[eu]cite

Browse Glossary German Law

Home› Insurance› VAG (EN)

VAG (EN) 🇩🇪

VAG-EN · 402 sections

Part 1
General Provisions▸

Section 1Scope of application Section 2Public-law provident institutions Section 3Exceptions from the supervisory duty; power to issue a statutory instrument Section 4Determination of the supervisory duty Section 5Exemption from supervision Section 6Protection of designations Section 7Definitions Section 7aUnreliability of sanctioned persons

Part 2
Provisions for direct insurance and reinsurance▸

Division 1 · Authorisation and pursuit of business activity

Section 8Authorisation; segregation of classes of insurance Section 9Application Section 10Scope of the authorisation Section 11Refusal and restriction of authorisation Section 12Amendments to the scheme of operations and to enterprise agreements Section 13Portfolio transfers Section 14Conversions Section 15Business unrelated to insurance Section 15aResidential consumer credit agreements; power to issue a statutory instrument

Division 2 · Qualifying holdings

Section 16Holders of qualifying holdings Section 17Notification of qualifying holdings Section 18Prohibition or restriction of a qualifying holding Section 19Prohibition of the exercise of voting rights Section 20Examination of the holder Section 21Cooperation with the competent authorities in other member states or contracting states Section 22Power to issue a statutory instrument

Division 3 · Business organisation

Section 23General requirements for the business organisation; product approval process Section 24Requirements for persons who actually direct the undertaking or perform other key tasks Section 25Remuneration Section 26Risk management Section 27Own risk and solvency assessment Section 28External ratings Section 29Internal control system Section 30Internal audit Section 31Actuarial function Section 32Outsourcing Section 33Corresponding application of company-law provisions Section 34Power to issue a statutory instrument

Division 4 · General reporting duties

Section 35Duties of the auditor Section 35aDetermination of audit content Section 36Notification by the auditor to the supervisory authority; audit engagement Section 37Submission to the supervisory authority Section 38Accounting and audit of public-law insurance undertakings Section 39Power to issue a statutory instrument Section 40Solvency and financial condition report Section 41Non-publication of information Section 42Updating the solvency and financial condition report Section 43Information duties; calculations Section 43aReporting duties for the purpose of financial stability; power to issue a statutory instrument Section 44Forecast calculations Section 45Exemption from reporting duties Section 46Information duties towards the Federal Institute Section 47Notification duties

Division 5 · Insurance distribution

Section 48Requirements for insurance distribution Section 48aDistribution remuneration and avoidance of conflicts of interest Section 48bProhibition of special remuneration and commission rebating Section 48cPass-through requirement Section 49Clawback liability Section 50Remuneration for the mediation of substitutive health insurance contracts Section 50aRemuneration for the mediation of payment protection insurance Section 51Complaints about insurance intermediaries

Division 6 · Prevention of money laundering and terrorist financing

Section 52Obliged undertakings Section 53Internal safeguards Section 54General due diligence obligations in respect of the beneficiary Section 55Enhanced due diligence obligations Section 56Section 56

Division 7 · Cross-border business activity

Section 57Insurance business through branches or under freedom to provide services Section 58Establishment of a branch Section 59Commencement of business under freedom to provide services Section 60Statistical particulars on cross-border activities Section 61Business activity through a branch or under freedom to provide services Section 62Supervision of business activity Section 63Portfolio transfers Section 64Individual underwriters associated at Lloyd's Section 65Branch Section 66Freedom to provide services; co-insurance Section 66aCorresponding application of the EU passporting regime Section 67Authorisation; segregation of classes of insurance Section 68Branch; general representative Section 69Application; procedure Section 70Relief for undertakings already authorised in another member state or contracting state Section 71Revocation of authorisation Section 72Insurance of domestic risks Section 73Portfolio transfer

Division 1 · Solvency balance sheet

Section 74Valuation of assets and liabilities Section 75General provisions on the establishment of technical provisions Section 76Value of the technical provisions Section 77Best estimate Section 78Risk margin Section 79General principles for calculating the technical provisions Section 80Matching adjustment to the relevant risk-free interest rate term structure Section 81Calculation of the matching adjustment Section 82Volatility adjustment Section 83Technical information to be taken into account Section 84Further matters to be taken into account in calculating the technical provisions Section 85Financial guarantees and contractual options in insurance contracts Section 86Amounts recoverable from reinsurance contracts and from special purpose vehicles Section 87Comparison against experience Section 88Powers of the supervisory authority in respect of technical provisions; power to issue a statutory instrument

