Act on Insurance Undertakings in Cross-Border Pension Funds, Life Insurance Companies and Non-Life Insurance Companies etc. (Act on Insurance Business)

Act on Insurance Undertakings in Cross-Border Pension Funds, Life Insurance Companies and Non-Life Insurance Companies etc. (Act on Insurance Business) 1)

Hereby is published the Act on Insurance Undertakings in Cross-Border Pension Funds, Life Insurance Companies and Non-Life Insurance Companies etc. (Act on Insurance Business), cf. Consolidation Act No. 169 of 16 February 2025, with the amendments that follow from Section 1, Nos. 1-4, 8-14, 17-19 and 21, of Act No. 711 of 20 June 2025, Section 3 of Act No. 1636 of 16 December 2025 and Section 5, Nos. 1, 4 and 5, of Act No. 1638 of 16 December 2025.

The amendments that follow from Section 1, Nos. 15, 16 and 20, of Act No. 711 of 20 June 2025 on amending the Act on Insurance Undertakings, the Act on Payments, the Act on the Establishment of State Guarantee on Part of Real Estate Credit Agreements in Rural Areas and Various Other Laws (Cross-Border Pension Funds and Insurance Companies' Access to Own and Operate Forest, Conditions for Access to Payment Systems for Payment Service Providers and Establishment of State Guarantee on Part of Real Estate Credit Agreements in Rural Areas etc.), are not incorporated in this Consolidation Act, as they enter into force on 2 July 2026, cf. Section 6, subsection 3, of Act No. 711 of 20 June 2025.

The amendments that follow from Section 1, Nos. 5-7 and 22, of Act No. 711 of 20 June 2025 on amending the Act on Insurance Undertakings, the Act on Payments, the Act on the Establishment of State Guarantee on Part of Real Estate Credit Agreements in Rural Areas and Various Other Laws (Cross-Border Pension Funds and Insurance Companies' Access to Own and Operate Forest, Conditions for Access to Payment Systems for Payment Service Providers and Establishment of State Guarantee on Part of Real Estate Credit Agreements in Rural Areas etc.), are not incorporated in this Consolidation Act, as they enter into force on 10 January 2030, cf. Section 6, subsection 4, of Act No. 711 of 20 June 2025.

1. The Act contains provisions implementing parts of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), OJ 2009, L 335, p. 1, parts of Directive 2013/58/EU of the European Parliament and of the Council of 11 December 2013 amending Directive 2009/138/EC (Solvency II) as regards the dates for its implementation and application and the date of repeal of certain Directives (Solvency I), OJ 2013, L 341, p. 1, parts of Directive 2014/50/EU of the European Parliament and of the Council of 16 April 2014 on minimum requirements for promoting worker mobility between Member States by improving the acquisition and preservation of supplementary pension rights, OJ 2014, L 128, p. 1, parts of Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014 amending Directives 2003/71/EC and 2009/138/EC and Regulations (EC) No 1060/2009, (EU) No 1094/2010 and (EU) No 1095/2010 as regards the powers conferred on the European Supervisory Authority (European Insurance and Occupational Pensions Authority) and the European Supervisory Authority (European Securities and Markets Authority), OJ 2014, L 153, p. 1, parts of Directive 2015/849/EU of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council and repealing Directives 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC, OJ 2015, L 141, p. 73, parts of Directive 2002/87/EC of the European Parliament and of the Council of 16 December 2002 on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate, OJ 2003, L 35, p. 1, parts of Directive (EU) 2016/97 of the European Parliament and of the Council of 20 January 2016 on insurance distribution (recast), OJ 2016, L 2, p. 19, parts of Directive (EU) 2017/828 of the European Parliament and of the Council of 17 May 2017 amending Directive 2007/36/EC as regards the encouragement of long-term active share ownership (Shareholders' Rights Directive), OJ 2017, L 132, p. 1, parts of Directive 2013/34/EU of the European Parliament and of the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC of the European Parliament and of the Council and repealing Council Directives 78/660/EEC and 83/349/EEC, OJ 2013, L 182, p. 19, parts of Directive (EU) 2022/2464 of the European Parliament and of the Council of 14 December 2022 amending Regulation (EU) No 537/2014, Directive 2004/109/EC, Directive 2006/43/EC and Directive 2013/34/EU as regards corporate sustainability reporting, OJ 2022, L 322, p. 15, and parts of Directive (EU) 2022/2556 of the European Parliament and of the Council of 14 December 2022 amending Directives 2009/65/EC, 2009/138/EC, 2011/61/EU, 2013/36/EU, 2014/59/EU, 2014/65/EU, (EU) 2015/2366 and (EU) 2016/2341 as regards digital operational resilience in the financial sector, OJ 2022, L 333, p. 153-163, parts of Directive (EU) 2023/2864 of the European Parliament and of the Council of 13 December 2023 amending certain Directives as regards the creation of the common European access point and its functioning, OJ L of 20 December 2023, and parts of Directive (EU) 2024/2810 of the European Parliament and of the Council of 23 October 2024 on structures with multiple voting rights in companies applying for admission to trading on a multilateral trading facility, OJ L of 14 November 2024.

Official Journal A 2026 Published on 14 May 2026 26 April 2026. No. 461. Ministry of Industry, Business and Financial Affairs, Danish Financial Supervisory Authority, file no. 26-001023 CQ003512

The amendments that follow from Section 5, Nos. 2, 3 and 6, of Act No. 1638 of 16 December 2025 on amending the Act on Capital Markets, the Act on Financial Business, the Act on Investment Funds etc. and Various Other Laws (Repeal of National Prospectus Threshold, Partial Repeal of Prohibition on Share Classes in Financial Companies, Insurance Companies and Fund Brokerage Companies, Amendment of Disclosure Requirements for Admission to Trading on a Multilateral Trading Facility, Strengthening of the Independence of the Danish Financial Supervisory Authority etc.), are not incorporated in this Consolidation Act, as they enter into force on 5 December 2026, cf. Section 15, subsection 10, of Act No. 1638 of 16 December 2025.

Part I General Provisions Chapter 1 Scope of Application Insurance Undertakings Section 1. This Act applies to insurance undertakings, cf. Section 9, subsection 1, No. 1, and undertakings covered by Sections 2-7.

Financial Holding Companies and Insurance Holding Companies Section 2. For financial holding companies and insurance holding companies, Section 67, subsection 1, Section 82, Chapter 10, Section 95, Section 100, Section 105, subsection 7, Section 107, subsection 1, Sections 133, 138, 165, 170-172 and 174, Chapter 17, Sections 259-262 and 267-275, Section 277, subsection 3, Section 280, subsections 1, 2 and 5-8, and Sections 283, 284, 301-307, 309 and 312-319 shall apply.

Subsection 2. For financial holding companies, Sections 142-144, 146 and 151 shall additionally apply.

Subsection 3. For insurance holding companies, Sections 166 and 167 shall additionally apply.

Subsection 4. For financial holding companies, cf. Section 9, subsection 1, No. 9, which are the top-level parent undertaking in a group, and for insurance holding companies, cf. Section 9, subsection 1, No. 10, which are the top-level parent undertaking in a group where at least one of the subsidiary undertakings is a Group 1 insurance undertaking, Sections 126-130 shall apply.

Branches Section 3. For branches in this country of foreign undertakings which have been granted authorization to carry on the business referred to in Sections 14-18 in a country within the European Union or a country with which the Union has concluded an agreement in the financial field, Sections 49-51, 55-59, 67, 69, 71-76, 174, 259, 260 and 269, Section 270, subsections 1 and 3, and Sections 271, 272, 274, 275, 281, 283, 291, 294-296, 299, 302, 305-307 and 312-319 shall apply with the deviations provided for in or pursuant to international agreements.

Subsection 2. This Act shall apply to branches in this country of insurance undertakings which have been granted authorization in a country outside the European Union with which the Union has not concluded an agreement in the financial field, with the deviations that the branch relationship necessitates, or which are provided for in or pursuant to international agreements.

Subsection 3. The Danish Financial Supervisory Authority may lay down detailed rules on branches covered by subsection 2, including rules on capital requirements etc., and rules that branches covered by subsection 2 must carry on their activities in a subsidiary undertaking.

Subsection 4. The provisions of the Companies Act on branches of foreign public limited liability companies shall apply to the branches referred to in subsection 2.

Services Section 4. For services provided in this country by insurance undertakings which have been granted authorization in another country within the European Union or a country with which the Union has concluded an agreement in the financial field, Sections 52-54, 59, 67 and 71-76, Section 269, subsection 1, and Sections 283 and 305-307 shall apply with the deviations provided for in or pursuant to international agreements.

Subsection 2. For services provided in this country by insurance undertakings which have been granted authorization in a country outside the European Union with which the Union has not concluded an agreement in the financial field, Section 60 and Sections 305-307 shall apply with the deviations provided for in or pursuant to international agreements.

SE Companies Section 5. Provisions on the board of directors or members thereof in Section 9, subsection 1, No. 6, Section 111, subsection 1, Section 112, Section 117, subsection 1, Nos. 1 and 3, Section 139, subsection 2, Section 193, subsections 11 and 12, and Section 245 shall apply only to the supervisory organ or members thereof in SE companies with a two-tier management system with the necessary adaptations.

Subsection 2. Provisions on the board of directors or members thereof and provisions on the management in Section 19, subsection 1, No. 1, Sections 42, 82, 96, 97, 105, 110, 121-124 and 138, Section 170, No. 2, Section 171, No. 2, Sections 181, 182 and 208, Section 244, subsection 1, Section 267, subsections 2 and 3, Section 272, Section 276, subsection 2, No. 2, Section 280, Section 302, subsection 2, No. 7, and subsection 3, and Sections 312-319 shall, in addition to the management organ and members thereof, also apply to the supervisory organ or members thereof in SE companies with a two-tier management system with the necessary adaptations.

Suppliers and Sub-suppliers Section 6. For suppliers and sub-suppliers to outsourcing undertakings, Section 269, subsection 1, Section 270, subsection 4, and Sections 305-307 shall apply.

Co-insurance Business Section 7. The Danish Financial Supervisory Authority may lay down special rules or deviations for co-insurance business.

Section 8. (Repealed)

Chapter 2 Definitions Section 9. In this Act, the following shall apply:

1. Insurance undertaking: a) Non-life insurance company: A public limited liability company which has been granted authorization to carry on non-life insurance business, cf. Section 14. b) Mutual society: A company owned by the policyholders, cf. Section 237, which has been granted authorization to carry on life or non-life insurance business, cf. Section 14. c) Life insurance company: A public limited liability company, including an occupational life insurance company, cf. Section 250, which has been granted authorization to carry on life insurance business, cf. Section 14. d) Cross-border pension fund: An association or federation, cf. Section 247, which has been granted authorization to carry on life insurance business, cf. Section 14. e) Reinsurance company: A public limited liability company which has been granted authorization to carry on reinsurance business, cf. Section 14.

2. Credit institutions, cf. Section 5, subsection 1, No. 1, letter a, of the Act on Financial Business.

3. Mortgage credit institutions, cf. Section 5, subsection 1, No. 1, letter b, of the Act on Financial Business.

4. Fund brokerage companies, cf. Section 13, subsection 2, cf. subsection 1, of the Act on Fund Brokerage Companies and Investment Services and Activities.

5. Investment management companies, cf. Section 5, subsection 1, No. 1, letter c, of the Act on Financial Business.

6. Parent undertaking: An undertaking which has one or more subsidiary undertakings.

7. Subsidiary undertaking: An undertaking over which a parent undertaking has dominant influence.

8. Group: A parent undertaking and its subsidiary undertakings, cf. Section 10.

9. Financial holding company: A parent undertaking which is not a credit institution, a mortgage credit institution, a fund brokerage company or an investment management company, in a group where at least one of the subsidiary undertakings in the group is an insurance undertaking, and where at least 40 per cent of the total balance sheet total for the group and the parent undertaking's associated undertakings relates to the financial sector, cf. however the second sentence and subsection 5. A parent undertaking is not a financial holding company if the financial subsidiary undertakings in the group are exclusively insurance undertakings. The parent undertaking will instead be an insurance holding company, cf. No. 10, or a mixed insurance holding company, cf. No. 11.

10. Insurance holding company: A parent undertaking whose main activity is to acquire and hold shareholdings in subsidiary undertakings, when these subsidiary undertakings are exclusively or mainly insurance or reinsurance undertakings or third-country insurance or reinsurance undertakings, and at least one of these subsidiary undertakings is an insurance or reinsurance undertaking. An insurance holding company is not a financial holding company, cf. No. 9.

11. Mixed insurance holding company: A parent undertaking which is neither a credit institution, a mortgage credit institution, a fund brokerage company, an investment management company, a third-country insurance or reinsurance undertaking, a financial holding company nor an insurance holding company, and which owns at least one subsidiary undertaking which is an insurance or reinsurance undertaking.

12. Associated undertaking: An undertaking in which another undertaking and its subsidiary undertakings hold shareholdings and exercise significant influence on its operational and financial management, but which is not a subsidiary undertaking of the other undertaking. An undertaking and its subsidiary undertakings are presumed to exercise significant influence if they collectively hold 20 per cent or more of the voting rights.

13. Exposure: The sum of all exposures to a customer or a group of interconnected customers which entails a credit risk for the undertaking, and shareholdings issued by the customer or by one of a group of interconnected customers. As regards provisions on exposures in Sections 117-120 and 173, the following exposures are exempted: a) In respect of foreign exchange transactions: Exposures arising in connection with the normal settlement of a transaction, within a period of 48 hours after payment has been made. b) In respect of the purchase or sale of transferable securities: Exposures arising in connection with the normal settlement of a transaction, within a period of 5 working days after payment has been made or the transferable securities have been delivered, whichever date is earlier. c) In respect of payment services, including the execution of payment orders, clearing and settlement of transferable securities in any currency and correspondent banking or offers of clearing, settlement and deposit of financial instruments to customers: Exposures relating to delayed receipt of funding and other exposures arising as a result of customer activity, which do not last longer than the following working day. d) In respect of payment services, including the execution of payment orders, clearing and settlement of transferable securities in any currency and correspondent banking: Intraday exposures with institutions providing these services.

14. Close links: a) Direct or indirect links of the type referred to in No. 8, b) shareholdings, which means a company's direct or indirect holding of 20 per cent or more of the voting rights or capital in a company, or c) the joint link of several companies or persons, cf. letter a, with a company.

15. Branch: A division which legally constitutes a non-independent part of an insurance undertaking and which carries on business of the type for which the undertaking has been granted authorization.

16. Captive reinsurance company: A reinsurance company which is owned by a mortgage credit institution, a credit institution, a fund brokerage company or an investment management company or by a group or group subject to group supervision under Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) or by an undertaking which is not a mortgage credit institution, a credit institution, a fund brokerage company or an investment management company, and which has the sole purpose of providing reinsurance cover for the risks in the company or companies to which the undertaking belongs, or in the company or companies in the group of which it is a part.

17. Group 1 insurance undertaking: An insurance undertaking which carries on cross-border business in accordance with Sections 61, 62 or 63 or insurance or reinsurance business covered by one or more of the insurance classes 10-15 in Annex 1, unless they constitute ancillary risks, or a company which in 3 consecutive years has fulfilled at least one of the following conditions, cf. however Sections 15 and 17: a) The company's annual gross premiums exceed EUR 5 million. b) The company's total insurance technical provisions excluding reinsurance contracts and contracts with ISPVs exceed EUR 26.6 million. c) The company is part of a group, and the group's total insurance technical gross provisions excluding reinsurance contracts and contracts with ISPVs exceed EUR 26.6 million. d) The company carries on reinsurance business which exceeds EUR 0.6 million of the company's gross premiums, EUR 2.7 million of its insurance technical gross provisions excluding reinsurance contracts and contracts with ISPVs, 10 per cent of its gross premiums or 10 per cent of its insurance technical gross provisions excluding reinsurance contracts and contracts with ISPVs.

18. Group 2 insurance undertaking: An insurance undertaking which is not a Group 1 insurance undertaking.

19. Ancillary risks: Insurance risks which are covered by an insurance class in Annex 1 and which do not require separate authorization under Section 14, subsection 1, because the risks are included in the primary risk for which the insurance undertaking has been granted authorization, and because the risks concern a matter covered by the contract covering the primary risk. Insurance classes 14, 15 and 17 cannot be ancillary risks to other insurance classes.

20. Outsourcing: Any arrangement between an insurance undertaking and a service provider where the service provider either directly or through sub-outsourcing performs a process, a service or an activity which the insurance undertaking would otherwise have performed itself.

21. Outsourcing undertaking: An insurance undertaking which outsources activities to a supplier.

22. Supplier: An undertaking which performs outsourced tasks for the outsourcing undertaking.

23. Sub-outsourcing: A supplier's outsourcing of tasks which it performs in accordance with an agreement with the outsourcing undertaking to a sub-supplier and the sub-supplier's possible sub-outsourcing of the tasks to the next link in the chain of sub-suppliers and any sub-outsourcing to other links in the chain of sub-suppliers.

24. Competent authorities: The national authorities which are empowered by law or other regulations to supervise the types of undertakings covered by this Act.

25. Solvency certificate: A certificate showing that the Group 1 insurance undertaking fulfils the solvency capital requirement and the minimum capital requirement in accordance with Sections 154 and 155.

26. ISPV (Insurance Special Purpose Vehicle): A legal person which covers risks for insurance undertakings and which finances its coverage of such risks exclusively by means of the proceeds from bond issues or other financing arrangements, where the repayment requirements for those who have provided capital are subordinated to the reinsurance obligations resulting from an agreement concluded between the legal person and the insurance undertaking.

27. Standard Formula: A mathematical formula for calculating a Group 1 insurance undertaking's solvency capital requirement, cf. Section 154, which is established by the European Commission pursuant to Article 111 of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II).

28. Matching Adjustment: An adjustment of the risk-free interest rate curve pursuant to Section 158, subsection 1, for a selected portfolio of insurance liabilities, where the Group 1 insurance undertaking has invested in assets whose cash flows reflect the cash flows of the insurance liabilities.

29. Volatility Adjustment: An adjustment of the risk-free interest rate curve pursuant to Section 158, subsection 1, which ensures that the present value of the insurance technical provisions for solvency is calculated taking into account the investments made by the Group 1 insurance undertaking.

30. Ultimate owner: A natural person who ultimately directly or indirectly owns or controls a sufficient part of the shareholdings or voting rights, or who exercises control by other means.

31. Captive insurance company: An insurance company which is owned either by a mortgage credit institution, a credit institution, a fund brokerage company or an investment management company or by a group or a group subject to group supervision under Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) or by an undertaking which is not a mortgage credit institution, a credit institution, a fund brokerage company or an investment management company, and which has the sole purpose of providing insurance cover for the risks in the company or companies to which the undertaking belongs, or in the company or companies in the group of which it is a part.

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conduct and exercise of insurance and reinsurance business (Solvency II) or an undertaking that is not a mortgage credit institution, credit institution, investment firm or investment management company, and which has the sole purpose of providing insurance cover for the risks in the company or companies to which the undertaking belongs, or in the company or companies in the group of which it is a part.

32. Home state for Group 1 insurance undertakings: a) For non-life insurance, the Member State in which the insurance undertaking covering the risk has its head office. b) For life insurance, the Member State in which the insurance undertaking assuming the obligation has its head office. c) For reinsurance, the Member State in which the head office of the reinsurance undertaking is located.

33. Host state for Group 1 insurance undertakings: Another Member State than the home state, where an insurance undertaking has a branch or provides services. In connection with life insurance and non-life insurance, the host state is a) the Member State in which an insurance or reinsurance undertaking provides services, b) the Member State in which the obligation exists, if the obligation is covered by an insurance undertaking or a branch in another Member State, or c) the Member State in which the risk exists, if the risk is covered by an insurance undertaking or a branch in another Member State.

34. Group supervision under the Solvency II Directive is the supervision exercised with: a) Undertakings covered by Section 166, subsection 1 and 2. b) Group 1 insurance undertakings, if the parent undertaking is a mixed insurance holding company. c) Group 1 insurance undertakings, if the parent undertaking has its head office in a country outside the European Union, and where the parent undertaking is a third-country insurance undertaking, an insurance holding company or a mixed financial holding company as defined in Article 212, subsection 1, points (f) and (g), of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) as amended.

35. Group supervisory authority under the Solvency II Directive: The supervisory authority that, among the supervisory authorities of several countries concerned, is designated as responsible for the coordination and exercise of group supervision of cross-border groups covered by Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) as amended.

36. Finite reinsurance: Reinsurance where the explicit maximum loss risk expressed as the maximum transferred economic risk, arising as a result of a significant transfer of insurance and timing risk, exceeds the premium for the entire duration of the agreement by a limited but significant amount, when at least one of the following characteristics is present: a) Explicit and comprehensive consideration of the time value of money, or b) Agreement provisions for balancing the relationship between the parties with regard to economic experience over time with a view to achieving the intended risk transfer.

37. Large risks: a) Risks under insurance classes 4-7, 11 and 12 in Annex I. b) Risks under insurance classes 14 and 15 in Annex I, when the policyholder carries on industrial or commercial activity or liberal profession and the risks relate to this activity. c) Risks under insurance classes 3, 8-10, 13 and 16 in Annex I, when the policyholder meets at least two of the following conditions: i) The policyholder has a total balance sheet of at least EUR 6.2 million. ii) The policyholder has an annual net turnover of at least EUR 12.8 million. iii) The policyholder had 250 or more full-time employees in the most recent financial year.

38. Insurance distribution: a) The activity consisting of advising on, proposing or carrying out other preparatory work in connection with the conclusion of insurance contracts, concluding such contracts, or assisting in the administration and performance of such contracts. b) The activity consisting of providing information on one or more insurance contracts in accordance with the customer's chosen criteria via a website or other media and drawing up a prioritized list of insurance products, including price and product comparisons or discounts on the price of an insurance contract, if the customer is able to directly or indirectly conclude an insurance contract via the relevant medium.

39. Insurance administration association: An organized cooperation between two or more insurance undertakings, including pension funds, regarding both administrative functions and investment decisions.

40. Variable remuneration: Remuneration schemes where the individual remuneration is not known in advance, including bonus schemes, performance contracts, one-off payments and other similar schemes that are not part of the fixed remuneration. In connection with the exercise of insurance distribution, cf. no. 38, this includes all forms of fixed and variable salary, commissions, fees, other payments and benefits awarded or paid to a natural or legal person for the purpose of exercising insurance distribution.

41. Gender-neutral remuneration policy: A remuneration policy based on equal pay for the same work or work of equal value regardless of the employee's gender.

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42. Severance pay: Any form of payment to which the recipient becomes entitled in connection with their departure, and which does not a) constitute salary or value of staff benefits during the notice period, b) constitute reasonable compensation for assuming non-compete clauses or customer clauses, or c) result from mandatory legislation.

43. Work accident insurance portfolio: Portfolio of compulsory accident insurance taken out in accordance with the Act on Work Injury Insurance. Assault insurance under Section 49 a of the Act on Work Injury Insurance is covered by an insurance company's work accident insurance portfolio, regardless of whether the assault insurance is taken out as an extension of a work accident insurance or taken out independently.

Subsection 2. By capital interests is meant a company's direct or indirect holding of 20 pct. or more of the voting rights or capital in a company.

Subsection 3. By qualifying holding is meant direct or indirect holding of at least 10 pct. of the capital or voting rights or a share that gives the possibility of exercising significant influence on the management of the insurance undertaking or insurance holding company.

Subsection 4. By capital shares is meant shares in limited liability companies (shares), in private limited companies (partnership shares) and in other companies' equity.

Subsection 5. A parent undertaking that has been covered by subsection 1, no. 9, is still considered a financial holding company if at least 35 pct. of the total balance sheet for the group and the parent undertaking's associated companies relates to the financial sector. The first sentence does not, however, apply if the total balance sheet mentioned in the first sentence has been below 40 pct. for 3 consecutive years.

Groups

Section 10. The Danish Financial Supervisory Authority may determine that the provisions of this Act or the Companies Act on groups, with the exception of Section 141 in the Companies Act on group representation, shall also apply in whole or in part to groups of insurance undertakings that do not constitute a group, but which have such mutual connection that the application of the aforementioned provisions must be considered necessary. The companies in question shall designate a company domiciled in Denmark covered by Section 39, subsection 1, which shall be considered the parent undertaking. If this is not done, the Danish Financial Supervisory Authority shall designate the company.

Parent Undertaking

Section 11. A company can only have one direct parent undertaking. If several companies meet one or more of the criteria in Section 12, it is solely the company that actually exercises the decisive influence over the company's economic and operational decisions that is considered the parent undertaking.

Decisive Influence

Section 12. Decisive influence is the power to direct the economic and operational decisions of a subsidiary.

Subsection 2. Decisive influence in relation to a subsidiary exists when the parent undertaking directly or indirectly through a subsidiary owns more than half of the voting rights in a company, unless it is clearly demonstrated in special cases that such ownership does not constitute decisive influence.

Subsection 3. If a parent undertaking does not own more than half of the voting rights in a company, decisive influence exists if the parent undertaking has

1. control over more than half of the voting rights by virtue of an agreement with other investors,
2. the power to direct the financial and operational affairs of a company in accordance with articles of association or agreement,
3. the power to appoint or remove the majority of the members of the highest management body and this body possesses the decisive influence on the company, or
4. control over the actual majority of votes at the general meeting or in a corresponding body and thereby possesses the actual decisive influence over the company.

Subsection 4. The existence and effect of potential voting rights, including subscription rights and purchase options on capital shares, which can currently be exercised or converted, shall be taken into account when assessing whether a company has decisive influence.

Subsection 5. In the calculation of voting rights in a subsidiary, voting rights attached to capital shares held by the subsidiary itself or its subsidiaries shall be disregarded.

Calculation of Voting Rights

Section 13. In the calculation of voting rights and rights to appoint or remove members of management bodies, rights held by both the parent undertaking and its subsidiaries are included.

Section II Authorization, Exclusive Right, Business Area and Foreign Insurance Undertakings Chapter 3 Authorization, Exclusive Right etc. Authorization

Section 14. The exercise of insurance and reinsurance business may not be commenced before the Danish Financial Supervisory Authority has granted authorization herefor in accordance with Sections 19-23, cf. however subsections 2-4 and Sections 49-53, and registration with the Danish Business Authority has taken place, cf. Section 24.

Subsection 2. Exempt from the requirement for authorization are the following types of organizations, companies, institutions and funds:

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1. Pension funds that have the purpose of securing pension upon employment in a private company, including an insurance company, or upon employment in such companies within the same group.
2. Burial funds and cremation societies.
3. Recognized unemployment funds etc. under state supervision.
4. War insurance associations covered by the Act on War Insurance of Real and Personal Property.
5. Reinsurance in accordance with the Act on the Danish Export and Investment Fund for Extraordinary Risks in connection with export.
6. Maternity funds.

Subsection 3. Exempt from the requirement for authorization are furthermore the following companies, institutions and funds:

1. Falck Danmark A/S.
2. Labour Market Supplementary Pension and Labour Market Occupational Insurance.
3. Travel Guarantee Fund.
4. Guarantee Fund for Non-Life Insurance Undertakings.
5. Guarantee Fund Danish Association for International Motor Vehicle Insurance.
6. War Insurance Institute under the Act on War Insurance of Ships.

Subsection 4. Exempt from the requirement for authorization is also assistance services provided in the event that a road vehicle is involved in an accident or damage in this country, if the provider of the security has its domicile in this country. The first sentence does not apply to companies covered by subsection 1.

Subsection 5. The assistance services under subsection 4 may only include the following services:

1. Repair on site, where the provider of the security in most cases uses its own personnel or equipment.
2. Transport of the vehicle to the nearest most suitable place where repair can be carried out, and possible transport of the driver and passengers of the road vehicle in general with the same assistance vehicle to the nearest place from which they can continue their journey in another way.
3. Transport of the vehicle, possibly accompanied by the driver and passengers, to their residence, starting point or original destination in this country.

Subsection 6. The condition under subsection 4, according to which the damage must have occurred in this country, does not need to be met when the insured is a member of the organization providing the security, and provided that repair or transport of the vehicle is merely carried out by a corresponding organization abroad upon presentation of a membership card and without payment of a surcharge in accordance with an agreement on reciprocity.

Group 1 and Group 2 Insurance Undertakings

Section 15. A company applying for authorization to conduct insurance business in accordance with Sections 19-21 will obtain the status of a Group 1 insurance undertaking if the company is to conduct cross-border business in accordance with Section 61 or Section 63, the company is to conduct business within one or more of the insurance classes 10-15 in Annex I, unless they constitute accessory risks, or the company is expected to meet at least one of the conditions in Section 9, subsection 1, no. 17, points (a)-(d) during the coming 5 years.

Subsection 2. A company applying for authorization to conduct insurance business in accordance with Sections 19-21 will obtain the status of a Group 2 insurance undertaking if the company does not obtain the status of a Group 1 insurance undertaking, cf. subsection 1.

Capital Requirements

Section 16. A company expected to obtain the status of a Group 1 insurance undertaking, cf. Section 15, subsection 1, must meet the capital requirements in Sections 154 and 155 to obtain authorization as an insurance undertaking. A company expected to obtain the status of a Group 2 insurance undertaking, cf. Section 15, subsection 2, must meet the capital requirements in Section 156 to obtain authorization as an insurance undertaking.

Application for Status as Group 1 Insurance Undertaking

Section 17. A company that obtains the status of a Group 2 insurance undertaking, cf. Section 15, subsection 2, may apply to the Danish Financial Supervisory Authority to obtain the status of a Group 1 insurance undertaking. The Danish Financial Supervisory Authority approves an application in accordance with the first sentence if the Danish Financial Supervisory Authority assesses that the company meets the capital requirements in Section 16, first sentence.

Change of Status

Section 18. An insurance undertaking changes status from being a Group 1 insurance undertaking to being a Group 2 insurance undertaking when the company does not conduct cross-border business in accordance with Section 61 or Section 63, when the company does not conduct business within one or more of the insurance classes 10-15 in Annex I, and when none of the amount limits in Section 9, subsection 1, no. 17, points (a)-(d), are exceeded for 3 consecutive years and are not expected to be exceeded in any of the coming 5 years.

Subsection 2. An insurance undertaking that changes status must immediately notify the Danish Financial Supervisory Authority and submit documentation for the status change no later than 8 working days thereafter.

Requirements for Application for Authorization

Section 19. Insurance undertakings may only conduct business as mentioned in Annexes 1 and 2 and business under Sections 46-48. The Danish Financial Supervisory Authority grants an insurance undertaking authorization for the insurance classes applied for upon application, when the following conditions are met:

1. The members of the applicant's board of directors and management meet the requirements of fitness and honesty in Section 105.
2. Employees in Group 1 insurance undertakings identified as key function holders in accordance with Section 127, subsection 1, meet the requirements in Section 105.
3. Holders of qualifying holdings, cf. Section 9, subsection 3, meet the criteria in Section 90, subsection 1.
4. There are no close links, cf. Section 9, subsection 1, no. 14, between the applicant and other companies or persons that could hinder the performance of the supervisory authority's tasks.
5. The legislation in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector regarding a company or a person with whom the applicant has close links, will not hinder the performance of the Danish Financial Supervisory Authority's tasks.
6. The applicant's organizational and administrative conditions are sound, including that the requirements in Section 132 are met.
7. The applicant can demonstrate that it can comply with the rules regarding corporate governance.
8. The applicant has its head office and domicile in Denmark.
9. Criteria established under Sections 21 and 27-30 are met.

Subsection 2. A company that has authorization to conduct life insurance business covered by Annex 2 may apply for authorization to conduct non-life insurance business covered by Annex 1, insurance classes 1 and 2, in the same company.

Subsection 3. A life insurance business applying for authorization to conduct non-life insurance business in the same company under subsection 2 must, in addition to meeting the requirements for authorization, demonstrate that it possesses the recognized basic capital base to cover respectively the absolute minimum for the minimum capital requirement for insurance undertakings authorized to conduct life insurance business, and the absolute minimum for the minimum capital requirement for insurance undertakings authorized to conduct non-life insurance business, cf. Section 155, subsection 5, nos. 1 and 2. The company must also demonstrate that it can meet the financial minimum requirements in the future.

Section 20. An application for authorization must contain the information necessary for the Danish Financial Supervisory Authority to assess whether the conditions in Section 19, subsection 1, are met, including information on the size of the qualifying holdings and the company's organization. An application for authorization must furthermore contain a business plan prepared by the insurance undertaking containing information on the nature of the intended business.

Subsection 2. The Danish Financial Supervisory Authority establishes detailed rules on the content of the authorization and the application otherwise, including on the information the business plan must contain, on the requirements for the reporting format and layout, and on the period for which the plan must be prepared.

Membership in the Guarantee Fund for Non-Life Insurance Undertakings

Section 21. For insurance undertakings that have authorization to conduct non-life insurance business and are not reinsurance undertakings, authorization is furthermore conditional on the company being a member of the Guarantee Fund for Non-Life Insurance Undertakings.

Subsection 2. An application for authorization for insurance class 10 in Annex I on liability insurance for motor vehicles must, apart from the carrier's liability, be accompanied by information on the name and address of the persons or companies that are designated or that the company intends to designate as claims representatives in each of the other countries in the European Union and in countries with which the Union has concluded an agreement in the financial sector.

Subsection 3. The Danish Financial Supervisory Authority establishes detailed rules on claims representatives and their powers.

Suspension of Processing of Application

Section 22. The Danish Financial Supervisory Authority may suspend the processing of applications for authorization under Sections 19-21 from applicants that are directly or indirectly owned by companies domiciled in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector, when the suspension is intended to comply with a provision on suspension from the European Commission in accordance with directives in the financial sector.

Refusal of Application for Authorization

Section 23. If the Danish Financial Supervisory Authority refuses an application for authorization, this must be justified and communicated to the applicant no later than 6 months after receipt of the application, or, if the application is incomplete, no later than 6 months after the applicant has submitted the information necessary to make the decision. A decision must in any case be made no later than 12 months after receipt of the application. If the Danish Financial Supervisory Authority has not made a decision no later than 6 months after receipt of a complete application for authorization, the company may bring the matter before the courts.

Subsection 2. The Danish Financial Supervisory Authority may refuse to grant authorization under Section 19 if the purpose of placing the head office and domicile in Denmark is solely to avoid being subject to the legislation in the country where the majority of the applicant's customers are domiciled.

Registration with the Danish Business Authority

Section 24. When the Danish Financial Supervisory Authority grants an insurance undertaking authorization to conduct insurance business or approves changes to an existing authorization, cf. Section 19, a copy of the approval is simultaneously sent to the Danish Business Authority.

Subsection 2. The Danish Business Authority registers the date of authorization or for approval of changes to the authorization.

Subsection 3. When the insurance undertaking has received authorization or approval of changes to the authorization from the Danish Financial Supervisory Authority, the insurance undertaking must report the authorization or change in the authorization for registration with the Danish Business Authority. In reporting to the Danish Business Authority, the insurance undertaking must submit a dated copy of the articles of association. The Danish Business Authority forwards a copy of the insurance undertaking's registration certificate and new articles of association, if changes have been made to the articles of association, to the Danish Financial Supervisory Authority.

Section 25. Insurance undertakings and branches of foreign insurance undertakings that have received authorization from the Danish Financial Supervisory Authority are registered with the Danish Business Authority.

Liability for Insurance Taken Out Before Authorization is Granted

Section 26. If insurance is taken out despite the provisions in Sections 14-23 before authorization is granted and registration has taken place, those who have taken out the insurance on behalf of the insurance undertaking or have joint responsibility for this are jointly and severally liable for the fulfillment of the agreement. If the company acknowledges the obligations no later than 4 weeks after the registration, the liability of the relevant parties ceases, provided that the policyholder's security is not thereby significantly impaired. Agreements of the aforementioned type are void...

the company's recognition of the obligations is not binding on the policyholder.

Subsection 2. The provisions in §§ 14-23 do not prevent the enrollment of members for the purpose of establishing a mutual company, provided that the insurance liability does not begin to run and the premium is not increased before the company is registered. Enrollment of a member in a mutual company is, however, only binding if the company is reported to the Danish Business Authority no later than 1 year after the enrollment. If registration is refused, the agreement lapses.

Separation between life insurance business and other business

§ 27. Life insurance business may not be combined with other insurance business in the same company. Insurance companies authorized to conduct life insurance business may, however, with permission, conduct business within insurance classes 1 and 2, cf. Annex 1. Furthermore, reinsurance of life insurance and other insurance may be conducted by the same company.

Subsection 2. Insurance companies that, pursuant to § 19, subsection 2, have permission to conduct both life insurance business and non-life insurance business in the same company, must ensure separate management, such that there is a separation of life insurance business and non-life insurance business. The respective interests of life and non-life insured persons must not be disregarded, and the profit arising from life insurance must benefit the policyholders in the same way as if the insurance company only conducted life insurance business.

Subsection 3. The Danish Financial Supervisory Authority may establish detailed rules for insurance companies that have permission to conduct both life insurance business and non-life insurance business in the same company, including rules for the separate management, cf. subsection 2, and reporting of information for use in the Danish Financial Supervisory Authority's supervision of the insurance companies.

§ 28. The Danish Financial Supervisory Authority may grant permission for an insurance company, which has permission to conduct non-life insurance business and which conducts business through a branch in a country within the European Union or in a country with which the Union has concluded an agreement in the financial sector, to conduct forms of insurance that are in accordance with the law applied in the relevant country, even if this is not permitted in Denmark.

Notification of the technical basis

§ 29. The technical basis and other matters for life insurance business must contain the following information:

1. The forms of insurance that the company intends to use.
2. The basis for the calculation of insurance premiums, surrender values, and free policies.
3. Rules for the calculation and distribution of realized results to policyholders and other entitled persons under the insurance contracts.
4. The company's principles for reinsurance, including monetary limits.
5. Rules on when both prospective insured persons and policyholders must provide health information for the assessment of risk conditions.
6. The basis for the calculation of life insurance provisions both for individual insurance contracts and for the company as a whole.
7. Rules according to which pension schemes with ongoing payments taken out or agreed as mandatory schemes in an insurance company may be transferred from or to the company in connection with a change of employment or in connection with a business transfer or business conversion.

Subsection 2. Notification must be made of the parts of the technical basis and other matters, as specified in subsection 1, items 1-3 and 6, no later than simultaneously with the basis and other matters being put into use, cf. however subsection 3. The same applies to any subsequent changes in the aforementioned matters.

Subsection 3. Insurance companies that do not underwrite direct life insurance are not required to notify the technical basis and other matters for life insurance business.

Subsection 4. The Danish Financial Supervisory Authority may establish detailed rules on the matters mentioned in subsections 1 and 2, including on and to what extent the notifications must be publicly accessible.

§ 30. The matters specified pursuant to § 29, subsection 1, items 1-5, must be reassuring and reasonable for the individual policyholder and other entitled persons under the insurance contracts.

Subsection 2. The notified rules for the calculation and distribution of realized results, cf. § 29, subsection 1, item 3, must be precise and clear and must lead to a reasonable distribution.

Subsection 3. The premiums for newly underwritten insurance must be sufficient for the insurance company to fulfill all its obligations, such that there will be no need for systematic and permanent injection of other funds.

