INSURANCE AND OPEN SUPPLEMENTARY SOCIAL SECURITY
1) BILL 3139/2015
The Special Private Insurance Commission held on November 9 the second public hearing to discuss the Bill 3139/15, proposed by representative Lucas Vergílio (SD political party-State of Goiás), which provides for the National Private Insurance System.
According to the bill, only corporations or cooperatives may operate in the field of private insurance and provided that authorized by the entity that supervises the insurance market.
The bill also prohibits associations, cooperatives, benefits clubs, individuals and entities from executing insurance contracts or selling products providing coverage, reimbursement, and indemnity for any purposes, including those similar to damage or personal insurance.
As already indicated in other information reports, the Bill is a good initiative. However, the need to reaffirm that a governmental authorization is required for an entity to operate as an insurer is regrettable. Such rule arises from the legislation currently in effect, and it has been consistently disobeyed by associations and other types of entities.
2) BILL 29/2017
The Constitution, Justice and Citizenship Commission of the Federal Senate held, on 12/7/2017, a public hearing to discuss the Bill 29/2017, which provides for the insurance contract.
João Marcelo dos Santos, founding partner of Santos Bevilaqua Advogados, represented Fenaber - Federação Nacional das Empresas de Resseguro (National Association of Reinsurers) at the hearing and emphasized that Fenaber considers the Bill harmful to the insurance and reinsurance market, especially because (i) it makes large and small insureds equivalent, (ii) it improperly interferes with several aspects of the reinsurance contract and the reinsurance activity, and (iii) it improperly interferes with loss adjudication. To watch the recording...