As of 1 January 2019, membership of the Danish Guarantee Fund became a prerequisite for all non-life insurance companies in EU/EEA to carry out insurance business in Denmark, either by establishment of a branch or by freedom to provide services.
EU/EEA non-life insurance companies, which as of 1 January 2019 was registered as approved to carry out non-life insurance business in Denmark with the Danish Financial Supervisory Authority became a member of the Danish Guarantee Fund on 1 January 2019 and thus became obliged to contribute to the Danish Guarantee Fund in accordance with the Act.
In December 2020, the Danish Guarantee Fund has initiated legal actions against several UK insurance companies which, despite inquiries from both the Danish Financial Supervisory Authority and the Danish Guarantee Fund, have not paid the entrance fee and other contributions to the Danish Guarantee Fund and has not submitted the statutory declarations or otherwise registered in the Danish Guarantee Fund's IT system.
The cases are submitted in Denmark with reference to the venue provisions in the Judgment Ordinance.
The Danish Guarantee Fund is now awaiting the companies’ response to the Danish Guarantee Fund's claims.
