Completion of the basic rate of life assurance undertakings 1)

In accordance with paragraph 21 (1), 6, and Section 373 (3). 4, in the law of financial activities, cf. Law Order no. 182 by 18. February 2015 :

Scope of application

§ 1. This notice shall apply to insurance undertakings engaged in the business covered by Annex 8 in the law of financial activities, and branches in this country by insurance undertakings authorised to carry out insurance undertakings ; covered by Annex 8, in the case of a financial undertaking, in a country outside the European Union, which the Union has not signed up to in the financial sphere, cf. however, paragraph 1 2.

Paragraph 2. The notice shall not apply to insurance contracts, where :

1) the basis for calculating insurance premiums, repurbations and free policeservices shall contain an opportunity to divide the paid insurance premium into a part, for which a guaranteed pension is earned and a part which is due to be paid, either : collective bonus potential or the bonus potential of free-policing services ; and

2) the basis as a whole is based on reassuring conditions.

Founding Lame

§ 2. The base rate is the interest rate or interest rates which are being used for calculating the premiums for an insurance contract. In the case of the conclusion of an insurance contract or amendment, the basic rate of interest shall be carefully fixed.

Paragraph 2. The basic rate of interest shall not exceed the maximum rate of 1%. for example, including the guaranteed cost and security system, which may be contained in the basic charge, cf. however, paragraph 1 3.

Paragraph 3. The Financial supervision may, in consultation with the competent supervisory authority in another Member State, establish a different maximum basis for insurance contracts awarded in a currency other than Danish kroner, in accordance with the rules laid down by § 283, paragraph 1. 3, in the financial undertaking on the valuation of assets and liabilities, including technical provisions.

§ 3. An insurance policy shall not cut an insurance undertaking from altering the basic rate for future premiums, bonus valuations, etc. for a period of longer than one year.

Exclusions

§ 4. The provisions on the basic rate of section 2 shall not apply in the following cases :

1) In the case of an amendment to an insurance agreement, where the value of the future premiums after deduction of labour market contributions is not increased.

2) In the case of an increase in the insurance contract concluded in a contract of employment, the increase corresponds to a previous premium and is caused by the fact that the policyholder after having been part time engaged or without employment will have increased employment or new employment.

3) In the case of repayment of the premium payment for an insurance contract after it has been disconnected for no more than 1 year.

4) In the case of insurance contracts for which the insurance undertaking has not taken on an investment risk.

5) In the case of deposit-paid insurance contracts with a maturity of up to eight years.

6) For insurance contracts without a bonus.

7) For life interest, without withdrawal value determined for a maximum of three years.

Paragraph 2. In the cases referred to in paragraph 1, 1, no. 1 3, the basic rate of interest shall not exceed the basic rate applied to the agreement.

Dispensing Opportunities

§ 5. The Financial supervision may be dispensers from section 2 in the following cases :

1) In the case of a transfer of a life assurance from a Danish or Greenlandic company, including mergers or similar, in accordance with section 204 and section 252 in the Act of Financial Regulation and Chapter 8 of the Act on the supervision of company pension funds.

2) For the transfer of a life assurance from a foreign or ferry company to an insurance undertaking covered by section 1 (1). 1, provided that the transfer is approved by the Authority of the transferable home country of the transferor.

3) In the case of continuation, change, regulation and the like of a existing insurance relationship, where the use of a higher basic rate has a trivial economic impact on the insurance undertaking and is reasonable and reassuring to each individual ; Insurance holders of the company.

4) When the technical reason is temporarily temporarily unable to comply with § 2.

Paragraph 2. In the cases referred to in paragraph 1. 1, no. 1 3, the Financial supervision may not grant a derogation that the basic rate of interest exceeds the rate of interest previously used in the insurance contract.

Paragraph 3. Pensation in accordance with paragraph 1. 1, no. 3, for the use of a basic rate of interest on 3%. For example, the total payments and bonus inwrites within a financial year for insurance created under this provision do not exceed 2% of the total life insurance claims of the insurance undertaking. For higher or lower basic rates of interest, a corresponding lower or higher limit applies.

§ 6. The SEC may dispensers from section 3 for insurance contracts, where the assurance of insurance services is given on the basis of future premiums.

Paragraph 2. Pensation in accordance with paragraph 1. 1 assumes that the increase in the award of the contract shall be specified in terms of both the time and size of the contract, so that the insurance provision should be given a real substance by the conclusion of the agreement.

Punishment

§ 7. The withdrawal of section 2 (2). 2, sections 3 and section 4 (4). Two, punishable by fine.

Paragraph 2. Companies can be imposed on companies, etc. (legal persons) punishable by the rules of the penal code 5. Chapter.

Entry into force

§ 8. The announcement shall enter into force on 1. January 2016.

Paragraph 2. Publication no. 1369 of 8. In December 2010 on the basic rate of life assurance business is hereby repealed.

1) The announcement contains provisions that implement parts of Directive 2009 /138/EC of the European Parliament and of the Council of 25. Nov 2009 on access to and the exercise of the insurance and reinsurance business (Solvency II), EU Official Journal 2009, nr. In 335, page 1, as amended by Directive 2014 /51/EU of the European Parliament and of the Council of 16. April 2014 amending Directive 2003 /71/EC and 2009 /138/EC, as well as Regulation (EC) No, 1060/2009, (EU) No 1094/2010 and (EU) No 1095/2010 as regards the powers granted to the European Supervisory Authority (European Insurance and Occutency Pensions Authority) and the European Securities and Markets Authority (European Securities and Securities and Markets Authority) ; (Omnibus II), EU Official Journal, 2014, nr. L153, page 1.