Brokers / Retail Intermediaries

The Retail Intermediaries Authorisations Team will be hosting a webinar on 10 December 2024 at 10.00am. The purpose of the webinar is to provide applicants with a better understanding of the requirements of the retail intermediary authorisation process, provide some helpful tips for completing an Application Form for Authorisation as a Retail Intermediary - B Form, and to flag some common issues that can delay the progress of an application, for example poor referencing, inadequate evidence of appropriate governance, staffing and/or the location of the mind and management of a firm.

Any applicant interested in attending the webinar should email their contact details to [email protected].

On 12 November 2020, EIOPA launched a survey on the application of the Insurance Distribution Directive (IDD).

The aim of the survey is to gather feedback from stakeholders on their experience with the application of the IDD, in particular on the improvement in the quality of advice and selling methods, the impact of the IDD on small and medium-sized enterprises and possible further improvements identified after the application of the IDD.

Stakeholders are invited to provide their feedback by 1 February 2021.

We encourage your participation in the survey, which represents an important occasion for discussion and cooperation. Following the feedback received, EIOPA will carry out an assessment and plans to publish a report by the end of 2021.

View the survey.

The Central Bank of Ireland (the Central Bank) has today published two new application forms

1. “Application Form for Authorisation as a Retail Intermediary – A FORM” (A FORM)
2. “Application Form for Authorisation as a Retail Intermediary – B FORM” (B FORM)
   to be utilised by applicants seeking authorisation or registration as a retail intermediary under:

• The Investment Intermediaries Act 1995 (as amended) (the IIA);
• The European Union (Insurance Distribution) Regulations 2018 (the IDR);
• The Consumer Credit Act 1995 (as amended)(the CCA); and/or
• The European Union (Consumer Mortgage Credit Agreements) Regulations 2016 (the CMCAR).

Applicants seeking authorisation or registration under this legislation will be required to complete either the A FORM or B FORM depending on the nature, scale and complexity of their proposed activities.  The relevant criteria to be used to determine which application form should be completed are set out in Part 1 of each application form and on the Retail Intermediary Authorisation Process webpage.

The Central Bank has also published two guidance notes for the completion of each application form which aim to provide further support to applicants when completing the A Form and B Form

1. “Guidance Note on Completing an Application for Authorisation as a Retail Intermediary – A FORM”
2. “Guidance Note on Completing an Application for Authorisation as a Retail Intermediary – B FORM”.

In recognition that applicants may have already commenced completing the Application Form for Authorisation as a Retail Intermediary dated September 2018, the Central Bank will accept submissions of either that form or the new forms up until 3 August 2020.  Submissions received from 3 August 2020 must be made using the A Form or B Form.

Note

This notice does not apply to those firms who have already been granted an authorisation or registration as a retail intermediary by the Central Bank.

Submission of Retail Intermediary Applications for Authorisation

An applicant seeking authorisation or registration as a retail intermediary under:

• The Investment Intermediaries Act 1995 (as amended) (the IIA);
• The European Union (Insurance Distribution) Regulations 2018 (the IDR);
• The Consumer Credit Act 1995 (as amended)(the CCA); and/or
• The European Union (Consumer Mortgage Credit Agreements) Regulations 2016 (the CMCAR)

should submit its application for authorisation or registration in electronic format to the Central Bank via our secure file transfer system.  Access to this system can be requested via email to [email protected].  The submission of a hard copy version of the application will no longer be required.

Changes to Professional Indemnity Insurance Requirements

A Commission Delegated Regulation amending the Insurance Distribution Directive with regard to the base euro amounts for Professional Indemnity Insurance (PII) applicable to intermediaries registered under the IDR entered into force on 12 December 2019 and will apply from 12 June 2020.  The Central Bank intends to amend the Handbook of Prudential Requirements for Investment Intermediaries to align the PII requirements applicable to intermediaries authorised under the IIA to the requirements applicable to intermediaries registered under the IDR.

