Who sells what, how, and to whom? These are the questions answered by the IDD mapping, a survey conducted by the FSMA to better understand insurance distribution in Belgium. This report, focused on the years 2022 and 2023, provides a comprehensive overview of the players, products, distribution channels, and compliance with the conduct rules imposed by the European IDD directive. Here are the key findings:
A market dominated by Belgian players
- The majority of insurers active in Belgium are Belgian companies (53 in 2023) compared to 33 branches of European insurers.
- 85% of foreign branches come from neighboring countries (France, Luxembourg, Germany, Netherlands).
- In addition to branches, 767 European insurers operate without a permanent establishment via the freedom to provide services, notably in life insurance products (strong Luxembourg presence).
Activity focused on non-life insurance
- 68% of companies are active only in non-life insurance, 16% only in life insurance, and 16% in both.
- 37 companies are also active in collective insurance (groups, clubs, companies…).
Distribution mostly with advice
Most insurers offer personalized advice during distribution, sometimes with periodic assessment of suitability, especially for investment-based insurance products (IBIPs).
Varied distribution networks, brokers in the lead
- 80% of insurers use brokers, often in large numbers (over 1,000 for some).
- Agents (tied or untied) come in second.
- Employee networks are rarely used.
- About 20% of companies use a banking partner (bancassurance).
- The use of mandated underwriters, accessory intermediaries, and client introducers remains marginal but is growing.
Remote distribution remains essentially human
Despite digitalization, written means (email, mail) and telephone with a real interlocutor remain predominant.
This FSMA report provides an in-depth snapshot of insurance distribution in Belgium. It highlights the market structure, distribution practices, types of services provided, and the regulatory framework in place. An essential tool to monitor sector evolution and ensure consumer protection.