Polish government adopted new rules for foreign insurers acting in Poland
The Polish government has adopted new legal rules related to foreign insurance companies that run their business in Poland under the Freedom Of Establishment (FOE) and the Freedom Of Services (FOS) principles. These entities will be supervised by the Polish financial watchdog.
On 10th March the government amended two legal acts: the act on mandatory insurance and the act on insurance and reinsurance activity. The first proposition of changes imposes on the foreign insurers the same obligations in the scope of compulsory insurance, which are performed by Polish insurers, such as the term of claims settlement process and information obligations.
According to the second proposition, the Polish Financial Supervision Authority will receive authorization to make immediate and extraordinary intervention in the event of breaching clients’ interest. KNF will can issue a ban on the business performing on an entity.