French Insurance Code
In forceI.- When the Autorité de contrôle prudentiel et de résolution finds that an insurance or reinsurance intermediary or an insurance intermediary acting on an ancillary basis is in breach of the provisions of Chapters V and VI of this Title, Title II of this Book and Articles L. 112-2, L. 112-2-1 and L. 112-11, it may take appropriate measures to put an end to the breaches found.
II.-If the Autorité de contrôle prudentiel et de résolution considers that an insurance or reinsurance intermediary or an insurance intermediary on an ancillary basis who carries on business in France under the freedom of establishment regime is in breach of one of the obligations set out in Books I and V of this Code, and that it is not responsible for supervising this intermediary pursuant to Article L. 515-5, it shall inform the competent authority of the home Member State of its conclusions.
If, despite the measures taken by the home Member State to remedy the situation, or if such measures prove insufficient or are lacking, the insurance or reinsurance intermediary or the incidental insurance intermediary persists in acting in a manner prejudicial to the interests of policyholders in France or to the proper functioning of the insurance and reinsurance markets, the Autorité de contrôle prudentiel et de résolution may, after informing the competent authority of the home Member State, take appropriate measures to prevent further irregularities, including, insofar as is absolutely necessary, requesting the organisation which keeps the register referred to in I of Article L. 512-1, pursuant to I of article L. 514-4, to take steps to prevent the intermediary concerned from distributing new contracts in France. In such a case, it shall inform the European Insurance and Occupational Pensions Authority and may request the latter to provide assistance in accordance with Article 19 of Regulation (EU) No 1094/2010.
III. -Without prejudice to the provisions of II, where immediate action is necessary to protect the rights of policyholders and where equivalent measures in the home Member State are insufficient or lacking, the Autorité de contrôle prudentiel et de résolution or the body that keeps the register referred to in I of Article L. 512-1 shall take appropriate and non-discriminatory measures to prevent or penalise irregularities committed in France. These measures may, if necessary, go so far as to prevent the insurance or reinsurance intermediary or the incidental insurance intermediary concerned from distributing new contracts in France.
IV. -Any measure adopted by the Autorité de contrôle prudentiel et de résolution or by the body that keeps the register referred to in I of Article L. 512-1 pursuant to this article will be the subject of a reasoned decision that the Autorité will communicate to the insurance or reinsurance intermediary or the incidental insurance intermediary concerned. The Authority shall immediately communicate this decision to the competent authority of the home Member State, the European Insurance and Occupational Pensions Authority and the European Commission.
V.-Following notification by the competent authority of another Member State of a failure by an insurance or reinsurance intermediary or an insurance intermediary on an ancillary basis registered in France and carrying on business in that other State under the right of establishment to comply with the obligations laid down in Directive (EU) 2016/97 of the European Parliament and of the Council of 20 January 2016, the Autorité de contrôle prudentiel et de résolution shall, where appropriate and as soon as possible after examining the information communicated by its counterpart, take the appropriate measures to remedy the situation. It shall inform the competent authority that referred the matter to it of the measures taken.
