EU and U.S. Sign Covered Agreement

2 October 2017
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Key takeaways

  • On September 22, 2017, the U.S. and the EU signed the Covered Agreement on prudential measures regarding insurance and reinsurance.
  • The U.S. and the EU have agreed to meet within a Joint Committee to implement the Agreement. Some parts of the Agreement will be ‘provisionally applied’ immediately, with the whole Agreement being applicable to both sides 60 months after signature.
  • The Agreement should increase the availability of insurance in both the EU and U.S. whilst also reducing costs for insurers and policyholders. It also highlights a possible arrangement that the UK could enter into with the EU following Brexit.