EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 1
SUBSIDIARY LEGISLATION 403.14
EUROPEAN PASSPORT RIGHTS FOR INSURANCE 
AND REINSURANCE UNDERTAKINGS 
REGULATIONS
1st January, 2016*
LEGAL NOTICE 399 of 2015, as amended by Legal Notice 279 of 2021.
PRELIMINARY
Citation and scope.
Amended by:
L.N. 279 of 2021.1. (1) The title of these regulations is the European Passport
Rights for Insurance and Reinsura nce Undertakings Regulations.
(2) The purpose of these regulations is to implement Articles
13 (in part), 30(3), 33, 39(6) ( in part), 144(2), 145(1), (2)(a ) to (d),
(3) and (4), 146, 147, 148, 149, 150(1) and (2), 152a(2), (3) a nd (4),
152b, 155(1) to (4) and (6) to ( 9), 156, 158 and 189 of the Sol vency
II Directive and shall be inter preted and applied accordingly.
Interpretation. 2. (1) In these regulations, unless the context otherwise
requires -
Cap. 403. "the Act" means the Insurance Business Act;
"branch" means an agency or branch of an insurance or
reinsurance undertaking which is located in the territory of a
Member State or EEA State, other than the home Member State,and includes any permanent presence of an undertaking in the
territory of a Member State or EEA State, even if that presence
does not take the form of a branch but consists merely of an of fice
managed by the own staff of the undertaking or by a person who is
independent but has permanent authority to act for the undertak ing
as an agency would; 
"Commission" means the Commission of the European Union;
Cap. 330."competent authority" means t he Malta Financial Services
Authority established by the Malta Financial Services Authority
Act;
"EEA State" means a State which is a contracting party to the
agreement on the European Econo mic Area signed at Oporto on 2
May, 1992 as amended by the Protocol signed at Brussels on the
17th March, 1993 and as amended from time to time;
"European insurance undertaking" means an undertaking having
its head office in a Member St ate or an EEA State, other than
Malta, pursuing the activity of d irect insurance within the mea ning
of Article 2 of the Solvency I I Directive which has received
authorisation in accordance with Article 14 of the Solvency II
Directive;
"European reinsurance undertaking" means an undertaking
having its head office in a Member State or an EEA State, otherthan Malta, pursuing business rest ricted to reinsurance within the
*see regulation 1(3) of these Re gulations, as originally promul gated.
2 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
meaning of Article 2 of the Solvency II Directive which has
received authorisation in accordance with Article 14 of the
Solvency II Directive;
"European regulatory authority" means the supervisory authority
or supervisory authorities as def ined in Article 13(10) of the
Solvency II Directive, designate d by a Member State or EEA Stat e,
other than Malta, empowered by law or regulation to supervise
European insurance undertaki ngs or European reinsurance
undertakings;
"European right" means the en titlement of an insurance or
reinsurance undertaking to establish a branch, or provide servi ces,
in a Member State or an EEA State other than that in which it h as
its head office -
(a) in accordance with the Treaty as applied in a Member
State or an EEA State;
(b) subject to the requirem ents of the Solvency II
Directive and subject to any regulations made under
the Act, or Insurance Rules issued by the competent
authority pursuant to the Act, implementing suchrequirements;
"home Member State" mean s any of the following:
(a) for general business of ins urance, the Member State or
EEA State in which the head office of the insuranceundertaking covering the risk is situated; or
(b) for long term business, the Member State or EEA State
in which the head office of the insurance undertaking
covering the commitment is situated; or
(c) for reinsurance, the Member State or EEA State in
which the head office of the reinsurance undertaking is
situated.
