsibility for the recognition of foreign qualifications – for purposes other than the pursuit of university education and the achievement of Italian university degrees – of the respective administrations.

Therefore, in this context, the concept of equivalence will be replaced and replaced by the term “the relevant foreign qualification“.

Internet domain

With regard to point 2) above, Regulation IVASS № 40/2018 currently provides that distributors who carry out activities for the promotion and marketing of insurance products through websites have the relevant domain. The provision aimed at ensuring an adequate level of consumer protection is included in the List of Common Good Provisions published on the IVASS website to define the perimeter of the provisions by which EU intermediaries working in Italy on the right of establishment and freedom the modes of services must also be observed.

The draft regulation – which will amend this provision by introducing an obligation for Italian insurance intermediaries registered in the RUI and EU insurance intermediaries on the list attached to it to notify IVASS of the internet domain used – aims to strengthen safeguards currently in force by acquiring complete information on the ways in which insurance contracts are placed and promoted online.

The obligation will also apply to cases of promotion only by means of distance communication.

In particular, the provision introduced is considered necessary to stop the phenomenon of fraud on websites – which has registered an alarming increase and due to the strong digital acceleration in recent years, partly related to the Covid-19 pandemic – in order to protect consumers and, on the other hand, the intermediaries themselves. Such a measure could in fact, according to IVASS, significantly reduce the risk for intermediaries to see their data illegitimately linked to unofficial websites.

next steps

The public discussion of the draft regulation will continue until July 25, 2022.

Click here to download the public consultation document (available in Italian only).

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