On September 11, 20202, a resolution of the Council of Ministers of the Republic of Belarus was adopted, which amended the procedure for transferring obligations by insurance companies under voluntary insurance contracts, insurance reserves and fund balances of preventive measures to other insurance companies, according to the website of the Ministry of Finance.

These changes take into consideration insurers' experience of transferring insurance portfolios and the amendments to the legislation on insurance and licensing. For example, the list of requirements for an insurance company, that is accepting obligations under voluntary insurance contracts, has been reduced; the list of mandatory data that a notification on the transfer of obligations, sent by the transferring company to policyholders, has been specified; an insurance company that is accepting obligations under voluntary insurance contracts has been granted the right to receive information from the Ministry of Finance on compliance of the transferring insurance company with the insurance rules, etc.

Based on the experience of accepting obligations under reinsurance contracts, the resolution provides for a possibility, when transferring obligations under reinsurance contracts (if an insurance event is declared at the time of transferring obligations) for calculation of the reserves for declared but unsettled losses, to accept the whole amount of obligations transferred under the reinsurance contract.

The amendments to the procedure for transferring insurance portfolios, established by the said resolution, will enter into force on December 15, 2020, as the Ministry informed.