The Brazilian Superintendence of Private Insurance (SUSEP) published an overview of the enactment of Complementary Law 213/2025, which reforms Brazil’s National Private Insurance System by establishing rules for insurance cooperatives and mutualistic property protection operations and by widening SUSEP’s supervisory and enforcement toolkit, including the use of terms of commitment and updates to sanctioning procedures. Under the law, insurance cooperatives that previously could operate only in agricultural, health, and workplace accident insurance may operate in any private insurance line, except those that may be expressly prohibited by specific regulation. The framework also creates “administrators of mutualistic property protection operations”, structured as corporate entities that manage the assets and interests of mutual protection groups organised through associations; these associations must contract an administrator subject to SUSEP supervision. New entrants are brought under the regulatory and supervisory remit of the National Council of Private Insurance (CNSP) and SUSEP and may operate only with prior SUSEP authorisation. The law also embeds objectives including consumer protection and socio-environmental and climate sustainability, reinforces proportional regulation and supervision based on size, risk profile and systemic relevance, recognises infrastructure operators (registrars and SPOCs), and expands SUSEP’s powers, including sanctions such as disqualification for two to 20 years and fines of up to BRL 35 million, as well as instruments such as precautionary measures and supervision focused on preventive correction. Implementation will depend on SUSEP authorisation for new operators and on any subsequent specific regulation that may set out insurance lines that are prohibited for cooperatives.

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