"host Member State" means the Member State or EEA State,
other than Malta, in which a Mal tese insurance undertaking or a
Maltese reinsurance undertaking exercises or proposes to exerci se a
European right; for long term and general business of insurance ,
the Member State of the provision of services means, respective ly,
the Member State or EEA State of the commitment or the Member
State or EEA State in which the risk is situated, where that
commitment or risk is covered by  a Maltese insurance undertakin g
or a branch of the undertaking situated in another Member State  or
EEA State;
"Insurance Rules" has the same meaning as is assigned to it by
article 2 of the Act;
"Maltese insurance undertaking" means an undertaking
authorised in terms of the Act, whose head office is in Malta a nd
which is entitled to carry on business of insurance in a MemberState or EEA State, in exercise of a European right but exclude s an
undertaking whose business is  restricted to  reinsurance;
"Maltese reinsurance undert aking" means an undertaking
authorised in terms of the Act to carry on business restricted to
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 3
reinsurance, whose head office is in Malta and which is entitle d to
carry on business in a Member State or EEA State in exercise of  a
European right;
"Maltese rules" means rules -
(a) made pursuant to the So lvency II Directive; and
(b) which are the responsibility of the competent authority
(as to implementation, e nforcement and compliance)
and subject to the provisions of the Act and any
regulations and Insurance Rules made thereunder;
"Member State" means a Member  State of the European Union;
Cap. 104. "Ordinance" means the Motor Ve hicle Insurance (Third-Party
Risks) Ordinance, or any enactme nt replacing that law, and any
regulations made thereunder;
"risk situated in a Member  State or EEA State" means:
(a) the Member State or EEA State in which the property
is situated, where the insurance relates either to
buildings or to buildings and their contents, in so far as
the contents are covered by the same insurance policy;
(b) the Member State or EEA State of registration where
the insurance relates to vehicles of any type;
(c) the Member State or EEA State where the policyholder
took out the policy in the cas e of policies of a duration
of four months or less, covering travel or holiday risks,whatever the cla ss concerned; or
(d) in all cases not explicitly covered by paragraphs ( a),
(b), and ( c), the Member State or EEA State in which
either of the following is situated:
(i) the habitual residen ce of the policyholder; or
(ii) if the policyholder is a legal person, that
policyholder’s establishment to which the
contract relates; 
"Solvency II Directive" means Directive 2009/138/EC of the
European Parliament and of the C ouncil of 25 November 2009 on
the taking-up and pursuit of the business of Insurance and
Reinsurance (Solvency II) (recast) as amended from time to time
and includes any delegated acts and any technical standards tha t
have been or may be issued thereunder;
"Treaty" means Treaty of Rome signed in 1957, establishing the
European Economic Community and as subsequently amended;
"Tribunal" means the Financial Se rvices Tribunal referred to in
article 57 of the Act.
(2) Words and expressions used in these regulations which are
also used in the Act but which are not defined herein, shall ha ve the
same meaning assigned to them as in the Act.
(3) These regulations shall apply to a European reinsurance
undertaking or a Maltese reinsurance undertaking in the followi ng
manner:
4 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
(a) in the case of a European r einsurance undertaking, the
Preliminary and Part III a nd VI thereof shall apply;
and
(b) in the case of a Maltese reinsurance undertaking, the
Preliminary and Part I V thereof shall apply.
PART I
Exercise of Passport Rights by European Insurance Undertakings
Exercise of 
passport rights by 
European 
insurance undertakings - 
establishment.3.(1) A European insurance undertaking which is seeking to
establish a branch in Malta in ex ercise of a European right sha ll
satisfy the establishment conditions specified in sub-regulatio n (2)
and shall be exempt from the A ct in accordance with the provisi ons
of article 6 of the said Act.
(2) The establishment conditions for the purposes of this
regulation are that - 
(a) the European insurance undertaking has given to its
European regulatory authority a notice containing the
r e q u i s i t e  d e t a i l s  i n  t e r m s  o f  A r t i c l e  1 4 5  o f  t h eSolvency II Directive;
(b) the competent authori ty has received from the
European regulatory authority of such European
insurance undertaking a co nsent notice in accordance
with paragraph ( c) stating that it has given its consent
to the insurance undertaking to establish a branch in
Malta; and
(c) the consent notice shall include:
(i) a scheme of operations setting out, inter alia , the
types of business envisaged and the structural
organisation of the branch;
(ii) the address in Malta from where documents may
be obtained and to which  they may be delivered,
and such address shall be the one to which all
communications to the general representative
are to be sent;
(iii) the name of the general representative who must
possess sufficient powers to bind the insurance
undertaking in relation to third parties, and to
represent it or them in relations with thecompetent authority and courts in Malta;
(iv) a certificate issued by the European regulatory
authority of the European insurance undertaking
attesting that such undertaking covers theSolvency Capital Requirement and the Minimum
Capital Requirement calculated in accordance
with Articles 100 and 129 of the Solvency IIDirective;
(v) confirmation that such European insurance
undertaking is authorised to carry on the
business of insurance which it proposes to carryon in Malta; and
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 5
S.L. 403.13(vi) details of any insurance guarantee scheme, if
applicable, which is intended to protect thebranch’s policyholders in a manner not being
less favourable than that prescribed in Part III of
the Protection and Compensation FundRegulations. 
