Regulations on insurance mediation


Date FOR-2005-12-09-1421


Affairs Ministry


Published in 2005 Booklet 15


Commencement 01.01.2006

Edited
FOR 2014-03-26-349

Changes
FOR 1995-11-24-923

For
Norway

Legal

LOV-2005-06-10-41-§4-4, LOV-2005-06-10-41-5-4, LOV-2005-06-10-41-§7-7, legislation 2005-06-10-41-§7-1, LOV-2005-06-10-41-§9-1, LOV-2005-06-10-41-section 10-2, LAW-1988-06-10 -39-§2-4 cf. LOV-2005-06-10-44-§17-2, FOR-2005-12-09-1414 cf. LOV-2015-04-10-17-§23-2 || |
Promulgated
13.12.2005

Short Title
Regulations on insurance mediation

Chapter Overview:

Chapter 1. Scope (§1-1)
Chapter 2. Insurance (§§ 2-1 - 2-2)
Chapter 3. Duty to inform customers (3-1)
Chapter 4. Insurance Company register of insurance agencies (§§ 4-1 - 4-3)
Chapter 5. Appeal arrangements (§§ 5-1 - 5-4)
Chapter 6. Commencement and transitional provisions (§§ 6-1 - 6-2)

Adopted by the Ministry of Finance of 9 December 2005 pursuant to Act 10 June 2005 no. 41 on Insurance Mediation § 4-4, § 5-4 ref. § 7-7, § 7-1, § 9-1 and § 10-2 and the Act of 10 June 1988 no. 39 on insurance § 2-4.
Added authority: Delegation Decision of 9 December 2005 no. 1414.
EEA information: EEA Agreement Annex IX. 13b (Directive 2002/92 / EC).
Changes: Amended by regulations 18 Dec 2009 No.. 1726, March 26, 2014 no. 349.

Chapter 1. Scope

§ 1-1. Scope This regulation applies to the dissemination of direct insurance and reinsurance regulated by the Act of 10 June 2005 no. 41 on Insurance Mediation.
Regulations chapter 2 concerning insurance applies to insurance brokerage firm, reinsurance brokerage firms and insurance agencies that must take out insurance under the law on Insurance § 7-5.
Chapter 3 of the duty to inform the customer applies for insurance brokers and insurance agents.
Regulations chapter 4 about the insurance company's register of insurance agencies apply to insurance companies that are authorized to conduct insurance business in Norway pursuant to the Act 10 June 1988 no. 39 on Insurance § 2-1.
Regulations Chapter 5 on complaints scheme applies to insurance and reinsurance brokerage firms.

Chapter 2. Insurance

§ 2-1. Liability size Liability insurance shall cover an amount equal to at least 1,250,600 euros per claim.
Insurance intermediary firms that have up to 10 insurance intermediaries, the total liability insurance cover during a year less be limited to an amount in Norwegian kroner, corresponding to 1,875,900 euros.
Insurance intermediary firms that have more than 10 insurance intermediaries, the total liability insurance cover during a year less be limited to an amount in Norwegian kroner, corresponding to 3,751,800 euros.
FSA may in individual cases decide that liability insurance will be higher than that required by subsections.

§ 2-2. Insurance covering misappropriation of client funds insurance covering the misappropriation of client funds shall cover at least 75 percent of the average balance of the client during the past year. Regulations § 2-1, fourth paragraph applies correspondingly.

Chapter 3. Duty to inform customers

§ 3-1. Information from the insurance intermediary Before entering into the insurance contract and the amendment or renewal of the Agreement, the insurance intermediary least provide the customer with information on the following:

1.
Insurance mediation entity name and address,

2.
Which register insurance mediation undertaking listed in, and how it can be controlled that the entity registered

3.
About insurance intermediary offers advice on the basis of an objective analysis, cf. Act on Insurance Mediation § 1-2 no. 2 first alternative,

4.

A)
size of commissions and / or other remuneration as insurance mediation undertaking receives from the insurer in connection with the conclusion of the agreement on the relevant insurance and

B)
size of the commission or other compensation as insurance mediation undertaking will require from the client,

5.
On insurance mediation entity has a direct or indirect shareholding representing more than 10% of voting rights or capital of an insurance company,

6.
If an insurance company or parent company of an insurance company has a direct or indirect shareholding representing more than 10% of the insurance intermediary entity voting or capital,

7.

