A particular attention is paid by regulator to the data privacy related issues as well as to specific issues raised by InsurTech, like price discrimination in connection with the insurance premiums.
InsurTech companies, which provide core insurance services, shall be authorized by the Institute for the Monitoring on the Insurances (Istituto per la Vigilanza sulle Assicurazioni – “IVASS”) under Section 13 of the Italian Private Insurance Code (Legislative Decree no. 209/2005 providing the Codice delle assicurazioni private –“ CAP”).
Moreover, insurance companies are required to maintain a minimum capital requirement.
Similarly, also companies providing brokering insurance services shall be authorized by the IVASS as insurance intermediaries under Section 112 of the Italian Insurance Code.
InsurTech services are commonly offered by several insurance companies and startups. In particular, IoT systems are used as well as the products based on the so called “Connected Insurance”. As shown by studies conducted by the think tank “Osservatorio Telematics Connected Insurance & Innovation” in the late 2015, almost 5 million Italian cars were provided with an insurance black box. This represented almost the 50% of the global market.