HFW has published a briefing1 on the areas in which business may be impacted in light of the regulatory upheaval likely to be generated by Brexit.
The briefing considers the enforcement of English judgments, questions over jurisdictional issues, service of English court documents in EU Member States and the regulatory regime and markets in which our businesses operate.
The insurance industry may be impacted by Brexit in the following areas:
- Potential loss of passporting rights (either or both of the freedom of establishment and the freedom of services).
- Portfolio transfers – will a UK company still be able to perform a transfer to/from an EEA company?
- Cross-border mergers – will a UK company still be able to perform a cross border merger with an EEA company?
- Ability to form a Societas Europaea (SE) and to migrate an SE into or out of the UK.
- Potential changes to UK laws/regulations which implement EU directives, for example Solvency II (although we anticipate that the UK will want to maintain its equivalence under Solvency II).
- Broadly speaking, we expect the UK to maintain its current insurance regulatory regime, although there may be some changes which do not affect the UK’s equivalence. There may also be some gold-plating of UK rules which implement maximum harmonising Directives (for example Solvency II).