Michael Brandstetter Austrian Insurance Association VVO INSURANCE DISTRIBUTION
Michael Brandstetter, Austrian Insurance Association (VVO) INSURANCE DISTRIBUTION DIRECTIVE (IDD) AND THE AUSTRIAN INSURANCE MARKET
• Established 1899 in Vienna • Membership(regular/associate): 129 (re) insurers • Interest representation on national, European and international level • Operational services and projects
Agenda 1. Transposition Process in Austria 2. Challenges 3. Activities of VVO
Transposition process in Austria • Ministry of Economy and Ministry of Finance for insurance companies relevant issues • Implementation in Austrian Insurance Supervision Act, Trade Regulation Act and Broker Act … ? • Delgated Acts implemented through national regulations • First national activities still expected end of 2016
Agenda 1. Transposition Process in Austria 2. Challenges 3. Activities of VVO
Scale of implementation • Minimum harmonisation • No „gold plating“ beyond Directive • Already high level of consumer protection in Austria
Remuneration • MS option • Advantages and acceptance of existing structures by consumers • No commission ban • No disclosure of commision
Communication media • Technical neutrality • Possibility for extensive use of modern electronic communication
Implementation timeline • Necessity of FAST implementation into national law! – Complex internal implementation processes in insurance companies (e. g. IT-ressources, education of thousands of employees) – (early) legal certainty • PRIIPs experience: Postponement of implementation deadline? ! • L 2+L 3 reduce implementation time by 75%
General issues • Free choice for customers to buy with or without advice („execution only“) • Definition which products are not investment products (e. g. pension and risk products) • Clear definition / separation of broker and agent instead of „intermediary“ • Use of existing dispute settlement structures
Agenda 1. Transposition Process in Austria 2. Challenges 3. Activities of VVO
IDD-Symposium of „Vienna Institute“ in September 2016
Activities of VVO (1/2) • IDD-Symposium of „Vienna Institute“ in September 2016 • Permanent update and briefing of members in VVO‘s internal committees • Close dialogue with national authorities • Participation in consulations of EIOPA (e. g. POG guidelines)
Activities of VVO (2/2) • Insurance Europe • CEE-Group • Update of education programs of the Austrian Institute for Professional Insurance Education (BÖV) – Relevant new content – Organisational: 15 h of continuing training / year
WWW. VVO. AT
- Slides: 15