(3) The European insurance undertaking shall inform the
competent authority of any change in the details of an insuranc e
guarantee scheme referred to in sub-regulation (2).
(4) Before the branch of a Eu ropean insurance undertaking
commences business, the competent authority shall, within two
months of receiving the information referred to in sub-regulati on
(2), inform the European regulat ory authority concerned of the
applicable provisions under which, in the interest of the gener al
good, that business shall be carried on in Malta:
Provided that a European insurance undertaking may
establish the branch and commen ce business as from the date upo n
which the European regulatory authority concerned has received
the applicable provisions, or, if no applicable provisions are
received, on the expiry of the pe riod referred to in this sub-
regulation.
(5) In the event of a change in any of the particulars
communicated in accordance with sub-regulation (2)( c)(i), (ii) and
(iii), the European insurance undertaking shall give written no tice
of the change to its European regulatory authority and to thecompetent authority at least one month before implementing the
change so that the authorities concerned may fulfil their oblig ations
under Article 146 of the Solvency II Directive. 
(6) For the purpose of this regulation, "applicable provisions"
means the Maltese rules in acc ordance with which the European
insurance undertaking is required to comply when carrying on th e
class or classes of long term bus iness or class or classes or p art
classes of general business, identified in the consent notice,through a branch in Malta.
Exercise of 
passport rights by 
European 
insurance undertakings -  
services.4. (1) A European insurance under taking which is seeking to
provide services in Malta in exercise of a European right shall
satisfy the service conditions specified in sub-regulation (2) and
shall be exempt from the Act in a ccordance with the provisions of
article 6 of the said Act.
(2) The service conditions for the purposes of this regulation
are that - 
(a) the European insurance undertaking has given its
European regulatory author ity a notice of intention to
provide services in Malta with  the requisite details in
terms of Article 147 of the Solvency II Directive;
(b) the competent authority has  received a notice of such
intention from the European regulatory authority of
the European insurance undertaking containing the
following information and documentation:
6 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
(i) a certificate attesting that the European
insurance undertaking covers the Solvency
Capital Requirement and the Minimum CapitalRequirement calculated in accordance with
Articles 100 and 129 of the Solvency II
Directive; 
(ii) the class or classes of long term business or class
or classes or part classes of general business
which the European insurance undertaking has
been authorise d to offer;
(iii) the nature of the risks which the undertaking
proposes to cover or the commitments which it
proposes to unde rtake in Malta.
(3) When the competent author ity has received such a notice
from the European regulatory authority of the European insuranc e
undertaking and has been informed of the intention of the Europ ean
insurance undertaking to provide services in Malta, it shall, w here
appropriate, notify the European insurance undertaking and the
European regulatory authority of  the applicable provisions, if any.
(4) The European insurance undertaking may commence to
provide services in Malta as from the date on which it is infor med
that the notice of intention referred to in sub-regulation (2)( b) has
been given to the co mpetent authority.
( 5 ) I n  t h e  e v e n t  o f  a  c h a n g e  i n  t h e  n a t u r e  o f  t h e  r i s k s  o r
commitments it proposes to cover in Malta, the European insuran ce
undertaking shall give written no tice of that change to its Eur opean
regulatory authority before implementing such change. Before su ch
changes are implemented, the competent authority shall be
informed of such changes by the European regulatory authorityconcerned.
(6) For the purposes of this regulation, "applicable provisions"
means the Maltese rules in acco rdance with which the European
insurance undertaking is required to comply when providingservices in Malta in the class or  classes of long term business  or
class or classes or part classes of general business, identifie d in the
notice provided by its Europ ean regulatory authority.
European 
insurance 
undertaking covering risks 
relating to class 10.5. (1) Any European insurance undertaking intending to carry
on business of insurance in Malta  in exercise of a European rig ht,
covering a risk relating to class 10 of Part 1 of the Third Sch edule
to the Act, other than carrier’s liability, shall be required t o provide
the competent authority with the information contained in
Insurance Rules issued for the  purposes of these regulations.
S.L. 403.13(2) Where a European insurance undertaking, through an
establishment situated in a Member State or EEA State, other th an
Malta, intends to cover a risk situated in Malta in class 10 of  Part 1
of the Third Schedule to the Act, other than carrier’s liabilit y, the
competent authority shall require that undertaking to become amember of and participate in the financing of the Motor Insurer s’
Bureau in Malta and the Protecti on and Compensation Fund for th e
purposes of Part IV of the Pro tection and Comp ensation Fund
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 7
Regulations.
