online

Proposed changes to the minimum levels of indemnity

Within its latest quarterly consultation paper (CP20/23), the FCA is proposing changes to the minimum levels of indemnity for firms falling within the scope of the Insurance Distribution Directive (IDD).

Firms falling within the scope of the IDD are required to hold minimum levels of PII cover and these limits are reviewed periodically by the European Insurance and Occupational Pensions Authority (EIOPA) and revised by the EU Commission via regulatory technical standards. The latest review of these limits, as part of the 5-year review cycle, was concluded towards the end of 2019. The revised limits should have been applied from 12 June 2020, but the FCA delayed its consultation on these changes to avoid adding additional regulatory costs while firms were dealing with challenges arising from the Covid-19 pandemic.

If you’re not a client, to read this content you must sign up for a free guest account

Clients of threesixty are kept up to speed with the latest regulatory, industry and technical developments via our regular news and opinions articles.

As well as being updated via the articles we publish to threesixty online, clients can specify to us what type of articles they want to receive (by category) and how frequently they receive them.

To try this service, simply register your details with us and we'll give you 3 months free and unlimited access to our news and opinions.