On 15 February 2018 the Ministry of Finance introduced the bill of pension funds (PPK). The Polish insurance industry was awaiting this draft, hoping that the Polish government would take into consideration their experience in the financial and pension segments.
According to the new bill, only investment fund houses will be responsible for PPK funds management. They must meet such conditions as at least 3-years experience in investment funds management, at least PLN 10 mln capital and at least four lifecycle funds under management. Currently in Poland there are only 65 investment fund houses and only 4 of them belong to the insurance groups: PZU, Metlife, AXA and Aviva.
Piotr Nowak Undersecretary of State in the Ministry of Finance told the Dziennik Gazeta Prawna newspaper that insurers have an opportunity to exist in the planned retirement reform as the institution which will manage the PPF funds. He explained that there are two barriers. One of them relates to a tax on assets of some financial institutions. The second one is connected with the risk of insurance company bankruptcy. The ministry asked the Polish Insurance Association to prepare a legal solution which will reduce the risk existing in the insurance sector including pension funds in the bankruptcy estate of an insurance company. “If we decide that the prepared model is safe, we will analyse the possibility of insurer involvement in the retirement reform”, said Piotr Nowak.
Public consultations about this bill last until 15 March 2018. More than 50 institutions and politicians were invited to prepare statements about the bill.