(3) The financial contribution referred to in sub-regulation (2)
shall only be made in relation to risks under class 10 of Part 1 of
the Third Schedule to the Act, o ther than carrier’s liability, covered
by way of provision of services.
(4) The financial contribution shall be calculated on the same
basis as for European insurance  undertakings covering the risks
referred to in sub-regulation (2), through an establishment sit uated
in Malta. This calculation shall be made by reference to the
European insurance undertaking’s premium income from that class
in Malta.
Advertising. 6. A European insurance undertaking pursuing activities in
Malta in exercise of a European right shall not be prohibited f rom
advertising its services through all available means ofcommunication in Malta provided that it complies with Insurance
Rules issued by the competent authority in the interest of the
general good.
On-site 
verifications.7.(1) Where a European insurance undertaking carries on
business of insurance in Malta through a branch in exercise of a
European right, its Eu ropean regulatory auth ority may, after ha ving
first informed the competent authority, carry out itself or thr ough
an intermediary it appoints for that purpose, on-site verificat ion of
the information necessary to ensu re the financial supervision o f the
undertaking. The competent authority may participate in that
verification.
( 2 ) W h e r e  t h e  c o m p e t e n t  a u t h o r i t y  i s  u n a b l e  t o  e x e r c i s e  i t s
right to participate in accordance with sub-regulation (1), it may
refer the matter to EIOPA and request its assistance in accorda nce
with Article 19 of Regulation (EU) No 1094/2010.
(3) Where the competent authority has reason to consider that
the activities of a European ins urance undertaking, carrying on
business of insurance in exercise of a European right in Malta,might affect financial soundness of the European insurance
undertaking, it shall inform the European regulatory authority of
that undertaking.
PART II 
Exercise of Passport Rights by Maltese Insurance Undertakings
Exercise of 
passport rights by Maltese insurance 
undertakings - 
establishment.8.(1) A Maltese insurance undertaking may exercise a
European right to establish a br anch if it satisfies the requir ements
set out in the following pr ovisions of this regulation.
( 2 ) P u r s u a n t  t o  a r t i c l e  1 0 ( 3 )  o f  t h e  A c t ,  a  M a l t e s e  i n s u r a n c e
undertaking intending to establish a branch in exercise of a
European right shall  give the competent authority a notice of
intention which shall contain -
(a) the Member State or EEA State within the territory of
which the insurance underta king proposes to establish
a branch;
(b) a scheme of operations setting out, inter alia, the types
8 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
of business envisaged and th e structural organisation
of the branch;
(c) the address of the proposed branch from where
documents may be obtained and to which they may bedelivered, and such address shall be the one to which
all communications to the ge neral representative are to
be sent;
(d) the name of the branch’s general representative who
must possess sufficient powers to bind the insurance
undertaking in relation to thi rd parties and to represent
it in relations with the authorities and courts of thehost Member State; and
(e) such other information as may be specified by means
of Insurance Rules.
(3) Without prejudice to sub-regulations (5), (6) and (7), the
competent authority shall give  a consent notice within the mean ing
of sub-regulation (4) to the European regulatory authorityconcerned within three months of receiving a complete notice of
intention.
(4) The consent notice shall -
(a) be given in accordance with  the Solvency II Directive;
(b) attest that the Maltese insurance undertaking covers
the Solvency Capital Requirement and the Minimum
Capital Requirement calcu lated in accordance with
articles 15 and 17 of the Act;
(c) confirm that the Maltese insurance undertaking is
authorised to carry on the classes of business of
insurance which the bran ch proposes to carry on;
(d) contain the information stated in the notice of
intention of the Maltese insurance undertaking; and
(e) include such other information as may be established
by means of Insurance Rules.
(5) ( a) Unless the competent author ity has reason to doubt the
adequacy of the system of governance, or the financial
situation of the Maltese i nsurance undertaking or the
fit and proper requirements in accordance with Article
42 of the Solvency II Directive of the general
representative, taking in to account the business
planned, it shall, within th ree months of receiving the
information referred in sub-regulation (2)( b), (c) and
(d), communicate that information to the European
regulatory authority of the branch and shall inform the
undertaking concerned accordingly.
