aA
The Bank of Lithuania has proposed regulations for the insurance investment market, aimed at strengthening consumer protection and capping how much insurance companies can charge for asset management.
Bank of Lithuania
Bank of Lithuania
© DELFI / Šarūnas Mažeika

The central bank said that an investigation had revealed that insurers included hidden charges into insurance policies, which shave off a considerable amount of investment earnings.

Bank of Lithuania wants that all charges be explicitly stated in insurance investment contracts. Moreover, insurers that do not manage assets would not be allowed to charge for the service.

Insurers would only be allowed to charge a contract discontinuation fee of no more than €50.

Insurers insist that European Union countries do not regulate prices in the insurance market, while the Bank of Lithuania says the rules are meant to level the field for insurers and clients.

Consumer protection groups have also said that the market lacked transparency and regulation, allowing service providers to exploit clients.

The Bank of Lithuania has presented the bill to the Ministry of Finance.

|Populiariausi straipsniai ir video

Lithuania mulls setting up virtual flag airline

The Lithuanian Transport Ministry proposes to set up a virtual flag carrier to reduce the country's...

Lithuania provides assistance to Belarus to fight COVID-19

On 3 June, in response to Belarus’ request for international assistance, the Government adopted a...

Foreign minister: EU's external borders unlikely to open until late June

The European Union 's external borders may remain closed until late June, Lithuanian Foreign...

3 new coronavirus cases in Lithuania

On Wednesday, 3 new COVID-19 cases were detected in Lithuania. Overall, Lithuania has already...

Lithuania gives nod to relaunch flights to 3 more countries

The government on Wednesday gave the green light for airlines to relaunch regular flights from...

Top news

Foreign minister: EU's external borders unlikely to open until late June

The European Union 's external borders may remain closed until late June, Lithuanian Foreign...

Lithuania mulls setting up virtual flag airline

The Lithuanian Transport Ministry proposes to set up a virtual flag carrier to reduce the country's...

Colombian student in Vilnius: once you go to other countries, you open a door that may be difficult to close

Colombian student Jorge Andres Agudelo Zuniga came to Vilnius in 2018 for studies via Australia. He...

Actor Gediminas Girdvainis passes away

Lithuanian theater and film actor Gediminas Girdvainis died at the age of 76 on Wednesday, the head...

3 new coronavirus cases in Lithuania

On Wednesday, 3 new COVID-19 cases were detected in Lithuania. Overall, Lithuania has already...

|Maža didelių žinių kaina