Insurance law colloquium in Limassol
The "Restatement of European Insurance Contract Law" Project Group is a group of leading academic lawyers in the insurance field who are working to develop a common framework of European insurance contract law. The Project Group published its "Principles of European Insurance Contract Law" in 2009. The Euro - Mediterranean Alternative Dispute Resolution Centre hosted the thirty-second workshop of the Project Group, which took place in Limassol between 6 and 9 June 2012.
On 6 June, in parallel with the workshop, Andreas Neocleous & Co LLC organised a colloquium on "The Principles of the European Insurance Contract Law, state supervision and consumer protection in the insurance market". The colloquium was attended by members of the legal profession, leading academics and figures from the Cyprus insurance sector.
Guests were welcomed by Maria Kyriacou, a partner in our firm and head of our Nicosia office, who gave a brief introduction to our firm and to the Euro-Mediterranean ADR Centre, an initiative supported by leading figures from the world of politics, law and business to promote an ADR centre in Limassol offering mediation and arbitration services to serve Europe, the Eastern Mediterranean region and the Middle East, filling a gap in the geographical coverage between London and Paris and Singapore.
Mrs Victoria Natar, Superintendent of the Insurance Companies Control Service of the Ministry of Finance, and Mrs Froso Hadjilouca, Head of Competition and Consumer Protection Services of the Ministry of Commerce and Industry, then gave presentations on their respective departments' role in regulating the sector and safeguarding users of insurance services.
A number of Project Group members then outlined various aspects of the Principles of European Insurance Contract Law, which provide a common frame of reference to harmonize EU law in the field of insurance contracts with a view to enhancing policyholder protection in insurance contracts.
The Solvency II Directive is an ambitious EU project which will have a significant impact on insurance contracts. It aims to introduce a new regulatory framework for calculating capital requirements for insurance companies with effect from 1 January 2014 in order to ensure that their commitments to consumers are met. Its success depends on the adoption by insurance companies of a new culture of governance reflecting a risk-based approach. Cyprus's success as an international business centre has led to substantial growth in the financial services and insurance sectors in recent years. Currently 34 undertakings provide a range of insurance services to domestic and foreign markets from the island and further growth is planned, capitalising upon Cyprus's favourable tax regime and reputation as a financial and business centre. Constantinos Kourides, an insurance specialist with in our dispute resolution team, gave a presentation on the supervision of international insurance undertakings in the Cyprus market and the impact of the proposed regulatory changes.
Source: Andreas Neocleous & Co LLC