(b) Where the competent authority refuses to
communicate the information referred to in sub-
regulation (2) to the European regulatory authority ofthe branch, it shall give the reasons for its refusal to
the undertaking concerned within three months of
receiving all the in formation in question. The refusal
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 9
or failure to act in the period stipulated shall be subject
to a right of appeal to the Tribunal and the provisionsof article 58 of the Act shall apply mutatis mutandis . 
(6) On receiving a communi cation from the European
regulatory authority of the branch, or if no communication is
received by the competen t authority from that European regulato ry
authority within two months of communicating the notice referre d
to in sub-regulation (3), the Ma ltese insurance undertaking may
establish the branch and commence business in that Member State
or EEA State.
(7) Any communication relating to the applicable provisions
under which that business must be carried on in the host Member
State shall be communicated to the undertaking concerned.
(8) In the event of a change in any of the particulars
communicated in accordance  with sub-regulation (2)( b), (c) and ( d)
the Maltese insurance undertaking  shall give written notice of the
change to the competent authority and to the European regulator y
authority of the branch at least one month before implementing the
change.
(9) For the purposes o f this regulation -
"applicable provisions" means the host state rules with which t he
Maltese insurance undertaking is required to comply when
conducting business through the proposed branch in the hostMember State concerned;
"host state rules" means rules ma de by the European regulatory
authority concerned in accordan ce with the Solvency II Directiv e.
Exercise of 
passport rights by Maltese insurance 
undertakings - 
services.9.(1) A Maltese insurance undertaking which intends to
provide services for the first time in one or more Member State s or
EEA States in exercise of a European right shall first provide a
notice of intention to the competent authority indicating:
(a) the nature of the commitments it proposes to cover, or
the risks which it proposes to undertake;
(b) the Member State or EEA State in which it intends to
operate; and
(c) such other information as may be specified in
Insurance Rules.
(2) The competent authority shall, within one month of
receiving the notice of intention give a consent notice to the
European regulatory author ity concerned containing -
(a) a certificate attesting that the Maltese insurance
undertaking covers the Solvency Capital Requirementand the Minimum Capital Requirement calculated in
accordance with articles 15 and 17 of the Act;
(b) the class or classes of long term business or class or
classes or part classes of g eneral business which the
insurance undertaking has b een authorised to carry on;
and
(c) the nature of the risks which the insurance undertaking
10 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
proposes to undertake or commitments it proposes to
cover in the host Member State.
(3) When the competent authority sends the information
contained under sub-regulation (2), it shall give written notic e to
the Maltese insurance undertak ing concerned. The Maltese
insurance undertaking may, after having received such written
notice, start to provide the services in question in the host M ember
State:
Provided that, where appropria te, the European regulatory
authority concerned communicates to the competent authority, an y
conditions with which, in the interest of the general good, the
undertaking is required to comply with in the host Member State ,
the competent authority shall, on receipt of such information,inform the Maltese insur ance undertaking accordingly.
(4) Where the competent authority does not provide a consent
notice within the period indicat ed in sub-regulation (2) it sha ll give
written notice to the Maltese  insurance undertaking of -
(a) its refusal to give a consent notice; and
(b) its reasons for that refusal:
Provided that, such notice is subject to a right of appeal to
the Tribunal and the provisions of article 58 of the Act shall apply
mutatis mutandis .
(5) In the event of a change in any of the particulars provided
by the Maltese insurance undertaking in the notice of intention , the
Maltese insurance undertaking sh all give written notice of that
change to the competent authority and the procedure provided fo r
in this regulation shal l apply accordingly. 
PART III
European Reinsurance Undertak ings Carrying On Business
of Reinsurance in Malta
Exercise of 
passport rights by 
European 
reinsurance undertakings.10. (1) Subject to sub-regulation (2), a European reinsurance
undertaking authorised in accordance with Article 14 of the
Solvency II Dir ective, shall be entitled to carry on business o f
reinsurance in Malta under the r ight of establishment or freedo m to
provide services in exerci se of a European right.
(2) The entitlement to carry on business of reinsurance in Malta
is to be treated as being on conditions or terms equivalent to those
set out in the authorisation issued to a European reinsurance
undertaking by its European regulatory authority; and shall berestricted to the bu siness of reinsurance which the European
reinsurance undertaking is authorised to carry on by its Europe an
regulatory authority.
(3) Where the competent authority has reason to consider that
the activities of a European reinsurance undertaking, carrying on
business of reinsurance in exerci se of a European right in Malt a,
might affect the financial soundness of the European reinsuranc e
undertaking, it shall inform the European regulatory authority of
that undertaking.