Division 2 · Solvency requirements

Section 89Own funds Section 90Approval of ancillary own funds Section 91Classification of items of own funds Section 92Criteria for classification Section 93Classification of certain items of own funds Section 94Own funds to comply with the Solvency Capital Requirement Section 95Own funds to comply with the Minimum Capital Requirement Section 96Determination of the Solvency Capital Requirement Section 97Calculation of the Solvency Capital Requirement Section 98Frequency of calculation Section 99Structure of the standard formula Section 100Structure of the Basic Solvency Capital Requirement Section 101Non-life underwriting risk module Section 102Life underwriting risk module Section 103Health underwriting risk module Section 104Market risk module Section 105Counterparty default risk module Section 106Equity risk sub-module Section 107Capital requirement for operational risk Section 108Adjustment for the loss-absorbing capacity of technical provisions and deferred taxes Section 109Deviations from the standard formula Section 110Material deviations from the assumptions underlying the standard formula calculation Section 111Use of internal models Section 112Internal models in the form of partial models Section 113Responsibility of the management board; involvement of third parties Section 114Failure to meet the requirements for the internal model Section 115Use test Section 116Statistical quality standards for probability distribution forecasts Section 117Other statistical quality standards Section 118Calibration standards Section 119Profit and loss attribution Section 120Validation standards Section 121Documentation standards Section 122Determination of the Minimum Capital Requirement; power to issue a statutory instrument Section 123Calculation cycle; reporting duties

Division 3 · Investments; tied assets

Section 124Investment principles Section 125Tied assets Section 126Asset register Section 127Allocations to the tied assets Section 128Trustee for the tied assets Section 129Securing the tied assets Section 130Withdrawal from the tied assets Section 131Power to issue a statutory instrument

Division 4 · Insurance undertakings in special situations

Section 132Identification and notification of a deteriorating financial situation Section 133Inadequate level of technical provisions Section 134Non-compliance with the Solvency Capital Requirement Section 135Non-compliance with the Minimum Capital Requirement Section 136Recovery plan and financing plan Section 137Progressive deterioration of solvency

Division 1 · Life insurance

Section 138Premium calculation in life insurance; equal treatment Section 139Surplus participation Section 140Provision for premium refunds Section 141Appointed actuary in life insurance Section 142Trustee in life insurance Section 143Special notification duties in life insurance Section 144Information in occupational retirement provision Section 145Power to issue a statutory instrument

Division 2 · Health insurance

Section 146Substitutive health insurance Section 147Other health insurance Section 148Long-term care insurance Section 149Premium loading in substitutive health insurance Section 150Credit to the ageing provision; direct credit Section 151Surplus participation of the insured Section 152Standard tariff Section 153Emergency tariff Section 154Risk equalisation Section 155Premium changes Section 156Appointed actuary in health insurance Section 157Trustee in health insurance Section 158Special notification duties in health insurance; benefits under the standard and emergency tariffs Section 159Statistical data Section 160Power to issue a statutory instrument

Division 3 · Other non-life insurance

Section 161Accident insurance with premium refund Section 162Premium reserve for liability and accident annuities Section 163Claims representatives in motor vehicle liability insurance Section 164Claims handling in legal expenses insurance

Division 4 · Reinsurance

Section 165Reinsurance undertakings in run-off Section 166Portfolio transfers; conversions Section 167Finite reinsurance Section 168Insurance special purpose vehicles Section 169Reinsurance undertakings with their registered office in another member state or contracting state Section 170Power to issue a statutory instrument Section 171Legal capacity Section 172Application of commercial law provisions Section 173Articles of association Section 174Company name Section 175Liability for obligations Section 176Membership Section 177Equal treatment Section 178Founders' fund Section 179Contributions Section 180Contribution obligation of departed or newly joined members Section 181Prohibition of set-off Section 182Levying of apportionments and additional calls Section 183Notices Section 184Organs Section 185Registration with the commercial register Section 186Documents for the application Section 187Entry Section 188Management board Section 189Supervisory board Section 190Liability for damages Section 191Highest representative body Section 192Rights of minorities Section 193Loss reserve Section 194Use of the surplus Section 195Amendment of the articles of association Section 196Entry of the amendment of the articles of association Section 197Amendment of the general terms of insurance Section 198Dissolution of the association Section 199Dissolution resolution Section 200Portfolio transfer Section 201Loss of membership Section 202Registration of the dissolution Section 203Winding-up Section 204Winding-up procedure Section 205Redemption of the founders' fund; distribution of assets Section 206Continuation of the association Section 207Contribution obligation in insolvency proceedings Section 208Ranking of insolvency claims Section 209Additional calls and apportionments in insolvency proceedings Section 210Smaller associations

Division 1 · Small insurance undertakings

Section 211Small insurance undertakings Section 212Applicable provisions Section 213Solvency Capital Requirement and Minimum Capital Requirement Section 214Own funds Section 215Investment principles for tied assets Section 216Notification duties Section 217Power to issue a statutory instrument

