Italy and China – a new era of cooperation between insurance supervisory authorities?
Insurance Italy 20 August 2019
The China Banking and Insurance Regulatory Commission and the Italian Institute for the Supervision of Insurance recently entered into a memorandum of understanding setting out the basis for cooperation between the two supervisory authorities in the context of a broader plan of general cooperation between Italy and China. It will be interesting to see what concrete effects (if any) the memorandum will have, particularly in the context of the present unstable geopolitical situation.
Memorandum of understanding between IVASS and CBIRC
The China Banking and Insurance Regulatory Commission (CBIRC) and the Italian Institute for the Supervision of Insurance (IVASS) entered into a memorandum of understanding on 10 July 2019 setting out the basis for cooperation between the two supervisory authorities in the context of a broader plan of general cooperation between Italy and China.
Objectives
The memorandum's main objectives are to enhance:
the exchange of information on developments of the regulatory and supervisory framework in China and Italy, respectively; and
cooperation between Italy and China regarding the supervision and oversight of undertakings.
Proposed course of action
The following activities are planned with a view to achieving these objectives:
meetings and conference calls;
attendance at events of mutual interest; and
the exchange of information on the supervision of insurance undertakings regulated and supervised by the other party, in compliance with local laws and public interest.
Timeframe
The memorandum will be effective for one year and will be automatically renewed annually.
What next?
The memorandum does not contain detailed provisions. It will be interesting to see what concrete effects (if any) it will have –particularly in the context of the present unstable geopolitical situation – and whether similar memoranda will be entered into in the near future with supervisory authorities of non-EU countries with which IVASS does not already have a cooperation agreement.