Subsection 4. The calculation elements (interest rates, expense rates, and statistical calculation elements) that form the basis for the calculation of insurance premiums, surrender values, and free policies must be chosen with caution. If the basis for the calculation of insurance premiums, surrender values, and free policy benefits includes the possibility of dividing the paid-in insurance premium into a part for which a guaranteed pension is accrued, and a part that goes to either the collective bonus potential or the individual bonus potential, it is, however, sufficient that the basis as a whole is based on reassuring assumptions. The calculation elements that form the basis for the calculation of life insurance provisions must be set such that they are in accordance with the rules issued pursuant to § 190.

Subsection 5. If insurance is covered by subsection 4, second sentence, the share of collective bonus potential and individual bonus potential must be fully used in the calculation of the surrender value and in the transfer from one company to another, cf. § 29, subsection 1, item 7.

Subsection 6. If the requirements in subsections 1-4 or in rules issued pursuant to this Act are not met, the Danish Financial Supervisory Authority shall order insurance companies that have permission to conduct life insurance business to make the necessary changes to the matters specified in § 29 within a deadline set by the Danish Financial Supervisory Authority.

Subsection 7. The Danish Financial Supervisory Authority may establish detailed provisions on the requirements mentioned in subsections 1-4.

Special rules for mutual companies and cross-border pension funds regarding establishment

§ 31. The provisions of the Companies Act on notification and registration and other matters, and Chapter 3 of the Companies Act, apply with the necessary adjustments to mutual companies and cross-border pension funds.

Subsection 2. For mutual companies and cross-border pension funds, the provisions of Chapter 3 of the Companies Act regarding shareholders apply to guarantors, and the provisions on share capital and shares apply to guarantee capital and guarantee shares with necessary relaxations.

Information on beneficial owners

§ 32. A mutual company and a cross-border pension fund must obtain information on the beneficial owners of the mutual company and the cross-border pension fund, including information on the beneficial owners' rights.

Subsection 2. Any person who directly or indirectly owns or controls a mutual company or a cross-border pension fund must, upon request by the mutual company or the cross-border pension fund, provide the mutual company or the cross-border pension fund with the information on the ownership structure necessary for the mutual company or the cross-border pension fund to identify beneficial owners, including information on the beneficial owners' rights.

Subsection 3. The mutual company and the cross-border pension fund must register the information on the beneficial owners of the mutual company and the cross-border pension fund, including information on the beneficial owners' rights, in the Danish Business Authority's IT system as soon as possible after the mutual company and the cross-border pension fund become aware that a person has become a beneficial owner. Any change to the information registered about the beneficial owners must be registered as soon as possible after the mutual company or the cross-border pension fund becomes aware of the change. The registered members of the board of directors of the mutual company or the cross-border pension fund must be regarded and registered as beneficial owners in the Danish Business Authority's IT system if the mutual company and the cross-border pension fund, after having exhausted all possibilities for identification, have no beneficial owners, or if no beneficial owners can be identified.

Subsection 4. The mutual company and the cross-border pension fund must investigate at least once a year whether there are changes to the registered information on beneficial owners. The result of the annual investigation is presented at the board meeting where the board approves the annual report.

§ 33. The mutual company and the cross-border pension fund must keep documentation for the obtained information on the beneficial owners of the mutual company or the cross-border pension fund for 5 years after the beneficial ownership ends. The mutual company and the cross-border pension fund must also keep documentation for the obtained information on attempts to identify beneficial owners for 5 years after the completion of the identification attempt.

§ 34. The mutual company and the cross-border pension fund must, upon request, provide information on the beneficial owners of the mutual company and the cross-border pension fund, including information on the mutual company's and the cross-border pension fund's attempts to identify their beneficial owners, to the Danish Financial Intelligence Unit. The mutual company and the cross-border pension fund must also, upon request, provide the aforementioned information to other competent authorities when these authorities assess that the information is necessary for their performance of supervisory or control tasks.

Subsection 2. The Danish Financial Intelligence Unit and other competent authorities may freely pass on information on beneficial owners that is registered, cf. § 32, subsection 3, or obtained, cf. subsection 1, to competent authorities and financial intelligence services in other EU member states.

§ 35. The Danish Business Authority establishes detailed rules on the registration, accessibility, and publication of information pursuant to § 32, subsections 1 and 3, and § 33 in the Danish Business Authority's IT system, including which information the mutual company and the cross-border pension fund must register in the Authority's IT system.

§ 36. A mutual company and a cross-border pension fund that must obtain, keep, and register information on beneficial owners, cf. § 32, must, upon request, provide persons and companies that are required to perform customer due diligence procedures pursuant to the Money Laundering Act with information on the ownership structure of the mutual company or the cross-border pension fund.

Subsection 2. If the Danish Financial Supervisory Authority receives reports pursuant to the Money Laundering Act about discrepancies in relation to the registered information on a mutual company's or a cross-border pension fund's beneficial owners, the Danish Financial Supervisory Authority conducts an investigation of the matter. The Danish Financial Supervisory Authority may set a deadline for the mutual company or the cross-border pension fund to rectify the matter.

Subsection 3. Upon request from the Danish Financial Supervisory Authority, the Danish Business Authority may, concurrently with the investigation, cf. subsection 2, publish a notice about the report in the Danish Business Authority's IT system. The mutual company or the cross-border pension fund must have the opportunity to object to the report before it is published, unless the purpose of publishing the notice about the report is thereby defeated.

Obligation and exclusive right to names

§ 37. Companies that have permission as an insurance company have the exclusive right to use the designation insurance company, mutual company, captive insurance company, captive reinsurance company, or pension fund in their name. Other companies must not use names or designations for their business that are suitable to create the impression that they are insurance companies or pension funds.

§ 38. Insurance companies are obliged to use a name that clearly indicates the company's status as an insurance company.

Subsection 2. Mutual companies are obliged to use the designation mutual company or abbreviations derived therefrom or otherwise clearly indicate their status as a mutual company in their name.

Subsection 3. Captive insurance or captive reinsurance companies are obliged to use the designation captive insurance company or captive reinsurance company.

Subsection 4. Cross-border pension funds are obliged to clearly indicate in their name that they are a pension fund.

Subsection 5. Section 2, subsections 2-4, and §§ 3 and 347 of the Companies Act apply correspondingly to mutual companies and cross-border pension funds.

Chapter 4 Company form, share capital, and dividend distribution etc. Company form

§ 39. Insurance companies must be public limited companies, mutual companies, or cross-border pension funds. Captive reinsurance companies must be public limited companies.

Subsection 2. Insurance companies as mentioned in subsection 1 must have a board of directors and a management.

Share capital, own shares etc.

§ 40. If an insurance company is a public limited company, the share capital must be paid in full. Intangible assets cannot be used for the payment of share capital.

Subsection 2. In insurance companies, the division of share capital into share classes with different voting values is not permitted.

Subsection 3. An insurance company must not acquire own shares for ownership or pledge for consideration, if the nominal value of the company's and its subsidiaries' total holding of shares in the company as a result of the acquisition will exceed 10%. The permitted holding of own shares includes shares acquired by a third party in their own name, but for the company's account.

Subsection 4. The Danish Financial Supervisory Authority may establish rules for own issued instruments that can be included in the capital base, including rules on redemption and acquisition of own issued instruments for financial holding companies that are not covered by Council Regulation (EU) No 575/2013 of 26 June 2013 on prudential requirements for credit institutions and investment firms.

§ 41. A decision that new shares must be payable by conversion of debt pursuant to § 161 of the Companies Act must be approved by the Danish Financial Supervisory Authority.

§ 42. § 199 of the Companies Act does not apply to an insurance company's acquisition of own shares.

Dividend distribution etc.

§ 43. As dividends to shareholders, interest to guarantors, or payments to members in mutual companies, only the year's result (profit) according to the approved annual report for the last financial year, carried forward profit from previous years, and other reserves that are not bound pursuant to law or the company's articles of association, after deduction of uncovered deficits and amounts that, pursuant to law or the company's articles of association, must be allocated to a security fund or for other purposes, may be used.

Subsection 2. Extraordinary dividends may be used from:

1. Funds covered by subsection 1.
2. Profit in the current financial year up to the date of the interim balance sheet, cf. § 183, subsection 2, of the Companies Act, if the amount has not been distributed, consumed, or bound.
3. Free reserves that have arisen or become released in the current financial year.

§ 44. As long as group 1 insurance companies do not meet the solvency capital requirement, cf. § 154, or the minimum capital requirement, cf. § 155, or group 2 insurance companies do not meet the basic capital requirement in § 156, no dividends or extraordinary dividends may be paid to shareholders, interest to guarantors, or amounts to members in mutual companies.

§ 45. In insurance companies that are public limited companies, distribution of the company's funds to shareholders beyond §§ 43 and 44 may only take place as distribution in connection with a reduction of share capital or the company's dissolution, including liquidation.

Subsection 2. In mutual companies, distribution to members beyond subsection 1 may only take place in accordance with the rules established in the articles of association.

Subsection 3. Dividends or extraordinary dividends to shareholders, interest to guarantors, or payments to members in mutual companies must not exceed what is reasonable considering the company's and, in parent companies, the group's economic position.

Chapter 5 Other permitted business General rules on other permitted business

§ 46. Insurance companies may conduct business that is accessory to the insurance business for which permission has been granted. Business is considered accessory, including digital solutions and services, that are connected to and lie in natural continuation of the permitted business.

Subsection 2. The Danish Financial Supervisory Authority may determine that the accessory business must be conducted by another company.

Subsection 3. Insurance companies may conduct insurance mediation and agency business for insurance companies and for other companies under the supervision of the Danish Financial Supervisory Authority.

Subsection 4. Insurance companies may conduct business as an insurance company, credit institution, mortgage credit institution, fund brokerage company, or investment management company through a subsidiary.

Subsection 5. Insurance companies may conduct forestry and accessory service business through a subsidiary with limited liability.

§ 47. Insurance companies may temporarily conduct other business to secure or wind up previously undertaken exposures or with a view to participating in the restructuring of commercial businesses. The insurance company must notify the Danish Financial Supervisory Authority thereof.

§ 48. Insurance companies may jointly with others conduct other business, regardless of §§ 19, 46, and 47, if

1. the insurance company does not directly or indirectly have decisive influence on the business,
2. the insurance company does not conduct the business together with other insurance companies or credit institutions, mortgage credit institutions, fund brokerage companies, or investment management companies that are part of a joint administration or group with the insurance company, and
3. the business is conducted in another company with limited liability than the insurance company.

Subsection 2. If an insurance company or a group comes to conduct other business in violation of § 19, subsection 1, or § 48, subsection 1, through acquisition, merger, etc., the Danish Financial Supervisory Authority may set a deadline for the disposal of the other business if an immediate disposal would be associated with an economic loss.

Chapter 6 Cross-border business Foreign insurance companies' branch business in Denmark

§ 49. A foreign insurance company that has been granted permission to conduct insurance business in another country within the European Union or in a country with which the Union has concluded an agreement in the financial sector may begin to conduct business in this country through a branch no later than 2 months after the Danish Financial Supervisory Authority has received notice thereof from the supervisory authorities in the home country and received the information, cf. subsection 2, § 50, subsection 1, and § 51, subsection 1. The branch may conduct the activities mentioned in Annexes 1 and 2, if these are covered by the insurance company's permission in the home country. The provisions of the Companies Act on branches of foreign public limited companies apply to the branch.

Subsection 2. The Danish Financial Supervisory Authority must obtain the following information from the home country's supervisory authorities:

1. The insurance company's name and address in the home country.
2. The branch's address.
3. The name of the branch's general agent, cf. § 57.
4. A specification of the insurance classes, groups of classes, and any accessory risks that the branch intends to cover in this country.
5. A declaration that the planned activities are covered by the insurance company's permission in the home country.
6. A business plan containing a description of the branch's business, including information on organization and the planned activities.
7. A solvency certificate.
8. Documentation that the company is a member of the Guarantee Fund for Non-Life Insurance Companies, to the extent that the insurance company is a direct underwriting insurance company that has permission to conduct non-life insurance business and must cover risks mentioned in Annex 1.
9. A specification of the option that the insurance company uses for the handling of claims in accordance with Article 200 of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II), to the extent that the insurance company offers legal expenses insurance, cf. Annex 1, item 17.

§ 50. If the branch must cover risks under insurance class 10, cf. Annex 1, item 10, except for the liability of carriers, the Danish Financial Supervisory Authority must require from the home country's supervisory authorities a declaration that the branch is a member of the Danish Association for International Motor Vehicle Insurance. For the relevant branches' insurance covering the aforementioned risks, the Road Traffic Act's §§ 105-108 and 110-115 apply. The Danish Financial Supervisory Authority must also obtain from the home country's supervisory authorities the name and address of the claims handling representative appointed in Denmark, cf. § 54.

Subsection 2. The Danish Financial Supervisory Authority must no later than 2 months after receiving the information mentioned in subsection 1 and § 49, subsection 2, notify the home country's supervisory authorities of the special Danish conditions that are justified by societal interests applicable to the conduct of insurance business in this country. The Danish Financial Supervisory Authority simultaneously informs the Danish Business Authority and, if the branch must cover risks under insurance class 10, cf. Annex 1, item 10, except for the liability of carriers, the Danish Association for International Motor Vehicle Insurance, of the establishment of the branch.

§ 51. The branch may begin its business when the insurance company has received the information mentioned in § 49, subsection 2, from its supervisory authority in the home country, or no later than 2 months after the Danish Financial Supervisory Authority has received the information mentioned in § 49, subsection 2, and § 50, subsection 1.

Subsection 2. The insurance company must notify the Danish Financial Supervisory Authority in writing of any change to the matters mentioned in § 49, subsection 2, no later than 1 month before the implementation of the change. The insurance company must, however, not notify the Danish Financial Supervisory Authority of changes to the insurance company's capital base and solvency ratios.

Foreign insurance companies' provision of services in Denmark

§ 52. A foreign insurance company that has been granted permission to conduct insurance business in another country within the European Union or in a country with which the Union has concluded an agreement in the financial sector may begin to provide services in this country when the Danish Financial Supervisory Authority has received notice thereof from the supervisory authorities in the home country, cf. subsection 2 and § 53, subsection 1, and received the information. The foreign insurance company may conduct the activities mentioned in Annexes 1 and 2, if these are covered by the insurance company's permission in the home country.

Subsection 2. The Danish Financial Supervisory Authority must obtain the following information from the home country's supervisory authorities:

1. The insurance company's name and address in the home country.

2. A specification of the insurance classes, groups of classes, and any accessory risks that the insurance company intends to cover in this country.

3. A declaration that the planned activities are covered by the insurance company's authorization in its home country.

4. A solvency certificate.

5. Documentation that the insurance company is a member of the Guarantee Fund for Non-Life Insurance Companies, to the extent that the company is a direct writing insurance company authorized to conduct non-life insurance business and is to cover risks mentioned in Annex 1.

6. A specification of the method used by the insurance company for handling claims in accordance with Article 200 of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II), to the extent that the insurance company offers legal expenses insurance, cf. Annex 1, No. 17.

§ 53. If the insurance company is to cover risks under insurance class 10, cf. Annex 1, No. 10, excluding the liability of the carrier, Finanstilsynet (the Danish Financial Supervisory Authority) shall request from the home country's supervisory authorities a declaration that the insurance company is a member of the Danish Association for International Motor Vehicle Insurance. For the relevant insurance policies covering the aforementioned risks, the Road Traffic Act §§ 105-108 and 110-115 apply. Finanstilsynet shall also obtain from the home country's supervisory authorities the name and address of the claims representative appointed in Denmark, cf. § 54.

Stk. 2. Finanstilsynet shall, no later than 2 months after receiving the information referred to in § 52, subsection 2, and subsection 1, notify the home country's supervisory authorities of the special Danish terms justified by public interest considerations that apply to the conduct of insurance business in this country. Finanstilsynet shall simultaneously inform the Danish Association for International Motor Vehicle Insurance of the notification pursuant to § 52, subsection 2, and subsection 1, if the insurance company is to cover risks under insurance class 10, cf. Annex 1, No. 10, excluding the liability of the carrier.

Claims Representative

§ 54. Foreign insurance companies conducting business in this country pursuant to § 49, subsection 1, and § 52, subsection 1, and covering risks under insurance class 10, cf. Annex 1, No. 10, excluding the liability of the carrier, shall appoint a claims representative who is resident or established in this country. The claims representative shall have the authority to collect all necessary information in connection with claims and to represent the insurance company towards persons who may have claims, including regarding the payment of such claims.

Stk. 2. The claims representative shall further have the authority to represent the insurance company towards authorities and in lawsuits against the insurance company in connection with the claims referred to in subsection 1.

Stk. 3. The appointment of the claims representative shall not in itself be regarded as the establishment of a branch, cf. § 56.

Use of Name by Insurance Companies

§ 55. A foreign insurance company may use the same name as the insurance company uses in its home country. If there is a risk of confusion with another name used in this country, the Danish Business Authority may require an explanatory addition.

Established Branch

§ 56. An established branch of an insurance company is understood as:

1. The head office stated in the articles of association.
2. A branch.
3. An office managed by the foreign insurance company's own staff.
4. An independent person who has permanent authority to act on behalf of a foreign insurance company in a manner similar to a branch.

Stk. 2. If a foreign insurance company in this country is covered by subsection 1, No. 3 or 4, the office or person shall likewise be regarded as the insurance company's branch in this country and shall meet the conditions set out in §§ 49-51 or pursuant to § 3, subsection 3.

General Agent

§ 57. Foreign insurance companies that have established a branch in this country shall appoint a general agent to manage the branch, which cannot be written without the general agent's involvement. The general agent shall have the authority to bind the business towards third parties and to represent the insurance company generally, including towards Finanstilsynet and the Danish Business Authority and in lawsuits against the insurance company. The general agent must meet the requirements in § 105.

Stk. 2. The general agent may also serve as the claims representative referred to in § 54.

Stk. 3. An insurance company may only have one general agent in this country.

Stk. 4. The general agent may grant procuration to one or more sub-agents.

Stk. 5. General agents must be adults and have citizenship in either a Member State of the European Union or in a country with which the Union has concluded an agreement in the financial sector. Finanstilsynet may, where circumstances require, grant dispensation from the citizenship requirement.

Stk. 6. A limited liability company, private limited company, or partnership registered in this country may be a general agent if the general agent appoints as its representative a person who meets the conditions referred to in subsection 5.

Transfer of Insurance Portfolio

§ 58. Finanstilsynet grants consent to the transfer of the whole or part of an insurance portfolio written in this country by a foreign insurance company in accordance with §§ 49 or 52, unless the transfer cannot be considered prudent. Finanstilsynet's consent shall be communicated to the supervisory authority of the transferring insurance company, which makes the decision on the transfer, no later than 3 months after Finanstilsynet has received the request therefor. If the acquiring insurance company is registered in this country, Finanstilsynet shall send to the supervisory authority of the transferring insurance company a declaration that the acquiring insurance company, taking the transfer into account, meets the requirements in §§ 154 and 155.

Stk. 2. The transfer cannot be invoked as grounds for terminating the insurance contract.

Stk. 3. In the event of a transfer, Finanstilsynet shall, in cooperation with the home country authorities, publish a notice of the transfer in the Official Journal (Statstidende) and a nationwide newspaper. Notice in a nationwide newspaper may be omitted if the affected policyholders have received personal information about the transfer in another manner.

Participation in Guarantee Schemes

§ 59. Foreign insurance companies covered by the rules in §§ 49-53, which in this country cover the risks mentioned in Annex 1, may be required by Finanstilsynet to participate in schemes guaranteeing the fulfillment of compensation claims from the insured or injured third parties, to the extent that such schemes apply correspondingly to Danish insurance companies.

Provision of Services in Denmark by Insurance Companies Established Outside the European Union

§ 60. Finanstilsynet may set detailed rules on services provided by insurance companies from countries outside the European Union, with which the Union has not concluded an agreement in the financial sector.

Establishment of Branches Abroad by Danish Insurance Companies

§ 61. An insurance company intending to establish a branch in a country within the European Union or in a country with which the Union has concluded an agreement in the financial sector shall notify this to Finanstilsynet together with the following information about the branch:

1. The country in which the branch is intended to be established.
2. The branch's address in the host country from which documents, including all communications to the general agent, can be obtained or to which they can be sent.
3. The name of the branch's general agent, who has sufficient authority to bind the insurance company towards third parties and to represent the insurance company towards the host country's authorities and courts.
4. Documentation that the branch's general agent meets the requirements pursuant to § 105, subsection 1.
5. A business plan containing a description of the branch's activities, including information on organization and planned activities.
6. A specification of the method used by the insurance company in handling legal expenses insurance claims pursuant to § 4 in the Order on Legal Expenses Insurance for Group 1 Insurance Companies, to the extent that the insurance company will offer legal expenses insurance in the relevant host country, cf. Annex 1, No. 17.
7. If the branch is to cover risks under insurance class 10, cf. Annex 1, No. 10, excluding the liability of the carrier, the insurance company shall submit a declaration to Finanstilsynet that the insurance company has become a member of the national bureau and the national guarantee fund in the host country, and specify the name and address of the claims representative resident in the host country, cf. § 21, subsection 2.

Stk. 2. Finanstilsynet shall forward the information referred to in subsection 1, a solvency certificate, and a declaration that the planned activities are covered by the insurance company's authorization to the supervisory authorities in the host country no later than 3 months after receipt of the information, cf. however subsection 3. Finanstilsynet shall simultaneously notify the insurance company that the information has been forwarded to the supervisory authorities in the host country.

Stk. 3. Finanstilsynet may refrain from forwarding information pursuant to subsections 1 and 2 if, considering the establishment of the branch, there is reason to doubt the insurance company's management system, financial situation, or the general agent's suitability and integrity, cf. § 105, subsections 1 and 8. Finanstilsynet shall not forward the information referred to in subsections 1 and 2 if the insurance company does not meet the solvency capital requirement pursuant to § 154 or the minimum capital requirement pursuant to § 155.

Stk. 4. If Finanstilsynet receives information from the host country's supervisory authorities regarding special terms justified by public interest considerations that apply to the conduct of insurance business in the host country, Finanstilsynet shall forward this information to the insurance company.

Stk. 5. The branch may commence its activities when Finanstilsynet has received information pursuant to subsection 4, or no later than 2 months after the host country's supervisory authorities have received information pursuant to subsection 2, cf. however subsection 3.

Stk. 6. The insurance company shall notify Finanstilsynet and the supervisory authorities in the host country of any changes to the circumstances referred to in subsection 1. Finanstilsynet and the supervisory authorities in the host country must receive the notification no later than 1 month before the change is made.

§ 62. An insurance company must have Finanstilsynet's authorization to establish a branch in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector. If there is reason to doubt that the insurance company's management system or financial situation is prudent as a basis for the intended establishment, Finanstilsynet may refuse an application for authorization.

Cross-Border Provision of Services Abroad by Danish Insurance Companies

§ 63. An insurance company wishing to conduct insurance business in the form of cross-border services in a country within the European Union or in a country with which the Union has concluded an agreement in the financial sector shall notify this to Finanstilsynet together with the following information:

1. The country in which the insurance business is intended to commence.
2. A specification of the insurance classes, groups of classes, and any accessory risks that the insurance company intends to cover in the host country.
3. A specification of the method used by the insurance company in handling legal expenses insurance claims pursuant to § 4 in the Order on Legal Expenses Insurance for Group 1 Insurance Companies, to the extent that the insurance company will offer legal expenses insurance in the relevant host country, cf. Annex 1, No. 17.
4. If the insurance company is to cover under insurance class 10, cf. Annex 1, No. 10, excluding the liability of the carrier, the insurance company shall submit a declaration to Finanstilsynet that the insurance company has become a member of the national bureau and the national guarantee fund in the host country, and specify the name and address of the claims representative resident in the host country, cf. § 21, subsection 2.

Stk. 2. Finanstilsynet shall forward the information referred to in subsection 1, a solvency certificate, and a declaration that the planned activities are covered by the insurance company's authorization to the supervisory authorities in the host country no later than 1 month after receipt of the information, cf. however subsection 3. Finanstilsynet shall simultaneously notify the insurance company that the information has been forwarded to the supervisory authorities in the host country.

Stk. 3. Finanstilsynet may in special cases refrain from forwarding the information referred to in subsections 1 and 2 if Finanstilsynet assesses that forwarding would be imprudent. Finanstilsynet shall not forward the information referred to in subsections 1 and 2 if the insurance company does not meet the solvency capital requirement pursuant to § 154 or the minimum capital requirement pursuant to § 155. Finanstilsynet shall notify the insurance company if Finanstilsynet does not forward the information referred to in subsections 1 and 2.

Stk. 4. If Finanstilsynet receives information from the host country's supervisory authorities regarding special terms justified by public interest considerations that apply to the conduct of insurance business in the host country, Finanstilsynet shall forward this information to the insurance company.

Stk. 5. The insurance company may commence its business on the date on which the company has been notified pursuant to subsection 2, second sentence.

Stk. 6. The insurance company shall notify Finanstilsynet of any changes to the circumstances disclosed pursuant to subsection 1 no later than simultaneously with the changes being made. Finanstilsynet shall thereafter notify the host country's supervisory authorities of the changes no later than 1 month after receipt of the notification of changes.

Special Rules for Danish Insurance Companies' Business in a Third Country

§ 64. An insurance company must have Finanstilsynet's authorization to establish a subsidiary that is a credit institution, an investment firm, or an insurance undertaking in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector. If there is reason to doubt that the insurance company's management system or financial situation is prudent as a basis for the intended establishment, Finanstilsynet will not grant authorization.

Stk. 2. An insurance company shall notify Finanstilsynet of the establishment of subsidiaries that are not a credit institution, an investment firm, or an insurance undertaking in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector.

§ 65. Finanstilsynet may set detailed rules on Danish insurance companies' business in countries outside the European Union, with which the Union has not concluded an agreement in the financial sector.

§ 66. Finanstilsynet may set rules on the transfer of insurance portfolios written pursuant to § 61, subsection 1, or § 63, subsection 1.

Section III Good Conduct etc. Chapter 7 Good Conduct, Price Information, and Contractual Relations

General Rules on Good Conduct, Price Information, and Contractual Relations

§ 67. Insurance companies, financial holding companies, and insurance holding companies shall conduct business in accordance with fair business practices and good practice within the business area.

Stk. 2. The Minister for Industry, Business and Financial Affairs shall set detailed rules on fair business practices and good practice for insurance companies.

Stk. 3. The Minister for Industry, Business and Financial Affairs shall set rules on cost and price information for insurance products.

Stk. 4. The Minister for Industry, Business and Financial Affairs shall set detailed rules on procedures and disclosure obligations that an insurance company must observe when the company conducts certain investigations, including conducting personal observation of injured parties.

Stk. 5. Finanstilsynet may, after consultation with consumer representatives and relevant financial industry organizations, draft and publish guidelines on fair business practices and good practice in specified areas that may be considered significant, particularly from the consumer's perspective.

§ 68. Actions contrary to rules issued pursuant to § 67, subsection 2, incur liability for damages in accordance with the general rules of Danish law.

§ 69. Insurance companies may process information about personal identification numbers for the purpose of necessary unique identification in relation to existing customer relationships when performing administrative tasks and advisory services.

Sufficient Competences and Good Reputation of the Company's Employees

§ 70. An insurance company must ensure that all employees of the company who conduct insurance or reinsurance distribution business have sufficient competences and a good reputation.

Stk. 2. The Minister for Industry, Business and Financial Affairs shall set detailed rules on competence requirements and requirements for good reputation for employees directly engaged in insurance or reinsurance distribution at an insurance company or a reinsurance company.

Legal Expenses Insurance

§ 71. The Minister for Industry, Business and Financial Affairs shall set detailed rules for Group 1 insurance companies' underwriting of legal expenses insurance.

Damage Certificates for Motor Liability Insurance

§ 71 a. The Minister for Industry, Business and Financial Affairs shall set detailed rules on the issuance and use of certificates regarding compensation claims for damages affecting an insured vehicle, for insurance companies authorized to conduct non-life insurance business.

Contractual Relations for Consumer Contracts

§ 72. An insurance company offering insurance contracts to persons who, at the time of concluding the contract, act primarily outside their profession (consumers) shall offer that the relevant insurance can be taken out with terms allowing the policyholder to terminate the insurance with a notice of 30 days to the end of a calendar month. This does not apply to

1. life insurance and property transfer insurance written pursuant to the Act on Consumer Protection in the Acquisition of Real Estate etc., and
2. insurance that covers a specifically arisen risk that only extends over a limited period of time when the insurance contract is concluded for an agreed period of at most 1 month (short-term insurance), unless the insurance is part of another type of insurance.

Building Fire Insurance

§ 73. An insurance company underwriting building fire insurance shall, subject to the limitations following its articles of association or its authorization, accept insurance of any building, cf. however subsection 2.

Stk. 2. The insurance company may refuse to insure

1. buildings that are not adequately equipped against fire hazard, and
2. abandoned buildings.

§ 74. An insurance company cannot terminate a building fire insurance due to non-payment of premium.

Stk. 2. A customer can only terminate the insurance with the consent of the entitled parties according to all encumbrances and liens registered on the property, unless the property is insured in another company, without deteriorating their legal position, which is authorized to conduct building fire insurance.

Stk. 3. The insurance company has a right of distraint for premiums with accrued interest and other costs. The insurance company further has a lien on the services in the insured property after property tax to the state and municipality for 1 year from the due date.

Stk. 4. Finanstilsynet sets minimum conditions for insurance companies' underwriting of building fire insurance.

Chapter 8 Life Insurance Contracts

Special Rules for Life Insurance Contracts

§ 75. The following insurance contracts cannot be validly entered into by or on behalf of persons residing in this country:

1. Life insurance where an insurance company, upon the death of the insured, commits to paying an amount greater than the sum of the paid premiums with interest, when the policyholder and the insured are not the same person and the insured has not given consent to the insurance contract.
2. Life insurance whereby an insurance company commits to paying an amount greater than the sum of the paid premiums with interest, or to paying an amount greater than a basic amount of 70,000 DKK (2010 level), adjusted according to Section 20 of the Income Tax Act, in the event of death occurring before the insured reaches the age of eight.

Stk. 2. Finanstilsynet may exempt from the provisions in subsection 1.

§ 76. If a life insurance policy is lost, the relevant insurance company, upon request by the person who has proven their entitlement to the policy, may call on the holder to report themselves with 6 months' notice. The call, which is made by announcement in the Official Journal (Statstidende) in the first issue of a quarter, must contain a sufficient description of the policy, including the name of the person on whose life the insurance is written.

Stk. 2. If no one reports before the deadline expires, the policy is invalid, and the company issues a new policy to the person who requested the call. This person shall pay the costs of the call.

Stk. 3. If someone reports after the announcement, and an amicable settlement cannot be reached, a new policy cannot be issued until the mutual validity of the reported claims has been decided by judgment.

Stk. 4. The provisions in subsections 1-3 do not restrict the right to seek a life insurance policy mortified by judgment pursuant to the legislation on mortification of securities.

§ 77. If an insurance company authorized to conduct life insurance business offers, on its own initiative, to all or a group of its policyholders to change their insurance contract to include a product with lower or no guarantees, a policyholder who accepts such an offer shall have the economic value of their current product transferred to the new product.

Stk. 2. Finanstilsynet sets detailed rules for the calculation of the economic value of the policyholder's product.

Disclosure obligations and special rules for the accrual and preservation of pensions for employees moving between EU/EEA countries, etc.

§ 78. An insurance company authorized to conduct life insurance business must not, in connection with an employee joining a pension scheme with old-age pension linked to employment, require that the employee has been employed for more than 3 years to obtain unconditional membership of the pension scheme or be over 21 years of age to accrue pension rights. This applies only in the following cases:

1. The employee moves to Denmark from another country within the European Union or a country with which the Union has concluded an agreement.
2. The employee terminates employment in connection with the move, which entitles or may entitle them to old-age pension in accordance with the conditions of the pension scheme.
3. The employment relationship terminated by the employee ceases for reasons other than the person becoming entitled to a pension.

Subsection 2. An insurance company authorized to conduct life insurance business must repay the contributions paid by an employee covered by subsection 1, or paid on behalf of the employee, in cases where the employee's employment in Denmark ends before the person has accrued pension rights according to the pension scheme. If the employee bears the investment risk, the insurance company must repay the paid contributions or the value of the investments arising from these contributions to the employee.

Subsection 3. Subsections 1 and 2 apply only in relation to pension schemes for employees who are not, pursuant to a collective agreement or arrangement, guaranteed rights corresponding at least to the provisions of Directive 2014/50/EU of the European Parliament and of the Council on minimum requirements to promote worker mobility between Member States by improving opportunities to accrue and preserve supplementary pension rights.

§ 79. An insurance company authorized to conduct life insurance business must allow an employee who terminates their employment to leave their accrued pension rights in the pension scheme with old-age pension linked to their employment, subject to subsection 2, when:

1. the employee moves to another country within the European Union or a country with which the Union has concluded an agreement, and
2. the employment relationship terminated by the employee ceases for reasons other than the person becoming entitled to a pension.

Subsection 2. An insurance company authorized to conduct life insurance business may, however, choose to pay the amount corresponding to the value of the accrued pension rights to the employee if:

1. the value does not exceed a basic amount of 20,000 DKK (2010 level), adjusted according to Section 20 of the Danish Tax Assessment Act, and
2. the employee gives informed consent to the payment.

Subsection 3. Subsections 1 and 2 apply only in relation to pension schemes for employees who are not, pursuant to a collective agreement or arrangement, guaranteed rights corresponding at least to the provisions of Directive 2014/50/EU of the European Parliament and of the Council on minimum requirements to promote worker mobility between Member States by improving opportunities to accrue and preserve supplementary pension rights.

§ 80. An insurance company authorized to conduct life insurance business must, upon request from an employee whose employment entitles or may entitle them to old-age pension in accordance with the conditions of the pension scheme, provide the following information:

1. The conditions for accruing pension rights and the consequences of applying them upon termination of employment.
2. The value of the employee's accrued pension rights or an assessment thereof made no more than 12 months prior to the request.
3. The conditions for the company's future handling of dormant pension rights.

Subsection 2. If the pension scheme allows early access to accrued pension rights in the form of a lump-sum payment, the information under subsection 1 must also include written information that the employee should consider seeking advice on investing this amount for pension purposes.

Subsection 3. An insurance company authorized to conduct life insurance business must, upon request, provide the following information to a member who has accrued pension rights standing in a dormant pension scheme linked to a previous employment relationship to which they no longer contribute, and from which they have not yet received a pension, and which entitles them to old-age pension:

1. The value of the member's pension rights or an assessment thereof when this is made no more than 12 months prior to the request.
2. The conditions for the company's handling of the dormant pension rights.

Subsection 4. An insurance company authorized to conduct life insurance business must, upon request from a deceased member's beneficiaries entitled to benefits under a pension scheme with old-age pension linked to the deceased member's employment, provide the beneficiaries with the information mentioned in subsection 3, when the payment of the relevant benefits has not yet begun.

Subsection 5. The information in subsections 1-4 must be clear and in writing and must be provided within a reasonable time limit. The company is not obliged to provide the information more than once a year.

§ 81. Sections 78-80 do not apply to:

1. pension schemes that from 21 May 2018 no longer admit members,
2. pension schemes taken under administration in accordance with Sections 227-235, as long as the administration lasts, and
3. a one-time payment from an employer to an employee upon the termination of the employee's employment, when the payment is not linked to old-age pension.

Subsection 2. Sections 78 and 79 apply only to pension savings and not to any insurance linked to the pension scheme or benefits accruing to others than the employee themselves.

Chapter 9 Disclosure of Information Disclosure or use of confidential information

§ 82. Board members, members of local boards and similar, members of the representative body, auditors and examiners and their substitutes, founders, actuaries, liquidators, directors, responsible actuaries, general agents and administrators in an insurance company or insurance holding company, as well as other employees, must not unauthorizedly disclose or use confidential information of which they become aware in the course of their duties.

Subsection 2. The person receiving information under subsection 1 is subject to the duty of confidentiality in subsection 1.

Disclosure of information for the purpose of carrying out administrative tasks

§ 83. Usual information about customer relationships may be disclosed for the purpose of carrying out administrative tasks.

Subsection 2. For the purpose of carrying out administrative tasks, information may be disclosed to a limited liability company wholly owned by Labour Market Supplementary Pension, to Labour Market Supplementary Pension, cf. Section 26 b, subsections 1 and 2 and subsection 5, no. 1, of the Act on Labour Market Supplementary Pension, and to the managing company in an insurance administration consortium.

Subsection 3. Insurance companies may, for the purpose of advising on life insurance and pension schemes and personal insurance included in these schemes, disclose information about customer relationships to insurance companies with which the insurance company is group-affiliated, to the managing company in an insurance administration consortium, to a limited liability company wholly owned by Labour Market Supplementary Pension, and to Labour Market Supplementary Pension, cf. Section 26 b, subsection 3, and Section 23, subsection 4, of the Act on Labour Market Supplementary Pension. Information about health matters and other sensitive information may only be disclosed if the person to whom the information relates has given consent thereto.

Subsection 4. The person receiving information under subsections 1-3 is subject to the duty of confidentiality in Section 82, subsection 1.

Subsection 5. The Danish Financial Supervisory Authority establishes detailed rules on what constitutes usual customer information according to subsection 1.

§ 83 a. An insurance company may disclose information about a customer's name and contact details, including personal identification number and CVR number, to an association or company that wholly or partially owns the insurance company, if the customer relationship in the insurance company means that the customer is or may become a member of the association or participant in the company. The information may only be disclosed for the purpose of communication regarding membership and the associated rights in the association or company that owns the insurance company.

Subsection 2. The person receiving information under subsection 1 is subject to the duty of confidentiality in Section 82, subsection 1.

Disclosure of information for risk management

§ 84. Information may be disclosed to the insurance company's parent company for the purpose of risk management of companies in the group, if the parent company is a credit institution, a mortgage credit institution, a fund brokerage company, an investment management company, a financial holding company or an insurance holding company. Information about purely private matters must not be disclosed according to the first sentence.

Subsection 2. Information about private customers may not be disclosed for the purpose of risk management, cf. subsection 1, except in the special cases where the information about a private customer concerns obligations that have or will have a significant size.

Disclosure of information for marketing

§ 85. Information about a private customer must not be disclosed for the purpose of marketing or advice, unless the customer has given consent thereto, subject to subsection 3.

Subsection 2. To group companies and companies where the insurance company owns a company that carries out business that the insurance company may operate through a subsidiary, or a company that is accessory to the insurance company, disclosure according to subsection 1 may take place without consent, if it concerns general customer information that forms the basis for classification into customer categories, and if the disclosure is necessary for the company to which the information is disclosed to pursue a legitimate interest, and the interest of the private customer does not outweigh this interest.

Subsection 3. Usual information about business customer relationships may be disclosed for the purpose of marketing and advice to a credit institution, a mortgage credit institution, a fund brokerage company or an investment management company that is subject to a duty of confidentiality corresponding to the duty of confidentiality in Section 82, subsection 1.

§ 86. The insurance company must draw up guidelines on the extent to which information is disclosed from the company. The guidelines must be publicly accessible.

