• Extension of scope – the Insurance Mediation Directive (IMD) currently applies to insurance intermediaries only.  The IDD will extend the scope of the regulatory framework to encompass both the intermediate and direct sale of insurance products, including proportionate requirements for entities which sell insurance products on an ancillary basis.
• Enhanced Professional Requirements – the IDD will set higher professional standards for those involved in the distribution of insurance products to ensure that the sellers' competency is sufficient, taking into account the nature and complexity of the products being sold.
• Increased transparency in pre-contractual dealings – insurance intermediaries will be required to disclose the nature and basis upon which their remuneration is received for distributing insurance products on behalf of an undertaking (including whether commission is received).  Where an insurance product is offered with another service or as part of a package, the distributor must inform the customer whether it is possible to purchase the different components separately. 
  

Please click here to view the text of the IDD.