The National Bank announced the introduction of updated requirements for the registration and operation of insurance intermediaries

The National Bank of Ukraine (NBU) has announced the introduction of updated requirements for the registration and operation of insurance intermediaries. This decision was made as part of the improvement of regulation in the insurance sector and is in line with the new Law of Ukraine "On Insurance", which will come into force on January 1, 2024.

The update will be implemented in two stages. The first stage of the reforms envisages the introduction of new rules from January 1, 2024. The second stage, starting from January 1, 2025, will involve a conceptual update of the approaches to the regulation of insurance intermediaries in accordance with the requirements of Directive 2016/97/EU of the European Parliament and of the Council of 20 January 2016 on insurance products.

One of the key innovations is the requirements for qualification and training of all categories of insurance intermediaries, including insurance agents and employees of insurance companies that sell insurance products.

The provisions to be introduced at the first stage of the update provide for the clarification of the list of insurance intermediaries subject to the new rules, including individual entrepreneurs in the category of insurance agents. It also expands the ability of representative offices of non-resident brokers to conduct financial transactions with insurance (reinsurance) premiums.

The Resolution of the NBU Board also provides for the right to exclude persons associated with the aggressor country from the state register of insurance and reinsurance brokers.

It should be noted that the Resolution of the NBU Board dated September 5, 2023 came into force on September 8, 2023, and the updated Regulation will come into force on January 1, 2024. These changes are aimed at increasing control and improving the quality of insurance services in Ukraine.