Section IV Ownership and Management etc. Chapter 10 Ownership Application for acquisitions

§ 87. Any natural or legal person or natural and legal persons acting in concert, who intend to directly or indirectly acquire a qualifying holding, cf. Section 9, subsection 3, in an insurance company or an insurance holding company, must apply in advance to the Danish Financial Supervisory Authority for approval of the intended acquisition. The same applies to an increase in the qualifying holding that results in it, after the acquisition, constituting or exceeding a threshold of 20 pct., 33 pct. or 50 pct. of the share capital or voting rights, or results in the insurance company or insurance holding company becoming a subsidiary.

Subsection 2. The Danish Financial Supervisory Authority establishes rules on when an acquisition must be included in the calculation according to subsection 1.

The assessment period

§ 88. The Danish Financial Supervisory Authority confirms in writing and no later than after 2 working days the receipt of the application, cf. Section 87, subsection 1. The same applies upon receipt of material according to subsection 3.

Subsection 2. The Danish Financial Supervisory Authority has from the time of the written confirmation of receipt of the application, cf. subsection 1, and receipt of all documents required to be attached to the application, cf. subsection 3, an assessment period of 60 working days to carry out the assessment mentioned in Section 90. Simultaneously with the confirmation of receipt of the application, cf. subsection 1, the Danish Financial Supervisory Authority notifies the intended acquirer of the date on which the assessment period expires.

Subsection 3. The Danish Financial Supervisory Authority may, until the 50th working day of the assessment period, request additional information necessary for the assessment. The request must be made in writing. The first time such a request is made, the assessment period is interrupted for the period between the time of the request and receipt of the answer thereto. The interruption may, however, not exceed 20 working days, subject to subsection 4.

Subsection 4. The Danish Financial Supervisory Authority may extend the interruption of the assessment period as mentioned in subsection 3 by up to 10 working days, if:

1. the intended acquirer is domiciled or subject to the legislation of a country outside the European Union with which the Union has not concluded an agreement in the financial sector, or
2. the intended acquirer is a natural or legal person who has not been granted authorization to carry out the business mentioned in Section 14, the business mentioned in Sections 7, 8 and 10 of the Act on Financial Business, the business mentioned in Section 3, no. 2, of the Act on Capital Markets, or the business mentioned in Section 13 of the Act on Fund Brokerage Companies and Investment Services and Activities in Denmark, in another country within the European Union or in a country with which the Union has concluded an agreement in the financial sector.

§ 89. If the Danish Financial Supervisory Authority rejects an application for approval of an intended acquisition, this must be justified in writing and communicated to the intended acquirer immediately after the decision. The notification must be made within the assessment period. The intended acquirer may request the Danish Financial Supervisory Authority to publish the justification for the rejection.

Subsection 2. If the Danish Financial Supervisory Authority does not communicate a written rejection of the application for the intended acquisition during the assessment period, the acquisition is deemed to be approved.

Subsection 3. The Danish Financial Supervisory Authority may, upon approval of an acquisition or increase according to Section 87, subsection 1, set a deadline for the implementation of this. The Danish Financial Supervisory Authority may extend such a deadline.

Assessment

§ 90. The Danish Financial Supervisory Authority must, in connection with its assessment of an application received according to Section 87, subsection 1, ensure consideration for the prudent and sound management of the business in which the acquisition is intended. The assessment must further take into account the intended acquirer's likely influence on the business, the intended acquirer's suitability and the intended acquisition's financial soundness in relation to the following criteria:

1. The intended acquirer's reputation.
2. The reputation and experience of the person or persons who, after the acquisition, will manage the insurance company or insurance holding company.
3. The intended acquirer's financial situation, especially in relation to the nature of the business carried out or intended to be carried out in the insurance company or insurance holding company in which the acquisition is intended.
4. Whether the business can continue to comply with supervisory requirements in legislation, especially whether the group which the business may come to be part of has a structure that makes it possible to carry out effective supervision and effective exchange of information between competent authorities and to determine how responsibility should be distributed between the competent authorities.
5. Whether there is reason to suspect, in connection with the intended acquisition, that money laundering or financing of terrorism, cf. Sections 3 and 4 of the Money Laundering Act, will occur.

Subsection 2. The Danish Financial Supervisory Authority may reject an application for approval of an intended acquisition if there is reasonable cause to assume that the intended acquirer will hinder a prudent and sound management of the business on the basis of the criteria mentioned in subsection 1, or that the information provided by the intended acquirer is not sufficient according to the Danish Financial Supervisory Authority's assessment.

Subsection 3. In the Danish Financial Supervisory Authority's assessment according to subsection 1, consideration for the economic needs of the market must not be included.

Disposal or reduction of a qualifying holding

§ 91. Any natural or legal person or natural or legal persons acting in concert, who intend to directly or indirectly dispose of a qualifying holding, cf. Section 9, subsection 3, or reduce a qualifying holding in an insurance company or an insurance holding company such that the disposal results in the threshold of 20 pct., 33 pct. or 50 pct. of the share capital or voting rights no longer being reached, or results in the business or holding company ceasing to be the person's subsidiary, must in advance notify the Danish Financial Supervisory Authority thereof in writing, stating the size of the intended future shareholding.

Notification of acquisitions or disposals

§ 92. When an insurance company or an insurance holding company becomes aware of acquisitions or disposals of holdings as mentioned in Section 87, subsection 1, and Section 91, the insurance company or insurance holding company must immediately notify the Danish Financial Supervisory Authority thereof.

Subsection 2. Insurance companies and insurance holding companies must, no later than in February, notify the Danish Financial Supervisory Authority of the names of the shareholders who at the end of the previous year owned a qualifying holding in the insurance company or insurance holding company, and of the size of these holdings.

Revocation of voting rights and order to follow guidelines

§ 93. If shareholders who hold holdings in an insurance company or an insurance holding company, cf. Section 87, subsection 1, do not meet the requirements in Section 90, subsection 1, the Danish Financial Supervisory Authority may revoke the voting rights attached to the relevant shareholders' shareholdings, or order the business to follow certain guidelines.

Subsection 2. The Danish Financial Supervisory Authority may revoke the voting rights attached to shareholdings owned by natural or legal persons who do not comply with the obligation in Section 87, subsection 1, to apply in advance for approval. The shareholdings are again assigned full voting rights if the Danish Financial Supervisory Authority can approve the acquisition.

Subsection 3. If a natural or legal person has acquired shareholdings as referred to in Section 87, subsection 1, despite the Danish Financial Supervisory Authority having rejected approval of this acquisition of shareholdings, the Danish Financial Supervisory Authority must revoke the voting rights attached to these shareholdings.

Subsection 4. The Danish Financial Supervisory Authority must inform the relevant insurance company or insurance holding company when the Danish Financial Supervisory Authority has revoked the voting rights attached to shareholdings in the business in accordance with subsections 1-3. The Danish Financial Supervisory Authority must also inform the business if shareholdings are again assigned full voting rights in accordance with subsection 2, second sentence.

Subsection 5. If the Danish Financial Supervisory Authority has revoked the voting rights in accordance with subsections 1-3, the shareholding cannot be included in the calculation of the voting capital represented at a general meeting.

Acquisitions in foreign companies

§ 94. An insurance company or an insurance holding company must in advance notify the Danish Financial Supervisory Authority of the business's direct or indirect acquisition of a qualifying holding in a foreign insurance company or a foreign company carrying out credit institution business, mortgage credit institution business, fund brokerage business or investment management business, as well as such increases in the qualifying holding that result in it constituting or exceeding a threshold of respectively 20 pct., 33 pct. and 50 pct. of the voting rights or share capital, or that the foreign insurance company or foreign company becomes a subsidiary. The notification must contain information on in which country the business is established.

Subsection 2. Insurance companies and insurance holding companies that have a holding of at least 10 pct. in a foreign insurance company or a foreign company, cf. subsection 1, and who intend to reduce this holding such that it falls below one of the thresholds set in subsection 1, must notify the Danish Financial Supervisory Authority thereof and state the size of the intended future holding.

Subsection 3. Where the foreign insurance company or foreign company, cf. subsection 1, becomes a subsidiary, the notification to the Danish Financial Supervisory Authority must contain the following information about the subsidiary:

1. In which country the subsidiary is to be established.
2. A description of the subsidiary's business, including information on organization and planned activities.
3. The subsidiary's address.
4. The names of the subsidiary's management.

Subsection 4. In the event of a change to a matter notified according to subsection 3, nos. 1-4, the insurance company or insurance holding company must notify the Danish Financial Supervisory Authority thereof before the change is made. If the insurance company or insurance holding company is not aware of the change in advance, notification to the Danish Financial Supervisory Authority must be made immediately after the insurance company or insurance holding company has received notification of the change.

Chapter 11 Management and Competence Requirements The role of the Board

§ 95. The board of an insurance company and an insurance holding company must, with a view to ensuring that the business is conducted prudently:

1. define which main types of business activities the business is to carry out,

2. identify and quantify the business's significant risks and define the business's risk profile, including determining which and how large risks the business may take on,

3. define policies on how the business is to manage each of the business's significant activities and the risks associated therewith, taking into account the interaction between these, and

4. establish a policy for diversity in the board of directors, which promotes sufficient diversity in qualifications and competencies among the members of the board of directors.

Subsection 2. Based on the established risk profile and the established policies, the board of directors of the insurance company shall provide the management with written guidelines, which shall as a minimum contain

1. controllable frameworks for which and how large risks the management may impose on the business,
2. the principles for the calculation of the individual risk types,
3. rules on which dispositions require the board of directors' approval and which dispositions the management may carry out as part of its position, and
4. rules on how and to what extent the management shall report to the board of directors on the company's risks, including on the use of the frameworks in the guidelines for the management and on compliance with the limits set in legislation regarding the risks the company may undertake.

Subsection 3. The board of directors of the company shall continuously assess whether the company's risk profile and policies as well as the guidelines for the management are sound in relation to the company's business activities, organization and resources, including capital and liquidity, and the market conditions under which the company's activities are conducted.

Subsection 4. The board of directors of the company shall continuously evaluate whether the management performs its tasks in accordance with the established risk profile, the established policies and the guidelines for the management, including whether the management has deviated from these, and whether the deviation, if any, has been sound. The board of directors shall take appropriate measures if this is not the case.

Subsection 5. If the board of directors decides to deviate from or accept a deviation from the established risk profile, the established policies or the guidelines for the management, this shall be entered into the board of directors' minutes together with a statement of the reasons for the decision.

Subsection 6. The Financial Supervisory Authority may set detailed rules on the obligations incumbent on the board of directors of an insurance company and an insurance holding company pursuant to subsections 1-4.

Rules of Procedure for the Board of Directors

Section 96. The board of directors shall, by means of a rules of procedure, make further provisions on the execution of its duties.

Subsection 2. The Financial Supervisory Authority may set rules on the content of the rules of procedure.

Board Meetings

Section 97. The chairman of the board of directors shall ensure that the board of directors holds meetings when this is necessary, and shall ensure that all members are summoned.

Subsection 2. Any member of the board of directors, a director, an external auditor, the head of internal audit and the chief actuary in an insurance company may demand that the board of directors be summoned.

Subsection 3. A director, an external auditor, the head of internal audit and the chief actuary have the right to participate in and speak at board meetings, unless the board of directors decides otherwise in the individual case.

Subsection 4. External auditors and the head of internal audit always have the right to participate in board meetings during the processing of matters that are significant for the audit or for the preparation of the annual report.

Subsection 5. External auditors, the head of internal audit and the chief actuary are obliged to participate in the board of directors' processing of the relevant matters, if requested by even one member of the board of directors.

Subsection 6. Subsections 1-5 apply mutatis mutandis to the representative body of an insurance company.

Section 98. Minutes shall be kept of the proceedings of the board of directors. The minutes shall be signed by all members present.

Subsection 2. A member of the board of directors, a director, an external auditor, the head of internal audit or the chief actuary who disagrees with the board of directors' decision has the right to have their opinion entered into the minutes.

Subsection 3. Subsections 1 and 2 apply mutatis mutandis to the representative body of an insurance company.

Signing Authority of the Board of Directors or Management

Section 99. The signing authority that belongs to members of the board of directors or management according to Section 135 of the Companies Act may only be exercised by at least two persons jointly.

Target Figures and Policies for the Underrepresented Sex

Section 100. In insurance companies and insurance holding companies that have financial instruments admitted to trading on a regulated market in an EU/EEA country, or that have a balance sheet total of DKK 500 million or more in 2 consecutive financial years, the board of directors shall

1. establish target figures for the proportion of members elected by the general meeting or corresponding meeting, which is the company's highest authority, of the underrepresented sex in the board of directors, unless there is an equal distribution of women and men among these members in the board of directors,
2. establish target figures for the proportion of the underrepresented sex on the company's other management levels, unless there is an equal distribution of women and men on the other management levels, and
3. draw up a policy to increase the proportion of the underrepresented sex on the company's other management levels, unless there is an equal distribution of women and men on the other management levels, see however subsection 5.

Subsection 2. For parent companies that prepare group accounts, the calculation in subsection 1 shall be based on the group accounts.

Subsection 3. Other management levels are understood to mean two management levels below the board of directors. The first management level below the board of directors comprises the management and the persons who are organizationally at the same management level as the management. The second management level comprises persons with personnel responsi-

26 April 2026. 21 No. 461.

bilities, who report directly to the first management level below the board of directors.

Subsection 4. The board of directors shall establish a new and higher target figure for the proportion of the underrepresented sex pursuant to subsection 1, nos. 1 and 2, when the insurance company or insurance holding company has reached its previously established target figure, or a new target figure, when the time horizon for the expected fulfillment has expired.

Subsection 5. Insurance companies and insurance holding companies that in the most recent financial year have employed fewer than 50 employees may refrain from drawing up a policy to increase the proportion of the underrepresented sex on their other management levels.

Subsection 6. If an insurance company or an insurance holding company is covered by both this provision and the provisions on gender composition in the highest governing body in the Companies Act, the Act on Commercial Foundations or the Act on Certain Commercial Enterprises, subsections 1-5 take precedence.

Subsection 7. Subsections 1-6 do not apply to companies covered by the Gender Balance Act.

Summoning to the General Meeting

Section 101. Summoning to the general meeting in an insurance company shall be publicly available and in accordance with the provisions of the articles of association. The press shall have access to the general meetings.

Subsection 2. Subsection 1 does not apply to insurance companies that are 100 pct. owned by an insurance company, a credit institution, a mortgage credit institution, a fund brokerage company or an investment management company, or insurance companies and financial companies in the same group.

Section 102. The Financial Supervisory Authority exercises for insurance companies the powers that are granted to the Danish Business Authority according to Section 93, subsection 2 and 3, in the Companies Act.

Establishment of a Representative Body

Section 103. A representative body may be established to perform certain tasks specified in the articles of association, including the election of the board of directors. The members of the representative body are subject to the same liability regarding the performance of their duties as the board of directors.

Group Representation in the Companies Act

Section 104. The rules on group representation in Section 141 of the Companies Act do not apply to employees in companies through which an insurance company temporarily conducts other business according to this Act.

Suitability and Integrity Requirements

Section 105. A member of the board of directors or management in an insurance company

1. must have sufficient knowledge, professional competence and experience to be able to perform the duty or position,
2. must have a sufficiently good reputation and be able to demonstrate integrity, honesty and sufficient independence in the performance of the duty or position,
3. must not be subject to criminal liability for violation of the Penal Code, financial legislation or other relevant legislation, if the violation entails a risk that the person cannot perform their duty or position in a satisfactory manner,
4. must not have submitted a petition for or be under restructuring proceedings, bankruptcy or debt settlement, and
5. must not have exhibited such conduct that there is reason to assume that the member will not perform the duty or position in a satisfactory manner.

Subsection 2. When a person assumes a duty as a member of the board of directors or a position as a director in an insurance company, the Financial Supervisory Authority ensures that the person fulfills the suitability and integrity requirements in subsection 1. The Financial Supervisory Authority makes a decision on whether the person can hold the duty or position in the company in question.

Subsection 3. If the Financial Supervisory Authority assesses that the person does not fulfill the requirements in subsection 1, nos. 2-5, the duration of the decision must be stated in the decision.

Subsection 4. The Financial Supervisory Authority may in special cases, where the Financial Supervisory Authority assesses that a person does not have sufficient professional prerequisites or experience in relation to the position as a member of the management, as the person is assessed for, make a decision that the person can hold the position under more precisely specified conditions.

Subsection 5. Members of the board of directors or management in an insurance company must inform the Financial Supervisory Authority of information regarding matters mentioned in subsection 1 in connection with their entry into the insurance company's management and of information regarding matters mentioned in subsection 1, nos. 2-5, if the matters change subsequently. If a member of the board of directors is appointed or elected to the position of chairman of the board of directors in an insurance company, the board member must furthermore inform the Financial Supervisory Authority of information regarding matters covered by subsection 1, no. 1. The company's assessment of a chairman's personal competences covered by subsection 1, no. 1, must be in written form.

Subsection 6. The insurance company is obliged to ensure compliance with subsection 1.

Subsection 7. For members of the board of directors and management in an insurance holding company, subsections 1-6 apply mutatis mutandis.

Subsection 8. For general agents, see Section 57, subsections 1-6 apply mutatis mutandis.

Subsection 9. For a board member in a group 2 insurance company, who is not the chairman of the board of directors, subsections 2 and 5, first sentence, apply only to the requirements in subsection 1, nos. 2-5.

Subsection 10. The Minister for Business may set detailed rules on competence and experience requirements according to subsection 1 for members of the management in insurance companies.

Section 106. A member of the board of directors or management in an insurance company must allocate sufficient time to perform their duty as a director or board member in the company in question. The management member must continuously evaluate whether the person has allocated sufficient time to perform their duty. The evaluation must include the company's size, organization and complexity.

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Collective Suitability of the Board of Directors

Section 107. The board of directors of an insurance company and an insurance holding company must ensure that its members have sufficient collective knowledge, professional competence and experience to be able to understand the company's activities and the risks associated with them. The composition of the board of directors must reflect a sufficiently broad experience.

Subsection 2. In insurance companies that have permission to conduct life insurance business with a balance sheet total of over DKK 30 billion and in insurance companies that have permission to conduct non-life insurance business with a gross premium income of over DKK 4 billion, at least one member of the board of directors must have management experience from an insurance company or a relevant credit institution or mortgage credit institution.

Introductory and Further Training Courses for Management Members

Section 108. An insurance company and an insurance holding company must have the personnel and financial resources necessary to ensure sufficient opportunities for introductory and further training courses for members of the board of directors and management.

Basic Course for Board Members

Section 109. A member of the board of directors in an insurance company must, as soon as possible and no later than 12 months after entering the board of directors, complete a basic course in the competences necessary to perform the obligations and functions required of board members in the type of insurance company that the person has entered.

Subsection 2. The Financial Supervisory Authority may exempt a member of the board of directors from the requirement in subsection 1, if the member's knowledge, professional competence and experience can be considered sufficient.

Subsection 3. The Financial Supervisory Authority may exempt a member of the board of directors from the requirement in subsection 1, if the member's Danish language skills are not sufficient to complete a basic course according to subsection 1 and an approved course is not offered in English. The exemption is conditional on the member completing other training as soon as possible and no later than 12 months after entering the board of directors, the content framework of which is approved by the Financial Supervisory Authority, including an introduction to the Danish corporate law structure and relevant areas that are special for Danish financial companies.

Subsection 4. The Financial Supervisory Authority may in special cases allow a member of the board of directors to complete a basic course or other approved training, see subsections 1 and 3, later than 12 months after the member's entry into the board of directors.

Subsection 5. The Financial Supervisory Authority sets detailed rules on the content of a basic course as mentioned in subsection 1.

Incompatible Duties

Section 110. A board member or a member of the representative body in an insurance company may not simultaneously be a director in the insurance company in question. The board of directors may, however, temporarily appoint a board member or a member of the representative body as a director in the event of a director's absence. The person in question may not exercise voting rights in the aforementioned bodies in such cases.

Subsection 2. The head of internal audit and the deputy head of internal audit may not simultaneously be members of the board of directors.

Conflicts of Interest

Section 111. Persons who, according to law or articles of association, are employed by the board of directors in an insurance company, and employees for whom there is a significant risk of conflicts between their own interests and the insurance company's interests, may not for their own account or through companies that they control

1. take out loans or draw on already approved credits to buy financial instruments, when the purchased financial instruments are pledged as security for the loan or credit,
2. acquire, issue or trade with derivative financial instruments, unless the purpose is risk hedging,
3. acquire capital shares except for shares in Danish UCITS, capital funds and foreign investment institutions covered by Section 143, subsection 1, nos. 2 and 3, in the Act on Investment Funds etc. with a view to selling these earlier than 6 months after acquisition, or
4. acquire positions in foreign currency except the euro, when the position taking is done with a view to other than payment for the purchase of financial instruments, goods or services or purchase or operation of real estate or for use in travel.

Subsection 2. The group of persons covered by subsection 1 may not acquire capital shares in companies that conduct business as mentioned in subsection 1, nos. 1-4. This does not, however, apply to the purchase of shares in credit institutions, insurance companies, mortgage credit institutions or fund brokerage companies and shares in Danish UCITS, capital funds and foreign investment institutions covered by Section 143, subsection 1, nos. 2 and 3, in the Act on Investment Funds etc.

Subsection 3. The prohibition in subsection 1, no. 2, does not cover financial instruments that are derived from shares in the insurance company or a company affiliated with it, which the person receives as part of their remuneration.

Subsection 4. The prohibition in subsection 1, no. 1, does not cover loans to buy employee shares and the instruments mentioned in subsection 3.

Subsection 5. The prohibition in subsection 1, no. 3, does not cover shares that are acquired by exercising the instruments mentioned in subsection 3.

Section 112. The board of directors must take a position on which employees there is a significant risk of conflicts between their own interests and the insurance company's interests, and who are therefore to be covered by the prohibition in Section 111, subsection 1 and subsection 2, first sentence. The board of directors must ensure that the persons in question are aware of this.

Section 113. The board of directors must draw up guidelines for control of compliance with the prohibition in Section 111, subsection 1 and subsection 2, first sentence, including on reporting of asset positions.

Section 114. The external audit must once a year review the insurance company's guidelines according to Section 113 and in the audit report annex regarding the annual report state whether the guidelines are considered safe and have functioned appropriately, and whether the company's control pro-

26 April 2026. 23 No. 461.

have given rise to comments. If no audit protocol is kept, the information mentioned in the first sentence must appear in other corresponding documentation.

§ 115. An account-keeping institute is obliged, upon request from the board of directors of the insurance company, to grant the external auditor of the insurance company access to information about accounts and deposits and to issue extracts therefrom for persons covered by § 111, para. 1.

§ 116. Internal auditors and deputy auditors may not, regardless of §§ 111-115, have financial interests in the insurance company or the group in which they are employed.

Prohibition on exposure or security

§ 117. An insurance company may not, without the approval of the board of directors and entry thereof in the board's minutes:

1. grant exposure to or accept security from board members and directors of the insurance company or companies where board members and directors of the insurance company directly or indirectly hold a qualifying holding, are board members or directors,
2. enter into an agreement with a director when the agreement involves significant dispositions in relation to the director's financial situation, or with a third party in which the director has a significant interest that may conflict with the insurance company's interests, or
3. grant exposure to or enter into agreements with persons connected to directors by marriage, cohabitation for at least 2 years, or kinship in the direct line or as siblings, and with companies for which such persons are directors or own a qualifying holding.

Para. 2. Board members shall compensate for losses suffered by the insurance company as a result of approvals, securities, or agreements covered by para. 1 that have been approved by the board of directors, unless the board of directors proves that the loss could not have been prevented through the care and diligence required by the management of the insurance company.

Para. 3. A director who, without the board's approval, grants exposures, accepts securities, or enters into agreements covered by para. 1 is liable for the loss that the insurance company thereby suffers, unless the director is liable under the Companies Act § 215, para. 2, cf. the Companies Act § 210.

Para. 4. If an approval or security covered by para. 1, no. 1, has been entered into without the board's approval with a board member of the insurance company or a company in which the board member directly or indirectly holds a qualifying holding or is a board member or director, the board member is liable for the loss that the insurance company thereby suffers, unless the board member is liable under the Companies Act § 215, para. 2, cf. the Companies Act § 210.

Para. 5. Exposures and agreements under para. 1 shall be granted or entered into in accordance with the insurance company's usual business terms and on market-based terms, unless the exposure is entered into with an employee-elected board member on employment terms.

§ 118. The external auditor of the insurance company shall, in the audit protocol regarding the annual report, provide a statement on whether the requirements of § 117, para. 5, are met. If no audit protocol is kept, the external auditor's statement must appear in other corresponding documentation.

§ 119. An insurance company or companies within the same group may not grant exposure to or accept security from an external auditor or the internal auditor or deputy auditor. This does not apply to loans granted by an insurance company authorized to conduct life insurance business within the surrender value of an insurance policy issued by the company.

§ 120. The management and the board of directors shall monitor the prudence and progress of the exposures and agreements granted under § 117.

Other positions of the management

§ 121. Persons who, according to law or statutory provisions, are employed by the board of directors of an insurance company may not, without the board's permission, own or operate independent business activity or participate as a board member, employee, or in any other way in the management or operation of other business activities than the insurance company, cf. however § 193, para. 11 and 12.

Para. 2. All permissions granted by the board of directors in accordance with para. 1 must appear in the board's minutes.

§ 122. Other employees of an insurance company, for whom there is a significant risk of conflict between their own interests and the insurance company's interests, may not, without the management's permission, own or operate independent business activity or participate as a board member, employee, or in any other way in the management or operation of other business activities than the insurance company. The board of directors shall be informed of permissions granted by the management.

Para. 2. The board of directors shall determine which employees pose a significant risk of conflict between their own interests and the insurance company's interests and who therefore require the management's permission, cf. para. 1. The board of directors shall ensure that the relevant employees are aware of this.

§ 123. The business mentioned in § 121, para. 1, and § 122, para. 1, may only be held if the insurance company or the companies forming part of a group or administrative community with the insurance company do not have or assume exposures to the business activities mentioned in § 121, para. 1, and § 122, para. 1, or companies forming part of a group with these companies. Excluded from this are exposures in the form of capital shares, exposures to the companies mentioned in para. 2 and 3, and exposures to business activities forming part of a group with the insurance company.

Para. 2. The exposure prohibition mentioned in para. 1 does not apply in connection with participation in the boards of directors of Danmarks Skibskredit A/S, Banker og Sparekassers Ungdomskontakt, LR Realkredit A/S, Bornholms Erhvervsfond, Grønlandsbanken A/S, regulated markets, clearing centers, securities depositories, NASDAQ OMX Stockholm AB, NASDAQ OMX Helsinki Oy, IFU – Investment Fund for Developing Countries, IØ – Investment Fund for Eastern Countries, Bankernes Kontantservice A/S, Fundcollect A/S, Fundconnect A/S, and DLR Kredit A/S.

Para. 3. The exposure prohibition mentioned in para. 1 does not apply in connection with participation in the board of directors of a company temporarily operated by an insurance company in accordance with § 47 to secure or settle previously assumed exposures.

Para. 4. The Financial Supervisory Authority may grant dispensation from para. 1 in special cases.

§ 124. The insurance company shall publish information at least once a year regarding the positions that the board of directors has approved in accordance with § 121.

§ 125. The external auditor shall, in the audit protocol regarding the annual report, provide a statement on whether the insurance company has exposure to business activities covered by §§ 121 and 122. If no audit protocol is kept, the statement mentioned in the first sentence must appear in other corresponding documentation.

Chapter 12 Organization and Management Key Persons and Functions

§ 126. With a view to ensuring an effective management system, including an effective risk management system and an effective internal control system, which can support the prudent management of the business, the management of a Group 1 insurance company shall ensure that the business has at minimum the following four key functions:

1. Risk management function.
2. Compliance function.
3. Actuarial function.
4. Internal audit function.

Para. 2. The management shall prepare a function description for each of the key functions. In this connection, the management shall ensure a clear distribution and appropriate separation of areas of responsibility, in accordance with the board's policies, so that there is no unnecessary overlap between the functions. The management shall further ensure that effective information dissemination and effective cooperation take place within the business.

Para. 3. The management decides on the location and organization of the key functions, taking into account the nature, scale, and complexity of the business's risks and activities, cf. however § 131, para. 1. The management shall ensure that the key function performs tasks falling under the function in a satisfactory manner.

Para. 4. The management shall appoint a key person for each of the at least four key functions, who is responsible for the function.

Para. 5. The key functions report to the management. The appointed key persons are responsible for the key functions' reporting to the management. The reporting shall include both ongoing reporting on the work performed, including investigation results, etc., and reporting as needed. The key functions shall submit a report to the management at least once a year. The management shall ensure that the key persons, to the extent necessary, can contact and report directly to the board of directors independently of the management, and that they can express concerns and warn the board of directors in cases where they deem it necessary, without affecting the responsibility that the board of directors has, cf. § 95.

Para. 6. The management may appoint an employee as a key person who also has responsibility for other tasks than the function's, if this is prudent taking into account the nature, scale, and complexity of the business's risks and activities and any conflicts of interest in relation to the performance of the function's tasks, including that other tasks are handled satisfactorily.

Para. 7. A member of the management may only be appointed as one of the key persons mentioned in para. 4 if the appointment is made taking into account the nature, scale, and complexity of the business's risks and activities, and such a decision must in that case be made by the board of directors.

Para. 8. The Financial Supervisory Authority may set detailed rules for the business's key functions and key persons, including regarding their tasks and areas of responsibility.

§ 127. A Group 1 insurance company shall, as part of its corporate governance, identify the company's key persons. Key persons include, among others, employees who are part of the actual management on a daily basis, and employees who have been appointed as responsible for a key function, cf. § 126, para. 4.

Para. 2. A Group 1 insurance company shall without undue delay notify the Financial Supervisory Authority of which employees have been identified as key persons in accordance with para. 1, including which positions the relevant persons hold.

Para. 3. § 105, para. 1-5, apply correspondingly to employees of a Group 1 insurance company who have been identified as key persons in accordance with para. 1.

Para. 4. A Group 1 insurance company shall notify the Financial Supervisory Authority if a key person no longer holds their position or no longer meets the requirements of § 105, para. 1.

Para. 5. A Group 1 insurance company is obliged to ensure that key persons comply with § 105, para. 1.

Para. 6. The Minister for Business Affairs may set detailed rules regarding competence and experience requirements in accordance with § 105, para. 1, for key persons in Group 1 insurance companies.

Risk Management Function

§ 128. A Group 1 insurance company shall have a risk management function that is organized with a structure that facilitates the implementation of the company's risk management system.

Compliance Function

§ 129. A Group 1 insurance company shall, as part of appropriate and prudent management, have an effective compliance function. The compliance function shall, among other things, control and assess whether the business's methods and procedures are suitable for detecting and reducing compliance risks, i.e., risks of failure to comply with financial legislation, market standards, or internal rules, and whether the measures taken to remedy any deficiencies are effective. The compliance function shall also advise the management and the board of directors on compliance with the financial legislation for the business, assess consequences for the business of legislative changes, and identify and assess risks of failure to comply with financial legislation, market standards, or internal rules.

Actuarial Function

§ 130. A Group 1 insurance company shall have an effective actuarial function. The actuarial function shall be performed by persons who have knowledge of actuarial mathematics and financial mathematics at a level that is reasonably proportional to the nature, scale, and complexity of the risks associated with the insurance company's or reinsurance company's business, and who can demonstrate relevant experience with applicable professional standards and other standards relevant to the actuarial function.

Para. 2. In a group or group, the actuarial function shall express an opinion on the part of the insurance policy relating to reinsurance and the reinsurance program for the group or group as a whole.

Para. 3. The Financial Supervisory Authority may grant dispensation from the requirement in para. 1 for insurance holding companies that are the top parent company in a group, and for financial holding companies covered by § 9, para. 1, no. 9, that are the top parent company in a group where at least one subsidiary is a Group 1 insurance company.

Internal Audit Function

§ 131. A Group 1 insurance company shall have an effective internal audit function. The internal audit function shall assess whether the business's internal control system and other elements of management and governance are appropriate and effective. The internal audit function must be objective and independent of the business's operational functions. The internal audit function must not, in its audit, assessment, and reporting of audit results, be influenced by the management or the board of directors, which could endanger the function's independence and impartiality.

Corporate Governance

§ 132. An insurance company and an insurance holding company shall have effective forms of corporate governance, including:

1. a clear organizational structure with a well-defined, transparent, and consistent distribution of responsibilities,
2. good administrative and accounting practices,
3. written business procedures for all significant activity areas,
4. effective procedures to identify, manage, monitor, and report on the risks that the business is or may be exposed to,
5. the resources necessary for the proper implementation of its business and appropriate use of these,
6. procedures for the separation of functions in connection with handling and preventing conflicts of interest,
7. comprehensive internal control procedures, and
8. secure control and security measures in the IT area and for Group 1 insurance companies and insurance holding companies, particularly network and information systems, which are established and managed in accordance with the Regulation of the European Parliament and of the Council on digital operational resilience in the financial sector.

Para. 2. The Financial Supervisory Authority may set detailed rules regarding the measures that an insurance company and an insurance holding company must take to have effective forms of corporate governance, cf. para. 1.

Procedures for Approval of New Insurance Products

§ 133. Insurance companies that develop insurance products shall have effective procedures for the approval of new products, significant changes to existing products, and the distribution of these.

Para. 2. Insurance companies shall regularly review the products that the company offers or markets, taking into account any events that may materially affect the potential risks on the intended target group, with a view to at least assessing whether the product still meets the needs of the specified target group and whether the intended distribution strategy is still appropriate.

Para. 3. Insurance companies shall make all relevant information about the insurance product and about the product approval process, including the insurance product's intended target group, available to insurance distributors.

Para. 4. Insurance companies that advise on or propose insurance products that they have not themselves developed shall have effective procedures for obtaining relevant information about the insurance products.

Para. 5. Para. 1-4 do not apply to insurance products consisting of insurance of large risks.

Outsourcing

§ 134. Insurance companies may outsource a process, a service, or an activity that the companies would otherwise perform themselves to a service provider. The first sentence does not apply to outsourcing in the digital operational area.

Para. 2. Insurance companies shall ensure that outsourcing of critical or important operational functions or activities does not take place in a manner that can:

1. cause a significant deterioration in the quality of the management system in the insurance company,
2. cause an unnecessary increase in operational risk,
3. impair the supervisory authorities' ability to control that the insurance company fulfills its obligations, or
4. hinder the insurance company from at all times offering policyholders satisfactory service.

Para. 3. Insurance companies shall notify the Financial Supervisory Authority in good time of an impending outsourcing of critical or important operational functions or activities. The companies shall also notify the Financial Supervisory Authority of significant changes to the functions or activities mentioned in the first sentence.

Para. 4. Insurance companies are responsible for all outsourced functions or activities.

Para. 5. The Financial Supervisory Authority may decide that insurance companies' outsourcing must be terminated within a deadline set by the Financial Supervisory Authority if the outsourcing contract or its parties do not comply with the rules in this provision or rules set in accordance with para. 6.

Para. 6. The Minister for Business Affairs sets detailed rules regarding outsourcing concerning:

1. insurance companies' responsibility and control of a service provider, including their further outsourcing,
2. insurance companies' internal guidelines for outsourcing, and
3. requirements that insurance companies must at all times ensure that service providers or subcontractors fulfill, which must be agreed upon in the outsourcing contract.

Anonymous Reports to the Insurance Company

§ 135. An insurance company shall have an arrangement whereby its employees can report violations or potential violations of financial regulation committed by the insurance company, including by employees or members of the board of directors of the insurance company, via a special, independent, and autonomous channel. Reports to the arrangement must be able to be made anonymously. The insurance company shall follow up on reports to the arrangement and be able to document in writing how the insurance company has followed up on the reports. The Act on Protection of Whistleblowers applies to the arrangement in the first sentence, cf. however § 2 in the Act on Protection of Whistleblowers.

Para. 2. The arrangement in para. 1 may be established via collective agreement.

Para. 3. Para. 1 applies only when the insurance company employs more than five employees. The arrangement mentioned in para. 1 and 2 must be established no later than 3 months after the insurance company has hired the sixth employee.

Para. 4. The Financial Supervisory Authority may in special cases, where the Financial Supervisory Authority assesses that it would be pointless to establish an arrangement, grant dispensation from the requirement in para. 1.

§ 136. An insurance company may not subject employees or former employees to unfavorable treatment or unfavorable consequences as a result of the employee or former employee having reported the company's violation or potential violation of financial regulation to the Financial Supervisory Authority or to an arrangement in the company. The same applies in connection with the determination, allocation, and payment of variable salary to employees or former employees.

Para. 2. Employees or former employees whose rights have been infringed by a violation of para. 1 may be awarded compensation in accordance with the principles of the Act on Equal Treatment of Men and Women regarding Employment etc. The compensation is determined taking into account the employee's or former employee's period of employment and the circumstances of the case otherwise.

Para. 3. Para. 1 and 2 may not be derogated from by agreement to the detriment of the employee or former employee.

§ 137. If an employee or former employee and an insurance company enter into an agreement containing a confidentiality clause, it must appear from the agreement that the employee or former employee is not barred from reporting information about violations or potential violations of financial regulation to public authorities.

Para. 2. Regardless of para. 1, the employee or former employee is not barred from reporting information about violations or potential violations of financial regulation to public authorities, even if such a prohibition is included in an agreement between the employee or former employee and the insurance company. The same applies to reports to arrangements under § 135.

Duty to Inform the Financial Supervisory Authority

§ 138. An insurance company shall immediately notify the Financial Supervisory Authority of information about circumstances that are of decisive importance for the insurance company's continued operation.

Para. 2. The duty to inform in para. 1 also applies to the individual member of the board of directors, a director, and the responsible actuary in an insurance company.

Para. 3. A member of an insurance company's board of directors or management, the external auditor, or the responsible actuary shall immediately notify the Financial Supervisory Authority if the person concerned suspects that the insurance company does not meet one of the following requirements:

1. The requirement for minimum basic capital under § 156, para. 2 and 3.
2. The capital requirements or solvency requirement under § 156, para. 4.
3. The solvency capital requirement under § 154.
4. The minimum capital requirement under § 155.

Para. 4. Para. 1-3 apply correspondingly to insurance companies and insurance holding companies regarding circumstances in subsidiaries that are insurance companies.

Actuarial Expertise and the Responsible Actuary

§ 139. The management shall ensure that an insurance company has sufficient expertise for the calculation of insurance provisions for accounting and solvency.

Para. 2. If the insurance company has permission to conduct life insurance business, the board of directors shall appoint a responsible actuary who shall perform the necessary insurance technical functions, including calculations and investigations. The position of actuary may not be combined with the position of member of the management or board of directors of the insurance company.

Subsection 3. The responsible actuary shall ensure that the insurance undertaking complies with its technical basis etc. In this connection, the responsible actuary shall review the actuarial content of the insurance undertaking's activities and materials and ensure that the technical basis etc., cf. Section 29, is at all times in accordance with the requirements mentioned in Section 30, subsections 1-6.

Subsection 4. The responsible actuary shall immediately report any breach of the matters mentioned in subsection 3 to the Danish Financial Supervisory Authority (Finanstilsynet). The responsible actuary has the right to demand from the management all information necessary for the performance of their duties. The Danish Financial Supervisory Authority may require information from the responsible actuary that is necessary for assessing the insurance undertaking's financial position.

