Insurance distribution channels in European Union countries

Abstract

This paper describes insurance market – how active are insurance intermediaries, what challenges they face. Insurance intermediaries are key actors in the process of selling insurance products in the European Union (EU). We find that relative importance of the agents and brokers channels varies across EU member states. The European Commission has put forward a new proposal for a directive on insurance mediation which should provide for significant changes in practices of selling insurance products and guarantee enhanced level of consumer 79 protection. Proposals will introduce a revolutionary change concerning a ban on commissions and fees for independent insurance brokers selling these types of products.