Article 22 of the Italian Law Decree no. 183 of 31 December 2020 (in Italian ‘Decreto Milleproroghe’) provides for the measures applicable as from the end of the Brexit transition period (i.e. December 31, 2020, “Withdrawal Date”) to UK banking and financial intermediaries and insurance undertakings (“Italian Brexit Measures”).

The Law Decree was published in the Official Gazette of the Republic of Italy on December 31, 2020 (which is available only in Italian on this link).

According to the Italian Brexit Measures (see article 22, paragraphs from 6 to 10), after the Withdrawal Date, UK insurance undertakings operating in Italy under the right of establishment or the freedom of services:

• are deleted from the IVASS list of EU insurance undertakings, attached to the IVASS Register of Italian Insurance Undertakings;
• can continue to carry out their activity in Italy only for the purpose of managing their existing insurance contracts, without commencing new business or renewing existing contracts;
• shall comply with the following information requirements:
  
  a) within 15 days from the Withdrawal Date: They must send to the Italian policyholders, insureds and other persons entitled to insurance benefits information on the operating temporary regime applicable to them (also through their institutional website);
  
  b) within 90 days from the Withdrawal Date: They must send to IVASS a plan containing the measures required for the timely and proper performance of the existing insurance contracts, including payments of claims;
  
  c) annually from the Withdrawal Date: They must send to IVASS a report on the progress of implementation of the plan under the previous point b) above.

The Italian Brexit Measures further provides for the Italian policyholder’s right to withdraw (at no additional cost) from the insurance contracts lasting more than one year, by sending a written notice to the UK undertakings. This withdrawal right can be exercised from the expiry of the Withdrawal Date and takes effect from the end of the first year following the withdrawal.