Subsection 5. The Danish Financial Supervisory Authority may lay down detailed rules on the matters mentioned in subsections 2-4, including the requirements a person must meet to be employed as a responsible actuary.

Public Disclosure

Section 140. An insurance undertaking that has a website must publish information on how the insurance undertaking complies with the requirements in Section 95, subsection 1, no. 4, and Sections 107 and 108, insofar as the relevant requirements apply to the insurance undertaking.

Subsection 2. Publication pursuant to subsection 1 shall take place on the insurance undertaking's website in a place where it naturally belongs.

Section 141. An insurance undertaking must also publish information on how the insurance undertaking complies with the requirements in Sections 142-144, 146 and 151, insofar as the relevant requirements apply to the insurance undertaking.

Subsection 2. A Group 1 insurance undertaking that has a website must publish information on how the business complies with the requirements in Article 258(1)(l) and Article 275(1)(a) and (b), and (2)(b), (d)-(f) and (h) of Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance (Solvency II).

Subsection 3. Publication pursuant to subsections 1 and 2 shall take place on the insurance undertaking's website in a place where it naturally belongs.

Chapter 13 Remuneration

Written Remuneration Policy

Section 142. A Group 1 insurance undertaking and an insurance holding company that has a Group 1 insurance undertaking as a subsidiary must adopt a written remuneration policy that is in accordance with Article 258(1)(l) and Article 275 of Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on access to and the exercise of the activities of insurance and reinsurance (Solvency II).

Subsection 2. The company's remuneration policy must be gender-neutral.

Section 143. A Group 2 insurance undertaking and an insurance holding company that does not have a Group 1 insurance undertaking as a subsidiary must adopt a written remuneration policy that promotes sound and effective risk management.

Subsection 2. The company's remuneration policy must be gender-neutral.

Section 144. The company's highest governing body must approve the company's remuneration policy, cf. Sections 142 and 143, including guidelines for the allocation of variable pay and guidelines for severance payments, upon any material change and at least every fourth year. The remuneration policy of the insurance undertaking and the insurance holding company must be published on the company's website as soon as possible after approval. The remuneration policy must remain publicly accessible on the website for as long as it is in force.

Subsection 2. The chairman of the board must in his report to the company's highest governing body account for the remuneration of the company's board and management. The report must contain information about the remuneration in the previous financial year and about the expected remuneration in the current and coming financial year. The chairman of the board must explain and justify the content of the remuneration policy and its compliance in his report to the company's highest governing body.

Subsection 3. The company's highest governing body must approve the remuneration of the company's board for the ongoing financial year.

Subsection 4. The board of an insurance undertaking and an insurance holding company must annually prepare and publish a remuneration report.

Subsection 5. The remuneration report must contain the following:

1. Information about the total remuneration that each member of the board and management has earned from the company and other companies within the same group as part of this role in the last 3 years, including information about the most important content of retention and severance schemes.

2. An explanation of the link between management's remuneration and the company's strategy and relevant objectives thereof.

Subsection 6. As soon as possible after the general meeting has taken place, the remuneration report must be published on the company's website. The remuneration report must remain publicly accessible on the website for a period of 10 years. The remuneration report may be available for a longer period than 10 years, provided that it no longer contains personal data.

Remuneration in Connection with Insurance Distribution

Section 145. A Group 1 insurance undertaking and a Group 2 insurance undertaking must ensure that the company's remuneration structures in connection with the exercise of insurance distribution do not conflict with the company's obligation to act in the best interest of the customer, including the good conduct rules in Section 67, subsection 1, and rules issued pursuant to Section 67, subsection 2. The same applies to remuneration, cf. Section 9, subsection 1, no. 40, which the company receives with a view to the exercise of insurance distribution.

Subsection 2. A Group 1 insurance undertaking and a Group 2 insurance undertaking may not introduce remuneration schemes or sales targets that encourage the company or its employees to recommend a specific insurance product to a customer when the company offers another product that better covers the customer's needs.

Subsection 3. A Group 1 insurance undertaking and a Group 2 insurance undertaking that exercises insurance distribution through an ancillary insurance intermediary, cf. Section 2, subsection 1, no. 5, in the Act on Insurance Intermediation, who exclusively distributes insurance products that are exempt from the Act on Insurance Intermediation, cf. Section 1, subsection 2, in the Act on Insurance Intermediation, must ensure that the relevant ancillary insurance intermediary has appropriate and proportionate arrangements with a view to this complying with subsections 1 and 2.

Subsection 4. Subsections 1-3 do not apply to matters covered by collective agreements that observe the principles in subsections 1 and 2.

Remuneration of Management and Significant Risk Takers

Section 146. In the remuneration of boards, management and other employees whose activities have a significant influence on the company's risk profile by insurance undertakings and insurance holding companies, the company must ensure that the following are met:

1. The variable pay components to a member of the board or management may at the time of calculation of the variable pay component amount to no more than 50% of respectively the fee and the fixed basic salary including pension.

2. The variable pay components to other employees whose activities have a significant influence on the company's risk profile may at the time of calculation of the variable pay amount to no more than 100% of the fixed basic salary including pension.

3. However, the company's highest governing body may decide that the variable pay components to other employees whose activities have a significant influence on the company's risk profile, cf. no. 2, at the time of calculation of the variable pay component may amount to up to 200% of the fixed basic salary including pension, provided that the following requirements are met:

a) The company must inform the highest governing body at the latest upon convocation of the meeting of the highest governing body that there is a wish to take a decision on the use of a higher maximum cap.

b) The highest governing body must make the decision on the use of a higher maximum cap based on a detailed recommendation from the company that justifies the proposal, including the number of affected employees, their areas of work, the new proposed maximum cap and the expected impact on the company's ability to maintain a sound capital base. The shareholders must receive the recommendation at the latest simultaneously with the convocation of the meeting of the highest governing body.

c) The company must inform the Danish Financial Supervisory Authority of the recommendation to the shareholders at the latest simultaneously with the communication of the recommendation to the shareholders, cf. letter b, including the proposed higher maximum cap and the justification for the proposal. Upon request from the Danish Financial Supervisory Authority, the company must demonstrate that the proposed higher maximum cap is not in conflict with the company's obligations under the Act, rules issued pursuant to Section 152 and Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on access to and the exercise of the activities of insurance and reinsurance (Solvency II), including in particular the capital base requirements.

d) The decision on the use of a higher maximum cap must be approved by the company's highest governing body with at least 66% of the votes cast, provided that at least 50% of the voting shareholdings are represented at the meeting. If less than 50% of the voting shareholdings are represented at the meeting, the decision must be approved by at least 75% of the votes cast. An employee who is a shareholder in the company may not participate in the vote on this matter at the meeting of the highest governing body if the employee has a significant interest in the decision that may conflict with the company's interest.

e) The company must inform the Danish Financial Supervisory Authority of the decision of the highest governing body at the latest 8 days after the meeting of the highest governing body, including the size of any decided higher maximum cap.

4. At least 50% of a variable pay component to the board, management and other employees whose activities have a significant influence on the company's risk profile must at the time of calculation of the variable pay consist of a balance of shares, equivalent ownership interests depending on the company's legal structure, share-based instruments, subordinated debt in the company or other instruments that in an appropriate degree reflect the company's creditworthiness as a company whose activity is presumed to continue. The instruments may be issued by the company or its parent company, which owns the company fully.

5. Payment of at least 40% of a variable pay component, with larger amounts at least 60%, takes place over a period of at least 4 years, with commencement one year after the calculation date, however for the board and management at least 5 years. Payment must be made with equal distribution over the years or with an increasing share at the end of the period.

6. The company may refrain from paying a variable pay component wholly or partially if the company at the time of payment of the variable pay component does not comply with the solvency capital requirement in Sections 154 and 166, or if the Danish Financial Supervisory Authority assesses that there is a likely risk thereof.

7. The company does not pay variable pay to the board or management if the Danish Financial Supervisory Authority pursuant to Section 223 requires the company to prepare a plan for the restoration of the company's financial position.

Subsection 2. For the board and management, stock options or similar instruments may amount to no more than 12.5% of respectively the fee and the fixed basic salary including pension at the time of calculation thereof.

Subsection 3. The company must ensure that shares, instruments etc. transferred to the board, management or other employees whose activities have a significant influence on the company's risk profile as part of the variable pay mentioned in subsection 1, no. 4, may not be disposed of by these persons for a suitable period.

Subsection 4. The company must ensure that payment of the deferred variable pay component to the board, management and other employees whose activities have a significant influence on the company's risk profile, pursuant to subsection 1, no. 5, is conditional on the criteria that formed the basis for the calculation of the variable pay component continuing to be met at the time of payment, conditional on the person not having participated in or been responsible for behavior that has resulted in significant losses for the company, or not having complied with appropriate requirements of integrity, and conditional on the company's economic situation not being significantly deteriorated compared to the time of calculation of the variable pay component.

Subsection 5. A company must ensure that the board, management and other employees whose activities have a significant influence on the company's risk profile and who receive variable pay must repay the variable pay wholly or partially if the variable pay was paid out based on information about results that can be documented to be incorrect, and if the recipient is acting in bad faith.

Subsection 6. If a company awards the board, management and other employees whose activities have a significant influence on the company's risk profile a pension benefit that constitutes variable pay, cf. Section 9, subsection 1, no. 40, the company must, if the recipient leaves the company before the pension date, retain this pension benefit in the form of instruments mentioned in subsection 1, no. 4, for 5 years. Subsections 4 and 5 apply correspondingly to the cases mentioned in the first sentence. If the recipient is a member of the board or employed in the company at retirement age, the company must pay the variable part of the pension benefit to the recipient in the form of the instruments mentioned in subsection 1, no. 4, without possibility of disposal or utilization for a period of 5 years. Subsection 5 applies correspondingly to the cases mentioned in the third sentence.

Subsection 7. For persons in employment relationships covered by a collective agreement, subsections 1-6 only apply to agreements on variable pay components if the agreements on variable pay are not set out in the collective agreement.

Severance Arrangements for Members of Management

Section 147. If an insurance undertaking or an insurance holding company enters into an agreement on a severance arrangement with a member of management, and the value of the arrangement exceeds an amount corresponding to the person's total remuneration in the last 2 financial years including pension, the company must publish the size of the total remuneration, including the size of the individual remuneration components, and a justification for the size of the remuneration components.

Subsection 2. The publication pursuant to subsection 1 must take place on the company's website in the same place where the company's remuneration policy is published, and must take place as soon as possible, and at the latest 3 working days after the agreement is entered into. The information about a member of management's severance arrangement must be available for as long as the agreement is in force.

Section 148. Pay during an agreed notice period to a member of management in an insurance undertaking or an insurance holding company that is not counterbalanced by a normal work obligation must be paid monthly over the notice period.

Section 149. A severance payment to a member of management in an insurance undertaking or an insurance holding company must reflect the results achieved in the performance of the position, and must not reward misconduct or lack of results.

Subsection 2. The severance payment must be paid in monthly installments corresponding to the size of the recipient's average monthly salary including pension in the last financial year.

Subsection 3. Payment of the severance payment may begin earliest after any pay during the notice period has been fully paid out.

Subsection 4. The board must recommend payment of the severance payment if the board assesses that the director during their employment has exhibited behavior that must be considered to constitute serious managerial negligence. The board must withhold payment of the severance payment if the company is charged with criminal offenses that can be attributed to the director, or if the board becomes aware that the director is charged with criminal offenses committed in connection with their employment in the company.

Subsection 5. The board must demand repayment of a severance payment that has been paid out wholly or partially before the board became aware of behavior or matters covered by subsection 4.

Section 150. Sections 147-149 cannot be derogated from by agreement, including by agreement on a severance arrangement for a member of management in an insurance undertaking or an insurance holding company that is entered into with another company in the group that is not covered by the rules.

Remuneration Committee

Section 151. A Group 1 insurance undertaking, a Group 2 insurance undertaking and an insurance holding company, whose shareholdings are admitted to trading on a regulated market, or which in the last 2 financial years at the balance sheet date on average have had 1,000 or more full-time employees, must establish a remuneration committee, cf. however subsection 2.

Subsection 2. In groups with several companies that are required pursuant to subsection 1 to establish a remuneration committee, a joint remuneration committee for these companies in the group or a part thereof may be established. The remuneration committee must be organizationally placed in a company under the supervision of the Danish Financial Supervisory Authority and must be established in a company that is...

parent company for the other companies for which the committee is established.

Subsection 3. The chairman and members of the remuneration committee must be members of the board of directors of the company that establishes the remuneration committee, or of the board of directors of companies that, pursuant to subsection 2, have a joint remuneration committee. The remuneration committee must be composed such that its members possess the necessary knowledge, qualifications, and competencies to understand and monitor the company's remuneration policy and practices, risk management, and control activities, particularly regarding the adjustment of the company's remuneration structure to the company's risk profile and the management of capital and liquidity, and to be able to make a qualified and independent assessment of whether the company's remuneration, including remuneration policy and related business practices, is in compliance with either Article 275 of Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II), Section 142, subsections 1 and 2, and Sections 145 and 146 and rules issued pursuant to Section 152 for Group 1 insurance undertakings, or Section 143, subsections 1 and 2, and Sections 145 and 146 and rules issued pursuant to Section 152 for Group 2 insurance undertakings.

Subsection 4. The remuneration committee shall conduct the preparatory work for the board's decisions regarding remuneration, including remuneration policy and other decisions thereon, which may have an impact on the company's risk management, and in this connection shall conduct the following:

1. The remuneration committee shall advise the board on the design of the company's remuneration policy, assist the board in ensuring compliance with the company's remuneration policy in practice, and assess whether the company's remuneration policy is updated, including, if necessary, proposing updates to the remuneration policy.

2. The remuneration committee shall ensure that the information presented to the highest body regarding the company's remuneration policy and practices and the information pursuant to Section 146, subsection 1, item 3, letters a and b, are sufficient.

3. The remuneration committee shall assess whether the company's processes and systems are sufficient and take into account the company's risks, including risks associated with the management of capital and liquidity, in relation to the company's remuneration structure, and ensure that the company's remuneration policy and practices are in compliance with and promote sound and effective risk management and are in compliance with the company's business strategy, objectives, values, and long-term interests.

4. The remuneration committee shall assess the company's and business units' overall results and ensure that the management has evaluated the result criteria that formed the basis for the calculation of variable remuneration to the company's other employees, whose activities have a significant impact on the company's risk profile, pursuant to Section 146, subsection 4.

5. The remuneration committee shall check selected evaluations conducted by the management, pursuant to item 4, to test whether the conditions in Section 146, subsection 4, are met.

6. The remuneration committee shall ensure that the independent control functions and other relevant functions are involved, to the extent necessary for the implementation of the tasks in items 1-5, and, to the extent necessary, seek external advice.

Subsection 5. The remuneration committee may perform other tasks regarding remuneration. In the preparatory work, the committee shall safeguard the company's long-term interests, including in relation to investors, and the public interest.

Subsection 6. In companies covered by subsection 1, where there is employee representation on the board pursuant to the rules in Chapter 8 of the Companies Act, at least one of these representatives must be a member of the remuneration committee established pursuant to subsection 1 or 2.

Detailed Rules on Remuneration

Section 152. The Minister for Business Affairs may set detailed rules for insurance undertakings and insurance holding companies regarding the definition of other employees, whose activities have a significant impact on the company's risk profile.

Subsection 2. The Minister for Business Affairs may set rules for insurance undertakings and insurance holding companies regarding remuneration policy and remuneration of the board, management, and other employees, whose activities have a significant impact on the company's risk profile, which supplement the rules in Articles 258 and 275 of Regulation (EU) 2015/35 of the European Parliament and of the Council of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II).

Subsection 3. The Minister for Business Affairs may set detailed rules regarding insurance undertakings' and insurance holding companies' obligation to publish information on remuneration of the board, management, and other employees, whose activities have a significant impact on the company's risk profile.

Subsection 4. The Minister for Business Affairs may set detailed rules for insurance undertakings regarding remuneration that is granted or paid out with a view to the exercise of insurance distribution.

Part V Reserves and Capital Conditions of Insurance Undertakings

Chapter 14 Solvency, Reserves, and Capital Conditions

Capital Base of Group 1 Insurance Undertakings

Section 153. The capital base of Group 1 insurance undertakings consists of the sum of the basic capital base and the supplementary capital base. The use of the supplementary capital base in the calculation of the capital base requires the approval of the Danish Financial Supervisory Authority (Finanstilsynet).

Subsection 2. The basic capital base consists of

1. the amount by which the value of assets exceeds the value of liabilities, valued in accordance with rules established pursuant to Section 132, subsection 2, and Section 158, subsection 5, reduced by the value of own shares owned by the Group 1 insurance undertaking, and

2. subordinated debt.

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Subsection 3. The supplementary capital base consists of other capital elements than the basic capital base, which can be used to cover losses.

Subsection 4. The European Commission shall, pursuant to Article 97 of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II), determine which capital can be included in the capital base. Group 1 insurance undertakings wishing to use other capital must apply for prior approval from the Danish Financial Supervisory Authority.

Subsection 5. The Danish Financial Supervisory Authority may set detailed rules for the calculation of the capital base by Group 1 insurance undertakings.

Section 154. The board and management of Group 1 insurance undertakings must ensure that the company at all times has a capital base that covers the solvency capital requirement calculated by the company, pursuant to subsection 2.

Subsection 2. The solvency capital requirement is calculated either by using the standard formula or by using an internal model approved by the Danish Financial Supervisory Authority, subject to subsection 4.

Subsection 3. Group 1 insurance undertakings using the standard formula may only use company-specific parameters in the calculation of the solvency capital requirement if approved by the Danish Financial Supervisory Authority.

Subsection 4. If the risk profile of a Group 1 insurance undertaking deviates significantly from the assumptions underlying the standard formula, the Danish Financial Supervisory Authority may require the company to use an approved internal model for the calculation of the solvency capital requirement for the relevant risk modules.

Subsection 5. The Group 1 insurance undertaking must calculate the solvency capital requirement at least once a year and thereafter report the result to the Danish Financial Supervisory Authority. The company must perform a new calculation and immediately report the result to the Danish Financial Supervisory Authority upon changes of significant importance to the calculated solvency capital requirement.

Subsection 6. The Danish Financial Supervisory Authority may set detailed rules regarding the capital base that can be used to cover the solvency capital requirement, the calculation of the solvency capital requirement using the standard formula, and the criteria for the Danish Financial Supervisory Authority's approval and calculation of an internal model.

Section 155. The board and management of Group 1 insurance undertakings must ensure that the company at all times has a basic capital base that covers the minimum capital requirement calculated by the company.

Subsection 2. The minimum capital requirement must amount to the largest of the amounts calculated pursuant to subsection 3 and the largest of the amounts relevant to the company in subsection 5.

Subsection 3. The European Commission shall, pursuant to Article 130 of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II), set rules for how Group 1 insurance undertakings must calculate the minimum capital requirement. The calculated minimum capital requirement must not be less than 25 percent or more than 45 percent of the company's solvency capital requirement calculated in accordance with Section 154 and including any capital add-on ordered by the Danish Financial Supervisory Authority pursuant to Section 276. If the actually calculated minimum capital requirement is less than 25 percent of the company's solvency capital requirement, the minimum capital requirement will be set at 25 percent. If the actually calculated minimum capital requirement is more than 45 percent of the company's solvency capital requirement, the minimum capital requirement will be set at 45 percent.

Subsection 4. Group 1 insurance undertakings must submit a justification to the Danish Financial Supervisory Authority in connection with the reporting pursuant to subsection 6, if the actually calculated minimum capital requirement lies outside the limits in subsection 3.

Subsection 5. The lower limits for the minimum capital requirement are:

1. 4 million euros for insurance undertakings conducting business covered by Annex 2.

2. 2.7 million euros for insurance undertakings conducting business within insurance classes 1-9 and 16-18, pursuant to Annex 1.

3. 4 million euros for insurance undertakings conducting business within insurance classes 10-15, pursuant to Annex 1.

4. 3.9 million euros for insurance undertakings conducting reinsurance business.

5. 1.3 million euros for captive reinsurance undertakings.

Subsection 6. Group 1 insurance undertakings must calculate the minimum capital requirement at least at the end of each quarter and thereafter report the result to the Danish Financial Supervisory Authority.

Subsection 7. The Danish Financial Supervisory Authority may set detailed rules for the basic capital base that can be used to cover the minimum capital requirement.

Capital Base of Group 2 Insurance Undertakings

Section 156. The board and management of Group 2 insurance undertakings must ensure that the company has sufficient basic capital to cover the company's risks.

Subsection 2. The requirement for the minimum basic capital for Group 2 insurance undertakings amounts to the following, subject to subsection 3:

1. 4 million euros for companies conducting business covered by Annex 2.

2. 2.7 million euros for companies conducting business within insurance classes 1-9 and 16-18, pursuant to Annex 1.

3. 3.9 million euros for companies conducting reinsurance business.

4. 1.3 million euros for captive reinsurance undertakings.

Subsection 3. For mutual Group 2 insurance undertakings covered by subsection 2, item 2, where the articles of association give the company the possibility of collecting additional contributions or reducing benefits, the requirement for the minimum basic capital amounts to:

1. 0.225 million euros for companies conducting business within insurance classes 1-8, 16, and 18, pursuant to Annex 1.

2. 0.15 million euros for companies conducting business within insurance classes 9 and 17, pursuant to Annex 1.

Subsection 4. The board and management of Group 2 insurance undertakings must, based on subsection 1, calculate the company's individual solvency needs.

Subsection 5. The Danish Financial Supervisory Authority may set an individual solvency need that is higher than what the company has calculated pursuant to subsection 4.

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Section 157. The basic capital of Group 2 insurance undertakings consists of the core capital plus supplementary capital, less deductions.

Subsection 2. The Danish Financial Supervisory Authority sets detailed rules for the calculation of the basic capital by Group 2 insurance undertakings.

Reserves for Solvency of Group 1 Insurance Undertakings

Section 158. The board and management of Group 1 insurance undertakings must ensure that the company at all times possesses sufficient insurance technical reserves for solvency to cover all insurance liabilities to policyholders and other beneficiaries under insurance contracts. The board and management of Group 1 insurance undertakings must ensure that a risk-free interest curve, established by the European Commission pursuant to Article 77e, subsection 2, of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II) with later amendments, is used in the calculation of the insurance technical reserves for solvency.

Subsection 2. The Danish Financial Supervisory Authority may grant permission for a Group 1 insurance undertaking to use a matching adjustment to the risk-free interest curve in subsection 1 on a selected portfolio of insurance liabilities by the company.

Subsection 3. A Group 1 insurance undertaking may, by notification to the Danish Financial Supervisory Authority, use a volatility adjustment to the risk-free interest curve in subsection 1 for insurance technical reserves for solvency, where the company does not use a matching adjustment pursuant to subsection 2.

Subsection 4. The Danish Financial Supervisory Authority may set detailed rules regarding the calculation of the matching adjustment and the prerequisites for obtaining permission, pursuant to subsection 2, and regarding the volatility adjustment, pursuant to subsection 3.

Subsection 5. The Minister for Business Affairs sets detailed rules regarding the valuation of assets and liabilities, including insurance technical reserves for solvency, pursuant to subsection 1, sentence 1, in Group 1 insurance undertakings and groups or groups covered by Section 166, subsections 1 and 2.

Reserves for Solvency of Group 2 Insurance Undertakings

Section 159. The board and management of Group 2 insurance undertakings must ensure that the company at all times possesses sufficient insurance technical reserves for solvency to cover all insurance liabilities to policyholders and other beneficiaries under insurance contracts.

Subsection 2. The Danish Financial Supervisory Authority may require a Group 2 insurance undertaking to use the risk-free interest curve pursuant to Section 158, subsection 1, in the calculation of the insurance technical reserves for solvency.

Analysis of Changes in Significant Risks by Group 1 Insurance Undertakings

Section 160. A Group 1 insurance undertaking must conduct analyses of how changes in significant risks affect the capital base, solvency capital requirement, and minimum capital requirement calculated by the company. The company must report the result quarterly to the Danish Financial Supervisory Authority within the same deadlines that apply for the quarterly reporting templates, pursuant to Article 312, subsection 1, letter d, of Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II).

Subsection 2. The Minister for Business Affairs may set detailed rules regarding the analyses that the company must conduct pursuant to subsection 1.

Establishment of Rules on Capital Base

Section 161. The Danish Financial Supervisory Authority may set rules regarding insurance undertakings' issuance of bonds with terms of conversion to share, guarantee, or partnership capital, including to what extent Chapter 10 of the Companies Act applies.

Section 162. The Danish Financial Supervisory Authority sets detailed rules for

1. deadlines for reports as a result of rules issued pursuant to Article 35, subsection 9, of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II),

2. calculations pursuant to Section 156, subsections 1 and 4, and

3. reporting of the requirement for minimum basic capital and basic capital for Group 2 insurance undertakings.

Security Fund

Section 163. An insurance undertaking may make provisions to a security fund if its articles of association contain provisions to this effect.

Subsection 2. Funds that have been provided to the security fund cannot be withdrawn from it. The funds of the security fund can only be used to cover losses in the settlement of insurance technical liabilities or otherwise for the benefit of the insured. No amendments to the articles of association may be made with the effect that funds that, pursuant to subsection 1, have already been provided to the security fund, can be withdrawn from it.

Report on Solvency and Financial Situation

Section 164. Group 1 insurance undertakings must annually publish a report on their solvency and financial situation. In addition, Group 1 insurance undertakings must submit a regular supervisory report to the Danish Financial Supervisory Authority on their solvency and financial situation within deadlines set in Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II).

Subsection 2. Companies covered by Section 166, subsections 1 and 2, must annually publish a report on the group's or group's solvency and financial situation. In addition, companies covered by Section 166, subsections 1 and 2, must submit a regular supervisory report on the group's or group's solvency and financial situation to the Danish Financial Supervisory Authority within deadlines set in Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of insurance and reinsurance undertakings (Solvency II).

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Paragraph 3. The Minister for Business Affairs may lay down detailed rules on the information that the reports must contain, and on publication and submission to the Danish Financial Supervisory Authority.

Chapter 15 Group Rules and Consolidation etc.

Reporting of Exposures by Groups § 165. Groups where the ultimate parent undertaking in Denmark is an insurance undertaking, or where the parent undertaking is an insurance holding company, shall report annually to the Danish Financial Supervisory Authority all exposures that amount to more than 10 per cent of the group's own funds.

Paragraph 2. The Danish Financial Supervisory Authority shall lay down detailed rules for reporting pursuant to paragraph 1.

Special Rules on Group Solvency and Group Supervision for Group 1 Insurance Undertakings etc. § 166. The board of directors of an insurance holding company or a financial holding company that meets the conditions in § 9, paragraph 1, no. 9, shall ensure that the group possesses own funds that cover the group solvency capital requirement for the group, when at least one of the subsidiary undertakings carries on insurance business. This shall not apply, however, where insurance business is carried on in the group solely through group 2 insurance undertakings.

Paragraph 2. Paragraph 1 shall apply mutatis mutandis to a group 1 insurance undertaking and associated undertakings carrying on insurance business. This shall not apply, however, if the associated undertakings carry on insurance business solely through group 2 insurance undertakings.

Paragraph 3. The own funds of the group or the undertaking, cf. paragraphs 1 and 2, shall be calculated in accordance with § 153 and rules issued pursuant to paragraph 10.

Paragraph 4. The group solvency capital requirement for the group or the undertaking shall be calculated on the basis of a method based on accounting consolidation, cf. however paragraph 5, and either by using the standard formula pursuant to § 154, paragraphs 2 and 3, and rules established pursuant to paragraph 6 or by using an internal model approved by the Danish Financial Supervisory Authority for the group or the undertaking.

Paragraph 5. In special cases, the Danish Financial Supervisory Authority may decide that the group solvency capital requirement for the group or the undertaking shall not be calculated on the basis of a method based on accounting consolidation pursuant to paragraph 4, or that the calculation on the basis of a method based on accounting consolidation pursuant to paragraph 4 shall be combined with another calculation method.

Paragraph 6. If the group solvency capital requirement for the group or the undertaking is not met, § 223 shall apply.

Paragraph 7. The Danish Financial Supervisory Authority may set a capital add-on for the group or the undertaking in accordance with § 278.

Paragraph 8. The Danish Financial Supervisory Authority may decide not to include a company in the group or the undertaking in the calculation of the group solvency capital requirement for the group or the undertaking when:

1. the company is located in a third country where there are legal obstacles to the provision of the necessary information,
2. the company to be included is of minor significance from the perspective of the purposes of group supervision, unless the company, taken together with several other companies in the group as a whole, is not of insignificant significance, or
3. it would be inappropriate or misleading to include the company in question, taking into account the purposes of group supervision.

Paragraph 9. Undertakings covered by paragraphs 1 and 2 shall calculate the group solvency capital requirement for the group or the undertaking at least once a year and thereafter report the result to the Danish Financial Supervisory Authority. Undertakings covered by paragraphs 1 and 2 shall immediately carry out a new calculation and thereafter report the result to the Danish Financial Supervisory Authority in the event of changes of significant importance to the calculated group solvency capital requirement for the group or the undertaking.

Paragraph 10. The Danish Financial Supervisory Authority may lay down detailed rules on the own funds of the group and the undertaking covered by paragraphs 1 and 2, which can be used to cover the group solvency capital requirement for the group or the undertaking, on the calculation of the group solvency capital requirement for the group or the undertaking pursuant to paragraphs 4 and 5, on the Danish Financial Supervisory Authority's approval of an internal model for the group or the undertaking and on risk concentration. The Danish Financial Supervisory Authority may also lay down detailed rules on equivalence for cases where the parent undertaking of a group 1 insurance undertaking has its head office in a country outside the European Union, with which the Union has not concluded an agreement in the financial sector.

§ 167. The Danish Financial Supervisory Authority may decide that § 166 or parts thereof shall apply to a Danish part of a group or undertaking if the ultimate undertaking in the group or undertaking is not located in Denmark. The ultimate insurance undertaking, the ultimate insurance holding company or the ultimate financial holding company that meets the conditions in § 9, paragraph 1, no. 9, in the Danish part of the group or undertaking shall ensure compliance with these provisions.

Paragraph 2. A decision pursuant to paragraph 1 shall be reasoned to both the group supervisor pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) and the ultimate parent undertaking at Community level.

§ 168. If a decision has been taken pursuant to § 167, paragraph 1, the Danish Financial Supervisory Authority may enter into agreements with supervisory authorities in other Member States in accordance with Article 217, paragraph 1, of Directive 2009/138/EC of the European Parliament and of the Council on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) as amended by Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014. In such cases, it shall be for the Danish Financial Supervisory Authority, jointly with the supervisory authorities with which such an agreement is entered into, to justify the agreement to both the group supervisor pursuant to Directive 2009/138/EC of the European Parliament and of the Council on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) and the ultimate parent undertaking at Community level.

26 April 2026. 34 No. 461.

§ 169. The Danish Financial Supervisory Authority shall jointly with other relevant supervisory authorities obtain the opinion of the group before a decision is taken on which of the supervisory authorities of several Member States is the group supervisor pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), in the special cases covered by Article 247, paragraph 3, of Directive 2009/138/EC of the European Parliament and of the Council on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) as amended by Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014. If the Danish Financial Supervisory Authority is designated as the group supervisor, the Danish Financial Supervisory Authority shall provide the group with a reasoned decision after the decision has been taken.

Paragraph 2. If the Danish Financial Supervisory Authority is designated as the group supervisor pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), it shall be for the Danish Financial Supervisory Authority to provide a reasoned decision to the group and the supervisory college in cases where the European Insurance and Occupational Pensions Authority (EIOPA) takes a decision in accordance with Article 247, paragraphs 4 and 5, of Directive 2009/138/EC of the European Parliament and of the Council on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) as amended by Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014.

Separation, Disposal and Intra-Group Transactions § 170. The Danish Financial Supervisory Authority may order a parent undertaking that owns capital shares in one or more insurance undertakings to separate the insurance undertakings into a sub-group under a financial holding company or an insurance holding company if:

1. the group is structured in such a way that the parent undertaking is not required to meet the group solvency capital requirement in § 166, paragraphs 1, 2, 4 and 5,
2. a member of the parent undertaking's board of directors or management is subject to one of the circumstances in § 105, paragraph 1, no. 3-5, or
3. the structure otherwise makes it difficult for the Danish Financial Supervisory Authority to perform its tasks.

§ 171. The Danish Financial Supervisory Authority may order that an insurance holding company dispose of capital shares in an insurance undertaking if:

1. the group solvency capital requirement in § 166, paragraphs 1, 4 and 5, is not met,
2. a member of the insurance holding company's board of directors or management does not have sufficient experience to perform the office or position or is subject to one of the circumstances in § 105, paragraph 1, no. 3-5, or
3. the insurance holding company hinders the sound and prudent management of the insurance undertaking.

§ 172. The Danish Financial Supervisory Authority shall lay down detailed rules on intra-group transactions entered into between an insurance undertaking and:

1. undertakings that are directly or indirectly connected with the insurance undertaking as subsidiary undertakings, associated undertakings or parent undertakings or as the parent undertaking's associated undertakings and other subsidiary undertakings,
2. undertakings or persons that are connected with the insurance undertaking through close links, or
3. undertakings that are not covered by no. 1 and 2, where the persons in the management of the undertakings are the same for the majority, or where the undertakings are subject to joint management pursuant to an agreement or articles of association to that effect.

Paragraph 2. Intra-group transactions carried out in breach of the rules established pursuant to paragraph 1 shall be revoked, so that benefits are returned if possible, including that any security provided ceases. Payments from the insurance undertaking made in connection with intra-group transactions in breach of the rules established pursuant to paragraph 1 shall be refunded together with annual interest on the amount corresponding to the interest rate set pursuant to § 5, paragraphs 1 and 2, of the Interest Act.

§ 173. An insurance undertaking may not, without permission from the Danish Financial Supervisory Authority, have exposures to other undertakings within the same group, except exposures to subsidiary undertakings.

Paragraph 2. An insurance undertaking may not have an exposure to undertakings or persons who directly or indirectly have decisive influence on the insurance undertaking, or who are dominated by undertakings or persons with such influence.

Paragraph 3. The Danish Financial Supervisory Authority may exempt from paragraph 2.

§ 174. The Danish Financial Supervisory Authority may, in certain cases where a parent undertaking in a group is an insurance holding company or an insurance undertaking, derogate from provisions for groups established in this Act or in rules issued pursuant to the Act, taking into account the purpose of the relevant provisions and the activities in the group. The first sentence shall apply mutatis mutandis to groups covered by § 166, paragraph 2, if the ultimate undertaking in the group is not located in Denmark.

Chapter 16 Investments

Prudent Person Principle § 175. Insurance undertakings shall invest their assets in such a way that the interests of policyholders and beneficiaries are best safeguarded.

Active Ownership § 176. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities, and which makes investments directly or through an asset manager in shares traded on a regulated market, shall draw up and publish an active ownership policy describing how the undertaking integrates active ownership into its investment strategy.

Paragraph 2. For group 1 insurance undertakings that carry on business covered by Annex 2 and insurance undertakings that carry on reinsurance of life insurance liabilities, the active ownership policy shall additionally describe how the undertaking:

1. monitors undertakings in which investments are made, in relevant areas, including strategy, financial and non-financial results, risk, capital structure, social and environmental impact and good corporate governance,
2. engages in dialogue with undertakings in which investments are made,
3. exercises voting rights and other rights attached to shares,
4. cooperates with other shareholders,
5. communicates with relevant stakeholders in undertakings in which investments are made, and
6. handles actual and potential conflicts of interest in connection with the undertaking's active ownership.

Paragraph 3. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities shall publish annually how the undertaking's active ownership policy has been implemented, including publishing a general description of voting, a report on the most significant votes and the undertaking's use of the services of proxy advisors.

Paragraph 4. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities shall publish how the undertaking has voted at general meetings of undertakings in which it holds shares. Votes that are insignificant due to the subject matter of the vote or the size of the shareholding in the undertaking in question may be excluded from publication.

Paragraph 5. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities may choose not to comply with one or more of the requirements in paragraphs 1-4 if the undertaking publishes a clear and reasoned explanation of why the undertaking has chosen this.

Paragraph 6. The information to be published pursuant to paragraphs 1-5 shall be freely available on the website of the group 1 insurance undertaking that carries on business covered by Annex 2 and the insurance undertaking that carries on reinsurance of life insurance liabilities.

Paragraph 7. If an asset manager implements the active ownership policy, including voting, on behalf of a group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities, the undertaking shall refer to the location where the asset manager has published information on voting.

Paragraph 8. Rules on conflicts of interest in other legislation applicable to group 1 insurance undertakings that carry on business covered by Annex 2 and insurance undertakings that carry on reinsurance of life insurance liabilities shall apply mutatis mutandis in connection with activities relating to active ownership.

§ 177. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities, and which makes investments directly or through an asset manager in shares traded on a regulated market, shall publish how the main elements of the undertaking's share investment strategy are consistent with the profile and duration of the undertaking's insurance liabilities, in particular the long-term liabilities, and how the main elements contribute to the performance of the assets in the medium to long term.

Paragraph 2. When an asset manager invests on behalf of a group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities, either discretely or through an investment undertaking, the undertaking shall publish the following information about its asset management arrangement:

1. How the arrangement provides the asset manager with incentives to align its investment strategy and investment decisions with the profile and duration of the insurance liabilities, in particular the long-term liabilities of the group 1 insurance undertaking that carries on business covered by Annex 2 and the insurance undertaking that carries on reinsurance of life insurance liabilities.
2. How the arrangement provides the asset manager with incentives to make investment decisions based on assessments of financial and non-financial results in the medium to long term for the undertaking in which investments are made, and to engage with undertakings in which investments are made to improve their medium to long-term results.
3. How the method and time horizon for evaluating the asset manager's performance and remuneration for the asset manager's services are consistent with the profile and duration of the insurance liabilities, in particular the long-term liabilities, and take into account the long-term results of the group 1 insurance undertaking that carries on business covered by Annex 2 and the insurance undertaking that carries on reinsurance of life insurance liabilities.
4. How the group 1 insurance undertaking that carries on business covered by Annex 2 and the insurance undertaking that carries on reinsurance of life insurance liabilities monitor the asset manager's portfolio turnover costs, and how it establishes and monitors a target portfolio turnover or a target turnover interval.
5. The duration of the arrangement with the asset manager.

Paragraph 3. A group 1 insurance undertaking that carries on business covered by Annex 2 and an insurance undertaking that carries on reinsurance of life insurance liabilities shall publish a clear and well-reasoned explanation if the arrangement mentioned in paragraph 2 does not include one or more of the aspects mentioned in paragraph 2, no. 1-5.

Paragraph 4. The information to be published pursuant to paragraphs 1-3 shall be freely available on the website of the group 1 insurance undertaking that carries on business covered by Annex 2 and the insurance undertaking that carries on reinsurance of life insurance liabilities, and shall be updated annually, unless there are no significant changes thereto.

