Insurance Distribution Act Amending Act 2018: Numerous Changes For Insurers And Reinsurers

The Austrian parliament recently adopted the government bill for the new Insurance Distribution Act Amending Act 2018 [Versicherungsvertriebsrechts-Änderungsgesetz 2018], which will transpose the Insurance Distribution Directive into Austrian law. For the time being, this only affects insurance and reinsurance companies; there are no transposition measures for insurance intermediaries as yet. The main changes relate to comprehensive information obligations, rules regarding remuneration, stricter provisions concerning product approval procedures and mandatory further training. Another area covered in detail by the new law is the distribution of insurance-based investment products.

The Austrian parliament adopted the government bill for the new Insurance Distribution Act Amending Act 2018 [Versicherungsvertriebsrechts-Änderungsgesetz 2018 – VersVertrRÄG 2018; the "Bill"], which will transpose the Insurance Distribution Directive (EU) 2016/97 ("Directive") into