Further to our earlier blog post, the ban on the provision of cross-border services by third country insurers in the Netherlands (the Ban) took effect on 17 March 2021. This means that from this date onwards third country insurers are prohibited from providing their services in relation to both life and non-life insurance products in the Netherlands.
Until the Ban took effect, third country insurers (including UK insurers) were able to provide cross-border services in the Netherlands if they followed the appropriate notification procedure with the Dutch Central Bank (De Nederlandsche Bank, DNB). This notification procedure has now been terminated.
The act introducing the Ban does provide for a transitional regime (for up to a maximum of 24 months) for third country insurers that at the time of entry into force of the Ban were authorised to provide cross-border services in the Netherlands. However, such third country insurers will need to meet certain conditions in order to be able to benefit from this regime (e.g. a licence application will need to be filed with the DNB within six months (after 17 March 2021), or the third country insurer may file a plan with DNB (also within six months) describing how it will wind-down its existing cross-border business within 24 months while ceasing the provision of new cross-border services/underwriting business in the Netherlands).