Section VI Annual Report and Audit

Chapter 17 Annual Report and Audit

General Rules on Annual Report and Audit § 178. For each financial year, insurance undertakings shall prepare an annual financial statement consisting of a balance sheet, an income statement, other comprehensive income, notes, including a statement of accounting policies applied, and a statement of changes in equity. The annual financial statement shall be supplemented with:

1. an annual financial statement for a group managed by the undertaking (group financial statement),
2. a management report for the undertaking and for a group managed by the undertaking,
3. a management statement, and
4. an audit report.

Paragraph 2. The annual financial statement may be supplemented with any supplementary reports, cf. § 186.

Paragraph 3. The collective term for the accounts, reports and statements referred to in paragraphs 1 and 2 is the annual report.

Paragraph 4. If a declaration on sustainability reporting has been made, cf. § 187 a, paragraph 1, this shall be included in the annual report.

§ 179. The annual report shall be prepared in accordance with the rules in this chapter and rules established pursuant to § 190.

§ 180. Insurance undertakings that are not required to apply international accounting standards, cf. Article 4 of Regulation (EC) No 1606/2002 of the European Parliament and of the Council on the application of international accounting standards, to their group financial statement, may choose to apply the standards to their group financial statement.

Paragraph 2. Insurance undertakings that only have permission to carry on non-life insurance business and reinsurance of life insurance business pursuant to Annex 2, insurance class I, letter c, insurance holding companies and financial holding companies, whose business consists exclusively or mainly of owning capital shares in insurance undertakings, may choose to prepare an annual financial statement in accordance with the international accounting standards mentioned in paragraph 1.

Paragraph 3. The Danish Financial Supervisory Authority may permit insurance undertakings that only have permission to carry on non-life insurance business and that have permission pursuant to § 28 to carry on life insurance business through a branch in a country within the European Union or in a country with which the Union has concluded an agreement in the financial sector to choose to prepare an annual financial statement in accordance with the international accounting standards mentioned in paragraph 1.

Paragraph 4. Insurance undertakings that are required to apply or optionally apply the standards mentioned in paragraph 1 shall follow all approved standards. Where provisions in this chapter or in rules issued pursuant to § 190 regulate the same matters as the standards, the undertakings shall apply the standards instead of the relevant provisions.

Paragraph 5. The Danish Financial Supervisory Authority may lay down rules necessary for the application of the regulation mentioned in paragraph 1, in this country.

Management's Responsibility for the Preparation of the Annual Report § 181. The board of directors and the management shall prepare the annual report for the undertaking.

Paragraph 2. Each individual member of the management shall be responsible for ensuring that the annual report:

1. is prepared in accordance with the legislation and any additional requirements for accounts in the articles of association or agreement,
2. can be audited and approved in due time,
3. if the annual report is to contain a sustainability report, can be provided with a declaration on sustainability reporting, so that the annual report can be approved in due time, and
4. is submitted to the Danish Financial Supervisory Authority, cf. § 188, paragraph 1, and the Danish Business Authority, cf. § 189, paragraph 1, within the time limits set in the legislation.

§ 182. When the annual report has been prepared, all members of the board of directors and management shall sign it and date the signature. The members shall give their signature in connection with a management statement, where each individual member's name and function in relation to the undertaking are clearly indicated, and in which they declare whether:

1. the annual report has been prepared in accordance with the requirements of the legislation and any requirements in the articles of association or agreement,
2. the annual financial statement and any group financial statement give a true and fair view of the undertaking's and, if a group financial statement has been prepared, the group's assets and liabilities, financial position as well as the result, and
3. the management report contains a true and fair review of the development of the undertaking's and, if a group financial statement has been prepared, the group's activities and financial affairs as well as a description of the most significant risks and uncertainties that the undertaking and the group respectively may be affected by, and that any sustainability reporting has been prepared in accordance with the rules in this chapter and the rules issued pursuant to § 187 a, paragraph 6, and § 190.

Paragraph 2. If the annual report is signed digitally, cf. § 307, the requirement in paragraph 1 that the signature and the dating of the signature shall be given in connection with the management statement shall not apply. The signatory's name shall, however, be clearly indicated in connection with the management statement.

Paragraph 3. If the management has inserted supplementary reports into the annual report, the members of the board of directors and management shall declare in the management statement whether the report gives a true and fair review within the framework of generally accepted guidelines for such reports.

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Paragraph 4. A member of the management cannot refrain from signing the annual report, even if the management member is completely or partially in disagreement with the annual report or has objections to its approval with the content that has been decided. The management member may, however, indicate their objections with a concrete and comprehensive justification in connection with their signature and the management statement.

Basic requirements for the annual report

Section 183. The annual accounts and any group accounts shall give a true and fair view of the company's and the group's assets and liabilities, financial position, and profit or loss. The management report shall contain a fair review of the matters dealt with in the report.

Paragraph 2. If the application of the provisions of this Act or the rules issued pursuant to Section 190 is not sufficient to give a true and fair view as mentioned in paragraph 1, additional information shall be provided in the annual accounts and group accounts respectively.

Paragraph 3. If the application of the provisions of this chapter or rules issued pursuant to Section 190 in special cases conflicts with the requirement in paragraph 1, first sentence, they shall be departed from so that this requirement is met. Such a departure shall be disclosed in the notes every year and always justified concretely and comprehensively with information about the impact, including as far as possible the monetary impact, the departure has on the company's and the group's assets and liabilities, financial position, and profit or loss.

Section 184. In order for the annual accounts and group accounts to give a true and fair view, and for the management report to contain a fair review, pursuant to Section 183, the requirements in paragraphs 2 and 3 must be met.

Paragraph 2. The annual report shall be prepared so as to support the users of the accounts, pursuant to paragraph 4, in their economic decisions and shall at least relate to

1. the allocation of the users' own resources,
2. the management of the company's resources by the management, and
3. the distribution of the company's resources.

Paragraph 3. The annual report shall be prepared in such a way that it discloses matters that are normally relevant to the users of the accounts, pursuant to paragraph 4. The information must also be reliable, in relation to what the users of the accounts normally expect.

Paragraph 4. The users of the accounts are persons, companies, organizations, and public authorities etc., whose economic decisions are normally expected to be influenced by an annual report, including current or future participants in the business, creditors, employees, customers, alliance partners, and the local community, as well as grant-giving and fiscal authorities.

Section 185. The annual report shall be prepared in accordance with the following basic assumptions:

1. It shall be prepared in a clear and comprehensible manner (clarity).
2. Account shall be taken of the actual circumstances and not of formalities without real content (substance).
3. All relevant matters shall be included in the annual report, unless they are insignificant (materiality). If several insignificant matters are considered together to be material, they must, however, be included.
4. The operation of an activity is assumed to continue (going concern), unless it is not to or is not assumed to be able to continue. If an activity is discontinued, the classification and presentation as well as recognition and measurement must be adapted to this discontinuation.
5. Recognition and measurement shall be based on a prudent basis, including that accounting estimates must be well-founded and neutral. Any value adjustment shall be recognized, regardless of whether the annual accounts show a surplus or deficit.
6. Transactions, events, and changes in value shall be recognized when they occur, regardless of the time of payment (accrual basis).
7. Recognition methods and measurement bases shall be applied consistently to the same category of matters (consistency).
8. Each transaction, event, and change in value shall be recognized and measured separately, and the individual matters must not be offset against each other (gross value).
9. The opening balance for the financial year must correspond to the closing balance for the preceding financial year (formal continuity).

Paragraph 2. Presentation and classification, consolidation method, recognition method, and measurement basis, as well as the monetary unit used, must not be changed from year to year (real continuity). Change may, however, be made if this thereby better achieves a true and fair view, or if the change is necessary as a result of a change in law or rules issued pursuant to Section 190, and Section 183, paragraph 3, second sentence, applies correspondingly.

Paragraph 3. The Financial Supervisory Authority may, regardless of paragraph 1, item 8, set rules on the obligation to offset.

Supplementary reports

Section 186. Supplementary reports, including reports on knowledge and employees' matters (knowledge accounts), on environmental matters (green accounts), on the company's social responsibility (social accounts), and on the company's ethical objectives and follow-up thereon (ethical accounts), shall give a fair review within the framework of generally accepted guidelines for such reports. The reports must meet the quality requirements in Section 184, paragraph 2, with the relaxations that follow from the nature of the matter, and the basic assumptions in Section 185, paragraphs 1 and 2.

Paragraph 2. The methods and measurement bases according to which the reports are prepared must appear in the supplementary reports.

Audit of the annual report

Section 187. The annual report shall be audited by the company's external auditors, pursuant to Section 193. The audit does not cover the management report and the supplementary reports included in the annual report, pursuant to Section 186. The auditor must, however, give an opinion on the management report.

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Statement on sustainability reporting

Section 187 a. A company that is obliged to prepare sustainability reporting shall have the sustainability reporting accompanied by a statement on sustainability reporting.

Paragraph 2. The statement pursuant to paragraph 1 shall be given by an auditor who, in accordance with the Auditors Act, is approved to give statements on sustainability reporting, or through an independent assurance provider who is registered in accordance with the Act on Independent Assurance Providers regarding Sustainability Reporting.

Paragraph 3. Section 193, paragraphs 7-9 and 12, apply with the necessary adjustments correspondingly to the sustainability reporting.

Paragraph 4. Sections 118 a, 144, and 145-149 b of the Companies Act apply with the necessary adjustments to the sustainability reporting.

Paragraph 5. The board of directors may allow internal audit and deputy chief audit executives to perform work activities as a basis for the statement on sustainability reporting, pursuant to paragraph 1. The provision in Section 193, paragraph 11, applies with the necessary adjustments correspondingly to the work activities of internal audit and deputy chief audit executives in connection with the issuance of a statement on sustainability reporting.

Paragraph 6. The Financial Supervisory Authority sets rules on the implementation of the auditor's or the independent assurance provider's issuance of statements on sustainability reporting. The Financial Supervisory Authority may also set rules on internal audit, insofar as it concerns sustainability reporting.

Section 187 b. For companies covered by Section 187 a, paragraph 1, which before December 31, 2025, have chosen one or more auditors or independent assurance providers, pursuant to the Companies Act Section 149 a, paragraph 1, to give a statement on sustainability reporting, deregistration of the chosen auditor or independent assurance providers does not require separate resolution.

Paragraph 2. In the case of deregistration pursuant to paragraph 1, the Companies Act Section 149 a, paragraphs 2 and 3, do not apply.

Paragraph 3. Deregistration pursuant to paragraph 1 cannot be carried out after the next ordinary general meeting or similar meeting in a corresponding approval body held on December 31, 2025, or later.

Submission of annual reports, audit reports, and statements on sustainability reporting

Section 188. The annual report shall be submitted to the Financial Supervisory Authority in the form in which it has been presented and approved by the board of directors, via digital communication without undue delay after the board meeting where the annual report was finally approved.

Paragraph 2. The external auditor's audit report regarding the annual report and, for companies with an internal auditor, the internal audit chief's audit report regarding the annual report shall be submitted to the Financial Supervisory Authority via digital communication simultaneously with the submission of the annual report pursuant to paragraph 1. If the external auditor does not keep an audit report regarding the annual report, other corresponding documentation is submitted.

Section 189. The approved annual report shall be submitted to the Danish Business Authority without undue delay after final approval and no later than 4 months after the end of the financial year. Companies that are obliged to prepare interim reports shall submit the prepared interim report to the Danish Business Authority no later than 3 months after the end of the interim period.

Paragraph 2. The submitted annual report must at least contain the mandatory components and the full audit opinion or other statement from the auditor or an independent assurance provider, pursuant to Section 187 a. If the company wishes to publish supplementary reports as mentioned in Section 186, these must be submitted together with the mandatory components of the annual report, so that the mandatory components and the supplementary reports together appear as one document designated as the annual report.

Paragraph 3. A company that is obliged to prepare sustainability reporting, and which according to other legislation is obliged to have parts of its sustainability reporting verified by an accredited independent third party, must make the report from the independent third party available on the company's website.

Paragraph 4. The Financial Supervisory Authority may, after consultation with the Danish Business Authority, set detailed rules on the submission of annual reports and interim reports to the Danish Business Authority and rules on the publication of annual reports and interim reports. Detailed rules may be set hereunder that annual reports and interim reports must be submitted digitally to the Danish Business Authority, and that communication in connection with this must take place digitally.

Section 189 a. Subsidiaries and branches that must prepare a sustainability report on behalf of the ultimate parent company or a foreign company that is not subject to the legislation of the European Union or a country with which the Union has concluded an agreement in the financial area, shall submit the sustainability report and a statement on sustainability reporting, which has been given by a legal or natural person authorized to give such a statement in accordance with the legislation of the country in question, to the Danish Business Authority no later than 12 months after the end of the financial year to which the sustainability report relates.

Paragraph 2. The companies mentioned in paragraph 1 must submit a statement that the sustainability report is prepared on the basis of the information that the subsidiary or branch possesses, if the ultimate parent company or the foreign company has not made the necessary information available for the preparation of the sustainability report. Any statement must be submitted to the Danish Business Authority no later than 12 months after the end of the financial year to which the sustainability report relates.

Paragraph 3. Subsidiaries and branches that are exempt from preparing a sustainability report themselves because the ultimate parent company or the foreign company

April 26, 2026. 39 No. 461.

has prepared a sustainability report, must submit to the Danish Business Authority no later than 12 months after the end of the financial year to which the report relates, the sustainability report prepared by the ultimate parent company or the foreign company, together with a statement on sustainability reporting, which has been given by a legal or natural person authorized to give such a statement in accordance with the legislation of the country in question, or any statement that the ultimate parent company or the foreign company has not given a statement on sustainability reporting.

Paragraph 4. The Financial Supervisory Authority may, after consultation with the Danish Business Authority, set detailed rules on the submission of the sustainability report, the statement on sustainability reporting, and any statements pursuant to paragraphs 2 and 3 to the Danish Business Authority.

The Financial Supervisory Authority's powers to set detailed rules on the annual report, statements on sustainability reporting, and reports on income tax information

Section 190. The Financial Supervisory Authority sets detailed rules for the annual report, including rules on the recognition and measurement of assets, liabilities, income, and expenses, the presentation of the income statement and balance sheet, and requirements for notes and the management report, and which currencies can be used for recognition, measurement, and information in monetary units.

Paragraph 2. The Financial Supervisory Authority also sets rules for group accounts, including rules on when an annual report must include group accounts, and which companies this must cover.

Paragraph 3. The Financial Supervisory Authority may set rules for the preparation and publication of accounting reports covering periods shorter than the annual report.

Paragraph 4. The Financial Supervisory Authority sets rules on sustainability reporting and reports on income tax information, including rules on content and form.

Reactions to violations of the law

Section 191. With a view to ensuring that insurance companies' annual reports and sustainability reports prepared by subsidiaries and branches on behalf of the ultimate parent company or a foreign company that is not subject to the legislation of the European Union or a country with which the Union has concluded an agreement in the financial area, are in accordance with the rules of this chapter and the rules issued pursuant to Section 190, and that insurance companies' accounts and group accounts covered by Articles 4 and 5 of the Council Regulation on the application of international accounting standards are in accordance with the international accounting standards, the Financial Supervisory Authority may

1. provide guidance,
2. point out violations, and
3. order that errors be rectified and violations be brought to an end.

Accounting reports

Section 192. Insurance companies must make regular reports of accounting data in forms prepared by the Financial Supervisory Authority. The reports must be submitted to the Financial Supervisory Authority in electronic form.

Provisions on audit

Section 193. Insurance companies must have at least one state-authorised auditor who is certified by the Financial Supervisory Authority. If more than one auditor is chosen or an auditor is appointed pursuant to paragraph 2, the additional chosen or appointed auditors must be state-authorised, and if it concerns the audit of credit institutions, mortgage credit institutions, or insurance companies, the signing auditor(s) must also be certified by the Financial Supervisory Authority.

Paragraph 2. The Financial Supervisory Authority may in special cases appoint an additional auditor. This auditor functions on the same terms and according to the same rules as the auditors chosen by the general meeting.

Paragraph 3. The auditors in an insurance company must also be auditors in the company's subsidiaries. If an insurance company has a subsidiary that is a credit institution or a mortgage credit institution, the chosen signing auditors must be certified by the Financial Supervisory Authority to audit these types of companies, pursuant to paragraph 1. However, it is sufficient that they are collectively certified to audit the individual types of companies in the group.

Paragraph 4. Paragraph 3 does not apply to parent companies and subsidiaries that are not established in Denmark.

Paragraph 5. The Financial Supervisory Authority may revoke an auditor's certification, pursuant to paragraph 1, first sentence, and thereby the right to audit the specific type of company, and instead appoint another auditor, pursuant to paragraph 2, until a new choice is made, if

1. the auditor cannot within a deadline set by the Financial Supervisory Authority document that this meets the requirements for certification, or
2. the Financial Supervisory Authority finds that the auditor has not functioned satisfactorily, wholly or partially, and there is reason to assume that the person will not perform the audit in a proper manner.

Paragraph 6. Auditors who, pursuant to paragraph 5, have had their certification revoked, may demand that the Financial Supervisory Authority's decision be brought before the courts. A request to this effect must be submitted to the Financial Supervisory Authority within 4 weeks after the decision is communicated to the person concerned. The request does not have suspensive effect, but the court may by order determine that the auditor in question may maintain their position as auditor for the specific type of company during the proceedings. The Financial Supervisory Authority brings the case before the courts within 4 weeks. The case is brought in the forms of civil procedure.

Paragraph 7. In the event of a change of auditor, the company and the outgoing auditor must, no later than 1 month after resignation, each give the Financial Supervisory Authority a statement, if the change is due to special circumstances.

Paragraph 8. The Financial Supervisory Authority may require the auditor and, for companies with an internal auditor, the internal audit chief to provide information on matters in an insurance company or in an insurance company's subsidiaries.

Paragraph 9. The Financial Supervisory Authority may arrange an extraordinary audit in an insurance company or in an insurance company's subsidiaries. The insurance company may be ordered to pay for the execution of the audit. The Financial Supervisory Authority approves the size of the fee.

Paragraph 10. Sections 144-149 of the Companies Act on audit apply with the necessary adjustments correspondingly to insurance companies that are not limited liability companies.

Paragraph 11. The board of directors may not allow, pursuant to Section 121, that internal audit and deputy chief audit executives perform audit tasks in companies outside the group. The board of directors may not also allow internal audit and deputy chief audit executives to perform other work than audit tasks in companies within the group or in companies within the same administrative community. The Financial Supervisory Authority may in special cases grant dispensation from the first sentence.

Paragraph 12. The board of directors may not allow, pursuant to Section 121, that internal audit and deputy chief audit executives take on positions that cause them to conflict with impartiality provisions corresponding to those that, pursuant to the Auditors Act and the Regulation of the European Parliament and of the Council on specific requirements for the statutory audit of companies of public interest and repealing Commission Decision 2005/909/EC, apply to external auditors for companies of public interest.

Paragraph 13. The Financial Supervisory Authority sets rules on the implementation of the audit in insurance companies and in insurance companies' subsidiaries, including on internal audit.

Paragraph 14. The Financial Supervisory Authority sets detailed rules on the certification of auditors, pursuant to paragraphs 1 and 5.

Section 194. An external auditor and an internal audit chief in an insurance company must immediately notify the Financial Supervisory Authority of any matter and any decision concerning the insurance company of which they become aware in the course of performing their duties as auditor, and which can

1. constitute a significant violation of statutory provisions or regulations that set the conditions for the company's permission or exercise of the company's business,
2. affect the company's continued operation,
3. lead to refusal to sign the accounts or to the conclusion being modified,
4. result in failure to meet the solvency capital requirement, or
5. result in failure to meet the minimum capital requirement.

Paragraph 2. The duty to notify also covers any matter and any decision covered by paragraph 1, which the external auditor and an internal audit chief become aware of as auditor for a company that has close connections with the insurance company.

Section VII Intervention in or termination of the financial business Chapter 18 Transfer and conversion Transfer

Section 195. An insurance company may not, without the permission of the Minister for Industry and Business, transfer the whole or part of its insurance portfolio to another insurance company. The same applies when the continuing business is a foreign insurance business.

Paragraph 2. A decision pursuant to paragraph 1 must be communicated to the applicant no later than 5 months after receipt of the application. If the application is incomplete, a decision must be communicated no later than 5 months after the applicant has submitted the information necessary to make the decision. A decision must in any case be made no later than 6 months after receipt of the application.

Paragraph 3. The Financial Supervisory Authority must, before permission can be given, publish a statement on the intended transfer in the Official Gazette and in a nationwide newspaper, unless the Minister for Industry and Business finds that permission for the transfer of the insurance portfolio should be refused. The statement must contain an invitation to the policyholders whose insurance is intended to be transferred to notify the Financial Supervisory Authority in writing no later than 3 months after publication if they have objections to the transfer. The company must simultaneously with the publication send a notice of the transfer and the Financial Supervisory Authority's statement to the affected policyholders.

Paragraph 4. After the expiry of the deadline in paragraph 3, second sentence, the Minister for Industry and Business makes a decision, taking into account the objections raised, on whether the insurance portfolio can be transferred in accordance with the proposal submitted. The transfer cannot be relied upon by the policyholders as a basis for terminating the insurance contract.

Paragraph 5. Permission pursuant to paragraph 1 may, among other things, be refused if the portfolio transfer conflicts with significant public interests.

Paragraph 6. The Companies Act Section 238, paragraph 2, Section 239, paragraph 4, Section 242, second sentence, Section 256, paragraph 2, Section 257, paragraph 4, Section 260, second sentence, Section 277, second sentence, and Section 297, second sentence, do not apply to portfolio transfers covered by paragraph 1.

Paragraph 7. An insurance company that transfers the whole or part of its insurance portfolio to another insurance company is released by the permission pursuant to paragraph 1 from liability towards the policyholders.

Paragraph 8. If the transfer of an insurance portfolio takes place in connection with a merger of insurance companies, the merger cannot, regardless of Section 27, paragraph 1, of the Act on Insurance Contracts, be relied upon by the policyholders as a basis for terminating the insurance contract.

Paragraph 9. As far as life insurance business is concerned, only such changes to the transferring company's insurance terms, including the bonus rules, may be made in connection with the transfer as the Financial Supervisory Authority deems to be a necessary consequence of the transfer.

April 26, 2026. 41 No. 461.

Paragraph 10. Merger plans, split plans, and the valuer's declaration regarding the position of creditors in accordance with the Companies Act must be sent to the Financial Supervisory Authority by insurance companies no later than 4 weeks after signing. The Authority shall publicize the receipt of the merger plan, the split plan, and the valuer's declaration regarding the position of creditors.

Section 196. The Minister of Industry and Business may lay down rules that the provisions regarding merger in Chapters 15 and 16 of the Companies Act, with the necessary adaptations, shall apply to the merger of mutual companies and the merger of mutual companies with a limited liability company.

Conversion of Insurance Companies

Section 197. The form, content, and implementation of a conversion of an insurance company shall be approved by the Financial Supervisory Authority. The conversion of an insurance company may be implemented without the consent of the creditors.

Paragraph 2. As part of a conversion under Paragraph 1, an insurance company may transfer assets and liabilities as a whole to a limited liability company owned or established by the insurance company, which has permission to conduct insurance business, in exchange for consideration corresponding to the value of the transferred assets after deduction of liabilities. The receiving insurance company succeeds to the rights and obligations of the transferring insurance company.

Chapter 19 Termination

Revocation of Permission

Section 198. The Financial Supervisory Authority may wholly or partially revoke the permission to conduct business as an insurance company if the company requests this.

Section 199. The Financial Supervisory Authority may furthermore wholly or partially revoke the permission to conduct business as an insurance company in the following cases:

1. The insurance company is guilty of serious or repeated violations of a) this Act, the Money Laundering Act, the Capital Markets Act, or regulations issued pursuant to these Acts, b) regulations issued pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), c) regulations issued pursuant to Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments, or d) regulations issued pursuant to Directive 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing.

2. The insurance company does not meet the requirements for obtaining a permission in accordance with Chapter 3.

3. Business as an insurance company is not commenced no later than 12 months after the Financial Supervisory Authority has granted the company permission.

4. Insurance business is not conducted for a period of more than 6 months.

Liquidation

Section 200. When the Financial Supervisory Authority wholly or partially revokes the permission to conduct business as an insurance company, the business shall be liquidated, and no other business may be commenced until the liquidation is completed.

Paragraph 2. Liquidation shall be carried out by liquidation, bankruptcy, or merger, or in another manner approved by the Financial Supervisory Authority.

Paragraph 3. When the Financial Supervisory Authority revokes an insurance company's permission, it shall decide whether the insurance company should seek to transfer the insurance portfolio to one or more insurance companies conducting insurance business in this country, or whether the company should otherwise seek to liquidate the insurance portfolio. For insurance companies with permission to conduct life insurance business, the Financial Supervisory Authority may decide that the insurance portfolio shall be taken under administration in accordance with Sections 227-235. For insurance companies conducting workers' accident insurance business, the Financial Supervisory Authority may decide that the workers' accident insurance portfolio shall be taken under administration by the Guarantee Fund for Non-Life Insurance Companies pursuant to Section 204.

Paragraph 4. In connection with the revocation of an insurance company's permission, the Financial Supervisory Authority may prohibit the insurance company from disposing of its assets or restrict its disposal thereof. Section 219, Paragraph 5, shall apply correspondingly.

Section 201. When an insurance company makes a decision to liquidate, the insurance company shall immediately inform the Financial Supervisory Authority of the decision.

Paragraph 2. The Financial Supervisory Authority may set a deadline for the adoption of a decision on liquidation pursuant to Section 217 of the Companies Act. If the deadline is exceeded, the Financial Supervisory Authority may decide that the insurance company shall enter liquidation.

Section 202. An insurance company conducting life insurance business may not be dissolved without the consent of each individual policyholder, unless the company has previously transferred its entire insurance portfolio to another company in accordance with Section 195 or the company's insurance portfolio has been taken under administration in accordance with Sections 227-235.

Section 203. An insurance company with permission to underwrite workers' accident insurance may not be dissolved, unless it has previously transferred its entire workers' accident insurance portfolio to another insurance company in accordance with Section 195 or the company's workers' accident insurance portfolio has been taken under administration by the Guarantee Fund for Non-Life Insurance Companies pursuant to Section 204.

Section 204. When an insurance company transfers a workers' accident insurance portfolio to the Guarantee Fund for Non-Life Insurance Companies, cf. Section 200, Paragraph 3, sentence 3, Section 205, or Section 264, Paragraph 3, the insurance company shall simultaneously transfer the actuarial provisions related to the portfolio. The insurance company shall furthermore transfer assets corresponding to the actuarial provisions. Finally, the insurance company shall transfer an amount corresponding to the part of the company's capital requirements relating to the transferred assets and liabilities.

Paragraph 2. The size of the amounts that the insurance company shall transfer to the Guarantee Fund for Non-Life Insurance Companies pursuant to Paragraph 1 shall be determined based on an independent investigation of the company's workers' accident insurance portfolio. The insurance company shall bear the costs associated with the investigation.

Paragraph 3. The independent investigation shall be conducted by one or more qualified persons. The insurance company shall appoint the qualified person or persons within a deadline set by the Financial Supervisory Authority. The Financial Supervisory Authority shall approve the proposed qualified persons.

Paragraph 4. The insurance company shall provide the qualified persons with the information necessary for the implementation of the independent investigation.

Paragraph 5. The result of the independent investigation shall be submitted in a written report. A draft of the report shall be submitted to the Financial Supervisory Authority for approval within a deadline set by the Financial Supervisory Authority.

Paragraph 6. When the Guarantee Fund for Non-Life Insurance Companies has taken the workers' accident insurance portfolio under administration and received the amounts determined by the independent investigation, cf. Paragraph 2, first sentence, the Guarantee Fund for Non-Life Insurance Companies may not make claims against the insurance company for missing amounts to cover the actuarial provisions. Correspondingly, the insurance company may not make claims against the Guarantee Fund for Non-Life Insurance Companies for any surplus amounts after the liquidation of the transferred portfolio.

Paragraph 7. Paragraphs 1-6 shall not apply when an insurance company is liquidated by bankruptcy.

Section 205. The Financial Supervisory Authority may decide that a workers' accident insurance portfolio in an insurance company covered by Section 49, Paragraph 1, and Section 52, Paragraph 1, shall be taken under administration by the Guarantee Fund for Non-Life Insurance Companies if the supervisory authority in the insurance company's home country has revoked the company's permission to conduct workers' accident insurance business. Section 204 shall apply correspondingly.

Special Rules on Liquidation and Bankruptcy

Section 206. In the event of an insurance company's liquidation, the Minister of Industry and Business may, after obtaining an opinion from the Financial Supervisory Authority, appoint a liquidator to, together with those elected by the general meeting, carry out the liquidation, if the interests of the insured, shareholders, guarantors, or creditors so dictate.

Paragraph 2. If the Financial Supervisory Authority makes a decision pursuant to Sections 220 or 221 that an insurance company shall enter liquidation, the district court shall, after consultation with the Financial Supervisory Authority, appoint one or more liquidators, of whom one must be a lawyer.

Section 207. The Financial Supervisory Authority may suspend the articles of association of an insurance company during liquidation.

Paragraph 2. Accounts prepared in connection with liquidation shall be submitted to the Financial Supervisory Authority.

Section 208. When an insurance company is under liquidation, only the liquidators or the Financial Supervisory Authority may file a petition for bankruptcy.

Section 209. When an insurance company becomes insolvent, the Financial Supervisory Authority may file a petition for bankruptcy. The Financial Supervisory Authority's decision to file a petition for bankruptcy may not be appealed pursuant to Section 309.

Paragraph 2. Notwithstanding Section 17, Paragraph 2, of the Bankruptcy Act, Group 1 insurance companies that do not fulfill their obligations regarding subordinated capital taken up as liable loan capital shall not be considered insolvent. The same applies to Group 2 insurance companies that do not fulfill their obligations regarding supplementary capital taken up as liable loan capital.

Paragraph 3. After the issuance of the bankruptcy decree, the district court shall, after consultation with the Financial Supervisory Authority, appoint one or more trustees, of whom one must be a lawyer.

Paragraph 4. If an insurance company that does not conduct life insurance business is declared bankrupt, Section 227 shall apply correspondingly. If the insurance company has underwritten workers' accident insurance, the workers' accident insurance portfolio shall be taken under administration by the Guarantee Fund for Non-Life Insurance Companies regardless of the first sentence at the time of the issuance of the bankruptcy decree.

Paragraph 5. If an insurance company with permission to conduct life insurance business is declared bankrupt, the insurance portfolio shall be taken under administration in accordance with Sections 227-235.

Section 210. The trustee shall use the assets of an insurance company with permission to conduct non-life insurance business in advance to satisfy the policyholders and the insured. However, the policyholders and the insured shall yield to the claims mentioned in Sections 93 and 94 of the Bankruptcy Act.

Paragraph 2. For an insurance company with permission to conduct non-life insurance business, validly established pledge rights registered in the company's accounts must at all times be matched by assets corresponding to the value of the validly established pledge rights. These assets may not already be designated to cover the actuarial provisions, cf. Sections 158 and 159, or the company's calculated requirement for minimum basic capital, solvency capital requirement, or minimum capital requirement, cf. Sections 154-156.

Section 211. The Financial Supervisory Authority has the right to participate in meetings of the creditors' committee and in the creditors' meeting. A draft of the final account and the final distribution in the bankruptcy estate shall be submitted by the trustee to the Financial Supervisory Authority for comment before the trustee submits it to the district court.

Section 212. If a mutual company is declared bankrupt, the trustee shall notify the Danish Business Authority and the Financial Supervisory Authority of the commencement and conclusion of the bankruptcy.

Section 213. The Minister of Industry and Business may determine that the liquidator or trustee shall, at the expense of the estate, notify the policyholders of the liquidation of the insurance company and the consequences thereof for them.

Paragraph 2. The Minister of Industry and Business may lay down detailed rules regarding the form and content of the notification.

Restructuring Proceedings

Section 214. The Financial Supervisory Authority may file a petition for restructuring proceedings for insurance companies if the interests of the investors or policyholders so dictate.

Paragraph 2. A petition for restructuring proceedings pursuant to Paragraph 1 shall be accompanied by the Financial Supervisory Authority's proposal for who shall be appointed as the restructuring administrator during the restructuring proceedings, and a declaration from the person concerned stating that they are willing to do so and meet the conditions in Section 238 of the Bankruptcy Act.

Section 215. The Financial Supervisory Authority may grant permission for the rules of the Bankruptcy Act regarding restructuring proceedings to apply to insurance companies, with the exception of a life insurance company.

Paragraph 2. In restructuring proceedings for reinsurance companies, the district court may, after hearing the Financial Supervisory Authority, appoint an independent actuary to calculate the value of the claims filed.

Section 216. The provisions of this Act or regulations issued pursuant thereto regarding the powers of the Minister of Industry and Business and the Financial Supervisory Authority and the obligations of insurance companies towards the Minister of Industry and Business and the Financial Supervisory Authority shall apply with the necessary adaptations to insurance companies that are under restructuring proceedings or dissolution.

Application of the Companies Act

Section 217. Chapter 14 of the Companies Act shall apply with the necessary adaptations to mutual companies and cross-sectional pension funds.

Section 218. The Minister of Industry and Business lays down rules with a view to fulfilling EU rules on the resolution and liquidation of insurance companies.

Chapter 20 Crisis Management

Registered Assets

Section 219. Insurance companies conducting life insurance business covered by Annex 2 shall have a group of assets, the total value of which at all times corresponds at least to the value of the company's total actuarial provisions. To ensure the presence of sufficient assets, the insurance companies shall keep a register containing a record of

1. assets, the total value of which at all times corresponds at least to the value of the company's total actuarial provisions, and
2. the value of financial contracts that reduce the risk that the assets under no. 1 will not be able to cover the insurance liabilities.

Paragraph 2. Loans secured by own life insurance policies within their surrender value may not be registered.

Paragraph 3. The assets in the register shall serve solely to satisfy the policyholders and the beneficiaries.

Paragraph 4. The insurance company shall report quarterly to the Financial Supervisory Authority which assets are registered.

Paragraph 5. The Financial Supervisory Authority may require the assets in the register to be deposited and pledged for the benefit of the Financial Supervisory Authority if the Authority, pursuant to Section 222, decides to restrict or prohibit the company's disposal of its assets. The Financial Supervisory Authority shall be registered as the pledgee, and any subsequent change in the deposited asset mass shall be approved by the Financial Supervisory Authority and noted in the register.

Paragraph 6. The Financial Supervisory Authority may lay down detailed rules regarding the content, calculation, reporting, registration, and control of the presence of the assets entered in the registers.

Measures

Section 220. The Financial Supervisory Authority shall order an insurance company with permission to conduct life insurance business, within a deadline set by the Financial Supervisory Authority, to take the measures necessary if

1. the company does not comply with this Act or regulations issued pursuant thereto,
2. the company deviates from the basis governing its business,
3. the basis mentioned in no. 2, or the manner in which the company's funds are invested, is not secure,
4. it appears that the funds set aside to cover the actuarial provisions for solvency are not secure, or
5. the company's financial position has deteriorated to such an extent that the interests of the insured are exposed to danger.

Paragraph 2. If the ordered measures are not taken within the set deadline, and the omission is estimated to pose a danger to the insured, the company's insurance portfolio may be taken under administration in accordance with Sections 227-235.

Paragraph 3. An insurance portfolio shall be taken under administration if it appears that the funds necessary to cover the actuarial provisions for solvency cannot be obtained within the set deadline.

Paragraph 4. If a company enters liquidation, the Financial Supervisory Authority may make a determination that the company's insurance portfolio shall be taken under administration.

Paragraph 5. If the Financial Supervisory Authority finds that, when the insurance portfolio is taken under administration, it is also necessary to dissolve the company, the Authority shall make a decision to this effect.

Section 221. The Financial Supervisory Authority shall order an insurance company not covered by Section 220, within a deadline set by the Financial Supervisory Authority, to take the measures necessary if

1. the company has not set aside sufficient amounts to cover the insurance liabilities,
2. the Financial Supervisory Authority does not find the manner in which the company's funds are invested to be secure, or
3. the company does not comply with this Act or regulations issued pursuant thereto.

Paragraph 2. If the ordered measures are not taken within the set deadline, and the omission is estimated to pose a danger to the insured, the Financial Supervisory Authority may make a determination that the company shall enter liquidation.

Section 222. As part of the measures mentioned in Section 220, Paragraph 1, Section 221, Paragraph 1, Section 223, Paragraph 2, Section 224, Paragraph 2, and Section 225, Paragraph 1, the Financial Supervisory Authority may prohibit the company from disposing of its assets or restrict its disposal thereof. Section 219 shall apply correspondingly.

Paragraph 2. The Financial Supervisory Authority shall inform the supervisory authorities in the host countries of all measures regarding Group 1 insurance companies taken pursuant to Paragraph 1.

Recovery

Section 223. A Group 1 insurance company that does not meet the solvency capital requirement, cf. Section 154, shall prepare a recovery plan describing the measures necessary for the insurance company to meet the solvency capital requirement. The recovery plan shall be submitted to the Financial Supervisory Authority for approval no later than 2 months after the insurance company has established that it does not meet the solvency capital requirement.

Paragraph 2. The recovery plan shall lead to the solvency capital requirement being met no later than 6 months after the company established the failure to meet it. The Financial Supervisory Authority may extend the deadline by 3 months once if the company can substantiate that it will be able to meet the solvency capital requirement if the deadline is extended.

Paragraph 3. In special cases where the European Insurance and Occupational Pensions Authority assesses that there is an unusual adverse situation affecting insurance companies that constitute a significant part of the market, the Financial Supervisory Authority may, after hearing the European Systemic Risk Board, extend the deadline in Paragraph 2. Deadline extensions may be granted on several occasions, but the total deadline extension may not exceed 7 years.

Paragraph 4. If the deadline is extended pursuant to Paragraph 3, the insurance company shall submit a report to the Financial Supervisory Authority every third month describing the measures taken so far and progress towards meeting the solvency capital requirement. If the report shows that there has been no significant progress towards meeting the solvency capital requirement, the Financial Supervisory Authority may withdraw the extension of the deadline.

Paragraph 5. The Financial Supervisory Authority may lay down detailed rules regarding the information the recovery plan shall contain.

Section 224. A Group 1 insurance company that does not meet the minimum capital requirement, cf. Section 155, shall prepare a financing plan describing the measures necessary for the insurance company to meet the minimum capital requirement. The financing plan shall be submitted to the Financial Supervisory Authority for approval no later than 1 month after the insurance company has established that it does not meet the minimum capital requirement.

Paragraph 2. The financing plan shall lead to the minimum capital requirement being met no later than 3 months after the establishment of the failure to meet it.

Paragraph 3. The Financial Supervisory Authority may lay down detailed rules regarding the information the financing plan shall contain.

Section 225. A Group 2 insurance company that does not meet the requirement for minimum basic capital, cf. Section 156, Paragraphs 2 and 3, shall prepare a recovery plan describing the measures necessary for the insurance company to meet the requirement for minimum basic capital. The recovery plan shall be submitted to the Financial Supervisory Authority for approval within a time limit set by the Financial Supervisory Authority.

Paragraph 2. The Financial Supervisory Authority may lay down detailed rules regarding the information the recovery plan shall contain, and regarding the period for which the plan shall be prepared.

