EIOPA has reminded the insurance sector that as of 31 December 2020, Solvency II and the IDD will no longer apply to the UK, and that the industry must be prepared for the consequences of UK and Gibraltar firms becoming third-country undertakings for these purposes. It says the sector must also consider the repercussions for insurance contracts, disclosure and group supervision. It expects the sector to have in place realistic and suitable contingency plans, including safeguards to prevent insurance activity without authorisation while ensuring service continuity for cross-border business.
