Ireland’s Financial Regulator will publish a list of authorised reinsurers
DIMA has welcomed the transposition of the Reinsurance Directive into full European legislation today.
This has created a standard level of supervision for Europe, and European reinsurers in compliant member states can now operate across the EU using “passporting” provisions.
The transposition of the Reinsurance Directive is a significant step for the European reinsurance industry towards the proposed risk-based regulatory regime under the draft Solvency II Directive.
Ireland was the first country to transpose the Reinsurance Directive, when it was brought into domestic legislation in July 2006.
Since then, existing reinsurers operating in Ireland have been aligning the structure of their operations with the requirements of the Directive and guidance issued by Ireland’s Financial Regulator.
Several reinsurers have set up operations in Dublin since the Directive was transposed locally, including XL Re and Partner Re.
Sarah Goddard, CEO of DIMA, stated: “Today signals a new stage in the progression of reinsurance regulation in Europe. From now, reinsurers operating from European Member States which have transposed the Reinsurance Directive will have the freedom to write business across the European Union. In Dublin, this means that more than 100 reinsurance operations can write business in 27 countries around Europe on a regulatory level playing field.”
Ireland’s Financial Regulator will publish a list of authorised reinsurers soon. It is expected that there will be in excess of 110 companies on that list, reflecting both the addition of several reinsurers since the provisions of the directive were introduced in Ireland in July 2006, and “housekeeping” effects existing reinsurers have undertaken. Such effects include the consolidation of several different operations into a single licensed entity, or the official cessation of operations which had been dormant for significant periods of time.