Opinion of the Commission in accordance with point c) of the third subparagraph of Article 251(2) of the EC Treaty on the European Parliament's amendments to the Council's common position on the proposal for a Directive of the European Parliament and of the Council on insurance mediation amending the proposal of the Commission pursuant to Article 250 (2) of the EC Treaty
Date: 2002-08-01
Institutions: European Commission
Subjects: consumer information, freedom to provide services, insurance, right of establishment, services contract, trade intermediary

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 1.8.2002
COM(2002) 454 final

2000/0213 (COD)

OPINION OF THE COMMISSION
in accordance with point c) of the third subparagraph of Article 251(2) of the EC Treaty
on the European Parliament's amendments
to the Council's common position
on the proposal for a

DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
ON INSURANCE MEDIATION

AMENDING THE PROPOSAL OF THE COMMISSION
pursuant to Article 250 (2) of the EC Treaty

2000/0213 (COD)

OPINION OF THE COMMISSION
in accordance with point c) of the third subparagraph of Article 251(2) of the EC Treaty
on the European Parliament's amendments
to the Council's common position
on the proposal for a

DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
ON INSURANCE MEDIATION

1.

INTRODUCTION

Point c) of the third subparagraph of Article 251(2) of the EC Treaty provides for the
Commission to give an opinion on the amendments proposed by the European Parliament on
second reading. The Commission's opinion on the 13 amendments proposed by Parliament is
set out below.

2.

BACKGROUND

Date of transmission of proposal to EP and Council
(document COM(2000)511 final – 2000/0213COD):

Date of opinion of Economic and Social Committee:

Date of opinion of European Parliament on first reading:

Date of adoption of common position:

Date of Commission Communication on Council's common
position:

20.09.20001

30.05.20012

14.11.2001

18.03.2002

04.04.2002

Date of opinion of European Parliament on second reading:

13.06.2002

3.

PURPOSE OF PROPOSAL

• The purpose of this proposed directive is to coordinate national provisions on insurance

mediation in order to complete the single market in insurance, at the retail level.

1

2

OJ C 29/E, 30.1.2001 p. 244.
OJ C 221, 7.8.2001, p. 121.

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• The proposal establishes a legislative framework to guarantee:

i) a high degree of
professionalism and competence on the part of all
insurance intermediaries in the
Community; ii) a high level of protection for the interests of policy holders by laying down
strict requirements for the information to be provided to customers.

• The proposal provides for a system of registration of all intermediaries in their home
Member State, subject to the possession of professional requirements (competence, good
repute,
indemnity insurance cover and adequate financial capacity). Registration will
enable intermediaries to do business throughout the Community, under the supervision of
the home Member State, by dint of either the freedom of establishment or the freedom to
provide services (Articles 3-9). The proposal also lays down requirements for the
information to be provided to customers (Articles 11-12).

4.

OPINION OF THE COMMISSION ON THE AMENDMENTS OF THE EUROPEAN
PARLIAMENT

4.1.

Amendments accepted by the Commission

• On second reading Parliament adopted thirteen amendments to the Council's common
position. They clarify or spell out in more detail certain provisions, without affecting the
scope or undermining the fundamental objectives of the proposal. The Commission accepts
these thirteen amendments.

• These amendments are as follows:

Amendment No

Provision of the common position

17

1

3

4

5

Recital 12: Clarification of the scope of the proposal.

Recital 23: Recommendation 98/257/EEC to be taken into account
by bodies responsible for out-of-court settlement of disputes.

Second subparagraph of Article 1(3): Introduction of a clause of
non-discrimination of Community intermediaries in relation to the
treatment in a Member State of intermediaries from third countries
operating from a third country.

Third subparagraph of Article 2, point 3: Scope; provision brought
into line with wording of recital 12.

Third subparagraph of Article 2, point 4: Scope; provision brought
into line with wording of recital 12.

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6

7

8

15

10

11

12

16

Amendment No

Provision of the common position

subparagraph

of
of Article
Second
intermediaries. The register must show the countries in which the
intermediary may operate under
the rules on freedom of
establishment or freedom to provide services.

3(2): Registration

Second
of Article
intermediaries to be reviewed regularly by competent authority.

3(3): Registration

subparagraph

of

Second subparagraph of Article 4(2): Arrangements for checking
good repute of insurance and reinsurance intermediaries brought
into line with Article 3.

Article 4a (new): Acquired rights for
intermediaries already
registered who satisfy requirements concerning training and
experience on date of presentation of Commission proposal.

Article 9: Lodging of complaints. Customers and any other parties
concerned,
lodge
complaints. All complaints must also receive replies.

associations, may

especially

consumer

Article 11(1) point e) (ii) and (iii): Insurance intermediaries must
inform their customers, in accordance with the arrangements laid
down in the Directive – in writing and before conclusion of the
insurance contract – that they are entitled to ask for the name of
the company or companies with which the intermediary does
business. The intermediary must provide the name of
the
companies if the customer requests them.

Article 11(1), subparagraph 1a (new): Insurance intermediaries
must inform their customers, in accordance with the arrangements
laid down in the Directive that they are entitled to ask for the
names of companies with which the intermediary does business.

Article 11(2): The insurance intermediary must provide an
objective (impartial) analysis; he must base that analysis on an
adequate number of contracts available on the market to be able to
recommend, according to his professional criteria, the insurance
contract suited to the customer's needs.

5.

CONCLUSION

Under Article 250(2) of the EC Treaty, the Commission hereby amends its proposal as set out
above.

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