The European Insurance and Occupational Pensions Authority (EIOPA) has issued an Opinion to National Competent Authorities clarifying how existing insurance-sector rules should be interpreted and supervised when insurers use artificial intelligence (AI) systems. The supervisory expectations follow a risk-based and proportionate approach and are intended to support supervisory convergence and provide market clarity, without creating new requirements. The Opinion explains how technologically neutral governance and risk-management provisions in sectoral legislation, including the Insurance Distribution Directive and the Solvency II Directive, apply in the context of AI. To avoid regulatory complexity, AI systems classified as high-risk or prohibited under the European Union’s AI Act are excluded from the Opinion’s scope, including high-risk systems for risk assessment and pricing in life and health insurance. The framework highlights considerations such as data governance, record-keeping, fairness, cyber security, explainability and human oversight. EIOPA plans further, more detailed analysis of specific AI systems and emerging issues in insurance and will issue additional guidance where appropriate.
European Insurance and Occupational Pensions Authority 2025-08-06
European Insurance and Occupational Pensions Authority publishes Opinion guiding supervisors on AI governance under insurance sector legislation
The European Insurance and Occupational Pensions Authority (EIOPA) issued an Opinion to clarify the interpretation and supervision of insurance-sector rules when insurers use AI systems. The Opinion adopts a risk-based approach, excluding high-risk AI systems under the EU's AI Act, and emphasizes data governance, fairness, and human oversight. EIOPA plans further analysis and guidance on specific AI systems and emerging issues in insurance.