Governance, Risk and Compliance - The Swedish Insurance Industry

Governance, Risk and Compliance - The Swedish Insurance Industry

Summary

The Swedish Financial Supervisory Authority- (Finansinspektionen - FI), an agency under the Ministry of Finance, is the competent authority responsible for supervising the activities of the insurance industry. Following a merger between the Private Insurance Supervisory Service and the Bank Inspection Board in 1991, the FI took over the task of insurance supervision. Its responsibilities include maintaining financial stability, regulating market behavior, combating illegal practices and protecting consumer interests. Insurance and reinsurance companies are obliged to provide the FI with information about their financial status, and the FI can conduct an on-site inspection of an insurer's operations at any time.

The Insurance Business Ordinance 2011, Insurance Business Act 2010, and the Insurance Contract Act 2005 govern insurance and reinsurance companies in the country. The latest amendments in the three key laws came into force in January 2016. The Insurance Business Act 2010 enacted on April 4, 2011, replaced the Insurance Business Act 1982. The Act stipulates provisions for licensing, financial requirements, policy terms and conditions, and penalties for offenders. The Act on Insurance Mediation 2005 supervises and regulates intermediaries in the Swedish insurance and reinsurance industry.

There is no separate law for the reinsurance industry. The law regulating insurance companies also governs reinsurance companies; however, the Insurance Contract Act does not apply to reinsurance contracts.

Key Findings -

• The Swedish Financial Supervisory Authority (Finansinspektionen) regulates the Swedish insurance industry
• The Swedish law prohibits non-admitted insurance; however, there are few exceptions
• Composite insurance is not permitted in Sweden. However, a life insurance company can operate in health and accident insurance
• The Swedish insurance industry permits 100% FDI
• Motor third-party liability insurance and aviation liability insurance are key compulsory classes of insurance

The report “Governance, Risk and Compliance - The Swedish Insurance Industry” is the result of extensive research into the insurance regulatory framework in Sweden. It provides detailed analysis of the insurance regulations for life, property, motor, liability, personal accident and health, and marine, aviation and transit insurance. The report specifies various requirements for the establishment and operation of insurance and reinsurance companies and intermediaries.

The report brings together research, modeling and analysis expertise, giving insurers access to information on prevailing insurance regulations, and recent and upcoming changes in the regulatory framework, taxation and legal system in the country. The report also includes the scope of non-admitted insurance in the country.

Scope

• The report covers details of the insurance regulatory framework in Sweden.
• The report contains details of the rules and regulations governing insurance products and insurance entities.
• The report lists and analyzes key trends and developments pertaining to the country's insurance regulatory framework.
• The report analyzes the rules and regulations pertaining to the establishment and operation of insurance businesses in the country.
• The report provides details of taxation imposed on insurance products and insurance companies.

Reasons to buy

• Gain insights into the insurance regulatory framework in Sweden.
• Track the latest regulatory changes, and expected changes impacting the Swedish insurance industry.
• Gain detailed information about the key regulations governing the establishment and operation of insurance entities in the country.
• Understand key regulations and market practices pertaining to various types of insurance product.