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 Situation on the Slovak marketCurrent as of December 2001SLOVAK REPUBLICRegulationInsurance Law from 1991, modified by an amendment valid from April 2000. The Supervisory Authority for insurance is the Financial Market Authority, an independent authority to supervise banking, insurance and capital market sectors. Although the current Slovak regulation already defines an insurance intermediary, it still does not distinguish between different types of intermediaries satisfactory and sufficiently enough. The current law characterises a broker only as an intermediary executing mediation for more than one insurance company. A duty for insurance companies to report their exclusive intermediaries to the Financial Market Authority is determined. The process of creating the new insurance law is being finalised to meet the European standards of insurance regulations even closer. In the law proposal, it is suggested that the categories of insurance intermediaries are brokers and agents. Registration According to the April Amendment of the Insurance Law, every insurance broker (physical as well as legal person) operating on the territory of Slovakia has to have a permission given by the conditional on fulfilling requirements given below. In a newly proposed wording of the Insurance Law along with a more comprehensive definition of insurance intermediary activities, there are more strict and detailed requirements for insurance brokers to apply for permission / license. Qualifications No precise requirements are set for any category of insurance intermediaries for the moment. High education + 6 years of professional experience in insurance, or alternatively, a university education + 3 years of professional experience in insurance together with proof of full ability to carry out legal deeds and proof of non-compromised reputation is required to be a broker. Professional indemnity Professional indemnity insurance is not yet required. The anticipated law proposes that professional indemnity insurance with 5 million SKK minimal indemnity limit will be compulsory for each broker. Financial guarantees No financial guarantees required yet. In the anticipated law, the requirements for compulsory brokers´ equity / property is minimum 1 million SKK. Code of conduct The Code of Ethics of Insurance Brokers, adopted in 1996 and amended in 2000 by the Slovak Association of Insurance Brokers, is setting ethical norms of conduct and establishing certain professional standards and guidelines. The Code is obligatory for all members of the Slovak Association of Insurance Brokers. Legal provisions regarding foreign intermediaries (provision of services / establishment) Not part of legal norms explicitly. Every broker operating on the territory of Slovakia must comply with the current law. SLOVAK REPUBLIC Brokers No of Brokers: 200 No of employees of brokers: n.a. Market share(rating SAMP): Non-Life market:18-20% Agents: n.a. *** Compuvista Intranet Suite Copyright Compuvista 1999-2004 This product is licensed to POI |