Transfer of an Insurance Portfolio upon Liquidation

Section 226. The Financial Supervisory Authority shall, as soon as possible after liquidation has occurred pursuant to Section 221, in consultation with the liquidators, investigate whether it would be appropriate to seek to transfer the insurance portfolio wholly or partially to one or more insurance companies. If offers for such a takeover are received, the Financial Supervisory Authority shall, if it finds the offer acceptable, have a report on the transfer and a proposal for an agreement with the relevant company drawn up.

Paragraph 2. The report and the proposal shall be published in the Official Gazette and in daily newspapers. The report shall contain an invitation to the policyholders to notify the Financial Supervisory Authority in writing within a deadline set by the Financial Supervisory Authority, which must not be shorter than 1 month, if they have objections to the transfer. The company shall simultaneously send the report and the proposal to the policyholders whose addresses are known to the company.

Paragraph 3. After the expiration of the deadline in Paragraph 2, the Minister of Industry and Business shall make a decision on whether the insurance portfolio can be transferred in accordance with the proposal submitted, taking into account the objections raised.

Paragraph 4. The Financial Supervisory Authority may, in connection with the prepared report after consultation with the taking-over company, make a decision that insurance policies written for a period of more than 1 year may be terminated by both parties according to the rules applicable according to the insurance agreement if the multi-year period in the agreement had expired. The rules regarding this right to termination shall be reproduced in the Financial Supervisory Authority's report.

Paragraph 5. Section 27, Paragraph 2, of the Act on Insurance Contracts shall apply correspondingly until the Minister of Industry and Business has made a decision pursuant to Paragraph 3. If a transfer takes place in accordance with the Minister of Industry and Business's decision, the liquidation and the transfer may not be invoked as grounds for terminating the insurance agreement notwithstanding Sections 26 and 27 of the Act on Insurance Contracts.

Administration of Life Insurance Business

Section 227. If the Financial Supervisory Authority makes a decision that the insurance portfolio in an insurance company with permission to conduct life insurance business shall be taken under administration pursuant to Section 199, Paragraph 1, no. 1 or 2, or Paragraph 3, Section 200, Paragraph 3 or 4, Section 209, Paragraph 5, or Section 220, the Financial Supervisory Authority shall simultaneously appoint an administrator to jointly with any co-administrators manage the administration of the insurance portfolio.

Paragraph 2. When an insurance portfolio is taken under administration, the Financial Supervisory Authority shall revoke the company's permission and cause the decisions on the implementation of the administration to be made.

registration of the administrator's appointment and the revocation of the permit in the Danish Business Authority.

Subsection 3. To ensure the proper administration, the administrator may appoint one or more co-administrators with insight into relevant matters for the administration. Section 140 applies correspondingly in connection with administration estates.

Subsection 4. Expenses that, according to tax legislation, are borne by the administration estate consisting of the insured, are paid by the administration estate through the administrator.

Subsection 5. Remuneration to the administrators and other expenses in connection with the administration are paid by the administration estate. The size of the remuneration is determined after negotiation with the Danish Financial Supervisory Authority.

Subsection 6. The administration estate is subject to supervision by the Danish Financial Supervisory Authority.

Section 228. At the beginning of the administration, the assets registered according to Section 219, subsection 1, must immediately be transferred to the administration estate. The administration estate, represented by the administrator, must be entitled to dispose of these assets. The administration estate's right to dispose of fund assets must be registered in a securities depository, and the right to dispose of real estate must be registered in the land register.

Subsection 2. If an insurance company with permission to conduct life insurance business is declared bankrupt, the bankruptcy court must immediately transfer the assets mentioned in subsection 1 to the administrator.

Subsection 3. The administrator must have the registered assets valued in accordance with the applicable valuation rules.

Section 229. Individual insured persons cannot make claims against the company. Instead, the administrator, on behalf of the administration estate, may demand from the company what is missing after the valuation of the taken-over assets, cf. Section 228, subsection 3, so that the insurance provisions for accounts and reported and due insurance claims are covered according to the calculation mentioned in Section 233. Furthermore, the administrator, on behalf of the administration estate, may demand an amount corresponding to the company's capital requirement calculated at the beginning of the administration.

Section 230. If an insurance company with permission to conduct life insurance business is declared bankrupt after the administration has begun, the bankruptcy has no effect on the administration estate.

Section 231. The administrator must manage the assets received from the company and may demand that all material necessary for the administration be handed over by the company, possibly with the help of the bailiff.

Subsection 2. The administrator must respect agreements on netting upon final settlement of financial contracts, cf. Section 206 in the Act on Capital Markets, which may be included in the group of assets pursuant to Section 219, subsection 1, first sentence.

Section 232. When the insurance portfolio is taken under administration, buy-back of insurance policies cannot take place.

Section 233. The administrator must calculate the insurance provisions for accounts and determine the size of reported and due claims according to the insurance policies at the beginning of the administration.

Subsection 2. Insurance claims that were due or reported before the beginning of the administration must be settled according to the applicable rules at the time of due date or reporting. Insurances that fall due later shall initially only be paid out with such an amount as the administrator, depending on the circumstances, finds prudent. If the final determination of the insurance amounts, cf. subsection 4, shows that too much has been paid out in this way, repayment cannot be demanded.

Subsection 3. The insurance provisions for accounts are calculated using the calculation basis reported to the company, cf. Section 29, unless the administrator finds it necessary to set another calculation basis, which must be reported to the Danish Financial Supervisory Authority.

Subsection 4. The determination of the insurance amounts, including any reduction thereof, cf. Section 234, subsection 1, fourth sentence, or Section 235, subsection 1, first sentence, is made in accordance with the calculation basis according to subsection 3 and after a distribution of the company's assets that in the individual case must be considered reasonable with regard to the conditions in the insurance portfolio, including the content of the insurance policies.

Section 234. The administrator must, as soon as possible after the valuation and calculation according to Section 228, subsection 3, and Section 233 have taken place, seek to have the entire insurance portfolio taken over by one or more insurance companies. If offers for such takeover are received, the administrator must apply to the Minister for Industry and Business for permission for the transfer. The application for the transfer must be accompanied by the agreement entered into between the administration estate and the taking-over company, and such information about this company as the Minister for Industry and Business finds necessary to assess whether the transfer is prudent towards the policyholders. If the agreement involves a reduction of the insurance amounts or a change of the insurance terms, including the bonus rules, this must be stated.

Subsection 2. The Danish Financial Supervisory Authority must publish a statement regarding the intended transfer in the Official Gazette and in daily newspapers, unless the Minister for Industry and Business, on the basis of the existing grounds, finds that permission for the transfer should be refused. The statement must contain an invitation to the policyholders to inform the Danish Financial Supervisory Authority in writing within a deadline set by the Danish Financial Supervisory Authority, which must not be shorter than 1 month, if they have objections to the transfer. The company must simultaneously send the statement and the proposal to the policyholders whose address is known to the company.

Subsection 3. After the expiry of the deadline mentioned in subsection 2, the Minister for Industry and Business makes a decision, taking into account the objections raised, on whether the insurance portfolio can be transferred in accordance with the proposal submitted. The transfer cannot be invoked as a basis for terminating the insurance contract.

Subsection 4. If the transfer has been made in such a way that not all of the administration estate's assets have been used, the administrator must hand over the surplus amount to the company or its estate.

April 26, 2026. 46 No. 461.

Section 235. If the insurance portfolio cannot be transferred according to Section 234, the administrator must make the final determination of the insurance amounts according to the calculation made and any changes to the insurance terms, including the bonus rules, and convene a general meeting of the policyholders to establish a mutual company with the administration estate as the founder, cf. Sections 31-35 in this Act and Sections 24 and 25 in the Companies Act. Notice of 2 months must be given to this general meeting. The summons and a statement regarding the content of the founding document and the determination of the insurance amounts calculated by the administrator must be published in the manner specified in Section 234, subsection 2.

Subsection 2. Upon registration, the mutual company enters into the right mentioned in Section 229 against the former company.

Subsection 3. If a new company cannot be established, the administration continues, and the administrator decides whether further attempts to transfer the insurances to a new or another company should be made.

Part VIII Special Rules Chapter 21 Insurance Companies with Special Rules

Application of the Companies Act in relation to mutual insurance companies

Section 236. The Companies Act Sections 77 and 86-88, Section 89, subsections 1 and 3, Sections 92 and 93, Section 94, subsection 1, Section 95, Section 96, subsection 1, Sections 100 and 100a, Section 101, subsections 1-4 and 8, Section 102, subsections 1-3, Section 105, Section 111, subsection 1, no. 1, and subsections 2 and 4, Sections 112-115, Section 117, subsection 1, Sections 118-122, 124-128, 131, 133 and 134, Section 135, subsections 1-3 and 5, and Sections 136-141 and 143 apply correspondingly to mutual companies with the necessary adjustments and with the deviations that appear from the provisions of this Act.

Subsection 2. The provisions mentioned in subsection 1, which concern shareholders, apply to guarantors, and provisions on share capital and shares apply to guarantee capital and guarantee shares with necessary adjustments.

Subsection 3. The Companies Act Section 76, subsections 2, 3 and 5, Section 80, subsections 1-4, Section 81, Section 90, subsections 1 and 2, Sections 91, 98 and 99, Section 101, subsections 1, 2 and 4, Section 102, subsections 1-3, and Sections 108, 109, 125 and 126 apply correspondingly to mutual companies with the necessary adjustments and with the deviations that appear from the provisions of this Act.

Subsection 4. The provisions mentioned in subsection 3, which concern shareholders, apply to all those entitled to vote at the general meeting of the mutual company.

Subsection 5. Section 180, subsection 1, and Section 194 in the Companies Act on payment to shareholders apply correspondingly to interest to guarantors and payment to members in mutual companies.

Members of mutual companies and their liability for the company's obligations

Section 237. Members of a mutual company are the company's policyholders and only these.

Subsection 2. If members are to be liable for the company's obligations, the extent of this must be set out in the articles of association.

Subsection 3. The members' liability for the company's obligations can only be claimed by the company.

Subsection 4. The company's claims against members for fulfillment of the liability for the company's obligations cannot be transferred or pledged.

Subsection 5. The Danish Financial Supervisory Authority may set rules for mutual companies regarding liability for members and guarantors, repayment of guarantee capital, and conditions for distribution to the members of the company's funds.

Section 238. If a mutual company underwrites reinsurance in a mutual company, it may, with basis in the articles of association, agree that it is exempt from member liability.

Subsection 2. For life insurance, the total amount of such reinsurance for own account must not exceed 10 percent of the taking-over company's total insurance sum. For annuity insurance, this calculation of the insurance sum must be calculated as ten times the annual annuity amount.

Subsection 3. For property insurance, the premium of such reinsurance must not, without the Danish Financial Supervisory Authority's permission, exceed 10 percent of the company's total premium income.

Payment of guarantee shares etc. in mutual companies

Section 239. A mutual company must not acquire its own guarantee shares for ownership or pledge against consideration.

Subsection 2. A subsidiary company of a mutual company must not acquire guarantee shares in the parent company for ownership or pledge against consideration.

Section 240. In mutual companies, a register of the guarantee shares must be kept with indication of the guarantors' names, positions, and residences. The notation of the guarantee share must be endorsed.

Decisions at general meetings in mutual companies

Section 241. Members' and guarantors' right to make decisions in a mutual company is exercised at the general meeting, where every member must have at least one vote, cf. however subsection 2.

Subsection 2. The articles of association may stipulate that the general meeting consists of delegates, who are elected by the members and guarantors or proxies for these.

Articles of association in mutual companies

Section 242. Mutual companies' articles of association must, in addition to what is mentioned in Sections 28 and 29 in the Companies Act, contain provisions on

1. members' and guarantors' liability for the company's obligations and on members' and guarantors' mutual liability, cf. Section 237, subsection 2,
2. whether the company should be able to take over reinsurance without mutual liability, and
3. whether the guarantee capital should be remunerated, and if so, according to which rules.

Amendment of articles of association in mutual companies

Section 243. The general meeting makes decisions on amendment of the articles of association, cf. however Section 102, subsection 3, in the Companies Act. The decision is only valid if it is approved by at least two-thirds of the votes cast. The decision must otherwise fulfill the articles of association in their entirety.

Subsection 2. Significant changes to a mutual company's purpose can, unless otherwise stipulated in the articles of association, only be adopted when approval is obtained from three-quarters of the guarantors and three-quarters of the members or, if the general meeting consists of delegates, from three-quarters of these. Notice to the guarantors of such changes must be given no later than 8 days after the decision at the general meeting. Guarantors who oppose such changes may, when they make a request for this no later than 1 month after the general meeting, demand that the other guarantors take over their guarantee shares.

General meeting in mutual companies

Section 244. A person entitled to vote, a member of the board of directors or a director may bring a lawsuit regarding a general meeting decision that has not been made in a lawful manner, or that is contrary to this Act or the mutual company's articles of association.

Subsection 2. The lawsuit must be brought no later than 3 months after the decision, cf. however subsection 3. If this is not done, the decision is considered valid.

Subsection 3. The deadline according to subsection 2 does not apply when

1. the decision could not lawfully be taken even with the consent of all persons entitled to vote,
2. according to the company's articles of association, consent to the decision is required from all or certain members, guarantors or persons entitled to vote, and such consent has not been given,
3. notice of the general meeting has not been made or the rules applicable to the company for notice have been significantly disregarded, or
4. the person who raised the matter after the expiry of the deadline for lawsuits in subsection 2, but no later than 2 years after the decision, had reasonable grounds for the delay and the court, due to this and with regard to the circumstances in other respects, finds that it would be obviously unfair to apply the provisions in subsection 2.

Subsection 4. If the court finds that the general meeting decision has not been made in a lawful manner or is contrary to this Act or the company's articles of association, cf. subsection 1, it must declare it invalid or change it by judgment. A change of the general meeting decision can, however, only take place if a claim to this effect is made and the court is able to establish what content the decision should rightfully have had. The court's decision has validity for all members and guarantors.

Special rules for cross-sectional pension funds

Section 245. The board of directors in a pension fund must consist of a chairman and an even number of board members, of which at least half must be elected by and among the members of the pension fund. The Minister for Industry and Business may, however, with regard to the pension fund's conditions, allow a different composition.

Subsection 2. The articles of association may stipulate that the election of the board of directors and amendment of the articles of association are made by the pension fund's members by ballot.

Section 246. The provisions for mutual companies in Section 236 apply correspondingly to cross-sectional pension funds, cf. however subsection 2.

Subsection 2. Section 120, subsections 1 and 3, in the Companies Act does not apply to cross-sectional pension funds.

Cross-sectional pension funds

Section 247. By cross-sectional pension funds are understood associations or unions, whose members are

1. educated within certain educational areas or employed in companies of a certain type, and which have as their purpose, as part of employment conditions or as part of another connection to a company, to secure pension according to uniform rules for all members, or
2. self-employed persons within the same industry, and which have as their purpose to secure pension according to uniform rules for all.

Section 248. The provisions for mutual companies apply correspondingly to cross-sectional pension funds except for Section 237, subsections 2-4.

Section 249. The Danish Financial Supervisory Authority may set detailed rules on the delimitation of the membership circle and activities of the cross-sectional pension funds.

Market-related life insurance joint-stock companies

Section 250. By a market-related life insurance joint-stock company is understood a life insurance joint-stock company that

1. directly or indirectly is fully owned by the policyholders' professional organizations, possibly jointly with the relevant industries' employer organizations,
2. is established as a result of a collective agreement, and
3. according to the articles of association does not pay dividends to the owners.

Subsection 2. In addition to what is mentioned in subsection 1, no. 3, the company's articles of association must state,

1. that the company is a market-related life insurance joint-stock company,
2. how the company's funds are to be handled when there are no longer insurance claims against the company, and
3. that the tax-free accumulated part of the equity capital must be used for public or charitable purposes.

Subsection 3. Transfer of shares in the company to others than the circle mentioned in subsection 1, no. 1, or amendment of the company's articles of association regarding the matters mentioned in subsection 1, no. 3, and subsection 2, cannot take place without the Danish Financial Supervisory Authority's approval. The Danish Financial Supervisory Authority's approval can only be granted if the transfer or amendment of the articles of association is deemed to be in the interest of the insured.

Subsection 4. If the company transfers its insurance portfolio, the company must use the tax-free accumulated part of the equity capital for the benefit of the insured. In the case of transfer of a specific part of the insurance portfolio, it is only the proportional share of the tax-free accumulated part of the equity capital that must be used for the benefit of the insured.

April 26, 2026. 48 No. 461.

Special rules for certain mutual companies with permission to conduct property insurance business with limited purpose

Section 251. The provisions in Sections 252-257 cover mutual companies with permission to conduct property insurance business, if the articles of association contain indication

1. that the company's purpose is limited to underwriting insurance against accident and illness with the effect that the insured are also policyholders, or to underwriting insurance for livestock,
2. that the company only conducts business in this country,
3. that the company does not underwrite insurance for longer periods than 1 year at a time,
4. that the company only underwrites direct insurance,
5. the highest amount that the company can take over without reinsurance on a single risk, or provision that rules on this are set by the Danish Financial Supervisory Authority in connection with the issuance of permission, and
6. possibility of collecting extra contributions or reducing the benefits.

Subsection 2. A mutual company with permission to conduct property insurance business is, however, not covered by the provisions in Sections 252-257 if

1. the annual premium income exceeds an amount set by the Danish Financial Supervisory Authority, or
2. less than half of the annual premium income comes from natural persons who are members of the company.

Section 252. It can be stipulated in the articles of association that a management is not to be appointed.

Subsection 2. If the company has no management, the duties that in the legislation are assigned to the management are performed by the board of directors.

Section 253. The provisions in Section 242, no. 2, and Section 156, subsection 2, do not apply at the establishment of mutual companies with permission to conduct property insurance business with limited purpose, cf. Section 251.

Section 254. Enrollment of members or guarantors cannot take place before the draft of the articles of association is drafted. The draft must be presented at the enrollment.

Section 255. Mutual companies with permission to conduct property insurance business that are covered by Section 251, subsection 1, and that only conduct business within a narrow limited geographical area, are not covered by this Act's provisions, cf. however subsections 2 and 3, if the underwritten insurances together do not exceed 3 million DKK.

Subsection 2. Companies covered by subsection 1 must, however, designate themselves as mutual, cf. Section 38, subsection 2, which applies correspondingly.

Subsection 3. If a mutual company with permission to conduct property insurance business is subject to supervision pursuant to this Act, the company remains under supervision, even if it subsequently fulfills the conditions for exemption according to subsection 1. The Danish Financial Supervisory Authority may, however, exempt the company from supervision if the company makes a request for this in accordance with a general meeting decision.

Section 256. The Danish Financial Supervisory Authority may exempt a mutual company with permission to conduct property insurance business, and which is covered by Section 251, subsection 1, from this Act's provisions, if

1. the total insurances do not exceed 6 million DKK and the company's risk on a single insurance does not exceed 3 percent of the company's total annual premium income, or
2. the company only underwrites insurance within a limited geographical area and solely for a single insurance branch.

Subsection 2. When applying subsection 1, no. 1, no account is taken of the extent to which the company has hedged its risk by reinsurance.

Subsection 3. The Danish Financial Supervisory Authority may apply the provision in subsection 1, no. 2, even if the company underwrites insurances that are not covered by Section 251, subsection 1, no. 1, when the company, however, does not underwrite liability insurance, work injury insurance, motor vehicle insurance, surety insurance, or credit insurance.

Subsection 4. A company's request for exemption according to subsection 1 must be approved by the general meeting.

Section 257. If a mutual company with permission to conduct property insurance business, and which is not subject to supervision according to the rules in Sections 255 and 256, makes a request to be subject to this Act in accordance with a general meeting decision, the Danish Financial Supervisory Authority may determine that the company must be subject to this Act.

Subsection 2. When a decision is made according to subsection 1, Sections 252-256 and subsection 1 apply anew if the Danish Financial Supervisory Authority permits it.

ISPV

Section 258. Legal persons conducting business as an ISPV must have permission as an ISPV.

Subsection 2. The Danish Financial Supervisory Authority may set rules for ISPVs, including the possibility of withdrawing the permission to conduct business as an ISPV.

Part IX Supervision, control and disclosure rules etc. Chapter 22 Supervision, control etc.

Supervision

Section 259. The Danish Financial Supervisory Authority ensures compliance with this Act and rules issued pursuant to the Act except for Section 24, Section 111, subsections 1 and 2, and Sections 137 and 242.

Subsection 2. The Danish Financial Supervisory Authority further ensures compliance with the following:

1. Insurance companies' compliance with Section 32, subsection 4, no. 1, in the Auditor Act, cf. Section 32, subsection 7, in the Auditor Act.
2. Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products (PRIIPs).
3. Regulation (EU) 2017/2402 of the European Parliament and of the Council of 12 December 2017 on a general framework for securitisation and specifically creating a general framework for simple, transparent and standardised securitisation.

April 26, 2026. 49 No. 461.

framework for securitisation and establishing a specific framework for simple, transparent and standardised securitisation. 4) Regulation (EU) 2019/1238 of the European Parliament and of the Council of 20 June 2019 on a pan-European personal pension product (PEPP product). 5) Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector and rules adopted pursuant thereto (Disclosure Regulation). 6) Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment and rules adopted pursuant thereto. 7) Regulations adopted pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II). 8) Regulations adopted pursuant to Directive 2016/97/EU of the European Parliament and of the Council of 20 January 2016 on insurance distribution. 9) Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience in the financial sector and rules adopted pursuant thereto. 10) Article 2(2), first subparagraph, point (c), second subparagraph, of Regulation (EU) 2024/3005 of the European Parliament and of the Council of 27 November 2024 on transparency and integrity concerning environmental, social and governance (ESG) rating activities and rules adopted pursuant thereto. 11) Regulation of the European Parliament and of the Council on the establishment of a common European access point providing centralised access to publicly available information relevant to financial services, capital markets and sustainability, and rules adopted pursuant thereto.

Section 260. The Danish Financial Supervisory Authority shall organise its routine supervisory activities with a view to promoting financial stability and confidence in insurance companies and financial markets, as well as protecting the interests of policyholders. In its supervisory activities, the Danish Financial Supervisory Authority shall place emphasis on the sustainability of the business model of individual insurance companies. The organisation of supervisory activities shall be based on a principle of materiality, where the supervisory effort is proportionate to the potential risks or adverse effects. The Executive Board of the Danish Financial Supervisory Authority is responsible for the organisation of supervisory activities.

Paragraph 2. In organising its supervisory activities with regard to insurance companies, the Danish Financial Supervisory Authority shall consider the potential consequences for financial stability in other countries within the European Union or in a country with which the Union has concluded an agreement in the financial field. This applies in particular in connection with crisis situations. For insurance companies that have both a licence to conduct life insurance business and non-life insurance business in the same company, the Danish Financial Supervisory Authority shall place emphasis on the sustainability of the total business and the sustainability of the life insurance business and non-life insurance business separately. For branches in this country of insurance companies that have been granted a licence to provide or perform insurance business in another country within the European Union or in a country with which the Union has concluded an agreement in the financial field, the Danish Financial Supervisory Authority shall supervise the branches and assist in the supervision of the branches.

Paragraph 3. In special cases, the Danish Financial Supervisory Authority may use foreign assistance in connection with its supervisory activities.

Section 261. The Danish Business Authority ensures compliance with Section 24 and Section 242.

Section 261a. The Danish Financial Supervisory Authority is the collecting entity for the information that must be submitted to make it available on the common European access point (ESAP). This applies to information that must be submitted in accordance with this Act or rules adopted pursuant thereto, except for Section 189, Paragraph 4, or any of the following regulations:

1. Regulation of the European Parliament and of the Council on a pan-European personal pension product (PEPP product).
2. Regulation of the European Parliament and of the Council on sustainability-related disclosures in the sector of financial services.

Paragraph 2. The Danish Financial Supervisory Authority is furthermore the collecting entity for information submitted on a voluntary basis to make it available on the common European access point (ESAP), pursuant to Article 3(1) of the Regulation of the European Parliament and of the Council on the establishment of a common European access point providing centralised access to publicly available information relevant to financial services, capital markets and sustainability.

Accounting Control

Section 262. The Danish Financial Supervisory Authority verifies that the rules for information in annual reports and interim reports in Sections 178 and 181-187a and in rules adopted pursuant to Section 190 are complied with by insurance companies or insurance holding companies that have issued transferable securities admitted to trading on a regulated market, pursuant to Section 213, Paragraphs 1-5 and 8, of the Capital Markets Act.

Section 263. The Danish Financial Supervisory Authority may, upon request from the home-country supervisory authority, prohibit the following foreign insurance companies from disposing of their assets in this country or restrict their disposal thereof:

1. Insurance companies covered by the provisions of Section 49, Paragraph 1, and Section 52, Paragraph 1.
2. Insurance companies that have assets in this country but are not covered by the provisions of Section 49, Paragraph 1, and Section 52, Paragraph 1, when the insurance company has been granted a concession in a Member State of the European Union or in countries that have implemented Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II).

Section 264. The Danish Financial Supervisory Authority may, in accordance with the procedures established in EU law, prohibit a foreign insurance company covered by Section 49, Paragraph 1, and Section 52, Paragraph 1, with its head office in another country within the European Union or in a country with which the Union has concluded an agreement in the financial field, from conducting business in this country through a branch or by providing services in this country.

Paragraph 2. The Danish Financial Supervisory Authority may impose a prohibition under Paragraph 1 if the insurance company has grossly or repeatedly violated provisions in this Act, rules adopted pursuant to the Act, or other legislation directed at the insurance company, and it has not been possible to bring the violation to an end through injunctions or sanctions under this Act.

Paragraph 3. If a prohibition issued under Paragraphs 1 and 2 concerns an insurance company that has underwritten work accident insurance in this country, the Danish Financial Supervisory Authority shall decide whether the company's work accident insurance portfolio shall be taken over by the Guarantee Fund for Non-Life Insurance Companies.

Section 265. If the Danish Financial Supervisory Authority receives notification from the host-country supervisory authorities that an insurance company conducting insurance business pursuant to Section 61, Paragraph 1, or Section 63, Paragraph 1, in a country within the European Union or a country with which the Union has concluded an agreement in the financial field, does not comply with the requirements imposed on the insurance company by the host-country supervisory authorities, the Danish Financial Supervisory Authority shall promptly take all necessary measures with a view to ensuring that the insurance company in question brings the unlawful situation to an end.

Paragraph 2. The Danish Financial Supervisory Authority shall notify the host-country supervisory authorities of measures taken under Paragraph 1.

The Board of the Danish Financial Supervisory Authority

Section 266. The Board of the Danish Financial Supervisory Authority participates in the supervision of insurance companies and insurance holding companies pursuant to Section 259, Paragraph 1, Section 260, Paragraphs 1 and 2, and Sections 261, 262, 267 and 268, with the competence granted to the Board pursuant to Section 345 of the Financial Business Act.

Paragraph 2. Section 285, Paragraph 1, applies to members of the Board, the observer, and members of the expert panel.

Inspections and Reports

Section 267. The Danish Financial Supervisory Authority shall investigate the affairs of insurance companies and insurance holding companies, including by reviewing ongoing reports and by conducting inspections at individual companies.

Paragraph 2. Following an inspection of an insurance company or an insurance holding company, the Danish Financial Supervisory Authority shall hold a meeting with the participation of the company's Board and Executive Board, the chief actuary, the external auditor, and the head of internal audit, unless the inspection relates solely to limited areas of activity within the company. At the meeting, the Danish Financial Supervisory Authority shall communicate its conclusions regarding the inspection.

Paragraph 3. Following an inspection visit, the Danish Financial Supervisory Authority shall send significant conclusions in the form of a written report to the company's Board, Executive Board, chief actuary, external auditor, and head of internal audit.

Section 268. Supervisory authorities in another country within the European Union or in a country with which the Union has concluded an agreement in the financial field may, after prior notification to the Danish Financial Supervisory Authority, conduct inspections at branches located in this country of foreign insurance companies with their head office in the relevant country. The Danish Financial Supervisory Authority participates in the inspection mentioned in the first sentence, or, in special cases and upon request from the supervisory authority in the branch's home country, conducts the inspection of the branch on its behalf.

Paragraph 2. Supervisory authorities in another country within the European Union or in a country with which the Union has concluded an agreement in the financial field may, with the permission of the Danish Financial Supervisory Authority, verify information provided by insurance companies and insurance holding companies located in this country that are subject to supplementary supervision by the relevant supervisory authority pursuant to provisions established in directives in the financial field.

Obtaining Information

Section 269. Insurance companies, insurance holding companies, suppliers and sub-suppliers shall provide the Danish Financial Supervisory Authority with the information necessary for the Authority's activities.

Paragraph 2. Information provided under Paragraph 1 shall be corrected to the Danish Financial Supervisory Authority as soon as possible if the company subsequently establishes the following:

1. The information was not correct at the time of submission.
2. The information has subsequently become misleading.

Section 270. The Danish Financial Supervisory Authority may at any time, upon proper identification and without a court order, access business premises belonging to an insurance company and its branches or an insurance holding company for the purpose of obtaining information, including through inspections.

Paragraph 2. The Danish Financial Supervisory Authority may at any time, upon proper identification and without a court order, access companies with which the insurance company or insurance holding company has a special direct or indirect connection, to the extent necessary for assessing the financial position of an insurance company or an insurance holding company.

Paragraph 3. The Danish Financial Supervisory Authority may require all information, including accounts and accounting material, extracts from books, other business documents and electronically stored data, which are deemed necessary for the Danish Financial Supervisory Authority's activities or for determining whether a natural or legal person is covered by the provisions of this Act.

Paragraph 4. The Danish Financial Supervisory Authority may at any time, upon proper identification and without a court order, access business premises belonging to a supplier or sub-supplier for the purpose of obtaining information about the outsourced activity.

Paragraph 5. The Danish Financial Supervisory Authority may only address a company that is not an insurance company or an insurance holding company, but which is part of a group or group subject to group supervision pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), to obtain the information necessary for the supervision of the group or group, when the company responsible under the rules on group supervision has already been requested to provide this information but has not delivered it within a reasonable time limit.

Section 271. The Danish Financial Supervisory Authority may obtain information pursuant to Section 269, Paragraph 1, and Section 270, Paragraphs 1-3, for use by the authorities and bodies referred to in Section 289, Paragraph 1, Nos. 3-12.

Periodic Penalty Payments

Section 272. The Danish Financial Supervisory Authority or the Danish Business Authority may impose daily or weekly periodic penalty payments on the Board, Executive Board, external auditor, head of internal audit, chief actuary, liquidator, general agent, branch manager, or representative body of an insurance company as a coercive measure if they do not comply in due time with the duties imposed on them by this Act, Regulation (EU) 2015/35 of the European Parliament and of the Council on supplementary rules to Directive 2009/138/EC on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II), or rules adopted pursuant to this Act or regulations, towards the Danish Financial Supervisory Authority and the Danish Business Authority, respectively.

Paragraph 2. The Danish Financial Supervisory Authority may impose daily or weekly periodic penalty payments on a natural or legal person or the person responsible for the legal person as a coercive measure when the person fails to fulfil the duties arising from Section 270, Paragraphs 2 and 3.

Paragraph 3. The Danish Financial Supervisory Authority may impose daily or weekly periodic penalty payments on an insurance company as a coercive measure if the company does not comply with an injunction issued pursuant to Section 280, Paragraphs 1, 3 and 4.

Powers

Section 273. The Danish Financial Supervisory Authority may order an insurance company or an insurance holding company to have one or more aspects of the insurance company or insurance holding company investigated by an independent investigator and to bear the costs thereof, if the Danish Financial Supervisory Authority assesses that this is of significant importance for the supervision of the company and it is not a routine investigation for the Danish Financial Supervisory Authority. The result of the independent investigation shall be provided in a written report, which shall be available by a date set by the Danish Financial Supervisory Authority. The Danish Financial Supervisory Authority may determine that the experts referred to in Paragraphs 2-6 shall provide ongoing reporting to the Danish Financial Supervisory Authority regarding matters in connection with the investigation.

Paragraph 2. The independent investigation shall be conducted by one or more experts. The insurance company or insurance holding company shall appoint the experts within a time limit set by the Danish Financial Supervisory Authority. The Danish Financial Supervisory Authority shall approve the proposed experts.

Paragraph 3. The insurance company or insurance holding company shall provide the experts with the information necessary for the conduct of the independent investigation.

Paragraph 4. The experts shall deliver a copy of the written report on the investigation to the Danish Financial Supervisory Authority, no later than simultaneously with the report being delivered to the insurance company or insurance holding company.

Paragraph 5. The experts shall immediately provide the Danish Financial Supervisory Authority with information about matters they become aware of in connection with the independent investigation, if the information is of significant importance for the risk profile or business model of an insurance company or an insurance holding company, which may lead to a non-negligible risk that these matters may develop such that the company will lose its licence.

Paragraph 6. If the expert, due to their special circumstances, cannot pass on the information in accordance with Paragraphs 4 and 5 to the Danish Financial Supervisory Authority, notification to the Danish Financial Supervisory Authority may be made by others than the expert, including by the insurance company or insurance holding company.

Section 274. The Danish Financial Supervisory Authority may order an insurance company or an insurance holding company to have one or more experts follow the company for a period of up to 12 months with a view to carrying out the Danish Financial Supervisory Authority's activities, when the Danish Financial Supervisory Authority assesses that there are significant matters giving rise to this. The Danish Financial Supervisory Authority may set the appointment period referred to in the first sentence to up to 3 years, when the purpose is to follow the company's fulfilment of obligations imposed on the company by an authority in another country. The Danish Financial Supervisory Authority may renew the appointment period referred to in the first and second sentences by up to 12 months at a time, if the Danish Financial Supervisory Authority assesses that there is a need for this. The same applies to branches covered by Section 3.

Paragraph 2. A company that has received an injunction under Paragraph 1 shall provide the experts with the information and access to meetings necessary for the experts to follow the daily operations of the company, including Board meetings, Executive Board meetings and general meetings, and its branches for the purpose of obtaining information.

Paragraph 3. The experts shall, in connection with the observation of the daily operations of the company, inform the Danish Financial Supervisory Authority of matters of significant importance for the Danish Financial Supervisory Authority's activities. The Danish Financial Supervisory Authority may set conditions for the notification.

Paragraph 4. The experts are appointed by the Danish Financial Supervisory Authority. The costs of the experts may be paid provisionally by the Danish Financial Supervisory Authority, but shall be borne ultimately by the company. The Danish Financial Supervisory Authority may require advance or ongoing payment or security from the company.

Paragraph 5. The Minister for Business may establish detailed rules regarding the experts, including regarding appointment and remuneration.

Section 275. The Danish Financial Supervisory Authority may issue injunctions to correct matters that are in conflict with Sections 67 and 72.

§ 276. The Financial Supervisory Authority may order the management of an insurance company to prepare a statement and plan for the undertaking's financial position and future prospects. The board of directors, the executive management, the responsible actuary, the external auditor, and the head of internal audit of the insurance company must confirm to the Financial Supervisory Authority by signing the order that they are aware of the content of the Financial Supervisory Authority's order.

Subsection 2. The statement shall

1. be accompanied by a statement from the insurance company's external auditor, unless the statement as a whole has been prepared by this auditor,
2. be submitted to the company's board of directors for approval, and
3. be sent in copy to the Financial Supervisory Authority.

§ 277. The Financial Supervisory Authority may order an insurance company to take the necessary measures within a deadline set by the Financial Supervisory Authority if

1. the undertaking's financial position is so deteriorated that the interests of the insured or other investors are exposed to danger, or
2. there is a significant risk that the undertaking's financial position will develop due to internal or external factors such that the undertaking will lose its authorization.

Subsection 2. The Financial Supervisory Authority may withdraw the undertaking's authorization if the measures ordered pursuant to subsection 1 are not taken within the set deadline.

Subsection 3. Subsections 1 and 2 apply mutatis mutandis to a group where the parent undertaking is an insurance holding company or an insurance company, if there is a significant risk that the group's financial position will develop such that the group will not comply with the group capital requirement.

§ 278. The Financial Supervisory Authority sets a requirement for a capital add-on to the solvency capital requirement for a Group 1 insurance company if the Financial Supervisory Authority assesses that

1. the company's risk profile deviates significantly from the assumptions in the standard formula or an approved internal model used to calculate the solvency capital requirement, cf. § 154, subsection 2,
2. the company's governance deviates significantly from § 132, or
3. the company's risk profile deviates significantly from the assumptions for the use of a matching adjustment, cf. § 158, subsection 2, or a volatility adjustment, cf. § 158, subsection 3.

Subsection 2. The assessment of whether there is a significant deviation pursuant to subsection 1 is made in accordance with detailed rules established by the European Commission pursuant to Article 37, subsection 6, of Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II).

Subsection 3. If the condition in subsection 1, no. 1, is met, the capital add-on is calculated in accordance with the solvency capital requirement, cf. § 154.

Subsection 4. If the Financial Supervisory Authority assesses that a Group 1 insurance company's risk profile deviates significantly from the assumptions in a group internal model approved for the group by the group supervisor, the Financial Supervisory Authority may, as long as the company has not found an appropriate solution to the deficiencies pointed out by the Financial Supervisory Authority, set a requirement for a capital add-on, cf. subsection 1, no. 1. If the Financial Supervisory Authority considers that a capital add-on is not appropriate, the Financial Supervisory Authority may exceptionally require the company to calculate the solvency capital requirement based on the standard formula, cf. § 154, subsection 2. The Financial Supervisory Authority may, in accordance with subsection 1, no. 1 and 2, set a requirement for a capital add-on to this solvency capital requirement.

Subsection 5. The Financial Supervisory Authority reviews the requirement for a capital add-on at least once a year, and the requirement is repealed when the company has rectified the circumstances that led to it.

Subsection 6. If the Financial Supervisory Authority sets a capital add-on pursuant to subsection 1, the solvency capital requirement, cf. § 154, together with the capital add-on, constitutes the new solvency capital requirement. If the Group 1 insurance company does not meet the new solvency capital requirement after the first sentence, § 223 applies mutatis mutandis.

§ 279. If an insurance company or an insurance holding company issues transferable securities admitted to trading on a regulated market, and the undertaking does not fulfill its obligations under the provisions in §§ 178 and 181-187 or provisions established pursuant to § 190, the Financial Supervisory Authority may order the relevant undertaking to change the situation, including an order to publish amended or supplementary information.

Subsection 2. The Financial Supervisory Authority may, when deemed appropriate, publish the relevant information or the order. The Financial Supervisory Authority may also suspend or delete the affected transferable securities from trading on a regulated market when deemed appropriate.

§ 280. The Financial Supervisory Authority may order an insurance company to dismiss a director in the undertaking within a deadline set by the Financial Supervisory Authority if this person, pursuant to § 105, subsection 1, or § 106, cannot hold the position.

Subsection 2. The Financial Supervisory Authority may order a member of the board of directors in an insurance company to resign within a deadline set by the Financial Supervisory Authority if this person, pursuant to § 105, subsection 1, § 106, or § 109, subsection 1, cannot hold the office.

Subsection 3. The Financial Supervisory Authority may order a Group 1 insurance company to dismiss an employee identified as a key person pursuant to § 127, subsection 1, within a deadline set by the Financial Supervisory Authority, if the person, pursuant to § 105, subsection 1, cf. § 127, subsection 3, cannot hold the position.

