Poland: What is on the regulatory radar for non-life business?


Please see below some information on what may impact the regulatory landscape for the non-life market in Poland in the coming months.

EIOPA’s opinion on the non-life cross-border insurance business

EIOPA has published an opinion on the long-term non-life cross-border insurance business and its supervision addressed to EU supervisory bodies. Key takeaways are as follows:

  • EIOPA outlined its expectations on the calculation of technical provisions and on the governance of cross-border business;
  • EIOPA identified deficiencies in relation to the calculation and supervisory assessment of the solvency position of insurance companies;
  • EIOPA expects that more attention is given to the relevant skills of key functions and the local specificities of cross-border business.

EIOPA’s opinion may result in local supervisory bodies taking further action addressed to non-life insurers.

Spotlight on insurance of electronic devices

The Polish Financial Ombudsman has published an annex to its report on insurance of electronic devices, with a main focus on insurance companies offering such products under the freedom to provide services (“FoS”). Although the overall number of complaints in this area continues to decline, the trajectory is upwards for FoS carriers. Most customer complaints relate to complaints handling.

The annex also discusses the increasingly frequent offerings of so-called services contracts instead of electronic device insurance. Usually, these contracts are solicited by entities running equipment shops or telecoms operators that render certain services if defects occur in electronic devices. Services contracts are very similar to contracts of insurance; however, according to the Financial Ombudsman, services contracts are less regulated and hence less favourable to consumers.

We will keep you informed about further developments. For more information, please get in touch with your contact person at CMS Cameron McKenna Nabarro Olswang.