What Brexit means for customers with a life or income protection plan
Additional information on the contingency measures we have taken to protect our customers with a life or income protection plan, should a Hard Brexit occur and the United Kingdom leaves the European Union without a deal.
The UK is leaving the European Union
Our life and income protection plans, for both individual and business customers, are provided by William Russell Ltd. and insured by AWP Health & Life SA (an insurance company in France that is also part of the Allianz group).
This arrangement is made possible by European Union (EU) Freedom of Services, one of the Four Freedoms of the European Single Market:
- William Russell Ltd. is an insurance intermediary regulated by the Financial Conduct Authority in the UK. As a regulated company in an EU member state, we enjoy passporting rights that permit us to offer insurance plans to customers who are resident in other member states of the European Economic Area (EEA).
- Similarly, AWP Health &Life SA enjoys passporting rights that permit it to insure customers in the UK and other member states of the EEA.
If the UK leaves the European Union without a withdrawal agreement or transitional period (i.e. a ‘Hard Brexit’ or ‘no-deal Brexit’), the Freedom of Services between the UK and other members states of the EEA will come to an end. Hence, the passporting rights previously enjoyed by William Russell and AWP Health & Life SA will no longer apply.
What we are doing to protect our customers in the UK
The financial services regulatory authorities in the UK have established a temporary arrangement that will permit insurance companies based in the EEA that previously enjoyed passporting rights into the UK to continue insuring customers in the UK after Brexit, provided those insurance companies have applied to the Prudential Regulatory Authority for authorisation.
This arrangement is known as the Temporary Permissions Regime (TPR). It intended to allow insurance companies and other financial service providers to continue to provide services in the UK whilst negotiations for a trade agreement between the UK and the EU take place, and it will remain in place for a minimum of three years.
AWP Health & Life SA has entered the TPR, for life and income protection insurance and has obtained the appropriate authorisations from the Prudential Regulatory Authority in the UK to continue insuring customers with life and income protection plans who are resident in the UK after Brexit. AWP Health & Life SA will therefore continue to be your insurer if there is a Hard Brexit.
What we are doing to protect our customers around the world
No matter where you reside, and no matter what happens with Brexit, your plan will continue to be insured by AWP Health & Life SA. This will be confirmed in your next renewal letter. Your coverage and the benefits of your plan will not change because of Brexit.
We’ve established a subsidiary company in Belgium called William Russell Europe SRL, which is authorised and regulated by the Belgian Financial Services & Markets Authority. Under EU Freedom of Services, William Russell Europe SRL enjoys passporting rights that permit us to offer insurance plans to customers who are resident in other member states of the EEA.
From the renewal date stated on your Certificate of Insurance, the company details for William Russell will change from William Russell Ltd. to William Russell Europe SRL. Although William Russell Europe SRL is based in Belgium, services will continue to be provided from the UK. This will be confirmed in your next renewal letter. Your coverage and the benefits of your plan will not change because of Brexit.
We will implement this contingency measure only if there is a Hard Brexit. If a withdrawal agreement is reached between the UK and the EU and passes successfully through the UK Houses of Parliament as legislation, or if an extension to Article 50 is agreed between the UK and EU, this measure will be unnecessary. That is, of course, unless and until there is a Hard Brexit at some later date.
What do you need to do?
You do not need to take any action. We are providing this notice to keep you informed of the contingency measure we have taken to protect our customers. We will contact you when your life or income protection plan is due for renewal to confirm your renewal terms.