Subsection 4. The Financial Supervisory Authority may order an insurance company to dismiss a director when charges have been brought against the person in a criminal case regarding an offense under the Penal Code, financial legislation, or other relevant legislation, until the criminal case is resolved, if a conviction would imply that the director does not meet the requirements in § 105, subsection 1, no. 3. The Financial Supervisory Authority sets a deadline for compliance with the order. The Financial Supervisory Authority may, under the same conditions as in the first sentence, order a member of the board of directors or an employee who is a key person, or the board member of a Group 1 insurance company, to resign pursuant to § 105, subsection 1, no. 3, cf. § 127, subsections 1 and 3. The Financial Supervisory Authority sets a deadline for compliance with the order.

Subsection 5. The duration of an order issued pursuant to subsection 1, 2, or 4 based on § 105, subsection 1, no. 2-5, or § 109, subsection 1, or pursuant to subsection 3, must be stated in the order.

Subsection 6. Orders issued pursuant to subsections 1-4 may be brought before the courts by the insurance company and by the person to whom the order relates. A request to this effect must be submitted to the Financial Supervisory Authority within 4 weeks after the order has been issued to the person. The request does not have suspensive effect on the order, but the court may by ruling determine that the relevant director or board member may maintain their office or position during the proceedings. The Financial Supervisory Authority brings the case before the courts within 4 weeks after receiving the request. The case is brought in the forms of civil procedure.

Subsection 7. The Financial Supervisory Authority may, on its own initiative or upon application, revoke an order issued pursuant to subsection 2 or 3 or subsection 4, third sentence, when it concerns a board member. If the Financial Supervisory Authority rejects an application for revocation, the applicant may request that the rejection be brought before the courts. A request to this effect must be submitted to the Financial Supervisory Authority within 4 weeks after the rejection has been issued to the person. A request for judicial review may only be made if the order is not time-limited and at least 5 years have elapsed from the date of issuance of the order, or at least 2 years after the Financial Supervisory Authority's rejection of revocation has been upheld by judgment.

Subsection 8. If the insurance company has not dismissed the director, or if the Group 1 insurance company has not dismissed an employee identified as a key person pursuant to § 127, subsection 1, within the set deadline, the Financial Supervisory Authority may withdraw the undertaking's authorization, cf. § 199, subsection 1, no. 2. The Financial Supervisory Authority may also withdraw the undertaking's authorization, cf. § 199, subsection 1, no. 2, if a board member does not comply with an order issued pursuant to subsections 2, 3, and 5.

Subsection 9. Decisions in cases pursuant to § 105, subsection 1, and § 127, subsection 3, which are made pursuant to § 105, subsection 2, may be brought before the courts by the insurance company and by the person to whom the decision relates. A request to this effect must be submitted to the Financial Supervisory Authority within 4 weeks after the decision has been issued to the person. The request does not have suspensive effect on the decision, but the court may by ruling determine that the person may enter the office or position for which the person has sought prior approval during the proceedings. The Financial Supervisory Authority brings the case before the courts within 4 weeks after receiving the request. The case is brought in the forms of civil procedure.

§ 281. The Financial Supervisory Authority may, independently or in cooperation with other authorities, conduct investigations suitable to promote transparency in the financial market, and publish the results of these.

§ 282. In cases where an insurance company has been declared bankrupt, where the majority of the insurance company's operations have ceased or been transferred, or where an insurance company's insurance portfolio has been taken under administration, the Financial Supervisory Authority prepares a statement regarding the reasons for this, if one of the following circumstances has occurred in connection with or in a short period prior to the undertaking's bankruptcy etc.:

1. The State has suffered losses on equity instruments which the State acquired as part of the conversion of such capital.
2. The State has otherwise provided a guarantee or made funds available to the undertaking, its creditors, or an acquirer of the whole or part of the undertaking.

Subsection 2. The Financial Supervisory Authority must publish the statement pursuant to subsection 1. In connection with the publication, § 285 does not apply, unless the information concerns customer relations or third parties who are or have been involved in attempts to save the relevant insurance company.

Subsection 3. The statement must describe the Financial Supervisory Authority's role in the process leading up to the bankruptcy etc.

The Consumer Ombudsman

§ 283. The Consumer Ombudsman may bring a case against an insurance company and insurance holding companies regarding actions that contravene honest business practices and good practice, cf. § 67, subsection 1, and rules issued pursuant to § 67, subsection 2, including cases regarding injunctions, orders, compensation, and recovery of unlawfully collected amounts.

Subsection 2. The Consumer Ombudsman may handle cases regarding violations of penal provisions in rules issued pursuant to this Act's § 67, subsection 3.

Subsection 3. The Marketing Act's § 24, § 25, subsection 2, § 28, subsection 1, § 32, subsection 1, and §§ 33 and 34 apply mutatis mutandis to cases that the Consumer Ombudsman wishes to bring pursuant to subsections 1 and 2.

Subsection 4. The Consumer Ombudsman may be appointed as a group representative in a group action, cf. Chapter 23 a of the Administration of Justice Act.

§ 284. The Financial Supervisory Authority notifies the Consumer Ombudsman if the Financial Supervisory Authority becomes aware that a company's customers may have suffered losses as a result of the company having violated § 67, subsection 1, or provisions issued pursuant to § 67, subsection 2.

Subsection 2. The Consumer Ombudsman has access to all information in the Financial Supervisory Authority's cases covered by subsection 1, regardless of §§ 285, 287, and 290.

Subsection 3. The Consumer Ombudsman is subject to confidentiality obligations pursuant to § 285, subsection 1.

Chapter 23 Confidentiality Confidentiality

§ 285. Employees of the Financial Supervisory Authority are, under the liability of the Penal Code's §§ 152-152 e, obliged to keep confidential information that they become aware of through supervisory activities. The same applies to persons performing service tasks as part of the Financial Supervisory Authority's operations, and experts acting on behalf of the Financial Supervisory Authority. This also applies after the termination of employment or contractual relationships. The first to third sentences also apply to employees of the Danish Business Authority, insofar as it concerns information that they become aware of through the solution pursuant to § 213, subsections 1-5 and 8, in the Capital Markets Act.

Subsection 2. Consent from the person whom the confidentiality obligation is intended to protect does not entitle the persons mentioned in subsection 1 to pass on confidential information.

Subsection 3. Subsection 1 does not apply to information in cases regarding good conduct, price information, and contractual relations, cf. §§ 67-81 and regulations issued pursuant thereto.

Subsection 4. The provision in subsection 1 does not prevent the Financial Supervisory Authority from passing on confidential information in summarized or aggregated form on its own initiative, when neither the individual company nor its customers can be identified.

Subsection 5. Confidential information may be passed on during a civil court case when an insurance company has been declared bankrupt or entered into liquidation, and provided that the information does not concern customer relations or third parties who are or have been involved in attempts to save the undertaking.

§ 286. If a case regarding good conduct etc. is covered by the Financial Supervisory Authority's board's decision-making competence pursuant to § 345, subsection 12, no. 4 and 6, in the Act on Financial Business, the following documents are exempt from public access pursuant to the Act on Public Access to Information in the Public Sector, until the board has made its decision:

1. The Financial Supervisory Authority's draft decision on a case or draft decision to refer a case to police investigation.
2. Statements provided by the party to the Financial Supervisory Authority's draft decision on a case or draft decision to refer a case to police investigation.
3. Supplementary correspondence between the Financial Supervisory Authority and the party regarding the draft decision on a case or the draft decision to refer a case to police investigation.

§ 287. Employees of the Financial Supervisory Authority must not pass on information about a person when the person has reported an undertaking or a person to the Financial Supervisory Authority for violations or potential violations of the financial regulation that the Financial Supervisory Authority supervises, cf. however subsection 2.

Subsection 2. The provision in subsection 1 does not prevent personal data from being passed on pursuant to § 284, subsection 2, or § 288, subsection 1.

Subsection 3. The provision in subsection 1 does not prevent personal data concerning a customer from being passed on to an insurance company in connection with cases covered by § 285, subsection 3, or in cases regarding violations of Chapter 9, when the customer has given explicit consent to the passing on.

Subsection 4. All who receive personal data pursuant to subsection 2 are subject to the confidentiality obligation in subsection 1 with regard to this information.

Exceptions to the confidentiality obligation

§ 288. § 285, subsection 1, does not prevent confidential information from being passed on to the following:

1. The Systemic Risk Council.
2. Other public authorities, including the prosecution authority and the police, in connection with the investigation and prosecution of possible criminal offenses covered by the Penal Code or supervisory legislation.
3. The relevant minister as part of their overall supervision, cf. however § 289, subsection 5.
4. Administrative authorities and courts that handle decisions made by the Financial Supervisory Authority.
5. The Parliamentary Ombudsman.
6. The Minister for Employment in cases of notification pursuant to the Act on the Labour Market Supplementary Pension, the Act on the Wage Earners' Savings Fund, and the Act on Work Injury Insurance.
7. A parliamentary commission established by the Folketing, cf. the Constitution's § 51, cf. however § 289, subsections 4 and 5.
8. Inquiry commissions established by law or pursuant to the Act on Inquiry Commissions and Investigation Commissions, cf. however § 289, subsections 4 and 5.
9. The Folketing's standing committees regarding a financial undertaking's general economic conditions, insofar as it concerns crisis management of insurance companies, when a decision is made on whether the State should provide a guarantee or make funds available. The same applies in connection with parliamentary control in cases covered by the first sentence.
10. The National Audit Office and the State Audit Office.
11. Stakeholders, including authorities, involved in attempts to save a distressed insurance company, when the Financial Supervisory Authority has received a mandate from the Minister for Industry, Business and Financial Affairs, cf. however § 289, subsection 5.
12. Auditors appointed by the Association of State Authorized Public Accountants pursuant to § 144, subsection 5, second sentence, in the Act on Financial Business.
13. The Bankruptcy Court, cf. however § 289, subsection 4, other authorities participating in the insurance company's liquidation, bankruptcy proceedings or similar procedures, and the administrator and persons responsible for the statutory audit of the insurance company's accounts, provided that the recipients of the information have a need for this to perform their tasks.
14. Institutions managing depositor, investor, or insurance guarantee schemes, provided that the information is necessary for them to perform their work.
15. Committees, groups etc. established by the Minister for Industry, Business and Financial Affairs, which have the purpose of discussing and coordinating efforts to ensure financial stability.
16. The Danish Business Authority in its capacity as supervisory authority for compliance with company legislation, when passing on information is intended to strengthen the stability and integrity of the financial system, cf. however § 289, subsection 4, the Danish Business Authority and the Audit Board in their capacity as supervisory authorities for the statutory audit of insurance companies' accounts, cf. however § 289, subsection 4, and the Danish Business Authority when the information concerns a foundation or association covered by § 197. Passing on information pursuant to the first sentence can only take place, provided that the recipients have a need for this to perform their tasks.
17. Experts who assist the Financial Supervisory Authority, the Danish Business Authority, the Audit Board, and institutions managing depositor, investor, or insurance guarantee schemes,

26. april 2026. 55 Nr. 461.

with the execution of their supervisory tasks, provided that the recipients require the information for the performance of their tasks, subject to § 289, subsections 4 and 5.

18. The Faroese Minister of Finance as part of the responsibility for economic stability in the Faroe Islands and for use in crisis management of insurance companies in the Faroe Islands.

19. The Greenlandic Minister for Business and Employment as part of the responsibility for economic stability in Greenland and for use in crisis management of insurance companies in Greenland.

20. The Standing Committee of the Faroese Parliament regarding the general economic conditions of a Faroese insurance undertaking, insofar as it concerns crisis management of Faroese insurance companies, when a decision is made on whether the Faroese Government should provide a guarantee or make funds available. The same applies in connection with parliamentary control in matters covered by the first sentence.

21. The Standing Committee of the Greenlandic Parliament regarding the general economic conditions of a Greenlandic insurance company, insofar as it concerns crisis management of Greenlandic insurance companies, when a decision is made on whether the Greenlandic Government should provide a guarantee or make funds available. The same applies in connection with parliamentary control in matters covered by the first sentence.

22. Faroese supervisory authorities in the financial sector, provided that the recipients are subject to a statutory duty of confidentiality corresponding at least to the duty of confidentiality under § 285, subsection 1, and that the recipients require the information for the performance of their tasks, subject to § 289, subsection 4.

23. The Centre for Cyber Security, provided that the information is necessary for the Centre to fulfil its statutory tasks as the national central contact point or as a CSIRT.

24. The Danish Data Protection Agency as an independent supervisory authority for compliance with data protection rules, provided that the Danish Data Protection Agency requires the information for the performance of its tasks, subject to § 289, subsection 4.

25. The International Monetary Fund (IMF) and the World Bank for the purpose of assessments as part of the Financial Sector Assessment Programme upon explicit request, and provided that the International Monetary Fund (IMF) and the World Bank require the information for the performance of their tasks.

26. The Bank for International Settlements (BIS) for the purpose of quantitative impact analyses upon explicit request, and provided that the Bank for International Settlements (BIS) requires the information for the performance of its tasks.

27. The Financial Stability Board (FSB) for the purpose of its supervisory function upon explicit request, and provided that the Financial Stability Board (FSB) requires the information for the performance of its tasks.

28. Financial Stability, provided that Financial Stability requires the information for the performance of its tasks.

Subsection 2. Confidential information received by the Danish Financial Supervisory Authority may only be used in connection with the supervisory task, for the imposition of sanctions, or if the authority's decision is appealed to a higher administrative authority or brought before the courts.

Subsection 3. The right to obtain confidential information from the Standing Committee of the Folketing according to subsection 1, no. 9, is limited to documents in cases opened at the Danish Financial Supervisory Authority after 16 September 1995. The right to obtain confidential information from the Standing Committee of the Faroese Parliament according to subsection 1, no. 20, and from the Standing Committee of the Greenlandic Parliament according to subsection 1, no. 21, is limited to documents in cases opened at the Danish Financial Supervisory Authority after 1 January 2006.

Subsection 4. If a debtor, guarantor, or investor has significant obligations to several insurance companies, the Danish Financial Supervisory Authority may notify the companies concerned thereof.

§ 289. § 285, subsection 1, does not prevent confidential information from being passed on to the following:

1. Danmarks Nationalbank, central banks in countries within the European Union or countries with which the Union has concluded an agreement in the financial sector, the European System of Central Banks and the European Central Bank in their capacity as monetary authorities, and public authorities that supervise payment systems in Denmark and other countries within the European Union or countries with which the Union has concluded an agreement in the financial sector, provided that the information is necessary for them to fulfil their statutory tasks, including the execution of monetary policy, supervision of payment and securities settlement systems, and the maintenance of the stability of the financial system.

2. An entity responsible for the clearing of financial instruments or money, if necessary to ensure that the entity responds appropriately to defaults or potential defaults on the market where the entity is responsible for clearing, subject to subsection 5.

3. Financial supervisory authorities in other countries within the European Union or in countries with which the Union has concluded an agreement in the financial sector, which are responsible for the supervision of insurance companies or financial markets, authorities and bodies responsible for maintaining financial stability through macroprudential regulation, authorities and bodies with the aim of ensuring financial stability, or bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, and persons responsible for the statutory audit of insurance companies' accounts, provided that the recipients of the information require it for the performance of their tasks.

4. Bodies in other countries within the European Union or in countries with which the Union has concluded an agreement in the financial sector, which supervise bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, and authorities responsible for supervising contractual safeguard schemes, provided that the recipients of the information require it for the performance of their tasks, subject to subsection 4.

5. Bodies in other countries within the European Union or in countries with which the Union has concluded an agreement in the financial sector, which are responsible for detecting breaches of company law, provided that the recipients of the information require it for the performance of their tasks and the disclosure is made with the aim of strengthening the stability and integrity of the financial system, subject to subsection 4.

6. Experts who assist authorities in other countries within the European Union or in countries with which the Union has concluded an agreement in the financial sector, which supervise bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, and authorities responsible for supervising contractual safeguard schemes, subject to subsection 4.

7. Ministers responsible for financial legislation in other countries within the European Union or in countries with which the Union has concluded an agreement in the financial sector, in connection with the crisis management of an insurance company.

8. Committees of Inquiry appointed by the European Parliament in accordance with Article 226 of the Treaty on the Functioning of the European Union.

9. The European Systemic Risk Board, the European Insurance and Occupational Pensions Authority and bodies established by these, provided that the recipients of the information require it for the performance of their tasks.

10. Financial supervisory authorities in countries outside the European Union, with which the Union has not concluded an agreement in the financial sector, which are responsible for the supervision of insurance companies or financial markets, authorities and bodies responsible for maintaining financial stability through macroprudential regulation, authorities and bodies with the aim of ensuring financial stability, contractual safeguard schemes or bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, and persons responsible for the statutory audit of insurance companies' accounts, subject to subsections 3 and 4.

11. Bodies in countries outside the European Union, with which the Union has not concluded an agreement in the financial sector, which supervise bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, authorities responsible for supervising contractual safeguard schemes or institutional safeguard schemes, and authorities supervising persons responsible for the statutory audit of insurance companies' accounts, subject to subsections 3 and 4.

12. Bodies in countries outside the European Union or in countries with which the Union has not concluded an agreement in the financial sector, which are responsible for detecting breaches of company law, provided that the disclosure is made with the aim of strengthening the stability and integrity of the financial system, subject to subsections 3 and 4.

13. Experts who assist authorities in countries outside the European Union or in countries with which the Union has not concluded an agreement in the financial sector, which supervise bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies, and authorities supervising persons responsible for the statutory audit of insurance companies' accounts, subject to subsections 3 and 4.

14. Authorities performing tasks under Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector, provided that the information is necessary for these authorities to perform their tasks under the Regulation.

Subsection 2. Confidential information received pursuant to subsection 1, no. 9, may regardless of the duty of confidentiality referred to in § 290 be exchanged directly between on the one hand the European Insurance and Occupational Pensions Authority and bodies established by these and on the other hand the European Systemic Risk Board.

Subsection 3. Disclosure pursuant to subsection 1, nos. 10-13, may only take place

1. on the basis of an international cooperation agreement, and

2. provided that the recipients are at least subject to a statutory duty of confidentiality corresponding to the duty of confidentiality under subsection 1, and require the information for the performance of their tasks.

Subsection 4. Disclosure pursuant to subsection 1, nos. 4-6 and 10-13, and § 288, subsection 1, nos. 7, 8, 13, 16, 17, 22 and 23, of confidential information originating from countries within the European Union or countries with which the Union has concluded an agreement in the financial sector, may further only take place if the authorities that provided the information have given their explicit consent, and may only be used for the purpose for which the consent was given. In the case of disclosure of information pursuant to subsection 1, nos. 6 and 13, and § 288, subsection 1, no. 17, the Danish Financial Supervisory Authority shall inform the authorities or bodies that provided the information of which experts the information will be forwarded to, specifying the powers of the experts.

Subsection 5. Disclosure of confidential information pursuant to subsection 1, no. 2, and § 288, subsection 1, nos. 3, 7, 8, 11 and 17, may only take place if the authorities or bodies that provided the information, or the authorities in the Member State where the on-site inspection or investigation was carried out, have given their explicit consent and the information was received from one of the following authorities etc.:

1. The European Systemic Risk Board, the European Insurance and Occupational Pensions Authority and bodies established under these and pursuant to this Act, provisions issued pursuant to this Act, Article 15 of Regulation (EU) No 1092/2010 of the European Parliament and of the Council of 24 November 2010 on European Union macroprudential oversight of the financial system and establishing a European Systemic Risk Board and Articles 31 and 36 of Regulation (EU) No 1095/2010 establishing a European Supervisory Authority (European Securities and Markets Authority).

2. Authorities responsible for the supervision of insurance companies and financial markets.

3. Authorities and bodies responsible for maintaining the stability of the financial system through the application of macroprudential rules.

4. Authorities or bodies with the aim of ensuring financial stability, contractual safeguard schemes or institutional safeguard schemes.

5. Entities managing depositor, investor or insurance guarantee schemes.

6. Bodies involved in the liquidation, bankruptcy proceedings or similar procedures of insurance companies.

7. Persons responsible for the statutory audit of the insurance company's accounts, or where information was obtained through on-site inspections or investigations pursuant to § 268, subsection 1.

§ 290. All persons who, in accordance with § 285, subsection 5, § 288, subsection 1, and § 289, subsection 1, receive confidential information from the Danish Financial Supervisory Authority are subject to the duty of confidentiality referred to in § 285, subsection 1, with regard to this information.

Chapter 24 Publication Publication by the Danish Financial Supervisory Authority

§ 291. The Danish Financial Supervisory Authority shall publish the following on its website, indicating the name of the undertaking, subject to §§ 296 and 297:

1. Reactions given pursuant to § 266, subsection 1, cf. § 345, subsection 12, no. 4, of the Act on Financial Business or by the Danish Financial Supervisory Authority after delegation from the Danish Financial Supervisory Authority's board to an undertaking under supervision.

2. Reactions given pursuant to § 266, subsection 1, cf. § 345, subsection 12, nos. 4 and 6, of the Act on Financial Business or by the Danish Financial Supervisory Authority after delegation from the Danish Financial Supervisory Authority's board to an undertaking not under supervision.

3. Decisions to refer cases to police investigation.

4. Violations of the prohibition on carrying on insurance business without permission, cf. §§ 14-18.

Subsection 2. The Danish Financial Supervisory Authority shall publish a statement on the Danish Financial Supervisory Authority's practice pursuant to § 105, subsection 1, no. 1. The statement shall be published at least once a year.

§ 292. The Danish Financial Supervisory Authority shall inform the public about cases handled by the Danish Financial Supervisory Authority, the prosecution authorities or the courts, which are of general interest or significant for the understanding of §§ 67, 68, 70-74 and 76-81 and regulations issued pursuant thereto.

§ 293. The Danish Financial Supervisory Authority shall publish on its website in cases of violation of § 87, subsection 1, §§ 91 and 92, § 105, subsection 1, and § 106, subject to § 297, reprimands, orders or administrative fines issued pursuant to § 259 and the name of the undertaking or person. The same applies to reprimands, orders and administrative fines imposed by the Danish Financial Supervisory Authority's board in the aforementioned cases.

§ 294. If a reaction etc. published in accordance with § 291, subsection 1, nos. 1 and 2, or § 293, is brought before the Business Appeals Board or the courts, this must be stated in the publication. The status and the subsequent result of the Business Appeals Board's or the court's decision must also be published on the Danish Financial Supervisory Authority's website as soon as possible.

§ 295. If a case has been referred to police investigation, and a final or partial guilty verdict has been passed or a fine imposed, or if a case has been concluded with the acceptance of an administrative fine proposal, the verdict, the imposition of the fine or a summary thereof shall be published, subject to § 296. If the verdict is not final, or if it has been appealed, this must be stated in the publication.

Subsection 2. In cases where the Danish Financial Supervisory Authority has published a decision to refer a case to police investigation pursuant to § 291, subsection 1, no. 3, and subsection 1, and a decision is made to drop the prosecution or not to prosecute, or an acquittal is delivered, the Danish Financial Supervisory Authority shall, upon request from the undertaking concerned, publish information thereof. The undertaking shall submit a copy of the decision to drop the prosecution or not to prosecute or a copy of the verdict to the Danish Financial Supervisory Authority simultaneously with the request for publication. If the decision to drop the prosecution, the decision not to prosecute or the verdict is not final, this must be stated in the publication. If the Danish Financial Supervisory Authority receives documentation that the case has been concluded by a final decision to drop the prosecution or a final decision not to prosecute or a final acquittal, the Danish Financial Supervisory Authority shall remove all information about the decision to refer the case to police investigation and any subsequent verdicts in the case from its website.

Limitations on the Danish Financial Supervisory Authority's Publication

§ 296. Publication pursuant to § 291, subsection 1, nos. 1-3, and §§ 293 and 295 may not take place if

1. it would cause disproportionate damage to the undertaking,

2. it would endanger the stability of the financial markets, or

3. investigative considerations argue against publication.

Subsection 2. The publication pursuant to § 291, subsection 1, nos. 1-3, and §§ 293 and 295 must not contain

1. confidential information about customer relations or information covered by § 30 of the Act on Public Access to Information in the Public Sector, or

2. confidential information originating from financial supervisory authorities in other countries within or outside the European Union, unless the authorities that provided the information have given their explicit consent.

Subsection 3. If publication is omitted in accordance with subsection 1, publication pursuant to § 291, subsection 1, nos. 1-3, or § 295, shall take place when the considerations that necessitated the omission are no longer valid. This applies only for up to 2 years after the date of the reaction.

Subsection 4. There shall be no publication of reactions pursuant to § 291, subsection 1, nos. 1 and 2, regarding the requirements in § 105, subsection 1, subsection 7, cf. subsection 1, or subsection 8, cf. subsection 1, § 127, subsection 3, cf. § 105, subsection 1, § 106 or § 109, subsection 1.

§ 297. Publication pursuant to § 293 shall be made in anonymised form in the following cases:

1. Publication in non-anonymised form would cause disproportionate damage to the undertaking or person.

2. Investigative considerations argue against publication in non-anonymised form.

3. Publication in non-anonymised form would threaten financial stability.

4. Societal considerations regarding the publication of a person's name must be assessed as not being proportional to the considerations regarding the person.

Time and Duration of the Danish Financial Supervisory Authority's Publication

§ 298. Publication pursuant to this chapter shall take place as soon as possible after the person or undertaking has been notified of the reaction or decision. If the Danish Financial Supervisory Authority cannot notify the person concerned, publication may still take place.

Subsection 2. The published information must remain on the Danish Financial Supervisory Authority's website for at least 5 years from the date of publication. Publication concerning persons, however, must only remain on the Danish Financial Supervisory Authority's website as long as the information is considered necessary in relation to the societal considerations behind the publication.

Publication by Undertakings

§ 299. If a reaction etc. addressed to an undertaking under supervision is published pursuant to § 291, or if a verdict or fine imposed on or passed against an undertaking under supervision is published pursuant to § 295, the undertaking shall publish the relevant reaction etc., verdict or fine on its website in a place where it naturally belongs. Publication concerning undertakings not under supervision shall only take place on the Danish Financial Supervisory Authority's website.

Subsection 2. The undertaking shall publish a reaction etc. as mentioned in subsection 1 as soon as possible, and no later than 3 business days after the undertaking has received the reaction etc., or no later than at the time of publication required under the Act on Capital Markets.

Subsection 3. The undertaking shall publish a verdict or fine as mentioned in subsection 1 as soon as possible, and no later than 10 business days after the verdict has been passed or the fine imposed, or no later than at the time of publication required under the Act on Capital Markets.

Subsection 4. Simultaneously with the undertaking's publication pursuant to subsections 1-3, the undertaking shall insert a link providing direct access to the reaction etc., verdict, fine or summary on the front page of the undertaking's website in a visible manner. It must be clearly stated from the link and any associated text that this concerns a reaction from the Danish Financial Supervisory Authority, a verdict or a fine. The removal of the information from the undertaking's website shall take place according to the same principles as the undertaking uses for other communications, but no earlier than when the link and information have been on the website for 3 months, and no earlier than after the next general meeting or representative meeting.

Subsection 5. If the undertaking comments on the reaction etc., verdict, fine or summary pursuant to subsections 1-3, this must be done in continuation thereof, and the comments must be clearly separated from the reaction etc., verdict, fine or summary.

Subsection 6. The undertaking shall notify the Danish Financial Supervisory Authority of the publication pursuant to subsection 1, if a case has been referred to police investigation and a final or partial guilty verdict has been passed or a fine imposed, or if a case has been concluded with the acceptance of an administrative fine proposal, including forwarding a copy of the verdict or fine. The Danish Financial Supervisory Authority shall thereafter publish the verdict, fine or a summary thereof on its website.

§ 300. If an insurance company has disclosed information about the insurance company, and this has come to the public's attention, the Danish Financial Supervisory Authority may order the undertaking to publish correcting information within a deadline set by the Danish Financial Supervisory Authority, if

1. the information is misleading in the opinion of the Danish Financial Supervisory Authority, and

2. the Danish Financial Supervisory Authority assesses that the information may cause damage to the undertaking's customers, depositors, other creditors, the financial markets on which the undertaking's shares or financial instruments issued by the undertaking are traded, or financial stability in general.

Subsection 2. The Danish Financial Supervisory Authority may publish the order issued pursuant to subsection 1, if the undertaking does not correct the information in accordance with the Danish Financial Supervisory Authority's order and within the deadline set by the Danish Financial Supervisory Authority.

Authorisation

§ 301. The Minister for Business establishes more detailed rules on insurance companies, financial holding companies and

obligation of insurance holding companies to publish information about the Financial Supervisory Authority's assessment of the company and about the fact that the Financial Supervisory Authority has the possibility to publish the information before the company.

Chapter 25 Parties

§ 302. As a party in relation to the Financial Supervisory Authority, the insurance company, the insurance holding company, the foreign insurance company or the foreign insurance holding company, for which the Financial Supervisory Authority has made or will make a decision pursuant to this Act, regulations made pursuant to this Act and regulations issued pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II), Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector and rules issued pursuant thereto, Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment and rules issued pursuant thereto and Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector and rules issued pursuant thereto, shall be considered a party, subject to subsections 2 and 3.

Subsection 2. In the cases listed below, another entity than the undertaking shall also be considered a party to the Financial Supervisory Authority's decision, insofar as it concerns the part of the case relating to the person in question:

1. The parent undertaking, where this is an insurance holding company or an insurance company.
2. Undertakings with which an insurance company has a specific direct or indirect connection, and where the Financial Supervisory Authority may obtain information and carry out inspection visits, cf. § 270, subsection 2.
3. A natural or legal person from whom the Financial Supervisory Authority requires information to determine whether this person is covered by the provisions of this Act, cf. § 270, subsection 3.
4. The intended acquirer or holder of a qualifying holding, when the Financial Supervisory Authority is processing cases concerning approval of acquisition, cf. §§ 87, 90 and 91, and when the Financial Supervisory Authority reacts as a result of failure to notify about a holding or revokes the voting rights attached to the holding in question, cf. § 93, subsections 1-3.
5. The auditor of an insurance company, when the Financial Supervisory Authority withdraws this certification in accordance with § 193, subsection 5, or orders this to provide information about the company's affairs, and in cases concerning prohibition of an auditor having loans etc. in the insurance company that the auditor audits, cf. § 193, subsections 5-8 and 10.
6. An undertaking that applies for permission to carry on insurance or life insurance business, cf. § 14, subsection 1, and §§ 19-23, or if the application is suspended, cf. § 22.
7. A member of the board of directors or management of an insurance company or a capital owner, when the supervisory authority refuses an insurance company permission or withdraws this entirely or partially, cf. § 19, subsection 1, nos. 1 and 3, and §§ 20 and 199.
8. Undertakings that the supervisory authority finds have close links to an insurance company, when permission is refused or withdrawn pursuant to § 19, subsection 1, nos. 4 and 5, and § 199.
9. The person who violates the Act's prohibition on using words covered by insurance companies' exclusive right to name in a company's name or designation, cf. § 37.
10. The person who violates the Act's prohibition on carrying on business covered by § 14, subsection 1, without permission.
11. The responsible actuary, when this person has not fulfilled their obligation to provide information to the Financial Supervisory Authority, cf. § 139, subsection 4, first sentence.

Subsection 3. As a party, a member of the board of directors, a responsible actuary, an auditor, a director or other senior employees in an insurance company, an insurance holding company, a foreign insurance company or a foreign insurance holding company shall also be considered a party if the Financial Supervisory Authority's decision is addressed directly to the person in question. The same applies to a liquidator and an administrator of a life insurance fund.

Subsection 4. Party status and party rights pursuant to subsections 2 and 3 are limited to matters where the Financial Supervisory Authority's decisions were made after 8 October 1998. Insofar as it concerns the transfer of confidential information, cf. Chapter 9, party status and party rights are limited to matters where the Financial Supervisory Authority's decisions were made after 1 January 2004.

Subsection 5. The Financial Supervisory Authority may, when the Financial Supervisory Authority takes up a case concerning the transfer of confidential information, cf. Chapter 9, grant certain party rights to other natural or legal persons than those mentioned in subsections 2 and 3. Party rights may only be granted insofar as it concerns the part of the case that has direct and significant importance for the person in question. Party rights shall be granted with due regard to the protection of confidential information about the undertakings under supervision. The party rights are limited to matters where the Financial Supervisory Authority's decisions were made after 1 January 2004.

§ 303. As a party in relation to the Financial Supervisory Authority's decisions on suitability and integrity, both the insurance company concerned and the member of the board of directors, the director or the key person that the decision concerns shall be considered a party. The same applies to the Financial Supervisory Authority's decisions pursuant to §§ 106, 109 and 280.

Subsection 2. As a party in relation to the Financial Supervisory Authority's decisions made as part of the Financial Supervisory Authority's control of accounts submitted pursuant to the rules in this Act's Chapter 17 and the rules issued pursuant to § 190, and of group accounts covered by Article 4 of the European Parliament and Council Regulation on the application of international accounting standards, any person whom the Financial Supervisory Authority considers a party to the case shall otherwise be considered a party.

Subsection 3. Party status and party rights pursuant to subsection 1 are limited to matters where the Financial Supervisory Authority's decision was made after 1 July 2009.

26 April 2026. 60 No. 461.

Chapter 26 Time Limits

§ 304. The time limits set in or pursuant to this Act begin to run from the day after the day on which the event triggering the time limit occurs. This applies to the calculation of both day, week, month and year time limits.

Subsection 2. If the time limit is specified in weeks, the time limit, cf. subsection 1, expires on the day of the week of the day on which the event triggering the time limit occurred.

Subsection 3. If the time limit is specified in months, the time limit, cf. subsection 1, expires on the day of the month of the day on which the event triggering the time limit occurred. If the day on which the event triggering the time limit occurred is the last day of a month, or if the time limit expires on a day of the month that does not exist, the time limit always expires on the last day of the month regardless of its length.

Subsection 4. If the time limit is specified in years, the time limit, cf. subsection 1, expires on the anniversary of the day on which the event triggering the time limit occurred.

Subsection 5. If a time limit expires on a weekend, a public holiday, Constitution Day, Christmas Eve or New Year's Eve, the time limit is extended to the next working day.

Chapter 27 Communication

Written and digital communication

§ 305. The Minister for Industry, Business and Financial Affairs may set rules stating that written communication to and from the Financial Supervisory Authority, the Minister for Industry, Business and Financial Affairs and the Danish Business Authority regarding matters covered by this Act or rules issued pursuant to this Act, shall be carried out digitally.

Subsection 2. The Minister for Industry, Business and Financial Affairs may set detailed rules on digital communication, including on the use of specific IT systems, special digital formats and digital signature etc.

Digital notification

§ 306. A digital notification is considered to have been received when it is available to the addressee of the notification.

Signature requirements

§ 307. Where it is required in this Act or in rules issued pursuant to this Act that a document issued by entities other than a public authority, cf. § 305, subsection 1, must be signed, this requirement may be fulfilled by using a technique that ensures unique identification of the person who issued the document, subject to subsection 2. Such documents are equated with documents with a personal signature.

Subsection 2. The Minister for Industry, Business and Financial Affairs may set detailed rules on derogation from signature requirements. It may be specified that the requirement for a personal signature cannot be derogated from for certain types of documents.

Section X Criminal, entry into force and transitional provisions etc.

Chapter 28 General authorization provisions

§ 308. If the Minister for Industry, Business and Financial Affairs delegates his powers under the Act to the Financial Supervisory Authority, the Minister for Industry, Business and Financial Affairs may set rules on the right of appeal, including on the fact that appeals cannot be brought before another administrative authority.

§ 309. Decisions made by the Financial Supervisory Authority or the Danish Business Authority may be brought before the Business Appeals Tribunal by the person to whom the decision is addressed, no later than 4 weeks after the decision has been communicated to the person in question in accordance with the following:

1. This Act and rules issued pursuant thereto.
2. Regulations issued pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II).
3. Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector and rules issued pursuant thereto.
4. Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment and rules issued pursuant thereto.
5. Regulation (EU) 2019/1238 of the European Parliament and of the Council of 20 June 2019 on a pan-European personal pension product (PEPP product) and rules issued pursuant thereto.
6. Regulations issued pursuant to Directive (EU) 2016/97 of the European Parliament and of the Council of 20 January 2016 on insurance distribution and rules issued pursuant thereto.
7. Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products for retail investors (PRIIPs) and rules issued pursuant thereto.
8. Regulation (EU) 2017/2402 of the European Parliament and of the Council of 12 December 2017 laying down a general framework for securitisation and creating a specific framework for simple, transparent and standardised securitisation and rules issued pursuant thereto.
9. Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector and rules issued pursuant thereto.

Subsection 2. If a decision made by the Financial Supervisory Authority, which entails that an insurance company shall go into liquidation, or that its life insurance fund shall be taken under administration, is overturned, the Danish Business Authority shall immediately register this. The Financial Supervisory Authority shall, if the company owns real estate, ensure that the necessary registration is carried out.

Subsection 3. Joint decisions made by the Financial Supervisory Authority, Financial Stability, the competent authorities that are part of the supervisory college, or other authorities pursuant to this Act cannot be brought before the Business Appeals Tribunal regardless of subsection 1.

§ 310. The Minister for Industry, Business and Financial Affairs may set rules that are necessary to apply or implement the decisions or legal acts adopted by the European Commission pursuant to the following:

1. Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II).
2. Regulation (EU) No 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector.
3. Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment.
4. Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014 amending Directives 2003/71/EC and 2009/138/EC.
5. Regulation (EC) No 1060/2009 of the European Parliament and of the Council of 16 September 2009, Regulation (EU) No 1094/2010 of the European Parliament and of the Council of 24 November 2010 and Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010, insofar as it concerns the powers conferred on the European Supervisory Authority (European Insurance and Occupational Pensions Authority) and the European Supervisory Authority (European Securities and Markets Authority).
6. Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments.
7. Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments.
8. Regulation (EU) 2019/1238/EU of the European Parliament and of the Council of 20 June 2019 on a pan-European personal pension product (PEPP product).
9. Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector and rules issued pursuant thereto.

Chapter 29 Fees

§ 311. Undertakings under supervision pursuant to this Act shall pay fees to the Financial Supervisory Authority pursuant to Chapter 22 of the Act on Financial Business.

