In a letter to Dimiter Tzanchev, Chair of COREPER II, on the proposal to postpone the application date of the Insurance Distribution Directive (IDD) to 1 October 2018, the European Parliament Committee on Economic and Monetary Affairs (ECON) welcomed the proposed postponement. The letter notes that the European Parliament is considering positively the postponement of the IDD by a few months (suggested date being 1 July 2018), in order to ensure that Member States can properly implement the significant changes brought about by the IDD.
This would constitute a positive development for insurance products distributors requiring additional time to get their governance, risk management, policies and procedures up to speed in preparation for the IDD. Since extensions are not likely to be lengthy, distributors cannot afford to lose focus on IDD compliance, particularly since most national competent authorities across the EU have already rolled out the revised rulebook, and hence the expectation is for distributors to continue working towards entity-level implementation by way of priority.
A copy of the ECON letter can be accessed here.
