This Guidance is a follow-up to a public consultation which EIOPA ran on draft Guidelines on integrating the customer’s sustainability preferences in the suitability assessment under the Insurance Distribution Directive (IDD). During the public consultation, a number of respondents stressed the need for a simpler, more user-friendly document to facilitate comprehension of how to integrate the customer’s sustainability preferences into the suitability assessment under the IDD. EIOPA therefore decided to pause its work on issuing Guidelines under Article 16 of EIOPA Regulation as initially proposed for public consultation and focus as a priority on providing competent authorities, insurers and insurance intermediaries with guidance in advance of the application of new legislation under the IDD on 2 August 2022.
The objective of this Guidance is to promote better understanding of the new rules coming into effect and facilitate a correct implementation by presenting the new requirements in a more user-friendly language and presentation.
EIOPA may revisit work on a stronger convergence tool after some experience has been gathered by insurers and insurance intermediaries and NCAs in applying the new legislative framework.