Division 2 · Death benefit funds

Section 218Death benefit funds Section 219Applicable provisions Section 220Power to issue a statutory instrument

Part 3
Protection funds▸

Section 221Compulsory membership Section 222Maintenance of the insurance contracts Section 223Protection funds Section 224Delegation to private entities Section 225Supervision Section 226Financing Section 227Accounting of the protection fund Section 228Duties of cooperation Section 229Exclusion Section 230Duty of confidentiality Section 231Means of coercion

Part 4
Occupational retirement provision institutions▸

Division 1 · Distinction from other life insurance undertakings

Section 232Pension funds Section 233Regulated pension funds Section 234Particular features of the business activity not relating to business organisation

Division 2 · Particular features of business organisation

Section 234aSupplementary general provisions Section 234bSpecial provisions on key functions Section 234cRisk management Section 234dOwn-risk assessment Section 234eSupplementary provisions on outsourcing

Division 3 · Particular features relating to financial resources

Section 234fGeneral Section 234gSolvency Capital Requirement, Minimum Capital Requirement, and own funds Section 234hSupplementary general investment principles Section 234iInvestment policy Section 234jSpecial provisions on tied assets

Division 4 · Information duties to prospective and current beneficiaries

Section 234kRequirements for information to be provided Section 234lGeneral information on a retirement provision scheme Section 234mInformation for prospective beneficiaries at the start of the pension relationship Section 234nInformation before joining a retirement provision scheme Section 234oInformation for prospective beneficiaries during the accrual phase Section 234pInformation for current beneficiaries

Division 5 · Powers to issue statutory instruments

Section 235Powers to issue statutory instruments on financial supervision Section 235aPower to issue a statutory instrument on the information duties

Chapter 2 · Pension Funds (Pensionsfonds)

Section 236Pensionsfonds Section 237Applicable provisions Section 238Financial resources Section 239Capital investment Section 240Power to issue a statutory instrument

Chapter 3 · Cross-border activity of institutions for occupational retirement provision and cross-border transfer of portfolios

Section 241Cross-border activity Section 242Cross-border activity of pension funds and Pensionsfonds Section 243Cross-border activity of institutions whose home state is another member or contracting state Section 243aTransfer of portfolios to a pension fund or a Pensionsfonds Section 243bTransfer of portfolios to an institution whose home state is another member or contracting state Section 244Section 244

Part 4a
Pure defined-contribution commitments in occupational retirement provision▸

Section 244aScope Section 244bObligations Section 244cTied assets Section 244dPower to issue a statutory instrument

Part 5
Groups▸

Chapter 1 · Supervision of insurance undertakings in a group

Section 245Scope of application of group supervision Section 246Scope of group supervision Section 247Ultimate parent undertaking at the level of the member or contracting states Section 248Ultimate parent undertaking at national level Section 249Parent undertakings covering several member or contracting states Section 250Monitoring of group solvency Section 251Frequency of calculation Section 252Determination of the method Section 253Taking into account the proportional share Section 254Exclusion of multiple use of eligible own funds Section 255Exclusion of intra-group creation of capital Section 256Related insurance undertakings Section 257Intermediate insurance holding companies Section 258Related insurance undertakings of a third country Section 259Related credit institutions, investment firms, and financial institutions Section 260Unavailability of the necessary information Section 261Consolidation method Section 262Internal model for the group Section 263Capital add-on for a group undertaking Section 264Capital add-on for the group Section 265Deduction and aggregation method Section 266Group solvency in the case of an insurance holding company or a mixed financial holding company Section 267Conditions for subsidiary undertakings of an insurance undertaking Section 268Supervision in the case of centralised risk management Section 269Determination of the Solvency Capital Requirement of the subsidiary undertaking Section 270Non-coverage of the capital requirements of the subsidiary undertaking Section 271End of the exemption for a subsidiary undertaking Section 272Subsidiary undertakings of an insurance holding company or a mixed financial holding company

Division 2 · Risk concentration and intra-group transactions

Section 273Monitoring of risk concentration Section 274Monitoring of intra-group transactions

Division 3 · Business organisation, reporting duties

Section 275Supervision of the governance system Section 276Mutual exchange of information Section 277Report on the solvency and financial condition of the group Section 278Group structure Section 279Competence for group supervision Section 280Determination of the group supervisory authority Section 281Tasks and powers of the group supervisory authority Section 282Exemption from reporting at group level Section 283College of supervisors Section 284Cooperation in group supervision Section 285Mutual consultation of supervisory authorities Section 286Cooperation in respect of related undertakings Section 287Enforcement measures

Chapter 4 · Third countries

Section 288Parent undertakings with their registered office in a third country Section 289Equivalence Section 290Absence of equivalence Section 291Level of supervision

