EIOPA speaks on insurance intermediation: Gabriel Bernardino, Chairman of EIOPA, spoke on:
- progress on the insurance distribution directive (IDD) and EIOPA's strategic views on it: specifically, he emphasised that it is important that the IDD addresses conflicts of interest that arise when distributors sell insurance products; he indicated EIOPA's support for the current provision in the IDD stating the need for a standardised Product Information Document for non-investment-based insurance products; and he also indicated that EIOPA is in favour of the provision in the IDD setting a specific number of hours of continuous professional development for distributors;
- the work on the market monitoring and product intervention powers in the PRIIPs Regulation: specifically, regarding product intervention powers, EIOPA is finalising its technical advice to the Commission on the criteria to be taken into account in determining when there is a significant investor protection concern or a threat to the orderly functioning and integrity of financial markets; and EIOPA is further strengthening its market monitoring; and
- EIOPA's vision on conduct of business supervision: specifically with regards to strengthening corporate governance; reinforcing the regulation of product oversight and governance and sales incentives; enhancing conduct of risk supervision by putting in place systematic monitoring to identify conduct risks; and putting in place credible and dissuasive enforcement.
He concluded his speech with a brief discussion of the ways in which the digital revolution has affected business. He stressed that it will have an impact at every level of the insurance distribution chain, posing challenges for existing market participants and offering opportunities both for them, and new insurgents. (Source: Gabriel Bernardino, EIOPA, on Insurance Distribution in a Challenging Environment)