Brussels, 28/09/2005 (Agence Europe) - The Association Internationale de la Mutualité (AIM), The International Association of Mutual Insurance Companies (AISAM) and the Association of European Co-Operative and Mutual Insurers (AECI) regretted the fact that European Commission has proposed the withdrawal of the proposed regulation on the status of European mutual insurers as part of its "Better Regulation" initiative (see EUROPE 9036). "Further to Allianz's announcement of its intention to create a European company, the mutual insurance sector has been calling on the Member States to put an end to discrimination in the insurance sector and to relaunch the process relating to a European status for mutuality", state AISAM and AECI in a press release. They feel that the absence of such a status constitutes "an obstacle to the growth of the sector, and stops mutual insurers from adopting a more European approach by developing their cross-border markets". "It is wrong to believe that the work of the Commission on mutuals has come to a halt", states the AIM, referring to the consultation document of November 2003 on the mutual insurance companies in an enlarged Europe, adding: "a European status for mutual insurers would allow these organisations to maintain a legal form putting solidarity and non-exclusion and the forefront of its organisation".
The mutual insurance sector represents some 20% of the European insurance market. Out of the 80 largest European companies, mutuals cover 80 million insurance holders and employ 200,000 people.