Chapter 5 · Insurance holding companies and mixed financial holding companies

Section 292Intra-group transactions Section 293Supervision

Part 6
Supervision: tasks and general powers, organisation▸

Chapter 1 · Tasks and general provisions

Section 294Tasks Section 295Competent authority in relation to EU regulations Section 296Principle of proportionality Section 297Discretion Section 298General supervisory powers Section 299Extension of supervisory powers Section 300Amendment of the scheme of operations Section 301Capital add-on Section 302Prohibition of a participation Section 303Removal of persons with key functions, warning Section 303aProhibition on activity for natural persons Section 304Revocation of authorisation Section 305Questioning, duty to provide information Section 305aPowers and measures against supervised contributors and users of indices within the meaning of Regulation (EU) 2016/1011 Section 306Entering and searching premises; seizure Section 306aPursuit of unauthorised insurance business Section 306bAccount information system Section 307Special commissioner Section 308Unauthorised insurance business Section 308aMeasures against PRIIP manufacturers and PRIIP sellers Section 308bMeasures concerning the granting of residential real estate loans; power to issue a statutory instrument Section 308cMeasures in the event of breaches of Regulation (EU) 2017/2402 Section 308dSpecial powers under Regulation (EU) 2022/2554 Section 309Duty of confidentiality Section 310Ancillary provisions; exclusion of suspensive effect Section 310aElectronic transmission; power to issue a statutory instrument

Chapter 2 · Protective measures

Section 311Notification of insolvency Section 312Opening of insolvency proceedings Section 313Informing creditors Section 314Prohibition of payments; reduction of benefits Section 315Treatment of insurance claims Section 316Extinction of certain insurance contracts Section 317Curator in the event of insolvency

Chapter 3 · Publications

Section 318Publications Section 319Publication of measures Section 319aPublication of measures and sanctions for breaches of Regulation (EU) 2015/2365, Regulation (EU) 2016/1011, Regulation (EU) 2017/2402, or Regulation (EU) 2022/2554

Division 1 · Federal supervision

Section 320Federal Financial Supervisory Authority Section 321Transfer of supervision to a Land supervisory authority Section 322Transfer of supervision to the Federal Institute Section 323Procedure Section 324Cooperation between the supervisory authorities Section 325Insurance Advisory Council

Division 2 · Supervision within the European Economic Area

Section 326General principles for cooperation between the supervisory authorities Section 327Cooperation in on-site examinations Section 328Service of documents Section 329Cooperation with the European Insurance and Occupational Pensions Authority Section 330Notifications to the European Commission

Part 7
Criminal and regulatory offence provisions▸

Section 331Criminal provisions Section 332Regulatory offence provisions Section 333Competent administrative authority Section 334Involvement of the supervisory authority and notifications in criminal matters

Part 8
Transitional and final provisions▸

Section 335Continuation of business operations Section 336Continued validity of approved schemes of operations in life insurance Section 337Trustee in health insurance Section 338Surcharge in health insurance Section 339Partial-portfolio provisions in accident insurance Section 340Grandfathering for reinsurance undertakings Section 341Report on solvency and financial condition Section 342Compliance with the Minimum Capital Requirement Section 343Discontinuation of business operations Section 344Time limits for reporting and disclosure duties Section 345Own funds Section 346Section 346 Section 347Standard parameters Section 348Solvency Capital Requirement Section 349Internal partial group model Section 350Group provisions Section 351Risk-free interest rates Section 352Technical provisions Section 353Plan for the phasing-in of transitional measures for risk-free interest rates and technical provisions Section 354Review of long-term guarantees and measures on equity risk Section 355Decisions of the supervisory authority on the occasion of the entry into force of this Act Section 356Transitional provision on section 35(1), first sentence, points 5 to 8 Section 357Transitional provision on the Financial Market Integrity Strengthening Act Section 358Transitional provision on the Act Supplementing and Amending the Provisions on the Equal Participation of Women in Leadership Positions in the Private Sector and in the Public Service Section 359Transitional provision on the Act on the Introduction of Virtual General Meetings of Stock Corporations and the Amendment of Cooperative, Insolvency, and Restructuring Law Provisions Section 360Transitional provision on the Financial Market Digitalisation Act

Part 8 · Transitional and final provisions › Section 346

Section 346

(repealed)

← Previous Section 345 Own funds Next → Section 347 Standard parameters

←→ also move between sections

EU legislation sourced from the Official Journal of the European Union via EUR-Lex; German federal statutes sourced from gesetze-im-internet.de (Bundesministerium der Justiz / Bundesamt für Justiz). eucite is an independent reference index, not an official publication of either — always confirm against the official source for legal purposes.