EU Parliament OKs Major Insurance Overhaul

Law360, New York (April 22, 2009, 12:00 AM EDT) -- The European Parliament formally approved a dramatic overhaul of Europe's insurance industry on Wednesday, nearly a month after a deal brokered by the Czech presidency that resulted in the elimination of a contentious provision.

The 593-80 vote, with three abstentions, is the second-to-last step for adoption of the Solvency II directive, which adjusts the method for insurance companies to determine risk, updates solvency requirements for insurance and reinsurance companies, and increases competition in the industry.

The text of Solvency II will now be sent to the...
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