An applicant seeking authorisation under the IIA or registration under the IDR will be required to demonstrate that it holds PII cover at the new levels required effective from 12 June 2020, as follows:

• New PII requirements: €1,300,380 per claim and €1,924,560 in aggregate

The Central Bank will engage directly with those applicants who have already submitted an application seeking authorisation under the IIA or registration under the IDR in respect of the revised PII requirements

European Union (Insurance Distribution) Regulations 2018 (the IDR)

The Insurance Distribution Directive (Directive 2016/97/EU) (the IDD) was transposed by the IDR and signed into Irish law on 27 June 2018. It will come into effect on 1 October 2018 at which point the IDR will replace the European Communities (Insurance Mediation) Regulations 2005 (the IMR) with the objective of creating a level playing field across all parties selling insurance products.

Important information on the IDR, including details of a number of changes from the IMR in terms of the activities that require registration, is contained in the August 2018 Special Edition Intermediary Times.

As the implementation date for the IDR of 1 October 2018 is approaching, the Central Bank expects that any new applications received will be registered under the IDR. The Central Bank is therefore now accepting applications for registration based on the revised RI Application Form it has published which reflects the requirements of the IDR.

Revised Retail Intermediary Application Form

The Central Bank of Ireland (the Central Bank) has today published a revised “Application Form for Authorisation as a Retail Intermediary” (RI Application Form) to be utilised by applicants seeking authorisation or registration as a retail intermediary under:

• The Investment Intermediaries Act 1995 (as amended) (the IIA);
• The European Union (Insurance Distribution) Regulations 2018 (the IDR);
• The Consumer Credit Act 1995 (as amended)(the CCA); and/or
• The European Union (Consumer Mortgage Credit Agreements) Regulations 2016 (the CMCAR).

View the updated Retail Intermediaries application form. The Central Bank has also published a revised “Guidance Note on Completing an Application for Authorisation as a Retail Intermediary ” which aims to provide further support to applicants completing the revised RI Application Form.

Transitional Arrangements

In recognition that applicants may have already commenced completing an application using the previous version of the RI Application Form, the Central Bank will accept submissions of either the previous or revised version of the RI Application Form up until 15 October 2018. Where a submission is made using the previous version of the RI Application Form, or has already been made using that version of the form prior to the date of this notice, the Central Bank will seek any additional information required from the applicant to reflect the requirements of the IDR during the authorisation process. Submissions received after 15 October 2018 must be made using the revised RI Application Form.

Note

This notice does not apply to those firms who have already been granted an authorisation or registration as a retail intermediary by the Central Bank.

20 October 2017

The Central Bank of Ireland (the Central Bank) has completed a review of the Mortgage Intermediary renewal process and has today updated the Central Bank website to include a notice that it has now moved to a model whereby an authorisation will be granted for an indefinite duration (i.e. an evergreen authorisation) where an applicant has demonstrated that it meets the relevant authorisation requirements. The effect of this change will mean that an applicant that is granted an authorisation for a period of indefinite duration will no longer be required to seek the renewal of its existing authorisation. An applicant granted such an authorisation will continue to be subject to and expected to be in a position to demonstrate its compliance with all relevant legislative and regulatory requirements.

The Central Bank has to date issued an authorisation to such applicants, where they have demonstrated that they meet the relevant authorisation requirements, for a finite duration of up to 10 years, thereby requiring authorised firms to seek the renewal of their existing authorisation prior to the date of its expiry. The Central Bank has now moved to a model whereby an authorisation will be granted for an indefinite duration (i.e. an evergreen authorisation).

The effect of this change will mean that an applicant that is granted an authorisation for a period of indefinite duration will no longer be required to seek the renewal of its existing authorisation. An applicant granted such an authorisation will continue to be subject to and expected to be in a position to demonstrate its compliance with all relevant legislative and regulatory requirements.

An existing firm authorised under the CCA and/or under the CMCAR should continue to be cognisant of the relevant renewal date of its existing authorisation and ensure that it submits an application for authorisation to the Central Bank seeking the renewal of its existing authorisation in sufficient time to allow the application process outlined above to be completed in advance of the relevant expiry date. Any such applications already submitted to the Central Bank or submitted in the future will be processed in line with the application process outlined above.

New applicants should submit an application for authorisation to the Central Bank in line with the application process outlined above.

Any queries in relation to the above should be directed to the following email address: [email protected].