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 11
(4) Where a European reinsurance undertaking carries on
business of reinsurance in Malta through a branch in exercise o f
European right, its Eu ropean regulatory auth ority may, after ha ving
first informed the competent authority, carry out itself, or th rough
an intermediary it appoints for that purpose, on-site verificat ion of
the information necessary to ensu re the financial supervision o f the
undertaking. The competent authority may participate in that
verification.
( 5 ) W h e r e  t h e  c o m p e t e n t  a u t h o r i t y  i s  u n a b l e  t o  e x e r c i s e  i t s
right to participate in accordance with sub-regulation (4), it may
refer the matter to EIOPA and request its assistance in accorda nce
with Article 19 of Regulation (EU) No 1094/2010.
Contravention by 
European 
reinsurance undertakings.11. (1) Where the competent authority ascertains that a
European reinsurance undertaking which has established a branch
in Malta or provides services in Malta has contravened or is li kely
to contravene the Maltese rules , it shall, in writing, require the
European reinsurance undertaking to remedy that irregular
situation. At the same time, the competent authority shall refe r
those findings to the European regulatory authority of that
undertaking.
(2) If despite the measures taken by the European regulatory
authority, or because such measures prove inadequate, the
European reinsurance undertaking persists in violating the Malt ese
rules referred to in sub-regula tion (1) in force in Malta, the
competent authority may, after in forming the Eur opean regulator y
authority, take appropriate measur es to prevent or penalise fur ther
irregularities, inclu ding, in so far as is strictly necessary, to prevent
that European reinsurance undertaking from continuing to conclu de
new reinsurance contracts in Malta. In addition, the competentauthority may refer the matter to EIOPA and request its assista nce
in accordance with Article 19 of Regulation (EU) 1094/2010.
(3) Without prejudice to the requirement contained in
regulation 12(2)( c) for the purposes of this regulation, the
competent authority may require a European reinsuranceundertaking which carries on business of insurance in Malta
pursuant to these regulations to appoint a person on whom to se rve
the legal documents nece ssary for such measures.
(4) Any measure adopted pursuant to this regulation, involving
sanctions or restrictions on th e conduct of the business of
reinsurance, shall be communicat ed to the European reinsurance
undertaking concerned in writing,  together with reasons justify ing
such measures.
PART IV
Exercise of Passport Rights by M altese Reinsuran ce Undertakings
12 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
Exercise of 
passport rights by 
Maltese 
reinsurance undertakings - 
establishment.12. (1) No Maltese reinsurance undertaking authorised under
the Act shall establish a branch in a Member State or EEA State  in
exercise of a European right without the written consent of the
competent authority.
(2) Pursuant to article 10(3) of the Act, a Maltese reinsurance
undertaking intending to establish a branch in exercise of aEuropean right shall give the competent authority the following
information -
(a) the Member State or EEA State within the territory of
which the undertaking proposed to establish a branch;
(b) the address of the proposed branch from where the
documents may be obtained and to which they may bedelivered and such address shall be the one to which
all communications to the ge neral representative are to
be sent;
(c) the name of the branch’s general representative who
must possess sufficient powers to bind the undertaking
in relation to third parties and represent it in relationauthorities and courts of the host Member State;
(d) the type of reinsurance act ivity, according to Article
15(5) of the Solvency II Directive into which the
planned business falls; and
(e) such other information as may be specified by means
of Insurance Rules.
(3) The competent authority shall forward the information
referred to in sub-regulation (2 ) to the European regulatory
authority of the branch within one month of receiving such
information from the Maltes e reinsurance undertaking.
(4) In the event of a change in any of the information
communicated in accordance with sub-regulation (2), the Maltesereinsurance undertaking shall inform the competent authority. T he
competent authority shall inform  the European regulatory author ity
of the branch of such change, as soon as possible and in any ev ent
no later than one month after hav ing received the information f rom
the Maltese insurance undertaking.
PART V
European Insurance Undertakings Not Complying
with Legal Provisions
Contravention by 
European insurance 
undertakings.13. (1) Where the competent authority ascertains that a
European insurance undertaking wh ich has established a branch i n
Malta or provides services in Malta -
(a) has contravened or is likely to contravene the Maltese
rules;
(b) in purported compliance with any such provisions, has
furnished it with false, inaccurate or misleadinginformation; or
(c) has failed to comply with any condition, limitation,
requirement, directive or o rder made or given under
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 13
any of the provisions of the Act, or of any regulations
made thereunder or any Insurance Rules,
it shall, in writing, require the  insurance undertaking concern ed to
remedy such irregularity.
