Regulatory Alerts2004-06-30
FMA Circular on Liability Insurance for Statutory Auditors under Article 82 VAG
The Financial Market Authority issued this circular to define the specific requirements for statutory auditors appointed by insurance undertakings to maintain appropriate liability insurance under Article 82 of the Insurance Supervision Act. The document mandates that such coverage must be structured as insurance for the account of a third party, ensuring the auditor holds exclusive rights to the policy, receives the original document irrevocably, and is protected from coverage exclusions arising from the policyholder's breaches. To demonstrate compliance, auditors must submit a certificate of insurance, a copy of the policy, proof of possession, and a formal statement from the insurer confirming that the policyholder's obligations do not affect the auditor's benefits.