Global Corporate & Commercial's plans for Brexit
26th February 2019
Generali currently operates in the UK as a branch of Assicurazioni Generali S.p.A. under the EU rules known as passporting. In essence this means that if an insurance company is authorised in one EU country it can automatically be approved to operate in another EU country.
The passporting rules are likely to come to an end as a result of Brexit and so we have applied to the PRA (the UK regulator for companies like us) to be authorised under the UK rules.
The PRA has confirmed receipt of our application. It has also confirmed that in the event of a ‘no deal’ Brexit we will be automatically authorised under the temporary regime pending approval of our application for authorisation. If there is a deal we will be approved with effect from the end of the transition period.
Gaining authorisation from the UK regulator will allow us to continue writing and servicing business in the UK.
It will also ensure continuity for existing UK policies as the Generali insurer and legal entity in the UK will remain as Assicurazioni Generali S.p.A. In other words we will not be transferring our existing business to another Generali company or to a third party, and no new policies will be issued for existing clients.
In relation to the business we write from the UK into Europe, we have created a hub from our existing operations in Madrid to handle the business we currently write under freedom of services. We will use this to maintain continuity of cover for clients if, as seems likely, passporting comes to an end on 29 March.
Finally, we would like to reiterate that we expect Brexit to have little effect in the way in which we trade. We continue to work closely with the UK regulators to allow us to continue writing and servicing business in the UK and our new hub in Madrid has been designed to ensure maximum continuity for our Broking partners and Customers.