Editions:  Austria · Denmark · France · Germany · Italy · Norway · Spain · Sweden · Switzerland

BaFin orders insurers to disclose bank holdings

Share this article

BaFin orders insurers to disclose bank holdings
Photo: DPA
15:30 CEST+02:00
The German financial watchdog BaFin has ordered insurers to disclose the exact amount of their financial investments with banks by next month, the Financial Times Deutschland reported Monday.

Amid concern Europe's simmering sovereign debt crisis could hit the insurance industry, the BaFin has ordered insurers to quantify and specify all forms of capital investment with financial institutions and specify whether they hold covered or uncovered bonds, the newspaper said.

A similar survey was conducted in the spring when BaFin found the ten largest insurers have up to 55 percent of their financial investments with banks, it added.

"There's a risk of contagion," Finance Ministry official Rolf Wenzel told the FTD, referring to the exposure of German banks to European debt.

But a BaFin spokesman said the measure was a regular survey without specific impetus from the financial crisis. "We do this at regular intervals and without a concrete reason," he said.

FTD said companies in the sector were concerned BaFin could pressure insurers to scale back their investments with banks so as to reduce the risk of contagion.

AFP/DPA/The Local/mry

Get notified about breaking news on The Local

Share this article

The Local is not responsible for content posted by users.
Become a Member or sign-in to leave a comment.

From our sponsors

Change the world with a master's degree from Sweden's Linköping University

Master's students at world-leading Linköping University (LiU) aren't there simply to study. They solve real-world problems alongside experts in fields that can create a better tomorrow. Do you have what it takes to join them?