There is no guarantee that insurance and derivative contracts won't be disrupted after EU , despite UK and the European Union ( EU ) agreeing on a "standstill" transition period, according to the EU . Without transition, it would be illegal in some cases to make payouts on insurance contracts or amend derivatives contracts after March. This is because such an agreement is subject to ongoing negotiations, said Valdis Dombrovskis , The Bank of England financial services chief. EU said £82bn ($ 110bn ) of insurance liabilities and 48 million policyholders could be affected across the Britain and the EU , while derivatives worth £ 26tn could be affected too. Banks and insurers have called on the EU to agree to a "grandfathering" system, whereby existing contracts run their course.
There is no guarantee that insurance and derivative contracts won't be disrupted after EU , despite UK and the European Union ( EU ) agreeing on a "standstill" transition period, according to the EU . This is because such an agreement is subject to ongoing negotiations, said Valdis Dombrovskis , The Bank of England financial services chief. EU said £82bn ($ 110bn ) of insurance liabilities and 48 million policyholders could be affected across the Britain and the EU , while derivatives worth £ 26tn could be affected too. Banks and insurers have called on the EU to agree to a "grandfathering" system, whereby existing contracts run their course.