Chapter 30 Criminal Provisions

Criminal provisions in this Act

§ 312. Violation of the following provisions shall be punishable by fine, unless a higher penalty is incurred under other legislation:

1. § 32, subsection 3, § 33, § 34, subsection 1, § 61, subsection 1, no. 7, § 85, subsection 1, § 86, § 95, subsections 1-5, § 100, subsection 1, nos. 1 and 2, § 105, subsection 6, §§ 107 and 108, § 110, subsection 1, first sentence, and subsection 2, § 111, subsections 1 and 2, §§ 112-116 and 121, § 122, subsection 1, first sentence, and subsection 2, § 124, § 126, subsections 1-7, § 127, subsections 1, 2 and 4-6, § 132, subsection 1, § 133, subsection 1, § 134, subsections 2 and 3, § 135, subsection 1, § 136, subsection 1, § 137, subsection 1, § 139, subsections 1-4, § 140, subsection 1, § 141, subsections 1 and 2, §§ 142-144, § 145, subsections 1 and 2, § 146, subsections 1-6, § 147, § 151, subsections 1 and 3-6, § 153, subsection 1, second sentence, and subsection 4, second sentence, § 154, subsection 5, § 155, subsections 4 and 6, § 164, subsections 1-4, § 166, subsections 1, 2, 4 and 9, § 176, subsections 9 and 10, § 177, subsections 5 and 6, § 180, subsection 4, § 181, subsection 1, § 182, subsections 1, 3 and 4, § 183, § 184, subsections 1-3, § 185, subsection 1, cf. § 181, subsection 2, § 185, subsection 2, first sentence, § 186, cf. § 181, subsection 2, § 187, first sentence, § 187a, subsections 1 and 2, § 192, § 193, subsection 3, first sentence, and subsection 7, § 204, subsections 1-4, § 219, subsections 1, 2 and 4, § 273, subsections 3 and 6, § 274, subsection 2, § 299, subsection 1, first sentence, subsections 2-5 and subsection 6, first sentence, § 331, subsection 4, § 332, subsection 5, and § 333, subsection 3.
2. Article 4 of Regulation (EC) No 1606/2002 of the European Parliament and of the Council of 19 July 2002 on the application of international accounting standards and Article 4, subsection 1, of Regulation (EC) No 1060/2009 of the European Parliament and of the Council of 16 September 2009 on credit rating agencies, Article 5, subsection 1, Articles 6 and 7, Article 8, subsections 1-3, Article 9, Article 10, subsection 1, Articles 13, subsections 1, 3 and 4, and Articles 14 and 19 of Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products for retail investors (PRIIPs) and Article 3, Article 4, subsections 1-5, Article 5 and 6, Article 7, subsection 1, first subparagraph, and subsection 2, Article 8, subsections 1-2a, Article 9, subsections 1-4a, Article 10, subsection 1, Article 11, subsections 1-2, Article 12 and Article 13, subsection 1, and subsection 3, first subparagraph, of Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector.
3. Article 5, subsections 1-3, Article 6, subsections 1-8, Article 7, subsection 1, Article 8, subsections 1-7, Article 9, subsections 1-3, Article 10, subsections 1-4, Article 11, subsections 1-10, Article 12, subsections 1-4, 6 and 7, Article 13, subsections 1-7, Article 14, subsections 1-3, Article 16, subsections 1 and 2, Article 17, subsections 1-3, Article 18, subsections 1 and 2, Article 19, subsections 1, 3 and 4, Article 24, subsections 1-6, Article 25, subsections 1 and 3, Article 28, subsections 1-4, 7 and 8, Article 29, subsections 1 and 2, and Article 30, subsections 1-3, of Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector.

Subsection 2. Violation of the following provisions shall be punishable by fine or imprisonment for up to 4 months, unless a higher penalty is incurred under other legislation:

1. § 14, subsection 1, § 37, second sentence, § 38, subsections 1-4, § 47, second sentence, § 54, subsections 1 and 2, § 61, subsection 1, nos. 5 and 6, § 62, first sentence, § 63, subsection 1, §§ 64 and 82, § 84, subsection 1, second sentence, and subsection 2, § 87, subsection 1, §§ 91 and 92, § 94, subsections 1, 2 and 4, § 96, subsection 1, § 97, subsections 1-4, § 98, subsections 1 and 2, § 99, § 101, subsection 1, § 105, subsection 5, cf. subsection 1, nos. 3 and 4, § 105, subsection 3, § 106, § 117, subsections 1 and 5, §§ 118-120 and 125, § 127, subsection 3, cf. § 105, subsection 5, cf. subsection 1, nos. 3 and 4, § 138, § 154, subsections 1-3, § 155, subsection 1, § 156, subsections 1 and 4, § 158, subsection 1, § 159, subsection 1, § 160, subsection 1, § 165, subsection 1, § 173, subsections 1 and 2, § 188, § 189, subsections 1 and 2, § 194, § 195, subsection 1, § 200, subsection 1, § 223, subsections 1 and 4, § 224, subsection 1, § 225, subsection 1, § 258, subsection 1, § 269, subsection 2, and § 333, subsections 1, 2 and 4.
2. Articles 6, 7, 9, 18-26 and 26b-26e, Article 27, subsections 1 and 4, and Article 28, subsection 2, of Regulation (EU) 2017/2402 of the European Parliament and of the Council of 12 December 2017 laying down a general framework for securitisation and creating a specific framework for simple, transparent and standardised securitisation.
3. Articles 5-7, 18-30, 33-42, 44-46, 48, 50 and 52-56 of Regulation (EU) 2019/1238 of the European Parliament and of the Council of 20 June 2019 on a pan-European personal pension product.

§ 313. An insurance company or an insurance holding company that fails to comply with an order given pursuant to § 46, subsection 2, § 59, § 154, subsection 4, § 159, § 273, subsection 1, first sentence, § 274, subsection 1, § 275, or § 277, subsection 1, or that violates § 112, subsection 1, of the Companies Act, shall be punishable by fine.

Subsection 2. The person who fails to comply with an order given pursuant to § 280, subsection 2, and subsection 4, third sentence, shall be punishable by fine.

Subsection 3. Furthermore, the person who violates a prohibition or a restriction or limitation communicated pursuant to Article 16 or 17 of Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 15 May 2014 on key information documents for packaged retail and insurance-based investment products for retail investors (PRIIPs) or Articles 40-42 of Regulation (EU) No 600/2014 on markets in financial instruments, unless a higher penalty is incurred under other legislation, shall be punishable by fine.

Subsection 4. An insurance company or an insurance holding company that has issued transferable securities admitted to trading on a regulated market and that fails to comply with an order from the Financial Supervisory Authority pursuant to § 280, shall be punishable by fine.

Special criminal offences, including for natural persons

§ 314. A member of the board of directors or management of an insurance company or an insurance holding company who fails to take necessary measures in the event of loss or imminent risk of loss of a significant amount, unless a higher penalty is incurred under other legislation, shall be punishable by fine or imprisonment for up to 2 years.

Subsection 2. Undertakings and persons connected to an insurance company or an insurance holding company who are guilty of gross or repeated negligence or carelessness that may cause loss to the undertaking or depositors, the insured, the bondholders or other investors in the insurance company, unless a higher penalty is incurred under other legislation, shall be punishable by fine or imprisonment for up to 2 years.

Penalty for providing false information

§ 315. Undertakings and persons connected to an insurance company or an insurance holding company who provide false or misleading information about matters relating to the undertaking to public authorities, to the public, to a company body or to depositors, the insured, the bondholders or other investors in the company, unless a higher penalty is incurred under other legislation, shall be punishable by fine or imprisonment for up to 2 years.

General provisions on penalties

§ 316. A penalty of fine or imprisonment for up to 4 months may be imposed for violation of provisions issued pursuant to this Act and in rules issued pursuant to Regulation (EU) 2015/35 of the European Parliament and of the Council on supplementary rules to Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II).

Subsection 2. The Financial Supervisory Authority may set rules on penalties in the form of fines for violation of provisions contained in European Union regulations adopted by the European Commission pursuant to Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II) and Directive 2014/51/EU of the European Parliament and of the Council of 16 April 2014 amending Directives 2003/71/EC and 2009/138/EC as well as Regulation (EC) No 1060/2009 of the European Parliament and of the Council of 16 September 2009, Regulation (EU) No 1094/2010 of the European Parliament and of the Council of 24 November 2010 and Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010, insofar as it concerns the powers conferred on the European Supervisory Authority (European Insurance and Occupational Pensions Authority) and the European Supervisory Authority (European Securities and Markets Authority).

§ 317. When determining fines, the seriousness of the violation and the offender's financial situation shall be taken into account. For violations committed by legal persons, the insurance company's or insurance holding company's net annual turnover at the time of the violation shall be taken into account in this regard. For violations committed by natural persons, the person's income situation at the time of the violation shall be taken into account.

Subsection 2. A heightened fine shall be imposed for violations that involve

1. a risk to an insurance company's continued operation,
2. operation of an insurance company without statutory permission, or
3. gross or repeated disregard of undertakings' disclosure obligations to the Financial Supervisory Authority under aggravating circumstances.

Subsection 3. If an economic advantage has been obtained through a violation, this shall be confiscated pursuant to the rules in Chapter 9 of the Criminal Code. If confiscation cannot be carried out, special consideration shall be given to this when determining a fine.

§ 318. If a member of the board of directors or management of an insurance company or an insurance holding company or an employee who is part of the actual management on a daily basis is guilty of gross or repeated management

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Negligence that results in loss or risk of loss for the company, the insured, or investors in the insurance company, shall be punished by fine or imprisonment for up to 2 years, provided that a higher penalty is not incurred under Section 290 b, subsection 1, of the Criminal Code or other legislation. The same applies if the management negligence results in a significantly increased risk that the insurance company is exposed to or used as part of crime.

Subsection 2. Persons who are connected to an insurance company without being members of the board or executive board or part of the actual management on a day-to-day basis, who are guilty of gross or repeated negligence or carelessness that results in loss or risk of loss for the insurance company, the insured, or investors in the insurance company, shall be punished by fine or imprisonment for up to 2 years, provided that a higher penalty is not incurred under other legislation. The same applies to employees responsible for a key function if the negligence or carelessness results in a significantly increased risk that the insurance company is exposed to or used as part of crime.

Subsection 3. Insurance companies and persons connected to insurance companies who provide false or misleading information regarding matters concerning the insurance company to public authorities, the public, a company body, the insured, or investors in the insurance company, shall be punished by fine or imprisonment for up to 2 years, provided that a higher penalty is not incurred under Section 290 b, subsection 1, of the Criminal Code or other legislation.

Section 319. Companies etc. (legal persons) may be subject to criminal liability under the rules in Chapter 5 of the Criminal Code.

Subsection 2. The statute of limitations for violations of the provisions of this Act, provisions in regulations where criminal liability is established in this Act, or rules issued pursuant to this Act is 5 years, subject to subsection 3.

Subsection 3. The statute of limitations is 10 years for violations of Section 14, subsection 1, Section 95, subsections 1-4, Section 117, subsections 1 and 5, Sections 118-120, 132 and 138, Section 139, subsections 1-3, and subsection 4, first sentence, Section 153, subsection 1, second sentence, and subsection 4, second sentence, Section 154, subsections 1 and 5, Section 155, subsection 1, Section 156, subsection 1, Section 158, subsection 1, Section 159, subsection 1, Section 173, subsections 1 and 2, Section 180, subsection 4, Sections 183 and 184, Section 185, subsection 1, and subsection 2, first sentence, Section 187, first sentence, Section 193, subsections 3 and 7, Section 219, subsections 1, 2 and 4, Section 223, subsections 1 and 4, Section 224, subsection 1, Section 225, subsection 1, Section 269, subsection 2, Section 273, subsections 3 and 6, Section 332, subsection 5, or Article 6, subsection 1, Article 10, subsection 1, Article 14, subsection 1, and Article 19 of Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products (PRIIPs).

Fine Notice

Section 320. The Minister for Business Affairs may, after consultation with the Minister of Justice, establish rules stating that the Financial Supervisory Authority, in specified cases of violations of this Act and rules issued pursuant to this Act, which are not considered to result in a penalty higher than a fine, may in a fine notice indicate that the case can be resolved without court proceedings if the person who committed the violation admits to the violation and declares themselves ready to pay a fine as specified in the fine notice within a specified deadline.

Subsection 2. The rules of the Administration of Justice Act regarding requirements for the content of an indictment and that a suspect is not obliged to make a statement apply mutatis mutandis to fine notices.

Subsection 3. If the fine is accepted, further prosecution ceases.

Chapter 31 Entry into Force etc.

Entry into Force

Section 321. The Act enters into force on 1 January 2024.

Section 322. Rules established pursuant to Section 1, subsection 3, second sentence, Section 6, Section 13, subsection 6, Section 18, subsections 1 and 3, Section 19, subsection 2, Section 20, subsection 3, Section 21, subsection 6, Sections 37 and 42, Section 43, subsections 2, 3, 7 and 9, Section 56, Section 56 a, Section 60, subsection 4, Section 60 a, subsection 2, Section 61, subsection 9, Section 64 b, subsection 4, Section 65, subsection 2, Section 70, subsection 6, Section 71, subsection 2, Section 72 b, subsection 6, Section 77 i, Section 108, subsection 6, Section 126 b, subsection 5, Section 126 c, subsection 6, Section 126 e, subsections 5 and 6, Section 126 g, subsection 2, Section 128, subsections 2 and 3, Section 128 a, Section 143, subsection 1, items 1-3, Section 167, subsection 6, Section 175 b, subsection 10, Section 181, subsection 1, Section 183, subsection 6, Section 188, subsection 3, Section 192, second sentence, Section 195, subsection 3, Section 196, Section 199, subsections 12 and 13, Sections 205 and 242, Section 248, subsection 2, Section 248 a, subsection 5, Section 248 b, subsection 3, Section 283, subsection 3, Sections 347 a, 371 and 372 a, Section 373, subsections 4, 5 and 13, Section 373 a, subsection 1, and Section 417 b, subsection 6, in the Act on Financial Business remain in force until they are repealed or replaced by new rules issued pursuant to Section 3, Section 20, subsection 2, Section 27, subsection 3, Section 29, subsection 4, Section 30, subsection 7, Sections 60 and 66, Section 67, subsections 2-4, Section 70, subsection 2, Section 71 a, Section 74, subsection 4, Section 77, subsection 2, Section 87, subsection 2, Section 95, subsection 6, Section 96, subsection 2, Section 109, subsection 5, Section 132, subsection 2, Section 134, subsection 6, Section 139, subsection 5, Section 152, Section 153, subsection 5, Section 154, subsection 6, Section 155, subsection 7, Section 157, subsection 2, Section 158, subsections 4 and 5, Section 160, subsection 2, Section 161, Section 162, items 1-3, Section 164, subsection 3, Section 166, subsection 10, Section 172, subsection 1, Section 185, subsection 3, Section 189, subsection 4, Section 190, Section 193, subsections 13 and 14, Sections 196 and 218, Section 219, subsection 6, Section 223, subsection 5, Section 224, subsection 3, Section 225, subsection 2, Sections 301, 305 and 308, Section 320, subsection 1, and Section 332, subsection 6.

Transitional Provisions

Section 323. For employees who before 1 January 2016 held a position in a Group 1 insurance company, which entails that the employee must be identified as a key person pursuant to Section 127, subsection 1, Section 105, subsections 1 and 2, apply only to matters that arose on or after 1 January 2016.

Section 324. For board members who entered the board of an insurance company before 1 January 2017, Section 109 does not apply.

Section 325. Guidelines agreed upon pursuant to Section 29 of the Marketing Act before 1 January 2004 continue to apply to insurance companies until they are repealed or replaced by rules issued by the Minister for Business Affairs pursuant to Section 43, subsection 2, of the Act on Financial Business or Section 67, subsection 2, of this Act.

Section 326. Section 148, Section 149, subsections 2-5, and Section 150 apply to agreements on severance schemes for a member of the executive board of an insurance company or an insurance holding company, which have not yet become due at the time of entry into force of the Act, cf. Section 321.

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Subsection 2. Section 149, subsection 1, applies to agreements on severance payments to a member of the executive board of an insurance company or an insurance holding company, which are entered into, extended or renewed after the entry into force of the Act.

Subsection 3. Section 145 applies only to agreements entered into, renegotiated, extended or renewed after the entry into force of the Act.

Section 327. Insurance companies that did not have fully paid-up company capital on 1 October 1981 may maintain this arrangement.

Subsection 2. In insurance companies covered by subsection 1, a shareholder or guarantor may not be liable for payment on shares or guarantee shares to a total amount greater than 5 pct. of the share or guarantee capital or for amounts greater than 50,000 DKK, unless security approved by the Financial Supervisory Authority is provided for amounts exceeding this.

Subsection 3. The Financial Supervisory Authority may exempt from the rule in subsection 2.

Subsection 4. The transfer of a not fully paid-up share or guarantee share in insurance companies covered by subsection 1 may only take place with the approval of the board. Such approval may not be granted unless it can be assumed that the purchaser will be able to make the future payments, or unless satisfactory security is provided. If satisfactory security is provided, approval may not be refused unless the desired transfer contradicts other validly established rules on restrictions on the transferability of the shares or guarantee shares.

Subsection 5. When the board has approved the transfer and the purchaser has issued a subscription for the unpaid amount, the transferor's obligations cease.

Subsection 6. If a shareholder or guarantor in insurance companies covered by subsection 1 does not make the payment due on the shareholder or guarantor in due time, the shareholder or guarantor is, unless the articles of association provide otherwise, obliged from the due date to pay an annual interest on the amount owed corresponding to the interest set pursuant to Section 5, subsections 1 and 2, of the Interest Act.

Subsection 7. The company must, if payment pursuant to subsection 6 is not made in due time, without undue delay seek satisfaction for the amount owed either by lawsuit or by seeking to sell the share or guarantee share to the account of the shareholder or guarantor and with at least 4 weeks' notice to the shareholder or guarantor, with the obligation for the purchaser to make the missing payments with accrued interest. The sale must take place through a stockbroker company, a credit institution with special permission, a bank or by public auction. If the sale results in the issuance of a new share certificate or interim certificate, the share certificate or interim certificate must, in addition to stating its purpose, reproduce the content of the old share certificate or interim certificate and be signed by the board. However, interim certificates may be signed by a person authorized by the board.

Subsection 8. If it appears that the amount owed cannot be recovered in any of the aforementioned ways, the share or guarantee share must be cancelled, and the capital is then considered reduced by an amount corresponding to the nominal value of the share or guarantee share. The amount that has been paid is allocated to a fund, which may not be reduced without the consent of the Financial Supervisory Authority.

Subsection 9. The reduction of capital must be reported to the Danish Business Authority. Furthermore, proof must be submitted to the Financial Supervisory Authority that the conditions for the cancellation of the share or guarantee share were met.

Section 328. Exposures and security provided on 1 January 1998 that were lawfully incurred or entered into between the elected auditor or an internal audit or deputy audit manager or employee at the Labour Market Supplementary Pension or the Wage Earners' Savings Fund and the insurance company, credit institution or mortgage credit institution, the securities dealer, the fund broker company or the Labour Market Supplementary Pension, where the person in question is employed, may continue until the originally agreed maturity date.

Subsection 2. Internal audit and deputy audit managers may, regardless of the prohibition in Section 116, maintain and utilize economic interests that the person owns at the time of entry into force of the Act.

Section 329. Persons who on 1 January 2004 were not covered by the prohibition in Section 19, subsection 1, of the Act on Financial Business, cf. Consolidation Act No. 660 of 7 August 2002, may, regardless of the provisions in Section 113 of this Act and Section 425, item 15, and Section 426, item 9, of the Act on Financial Business, maintain dispositions made before 1 January 2004.

Section 330. Persons covered by Section 121, who on 1 July 2001 held positions pursuant to Section 24 of the Act on Financial Business, cf. Consolidation Act No. 660 of 7 August 2002, may continue without the board's permission, provided that the position in question is reported to the Financial Supervisory Authority before 30 June 2004. If the insurance company had an exposure to the business where the position is held on 1 January 2004, the exposure incurred as of 1 January 2004 may, regardless of Section 123, subsection 1, continue until the originally agreed maturity date.

Subsection 2. Persons covered by Section 122, subsection 1, who at the time of entry into force of the Act held positions pursuant to Section 24 of the Act on Financial Business, cf. Consolidation Act No. 660 of 7 August 2002, or who at the time of entry into force of the Act were not covered by Section 24 of the Act on Financial Business, cf. Consolidation Act No. 660 of 7 August 2002, may continue without the executive board's permission, provided that the position in question is reported to the Financial Supervisory Authority before 30 June 2004. If the financial business had an exposure to the business where the position is held on 1 January 2004, the exposure incurred as of 1 January 2004 may, regardless of Section 123, subsection 1, continue until the originally agreed maturity date.

Subsection 3. With businesses where persons covered by Section 121 and Section 122, subsection 1, held positions at the time of entry into force of the Act pursuant to Sections 28, 29, 34 and 35 of the Act on Financial Business, cf. Consolidation Act No. 660 of 7 August 2002, which the insurance company had exposure to on 1 January 2004, the exposure incurred as of 1 January 2004 may, regardless of Section 123, subsection 1, continue until the originally agreed maturity date.

Subsection 4. Subsections 1-3 apply mutatis mutandis to persons covered by Section 425, item 5, and Section 426, item 11, of the Act on Financial Business.

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Section 331. A Group 1 insurance company that does not apply a matching adjustment to the risk-free interest rate curve pursuant to Section 158, subsection 2, on insurance liabilities may obtain permission from the Financial Supervisory Authority to use an adjusted interest rate curve calculated pursuant to subsection 2 until 1 January 2032 for insurance liabilities under agreements entered into before 1 January 2016, and agreements renewed after 31 December 2015. Group 1 insurance companies that have obtained permission under the first sentence may not obtain permission under Section 332.

Subsection 2. The adjusted interest rate curve is calculated for each individual currency at the end of each year as a share of the difference between the interest rate as set according to the discount rate curve as of 31 December 2015 and the annual effective interest rate as set according to the risk-free interest rate curve, cf. Section 158, subsections 1 and 3. The share is calculated as a linear decline from 100 pct. to 0 pct. in the period from 1 January 2016 to 1 January 2032.

Subsection 3. The Financial Supervisory Authority may set a capital add-on in accordance with Section 278 if the Financial Supervisory Authority assesses that a Group 1 insurance company using the adjusted interest rate curve has a risk profile that deviates significantly from the assumptions underlying its use.

Subsection 4. Group 1 insurance companies that have obtained permission under subsection 1 must, in the report on the company's solvency and financial situation that the company must publish, cf. Section 164, disclose that the company uses an adjusted interest rate curve and state the monetary effect of not using this adjusted interest rate curve on the size of the insurance provisions for solvency, the solvency capital requirement, the minimum capital requirement, the basic capital base, the capital base that can be used to cover the solvency capital requirement, and the basic capital base that can be used to cover the minimum capital requirement.

Section 332. A Group 1 insurance company may until 1 January 2032 obtain permission from the Financial Supervisory Authority to use a deduction in the insurance provisions for solvency calculated pursuant to subsection 2. Group 1 insurance companies that have obtained permission under the first sentence may not obtain permission under Section 331.

Subsection 2. The deduction is calculated as a share, which is calculated as a linear decline from 100 pct. to 0 pct. in the period from 1 January 2016 to 1 January 2032, of the difference between

1. the insurance provisions for solvency after deduction of amounts that can be claimed back in accordance with reinsurance agreements, and calculated in accordance with rules issued pursuant to Section 158, subsection 5, insofar as it concerns the valuation of assets and liabilities, including insurance provisions for solvency, of Group 1 insurance companies on 1 January 2016, and

2. the insurance provisions for solvency after deduction of amounts that can be claimed back in accordance with reinsurance agreements and agreements with IORPs, and calculated in accordance with the Order on Financial Reports for Insurance Companies and Cross-Pension Funds as of 31 December 2015.

Subsection 3. The deduction is calculated once for the entire period from 1 January 2016 to 1 January 2032. The Financial Supervisory Authority may, however, order or grant permission for a Group 1 insurance company, whose risk profile changes significantly in the period from 1 January 2016 to 1 January 2032, to calculate the insurance provisions for solvency pursuant to subsection 2, including the volatility adjustment, cf. Section 158, subsection 3, every second year or more frequently.

Subsection 4. The Financial Supervisory Authority may limit the deduction calculated pursuant to subsection 2 if its use results in the solvency capital requirement, cf. Section 154, being less than the largest of the sum of the amounts listed in items 1-5 below and the largest of the amounts relevant to the company in items 6-9:

1. 4 pct. of the risk-weighted items for life insurance provisions plus 0.3 pct. of the risk-weighted items for the risk sum for life insurance business in insurance classes I-IV and VI, cf. Annex 2, where the business has an investment risk.

2. 1 pct. of the risk-weighted items for life insurance provisions plus 0.3 pct. of the risk-weighted items for the risk sum for life insurance business in insurance class V, cf. Annex 2, and in insurance class III, cf. Annex 2, where the business does not have an investment risk, and where the amount to cover the operating costs set in the insurance agreement is set for a period of more than 5 years.

3. 25 pct. of the insurance administrative expenses for the most recent financial year plus 0.3 pct. of the risk-weighted items for the risk sum for life insurance business in insurance class III, where the business does not have an investment risk, and where the amount to cover the operating costs set in the insurance agreement is not set for a period of more than 5 years.

4. The largest amount in non-life insurance business of

a) 18 pct. of the risk-weighted items for the maximum of gross premiums and gross premium income up to 61.3 million EUR plus 16 pct. of amounts exceeding this and

b) the annual average of 26 pct. of the risk-weighted items for gross claims expenses for amounts up to 42.9 million EUR and 23 pct. of amounts exceeding this in the most recent 3 financial years.

5. 4 million EUR for insurance companies conducting life insurance business.

6. 2.7 million EUR for insurance companies conducting business within insurance classes 1-9 and 16-18, cf. Annex 1.

7. 4 million EUR for insurance companies conducting business within insurance classes 10-15, cf. Annex 1.

8. 3.9 million EUR for insurance companies conducting reinsurance business.

9. 1.3 million EUR for captive reinsurance companies.

Subsection 5. Group 1 insurance companies that have obtained permission under subsection 1 must, in the report on the company's solvency and financial situation that the company must publish, cf. Section 143, disclose that the company uses the deduction and state the monetary effect of not using this deduction on the size of the insurance provisions for solvency, the solvency capital requirement, the minimum capital requirement, the basic capital base, the capital base that can be used to

26 April 2026. 66 No. 461.

to cover the solvency capital requirement, and the basic capital base that can be used to cover the minimum capital requirement.

Subsection 6. The Danish Financial Supervisory Authority may lay down detailed rules for the calculation of the risk-weighted items pursuant to subsection 4, items 1-3 and 5.

§ 333. A Group 1 insurance undertaking that uses the adjusted interest curve pursuant to § 331 or the deduction pursuant to § 322 must immediately notify the Danish Financial Supervisory Authority if the undertaking will not meet the solvency capital requirement calculated pursuant to § 154 if the undertaking did not use the adjusted interest curve or the deduction.

Subsection 2. At the latest 2 months after having established that the solvency capital requirement cannot be met without using the adjusted interest curve or the deduction, the Group 1 insurance undertaking must submit a report to the Danish Financial Supervisory Authority indicating the planned measures with a view to ensuring compliance with the solvency capital requirement on 1 January 2032. If the undertaking changes the planned measures during the transitional period after the first sentence, the undertaking must immediately inform the Danish Financial Supervisory Authority of the changes.

Subsection 3. The Group 1 insurance undertaking must submit a report to the Danish Financial Supervisory Authority every year by the end of the first quarter, indicating the measures taken so far and progress made with a view to ensuring compliance with the solvency capital requirement on 1 January 2032.

Subsection 4. The Group 1 insurance undertaking must meet the solvency capital requirement, cf. § 154, without using the adjusted interest curve pursuant to § 331 or the deduction pursuant to § 322, on 1 January 2032.

Subsection 5. The Danish Financial Supervisory Authority shall revoke the permission pursuant to § 331 or § 322 if, based on the report pursuant to subsection 3, the Danish Financial Supervisory Authority assesses that it is unlikely that the Group 1 insurance undertaking can meet the solvency capital requirement on 1 January 2032.

§ 334. The requirements in Articles 254-257 of Commission Delegated Regulation (EU) 2015/35 of 10 October 2014 supplementing Directive 2009/138/EC of the European Parliament and of the Council on the access to and the exercise of the activities of Insurance and Reinsurance Undertakings (Solvency II) shall apply exclusively to investments in securitisation positions which were issued before 1 January 2011, if the underlying exposure has been modified after 31 December 2014.

Chapter 32 Amendments to Other Legislation Consequential Amendments to Other Legislation

§ 335. (Omitted)

Consequential Amendments to Laws Other Than the Act on Financial Business

§§ 336-354. (Omitted)

The Faroe Islands and Greenland

§ 355. The Act does not apply to the Faroe Islands and Greenland, but may, with the exception of §§ 336 and 343-354, be brought into force wholly or partially for Greenland by Royal Order with the changes that the circumstances in Greenland require.

Subsection 2. §§ 335 and 341 may be brought into force wholly or partially for the Faroe Islands by Royal Order with the changes that the circumstances in the Faroe Islands require.

Act No. 1546 of 12 December 2023 (Mortgage Lending of Offshore Wind Turbines, Strengthening of the Danish Financial Supervisory Authority's Supervisory Powers and Coverage of Motor Liability Insurances with the Guarantee Fund for Non-Life Insurance Companies etc.) contains the following entry-into-force provision:

§ 15

Subsection 1. The Act enters into force on 1 January 2024, cf. however subsection 2.

Subsections 2-4. (Omitted)

Act No. 480 of 22 May 2024 (Implementation of the EU Directive on Corporate Sustainability Reporting and the EU Directive on the Increase of Size Thresholds in the Accounting Directive etc.) contains the following entry-into-force and transitional provision:

§ 13

Subsection 1. The Act enters into force on 1 June 2024, cf. however subsections 2 and 3.

Subsections 2-7. (Omitted)

Subsection 8. Rules laid down pursuant to § 189, subsection 3, in Act No. 718 of 13 June 2023 on Insurance Undertakings in Cross-Sectoral Pension Funds, Life Insurance Companies and Non-Life Insurance Companies etc. remain in force until they are repealed or replaced by regulations issued pursuant to § 189, subsection 4, in the Act on Insurance Undertakings in Cross-Sectoral Pension Funds, Life Insurance Companies and Non-Life Insurance Companies etc., cf. item 9 of this Act.

Act No. 481 of 22 May 2024 (Supervision under the Regulation on Digital Operational Resilience in the Financial Sector and the Regulation on Markets in Crypto-Assets, Rules for the Appointment of the Administration Company for the Guarantee Fund and Remuneration Rules for Corporate Pension Funds) contains the following entry-into-force provision:

§ 17

Subsection 1. The Act enters into force on 1 July 2024, cf. however subsections 2-5.

Subsection 2. (Omitted)

Subsection 3. § 1, items 3, 7, 18 and 25, Section IX c in the Act on Financial Business as amended by item 26 of this Act's § 1, and § 1, items 27 and 37, § 3, items 2, 3, 17, 20 and 21, § 8, items 1, 3-8, 13 and 14, and § 16 enter into force on 18 October 2024.

Subsection 4. (Omitted)

Subsection 5. § 1, items 6, 8 and 9, § 2, items 1-3 and 5-18, § 3, items 5-9 and 12-14, § 211, subsection 2, item 16, as amended by item 18 of this Act's § 3, § 251 c in the Act on Capital Markets as amended by item 24 of this Act's § 3, § 4, items 1 and 4, § 275, subsection 1, item 10, in the Act on Securities Firms and Investment Services and Activities as amended by item 16 of this Act's § 4, § 5, items 1 and 3, § 6, item 9, § 8, items 17 and 19-23, and §§ 9 and 11-13 enter into force on 17 January 2025.

Subsections 6-16. (Omitted)

Act No. 639 of 11 June 2024 (Better Terms for Democratic Companies and Rules on Deprivation of the Right to be a Management Member as a Result of the Digitalisation Directive) contains the following entry-into-force provision:

§ 6 The Act enters into force on 1 July 2024.

Act No. 1602 of 17 December 2024 on the Gender Distribution among Management Members in Certain Large Listed Companies (the Gender Balance Act) contains the following entry-into-force and transitional provisions:

§ 16. The Act enters into force on 28 December 2024.

Subsection 2. The Act has effect for financial years beginning on 1 January 2025 or later.

Subsection 3. (Omitted)

Act No. 1666 of 30 December 2024 (Access to a Basic Business Account for Business Operators and Associations, Supervision under the Regulation on European Green Bonds and Target-Based Appointment of the Board of Directors of the National Bank of Denmark etc.) contains the following entry-into-force provision:

§ 18

Subsection 1. The Act enters into force on 1 January 2025, cf. however subsections 2 and 3.

Subsections 2-10. (Omitted)

Act No. 1668 of 30 December 2024 (Amendment of Certain Laws and Provisions in the Area of the Ministry of Business Affairs as a Result of Task Abandonment) contains the following entry-into-force provision:

§ 17

Subsection 1. The Act enters into force on 1 January 2025, cf. however subsection 2.

Subsections 2-6. (Omitted)

Act No. 52 of 28 January 2025 on Independent Assurance Providers Regarding Sustainability Reporting contains the following entry-into-force provision:

§ 66. The Act enters into force on 1 February 2025, cf. however subsections 2 and 3.

Subsections 2-10. (Omitted)

Act No. 711 of 20 June 2025 (Access of Cross-Sectoral Pension Funds and Insurance Undertakings to Own and Operate Forests, Terms for Access to Payment Systems for Payment Service Providers and Establishment of State Guarantee on Part of the Real Estate Credit Agreements in Rural Areas etc.)2) contains the following entry-into-force and transitional provision:

§ 6

Subsection 1. The Act enters into force on 1 July 2025, cf. however subsections 2-4.

Subsection 2. § 259, subsection 2, item 11, in the Act on Insurance Undertakings as amended by item 10 of this Act's § 1, and § 2, item 7, enter into force on 1 March 2026.

Subsection 3. § 1, items 15, 16 and 20, and § 2, items 18, 19 and 21, enter into force on 2 July 2026.

Subsection 4. § 1, items 5-7 and 22, enter into force on 10 January 2030.

§ 7

Subsection 1. Rules issued pursuant to § 127, subsection 7, § 164, subsection 3, and § 180, subsection 3, in the Act on Insurance Undertakings, cf. Act Consolidation No. 169 of 16 February 2025, remain in force until they are repealed or replaced by rules issued pursuant to § 127, subsection 6, § 164, subsection 6, and § 180, subsection 5, in the Act on Insurance Undertakings, cf. items 4, 5 and 8 of this Act's § 1.

Subsection 2. § 1, item 20, does not apply to infringements of Article 13, subsection 3, first paragraph, in Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial sector, which take place before 2 July 2026. For such infringements, the previously applicable rules apply.

Subsection 3. (Omitted)

Act No. 1636 of 16 December 2025 (Postponement of Companies' Duty to Report on Sustainability and Deregistration of Auditors or Independent Assurance Providers Regarding Sustainability Reporting)3) contains the following entry-into-force provision:

§ 5

Subsection 1. The Act enters into force on 31 December 2025, cf. however subsection 2.

Subsection 2. The Minister of Business Affairs sets the time of entry into force of § 1, item 3.

Act No. 1638 of 16 December 2025 (Repeal of National Prospectus Threshold, Partial Repeal of Prohibition on Share Classes in Financial Undertakings, Insurance Undertakings and Securities Firms, Amendment of Disclosure Requirements for Admission to Trading on a Multilateral Trading Facility, Strengthening of the Independence of the Danish Financial Supervisory Authority etc.)4) contains the following entry-into-force provision:

§ 15

Subsection 1. The Act enters into force on 1 January 2026, cf. however subsections 2-13.

Subsections 2-9. (Omitted)

Subsection 10. § 1, items 3, 5, 9 and 10, § 2, items 1 and 3-6, § 4, item 3, and § 5, items 2, 3 and 6, enter into force on 5 December 2026.

Subsections 11-14. (Omitted)

The Danish Financial Supervisory Authority, 26 April 2026 Louise Mogensen / Karina Vilhof Ankergren

2. The amendment to the Act concerns the footnote to the Act's title, § 2, subsection 3, § 46, subsection 5, § 127, subsection 6, § 180, subsections 2 and 3, § 191, § 259, subsection 2, items 10 and 11, § 261 a, § 288, subsection 1, item 28, § 292, § 296, subsection 4, § 312, subsection 1, items 1 and 2, and § 319, subsection 3.

3. The amendment to the Act concerns § 187 b.

4. The amendment to the Act concerns the footnote to the Act's title, § 132, subsection 1, item 8, § 168, first sentence, § 169, subsection 1, first sentence, and subsection 2.

Annex 1 Insurance Undertakings – Non-Life Classification of risks by means of insurance classes.

1. Accidents (including occupational accidents and occupational diseases): sum insurance, compensation for financial loss, combinations thereof and passenger transport.

2. Sickness: sum insurance, compensation for financial loss and combinations thereof.

3. Motor vehicle insurance (excluding rolling stock of railways): all damage to motor-driven land vehicles and non-motor-driven land vehicles.

4. Railway vehicle insurance: all damage to railway vehicles.

5. Aircraft insurance: all damage to aircraft.

6. Marine, inland waterway and river craft insurance: all damage to river craft, inland waterway craft and sea-going vessels.

7. Goods transport (including goods, luggage and all other cargo): all damage to transported goods or luggage regardless of the nature of the means of transport.

8. Fire and natural forces: all damage to property (excluding property covered by classes 3-7), when caused by fire, explosion, storm, natural forces (excluding storm), nuclear energy and landslides.

9. Other damage to property: all damage to property (excluding property covered by classes 3-7), when these damages are due to hail or frost or have other causes of any kind, e.g. theft, except those mentioned under item 8.

10. Motor vehicle liability insurance: any liability arising from the use of motor-driven land vehicles (including the driver's liability).

11. Aircraft liability insurance: any liability arising from the use of aircraft (including the driver's liability).

12. Marine, inland waterway and river craft liability insurance: any liability arising from the use of river, inland waterway and sea-going craft (including the driver's liability).

13. General liability insurance: any liability not mentioned under classes 10-12.

14. Credit: general insolvency, export credit, sale on credit, mortgage insurance and agricultural insurance.

15. Suretyship: direct suretyship and indirect suretyship.

16. Miscellaneous financial loss: unemployment risks, collection losses (general), bad weather, loss of profit, continuing general expenses, unforeseen trading expenses, loss of sales value, rent or income loss, indirect trading loss other than those mentioned above, non-business financial loss and other financial losses.

17. Legal expenses insurance: legal expenses insurance.

18. Assistance: assistance to persons who get into difficulties during transport or while away from their home or permanent residence.

Annex 2 Insurance Undertakings – Life Classification of risks by means of insurance classes.

I. General life insurance: a) life insurance (in particular life capital insurance, term or whole life insurance, life insurance with payment during lifetime and life insurance with repayment of premiums), b) interest insurance, c) supplementary insurance taken out in connection with life insurance (in particular insurance against bodily injury, including occupational disability, and insurance against death as a result of accident or insurance against invalidity as a result of accident or sickness).

II. Marriage and birth insurance: a) insurance that becomes payable on marriage, b) insurance that becomes payable on birth.

III. Insurance linked to investment funds: a) life insurance (in particular life capital insurance, term or whole life insurance, life insurance with payment during lifetime, life insurance with repayment of premiums, insurance that becomes payable on marriage, and insurance that becomes payable on birth), b) interest insurance.

IV. Permanent health insurance (long-term sickness insurance): sickness insurance, which is entered into for a long period and is non-cancellable by the company for the entire period.

V. Tontine business: business involving the establishment of member associations with a view to the joint capitalisation of contributions and the payment of the resulting assets either to the survivors or to the heirs or beneficiaries of the deceased.

VI. Capitalisation business: business based on actuarial calculations, which includes obligations of a specified duration and amount in exchange for a lump sum or predetermined regular payments.