Insurance Distribution Directive (IDD)
For organizations active in the insurance market, Insurance Distribution Directive (IDD) is the regulation that will require a lot of time and effort up to the planned implementation date of February 2018.
So what is IDD about? And what do you need to do with it?
Therefore we created this e-book: to give you some insights about the IDD regulation, what areas are impacted, what does that mean for you, the timelines and how you can start to prepare for this.
First, the background to start with:
The Insurance Mediation Directive or IMD (predecessor of IDD) was implemented in 2005, and regulates the point of sale of insurance products to ensure that consumer rights are being protected. However, a review of the Directive found a patchwork of national regulations, with some governments gold-plating the measures and other implementing the bare minimum necessary for compliance. The review also showed a lack of transparency around remuneration resulting in too many commission-driven conflicts of interest in the market.
In 2012 this resulted in the European Commission (EC) proposing a revision of IMD which is known as IDD. On of the key objectives of IDD is consumer protection in the insurance sector. The IDD guides this process through coordinating national rules concerning the access to the activity of insurance and reinsurance distribution and improving the regulation of retail insurance sales and distribution practices across the single European market.