EIOPA launches public consultation on the use of governance
arrangements in third countries
The European Insurance and Occupational Pensions Authority
(‘EIOPA') has launched a public consultation regarding
a draft supervisory statement on the use of governance arrangements
in third countries.
EIOPA aims to improve the supervision and monitoring of
insurance undertakings' and intermediaries' compliance
with relevant EU legislation concerning governance arrangements in
third countries.
EIOPA had previously emphasised the need for insurance
undertakings to not display the characteristics of an empty shell
company, and to instead exhibit an appropriate level of corporate
substance. This includes the presence of key decision-makers,
function holders and staff to an extent proportionate to the
nature, scale and complexity of the entity's business in the
European Economic Area (‘EEA').
