On September 1 2015 the Insurance Supervisory Authority (IVASS) published a draft decision on complaints management by insurance intermediaries, intended to amend and supplement ISVAP(1) Regulation 24/2008.
Among other things, the decision is designed to:
- implement the European Insurance and Occupational Pensions Authority (EIOPA) provisions and guidelines on complaints against intermediaries; and
- raise the awareness of intermediaries as regards the new provisions.
Comments and requests for clarification with respect to the rules may be sent to IVASS until November 30 2015.
The decision's introductory report states that in order to ensure that the implementation of EIOPA's guidelines complies with the principles of equity, reasonableness and proportionality, IVASS has found it necessary to make the following assignments and provisions:
- Principals are assigned responsibility for complaints relating to the conduct of their own agents (as well as of relevant employees and collaborators) and complaints filed against direct canvassers.
- Intermediaries registered under Sections B (brokers) and D (banks) of the Register of Insurance Intermediaries are assigned responsibility for complaints relating to the conduct of their own employees and collaborators.
- The obligation to establish an office in charge of complaints management is limited to large-sized brokers and Section D-registered intermediaries. Specific organisational supervision will be established to ensure consistent, correct and impartial management of all complaints.
- Intermediaries registered under Sections B and D may entrust third parties with the management of claims via outsourcing and in association, without prejudice to the intermediary's direct liability for the final decision.
The main changes that the draft decision has introduced include the following:
- The scope of the regulation's application has been widened and the definition of 'complaint' has been supplemented to include a declaration of dissatisfaction towards the conduct of insurance intermediaries.
- A 'large broker' is now defined as an intermediary registered under Section B which has its own managing director or general manager registered in the same section, as well as 10 or more employees or collaborators registered under Section E.
- Intermediaries registered under Sections B and D must adopt a complaints management policy based on the equal treatment of insured parties, beneficiaries and injured parties to ensure quick settlement.
- Insurers are requested to integrate into their own complaints management policies specific provisions on complaints against agents – including their employees and collaborators – and direct canvassers.
- Large brokers and Section D-registered intermediaries must establish a team dedicated to complaints management within their own company structure. The complaints management team will handle complaints filed against agents – including their employees and collaborators – and direct canvassers.
For further information on this topic please contact David Maria Marino at DLA Piper Italy by telephone (+39 02 80 61 81) or email ([email protected]). The DLA Piper website can be accessed at www.dlapiper.com.
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