Latvia's Ministry of Finance has drafted amendments to the Insurance and Reinsurance Distribution Law to update the supervisory and conduct framework for insurance and reinsurance distributors, with the stated aims of supporting market development and competition while strengthening customer protection. The package proposes improvements to supervision and professional requirements for insurance and reinsurance distributors, clarifies registration requirements for insurance brokers and agents, and adjusts the volume of information to be submitted in the supervisory process to support more targeted oversight. It also reflects changes in the market since the law took effect, including increased digital distribution and new directly applicable European Union rules, particularly sustainability-related requirements affecting the sale of insurance-based investment products and related disclosures. Separately, it proposes revisiting the annual supervision fee for brokers and branches of brokers registered in other EU member states operating in Latvia, which is currently set at EUR 150 to EUR 1,000 and is described as no longer covering supervisory costs given inflation and actual resource needs.

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