Implementation of the Third Life Assurance Directive

The Third Life Assurance Directive was transposed into Irish law on 29 November 1994 with the making of regulations by the Minister for Enterprise and Employment (the "Regulations"). An insurer authorised in another European Union member state may now carry on business in Ireland without the requirement for an authorisation issued by the Irish regulators. Article 10, reflecting the essential thrust of the Directive, states that:

• "the financial supervision of an insurance undertaking, including the carrying on of insurance business either by way of services or through branches shall be the sole responsibility of the home member state."

While the Directive seeks to achieve liberalisation under the services regime and the establishment regime, Irish domestic tax provisions mean that, in practice, only the establishment regime will be implemented.