The future relationship between the UK and the EU still looks unclear. UK insurers have lost their passporting rights, no longer having the freedom to provide cross-border services to any European Economic Area (EEA) member state and vice versa. More so, the UK-EU Trade and Cooperation Agreement (TCA) did not confirm equivalence for financial services providers. Obtaining this equivalence is essential to set a framework to enable bilateral agreements between the UK and the EU and facilitate cross-border contracts.
Reasons to Buy
- The future relationship between the UK and the EU still looks unclear. UK insurers have lost their passporting rights, no longer having the freedom to provide cross-border services to any European Economic Area (EEA) member state and vice versa. More so, the UK-EU Trade and Cooperation Agreement (TCA) did not confirm equivalence for financial services providers.
- The UK formally left the EU on January 31, 2020 after 47 years of membership with the bloc. Yet the impact of the UK’s divorce from the EU has been most apparent since the transition period came to an end and new legislation came into force from January 1, 2021. On this day, the UK officially became a third country to the EU. The UK and the EU reached a trading agreement on Christmas Eve 2020, just days before the end of the transition period and amid fears of a cliff-edge Brexit. It came years after the UK voted to leave the EU in 2016 and embarked into lengthy negotiations with the EU, creating political, economic, and social uncertainty in the process.
- The greatest threat posed by Brexit for insurers was the prospect of losing their passporting rights, i.e. the freedom to provide cross-border services to any EEA member state, regardless of the country of domicile, and without needing separate authorization to do so. Linked to this was the freedom of establishment of local branches anywhere in the EEA. The TCA did confirm the loss of passporting rights, while there were no decisions on equivalence provisions despite the UK being governed by Solvency II.
- See how Brexit is changing the climate in FMCG and Fintech
- Understand what key problems are stopping some trading
- Learn what benefits are available
- See what industries are the winners and what are the losers
Reasons to Buy
- What industries are facing severe Brexit difficulties?
- What industries are benefiting?
- How the regulatory landscape developing?
- In insurance and FMCG, how is Brexit changing the business landscape?
- Executive Summary
- Winners and losers through Brexit changes
- Brexit “winners” were larger and more prepared
- Brexit “losers” were smaller and reliant on UK EU trade
- A key solution was to operate elsewhere
- Key Brexit regulatory trends
- GIT insurers need to focus on increased hold ups at borders
- Farming insurance may change to balance new environmental focus
- Motor insurance industry is facing change
- Motor insurers will have to deal with Green Card issues
- Travel insurance demand remains relatively strong
- Implications for FMCG companies are new strategic balances
- Key consumer trends since Brexit