The fee policyholder is obligated to respond to Norwegian Naturskadepool by the Act of 16 June 1989 no. 70 on natural perils insurance § 4a if fire insurance on things in the realm communicated to insurance companies that are not members of the Natural Perils Pool

8.
About extrajudicial complaints procedures.

When the insurance intermediary informs the customer that it gives advice on the basis of an objective analysis, ref. Subsection. 3, it is obliged to give these councils on the basis of an analysis of a large number of insurance contracts available on market, it is able to make a recommendation, in accordance with professional criteria, which insurance would suit customer needs.
When the insurance intermediary presents insurance solutions from one or more insurance, unless they are contractually obliged to use these shall be disclosed. Insurance intermediary shall at customer request disclose the names of the insurance companies it cooperates with. The insurance intermediary shall inform the customer of the right to request such information.
Insurance intermediary shall, in particular on the basis of information from the customer, as a minimum, clarify the customer requirements and needs, and reasons for any advice they give the customer about a particular insurance product. These clarifications shall be the suggested insurance contract complexity.
An insurance intermediary firms should also have the same disclosure requirements as an insurance company doing business in this country has, cf. Act 16 June 1989 no. 69 omforsikringsavtaler Chapters 2 and 11.
It may be omitted to provide information mentioned in the first paragraph. 3, 5, 6 and 8 and in second to fourth paragraphs by provision of insurance as specified in the Act 27 november 1992 no. 111 concerning governing law in insurance § 9 to policyholders as specified in the same provision (major risks ).

Chapter 4. Insurance Company register of insurance agencies

§ 4-1. Requirements to register The insurance company's register of insurance agencies should be created electronically and be publicly available on the insurance company's website. The insurer shall provide the Financial Supervisory Authority of the register's electronic address and any changes therein.
The insurance company shall update the register on a continuous basis.

§ 4-2. Information to be registered following information shall be recorded:

A)
insurance firm's name.

B)
general manager and any other person who actually manages the insurance business.

C)
insurance entity address or registration number.

D)
an indication of the country (countries) where the insurance agency practices activities under the freedom of establishment.

E)
an indication of the country (countries) where the insurance agency practices activities under the freedom to provide services.

F)
supervisory authority in their home country.

The information in the register should also be made available in English.

§ 4-3. Storage of documentation The insurance company shall keep the documentation underlying the registration so that FSA can easily familiarize themselves during supervision. The duty applies as long as the insurance agency is registered and at least 3 years after deletion from the register.

Chapter 5. Appeal arrangements

§ 5-1. Appeal board for insurance and reinsurance broking Ministry appoints an appeals for insurance and reinsurance brokerage business. The Tribunal will consider disputes between clients and insurance and reinsurance brokerage firms.
The Tribunal shall consist of the Chairman and 4-6 members, all with personal deputies. Leader and deputy leader must have law degrees. Insurance and reinsurance brokers and principals shall be represented on the board.

§ 5-2. Tribunal decisions tribunal's decisions are advisory.
As long as a dispute is being considered by the committee, none of the parties refer the dispute to the courts, cf. Act of 10 June 2005 no. 41 on Insurance Mediation § 9-1.

§ 5-3. Financing Tribunal The Tribunal is funded by annual fees and complaints fees as indicated below. All insurance and reinsurance brokerage firms registered in the FSA imposed an annual fee. Fees can vary according to the firm's market share.
Insurance and reinsurance brokerage firms imposed a complaint fee for each written complaint from the Tariff Board.

§ 5-4. Privacy Tribunal Ministry lays down detailed guidelines on the board's activities, including provisions relating to the composition, processing and equalization of annual fees for insurance and reinsurance brokerage firms.

Chapter 6. Commencement and transitional rules


§ 6-1. Implementation These regulations come into force on 1 January 2006. From the same date, the Regulations on 24 November 1995 no. 923 on insurance mediation.

§ 6-2. Transitional provisions The insurance brokerage firms per 1 January 2006 is listed in Finance's registry shall, by 1 July 2006 submit an application pursuant to Act on Insurance Mediation § 2-1. This does not apply insurance brokerage firms mentioned in the Act on Insurance Mediation § 10-2 first paragraph. Insurance brokerage firms mentioned in the preceding sentence shall by 1 July 2006 demonstrate to the FSA that the eligibility requirements of the Law on Insurance Mediation Chapter 3 are fulfilled.
Reinsurance brokerage firms and insurance consultants who practiced activities pr. 1 January 2006 shall, by 1 July 2006 submit an application to the Law on Insurance § 2-1, ref. § 6-1.
Insurance agency that has agreed to mediation of insurance company's products as of 1 January 2006, shall by 1 July 2006 submit an application to the Law on Insurance § 7-1 and § 7-10.
If the Financial Supervisory Authority decides otherwise undertakings mentioned in subsections that have applied before 1 July 2006, continue their activities until FSA or insurance company has made a decision on registration.
Insurance undertaking's register of insurance agencies under the Act on Insurance Mediation § 7.1 shall be effective from 1 May 2006.
FSA may issue further transitional rules.