Order on the Issuance and Use of Damage Certificates for Insurance Companies Authorized to Conduct Non-Life Insurance

Order on the Issuance and Use of Certificates Regarding Compensation Claims for Insurance Companies Authorized to Conduct Non-Life Insurance Activities1)

Pursuant to Section 56a and Section 373, Paragraph 4, of the Act on Financial Business, cf. Act Consolidation No. 406 of 29 March 2022, as amended by Act No. 1546 of 12 December 2023, it is hereby stipulated:

Scope of Application

Section 1. This Order applies to insurance companies authorized to conduct non-life insurance activities that offer liability insurance for motor vehicles.

Definitions

Section 2. In this Order, the following definitions apply:

1) Insurance Company: An insurance company as defined in Section 9, Paragraph 1, No. 1, of the Act on Insurance Business.

2) Motor Vehicle: A motor vehicle as defined in Section 2, No. 14, of the Road Traffic Act.

3) Mandatory Motor Vehicle Insurance: A mandatory insurance that must cover damage caused by a motor vehicle, cf. Section 105, Paragraph 1, second sentence, of the Road Traffic Act.

Damage Certificate Regarding the Policyholder's Mandatory Motor Vehicle Insurance

Section 3. An insurance company must, upon request from a policyholder, issue a damage certificate regarding the policyholder's mandatory motor vehicle insurance. The insurance company must ensure that the policyholder receives the damage certificate within 15 days of the request.

Paragraph 2. The damage certificate, cf. Paragraph 1, must contain information regarding compensation claims from third parties for damages affecting the insured motor vehicle(s), or information stating that no such claims exist. The certificate must relate to the most recent five years of the contractual relationship immediately preceding its issuance.

Use of Damage Certificates by Insurance Companies

Section 4. Insurance companies must not, when using damage certificates not issued by the relevant insurance company, treat policyholders in a discriminatory manner or increase a policyholder's premium based on the policyholder's nationality or solely based on the country within the European Union or in a country with which the Union has concluded an agreement in the financial area where the policyholder previously resided.

Paragraph 2. When insurance companies use damage certificates in determining premiums, they must treat damage certificates issued in other countries within the European Union or in a country with which the Union has concluded an agreement in the financial area on the same terms and conditions as damage certificates issued in Denmark, including the application of any discounts.

Paragraph 3. Insurance companies covered by this Order must publish a general overview of their policy regarding the use of damage certificates in connection with premium calculation on their website.

Penalties

Section 5. Violation of Sections 3 and 4 may be punishable by a fine.

Paragraph 2. Companies and other legal entities may be subject to criminal liability in accordance with the rules in Chapter 5 of the Criminal Code.

1) The Order contains provisions implementing parts of Directive (EU) 2021/2118 of the European Parliament and of the Council of 24 November 2021 amending Directive 2009/103/EC on insurance against civil liability in respect of the use of motor vehicles and the control of the obligation to insure, OJ L 430, 2021, p. 1.

Official Journal A
2023 Published on 15 December 2023
12 December 2023. No. 1624.
Ministry of Industry, Business and Financial Affairs, Financial Supervisory Authority, file no. 23-015850 CQ002735

Entry into Force

Section 6. This Order enters into force on 23 December 2023.

Ministry of Industry, Business and Financial Affairs, 12 December 2023 Morten Bødskov / Julie Sonne 12 December 2023. 2 No. 1624.