October 2017
INSURE
InSure
This month's roundup of developments affecting the insurance industry sees ECON calling on the European Commission to postpone the application date of the IDD, EIOPA issuing final guidelines on complex insurance-based investment products under the IDD and the European Commission releasing a report on consumers' decision-making process in insurance services.
General Update
It is now clear that the Pensions Regulator will take a much tougher approach in future towards employers and scheme funding. The new approach comes after a select committee of MPs looking into the BHS collapse criticised the Regulator for being reactive, slow-moving and reluctant to exercise its powers.
The two key areas where we expect the Regulator to be more aggressive are scheme funding and "moral hazard" powers.
In UBS AG v Kommunale Wasserwerke Leipzig GmbH(1) the Court of Appeal heard an appeal relating to whether complex, loss-making financial transactions were enforceable against the respondent (KWL) in circumstances where they had been entered into against the backdrop of a corrupt relationship between the appellant counterparty (UBS) and the respondent's agent (Value Partners).
BANKING
ECON votes to adopt draft report on proposed BRRD Insolvency Hierarchy Directive
Winding up petition struck out as an abuse of process where the court was not satisfied that the petitioner was a creditor.
Can a company file a notice of intention to appoint an administrator (NOI) if administration is just one of a number of potential options being explored for rescuing the company?
Are funds subject to an IVA if they are received by a debtor after a certificate of completion has been issued by the supervisor?
Should an administrator’s appointment be terminated where the motives of the appointor are improper but the statutory purpose of the administration can still be properly achieved?
The Technology and Construction Court in England has refused pre-action disclosure of the insurance policy of a currently solvent insured, notwithstanding that a successful claim would have resulted in the insolvency of the insured.
Factual background