(2) If the European insurance un dertaking concerned fails to
take necessary steps to reme dy that irregular situation, the
competent authority sha ll inform the Europ ean regulatory author ity
of the European insurance undertaking of such failure, and requ est
the European regulatory authority, at the earliest opportunity,  to
take all appropriate measures to ensure that the European insur ance
undertaking concerned remedies tha t irregular situation. The na ture
of those measures shall be communicated to the competent
authority.
(3) If, despite the measures tak en by the European regulatory
authority, or because those measures prove to be inadequate or are
insufficient, the European insurance undertaking persists inviolating the legal or regulatory provisions referred to in sub -
regulation (1) in force in Malta , the competent authority may, after
informing the European  regulatory authorit y, take appropriate
measures to prevent or penalise further irregularities, includi ng, in
so far as is strictly necessary, to prevent that insurance unde rtaking
from continuing to conclude new insurance contracts in Malta. I n
addition, the competent authority, may refer the matter to EIOP A
and request its assistance in accordance with Article 19 of
Regulation (EU) No. 1094/2010.
(4) Without prejudice to the requirement contained in
regulation 8(2)( d), for the purposes of this regulation, the
competent authority may require the European insurance
undertaking which carries on bus iness of insurance in Malta,
pursuant to these regulations, to appoint a person on whom to s erve
the legal documents nece ssary for such measures.
(5) Without prejudice to sub-regulations (1), (2) and (3), the
competent authority may take appropriate emergency measures to
prevent or sanction irregularities within its territories, incl uding the
possibility of preventing a European insurance undertaking fromcontinuing to conclude new insurance contracts in Malta.
(6) Any measure adopted pursuant to this regulation involving
restrictions on the conduct of insurance business shall be
communicated to the European ins urance undertaking concerned in
writing, together with reasons  justifying such measures.
(7) A European insurance undertaking shall submit to the
competent authority at its reque st, all documents requested of it for
the purposes of this regulation to the extent that a Maltese
insurance undertaking is required to do so in terms of Maltese law.
(8) If a European insurance undertaking which is in breach of
any provisions of these regulations has an establishment or
possesses property of any description in Malta, the competentauthority may, in accordance with national law, impose an
administrative penalty pursuant to article 67 of the Act.
(9) Where the competent authority is informed by a European
14 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
regulatory authority of the withdrawal of the authorisation of a
European insurance undertaking carrying on business of insuranc e
in Malta in the exercise of a European right, it shall takeappropriate measures to prevent the undertaking concerned from
concluding new insurance contract s in Malta under either the ri ght
of establishment or the freedom  to provide services. The compet ent
authority shall, in conjunction with those authorities, take al l
necessary measures to safeguard th e interests of insured person s,
policyholders, creditors and other interested persons and shallrestrict, in particular, the fr ee disposal of assets of the und ertaking
pursuant to Article 144(2) of the  Solvency II Directive and may
make or issue public statements or notices in relation to thesemeasures.
Added by:
L.N. 279 of 2021.PART V bis
Notifications and Collaboration Pl atforms - Maltese Insurance a nd 
Maltese Reinsurance Undertakings
Notification to 
EIOPA and the 
relevant European regulatory 
authority.13A.  (1)Where the competent author ity identifies  deteriorating
financial conditions or other emerging risks posed by a Maltese
insurance undertaking or a Maltese reinsurance undertakingcarrying out activities in exercise of a European right and whi ch
may have a cross-border effect, the competent authority shall,
without prejudice to any of its powers under these regulations or
any other law, also notify:  
(a) EIOPA; and 
(b) the relevant European regulatory authority:
Provided that the competent authority shall ensure that
such notification shall be sufficiently detailed to allow for a  p r o p e r
assessment.
(2) Where no bilateral solution can be found between the
competent authority a nd the relevant European regulatory
authority, the competent authority may refer the matter to EIOP A
and request its assistance. 
