Switzerland cooperates with the EU in insurance supervision
Bern, 11.04.2006 - The Federal Office of Private Insurance (FOPI) has signed a Memorandum of Understanding (MoU) with the insurance supervisory authorities of most Member States of the European Union (EU) and the European Economic Area (EEA). Specifically, this MoU aims to foster the cooperation required for supervising insurance groups and financial conglomerates. It also aims to facilitate the assistance and exchange of information that is needed for fulfilling all insurance supervisory tasks.
An insurance company that belongs to an insurance group or a financial conglomerate can no longer be supervised efficiently without addressing its financial involvement in companies located in other countries. An efficient means of cooperation between the competent authorities in these countries is therefore essential for a global approach to solvency and risk management. The EU and Switzerland have recognised this need.
This is why the Federal Office of Private Insurance and the Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS), representing the competent authorities of the EU states and the EEA states, have negotiated a joint Memorandum of Understanding. The Memoranda signed up to now by the FOPI, and the authorities of some 20 EU and EEA Member States will enter into force with immediate effect.
The goal of these Memoranda is to facilitate cooperation and the exchange of information between the competent supervisory authorities and in particular to include FOPI in the work of the Coordination Committees established by the Helsinki protocol (http://www.ceiops.org/content/view/19/23) in applying Directive 98/78/EC on the supervision of insurance groups.
Each authority will cooperate according to its legal, regulatory and administrative remits, which are not modified in any way by the Memorandum. The Memorandum contains the general principles of cooperation, details of the information request procedure, and rules protecting the confidentiality and use of any information exchanged.
Switzerland has adopted a new law on insurance supervision which came into force on 1 January 2006, and provides a legal basis for the supervision of financial conglomerates, set up previously by individual administrative decisions, and for the supervision of insurance groups.
Please also see the press release of CEIOPS at: www.ceiops.org
Address for enquiries
Valérie Staehli, Federal Office of Private Insurance, tel. 022 320 08 73
Links
Publisher
Federal Office of Private Insurance
http://www.bpv.admin.ch
