Germany: Act to modernise the financial supervision of insurance companies
On 10 April 2015, the "Gesetz zur Modernisierung der Finanzaufsicht über Versicherungen" (Act to modernise the financial supervision of insurance companies) dated 1 April 2015 has been published in the Federal Gazette. This Act contains the rules of the new German Insurance Supervisory Act (VAG), which implements the Solvency II-directive into German law. The significant changes in the VAG relate to the three levels of Solvency II – requirements for funding of insurance companies, requirements regarding the organization structure of insurance companies and reporting commitments. The new rules will have significant impact both on insurance companies, insurance supervisory authorities and on insurers. The new regime will come into force on 1 January 2016.