Management of Distribution Risks and Digital Transformation of Insurance Distribution—A Regulatory Gap in the IDD

The Insurance Distribution Directive (IDD) aims to regulate insurance distribution in the EU regardless of channels and means. Although new technologies affect distribution, IDD does not explicitly this digital transformation. Insurers intermediaries must comply with detailed business conduct rules that aim counteract risks. However, exempts ancillary from its scope when they meet certain conditions. article highlights regulatory framework on insurance, requiring insurers address risks, analyses how exemption affects management risks online a legal perspective. focus depends scale such can achieve. consideration allows for challenging political choice behind intermediaries, which consists principle proportionality. A proposal these adverse effects is remove distribution. Such compliant technological neutrality line legislative proposals Digital Services Act Markets Act.