Collaboration 
platforms.13B. (1)Without prejudice to any of its powers under these
regulations or any other law and to the right of the competent
authority to set up a collaboration platform with other relevan t
European regulatory authorities w here they jointly so agree, th e
competent authority may request EIOPA to set up and coordinate a
collaboration pl atform to strengthen the exchange of informatio n
and to enhance collaboration between the relevant Europeanregulatory authorities including the competent authority. The
competent authority may request t o set up the said collaboratio n
platform where a Maltese insurance undertaking or Maltesereinsurance undertaking carries out activities in exercise of a
European right and where:
(a) such activities are of relevance with respect to
another host Member  State's market;
EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS [S.L.403.14 15
(b) a notification by the competent authority of
deteriorating financial conditi ons or other emerging risks has
been made under regulation 13A(1); or
(c) the matter has been referred to EIOPA by the
competent authority under regulation 13A(2) or by a relevantEuropean regulatory authority in terms of Article 152a(2) of th e
Solvency II Directive. 
(2) Without prejudice to Article 35 of Regulation (EU) No
1094/2010, at the request of EIOPA, the competent authority sha ll
provide to EIOPA all the necessary information in a timely mann er
to allow for the proper functioni ng of the collaboration platfo rm. 
PART V ter
Notifications and Collaboration Pl atforms - European Insurance and 
European Reinsurance Undertakings
Notification to the 
relevant European regulatory 
authority.13C. (1)Without prejudice to any of its powers under these
regulations or under any other law, where the competent authori ty
has serious and reasoned concerns with regard to consumer
protection being posed by a European insurance undertaking or a
European reinsurance undertaking carrying out activities in Mal ta
in exercise of a European right, it may notify the European
regulatory authority of such European insurance undertaking or of
such European r einsurance undertaking,  as the case may be:
Provided that the competent au thority shall ensure that such
notification shall be sufficiently detailed to allow for a prop er
assessment. 
(2) Where no bilateral solution can be found between the
competent authority an d the relevant European regulatory author ity
in receipt of the notification made under sub-regulation (1), t he
competent authority may refer the matter to EIOPA and request i ts
assistance.  
Collaboration 
platforms.13D. (1)Without prejudice to any of its powers under these
regulations or any other law and to the right of the competent
authority to set up a collaboration platform with other relevan t
European regulatory authorities where they jointly so agree, th e
competent authority may request EIOPA to set up and coordinate a
collaboration platform to strengthen the exchange of informatio n
and to enhance collaboration between the relevant Europeanregulatory authorities including the competent authority. The s aid
collaboration platform may be set up, where a European insuranc e
undertaking or a European reinsurance undertaking carries outactivities in exercise of a Europ ean right in Malta, and where:
(a) such activities are of relevance to the market in
Malta;
(b) a notification by the European regulatory
authority of deteriorating financial conditions or other emergi ng
risks has been made under Article 152a(2) of the Solvency II
16 [S.L.403.14EUROPEAN P ASSPORT RIGHTS FOR INSURANCE
AND REINSURANCE UNDERTAKINGS
Directive; or
(c) the matter has been referred to EIOPA by the
competent authority under article 13C(2) or by the relevantEuropean regulatory authority in terms of Article 152a(2) of th e
Solvency II Directive. 
(2) Without prejudice to Article 3 5 of Regulation (EU) No 1094/
2010, at the request of EIOPA, the competent authority shall pr ovide to
EIOPA all the necessary information in a timely manner to allow  for
the proper functioning of the collaboration platform.
PART VI
General Provisions
Sanctions. 14. The competent authority may  impose an administrative
penalty pursuant to article 67 of the Act on any insurance and
reinsurance undertaking which acts in contravention of the
provisions of these regulations.
Publicity 
requirements for 
transfers of 
portfolio.15. In the case of a proposed tran sfer of portfolio, which may
include or includes risks situated in Malta or commitments wher e
Malta is the country of commitment, of a European insurance
undertaking carrying on activities in Malta in exercise of aEuropean right, requesting the ap proval of the competent author ity
in terms of Article 39 of the Solvency II Directive, the compet ent
authority may, in the interest of policyholders, insured person s and
any other person having rights or obligations arising out of th e
contracts transferred,  require such measures, as may be necessa ry,
to be taken, which may include the publication of a notice in t wo
local daily newspapers or a not ice to be sent to every policyho lder
affected by the transfer.
Information to 
Commission and 
EIOPA.16. The competent authority sha ll inform the Commission and
EIOPA of the number and types of cases which led to refusals
under regulation 8(5)( b) and regulation 9(4) or in which measures
have been taken in terms of  regulation 13(3) and (5).
Insurance Rules. 17. (1) For the better carrying out of these regulations, the
competent authority may , from time to time,  issue Insurance Rul es.
 (2) Such Insurance Rules may contain such incidental,
supplementary and consequential provisions as appear to thecompetent authority to be expedient for the purposes of these
regulations.