On Thursday 24 May, the European Commission proposed a reform of the European rules on car insurance, in particular to tackle the problem of insolvent insurance companies.
The proposal includes the creation, in each member state, of a compensation fund financed by national insurers, which would act in place of the insolvent insurer. In cross-border situations, the victim would be compensated directly by the national fund of the state in which the accident took place, which will in turn be...