EIOPA considers it important that insurance intermediaries and insurance undertakings demonstrate compliance with Article 8 of Delegated Regulation 2017/2359, which requires that an overall analysis be performed, taking into account any relevant factors that may increase or decrease the risk of detriment to customers an assessment of relevant inducement schemes. The details of the assessment should be recorded in order to demonstrate and enable competent authorities to monitor that the inducement complies with the criteria set out in Article 29(2), IDD.

Regarding the frequency of such assessments, it is important that insurance intermediaries and insurance undertakings consider all relevant factors which may increase or decrease the risk of detrimental impact on the quality of the relevant service to the customer or risk of impairing compliance with the intermediary’s or insurance undertaking’s obligation to act fairly, honestly and professionally in accordance with the best interests of the customer, and assess for themselves at what frequency the assessment is required in order to maintain continual compliance with the criteria set out in Article 29(2), IDD. If there are no changes or modifications to the inducement scheme, the frequency can be appropriately extended, where no other indicators (such as customer complaints or others) give reason to do so.