RegSol Blog

Central Bank of Ireland Feedback Statement – Consultation Paper 143: Differential Pricing

March 2022

This month saw the publication of the Central Bank of Ireland’s feedback statement on differential pricing. Not only was the feedback statement published but regulations giving effect to the proposals were passed.

Three core proposals were consulted on:
  1. Banning price walking in the motor and home insurance markets for personal consumers from 1 July 2022
  2. Requiring providers of motor and home insurance to personal consumers to review their pricing policies and processes annually
  3. Introducing new consumer consent and disclosure requirements to ensure the automatic renewal process is more transparent for all personal non-life insurance products.

The CBI outlined it would publish a Q&A document to aid firms with the implementation of the ban on price walking for consumers. The definition of consumers will be as per the Consumer Protection Code 2012.

Annual review and recording keeping were also addressed in the feedback statement with the CBI noting “It should be noted that this is not a requirement to review practices and processes more broadly. However, the Central Bank expects the Annual Review to be meaningful, that it is signed off at an appropriate level and that records are kept and available for review, if required.”

The Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) (Insurance Requirements) Regulations 2022, were also published this month with a commencement date of 1st July 2022.

You can access the regulations here:
Central Bank of Ireland S.I. No. 126 of 2022

you can access the feedback statement here:
Feedback Statement - Consultation Paper 143

By: Eilish Larkin - Regulatory Consultant