Regulatory Alerts2016-12-13
Recommendation 2016-R-04 on the marketing of life insurance contracts in units of account constituted by complex financial instruments
The ACPR issues this recommendation to regulate the marketing of life insurance contracts using complex financial instruments, aiming to prevent mis-selling and ensure adequate investor protection. It establishes four objective criteria to assess the risk of poor risk comprehension and contract unintelligibility for non-professional investors. The document mandates that insurers and intermediaries provide clear, non-misleading information and appropriate advice, particularly when instruments lack at least 90% capital protection over their lifespan.
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