The European insurance industry strongly supports the aim of the Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation to provide consumers with a clear understanding of different investment products through the Key Information Document (KID). However, the final draft Regulatory Technical Standards (RTS) submitted by the European Supervisory Authorities (ESAs) to the European Commission on 7 April 2016 will not achieve this aim. As they stand, the final draft RTS will mislead consumers trying to compare different PRIIPs on the market.
Insurance Europe's new paper outlines the industry's serious concerns over issues with the technical content of the RTS. It covers issues with the risk indicator, performance scenarios, presentation of costs, PRIIPs offering a range of options for investments and the scope of the RTS. Insurance Europe calls on EU policymakers to to resolve these technical issues now by amending the text of the RTS, to ensure that consumers are properly informed and able to compare the different PRIIPs available.