Our Mission and Functions
The AFA´s mission in the insurance and reinsurance sector is that stipulated by Law 12/2017, June 22nd, on the governing and monitoring of insurance and reinsurance in the Principality of Andorra (hereinafter, Law 12/2017), Llei 12/2017, del 22 de juny, d’ordenació i supervisió d’assegurances i reassegurances del Principat d’Andorra (Llei 12/2017), and among others has the following objectives:
- To promote and ensure the smooth running of the Andorran insurance and reinsurance system.
- To ensure the safeguarding, stability and reputation of the Andorran insurance and reinsurance system, and to promote confidence in said system.
- To ensure transparency and promote the orderly development of the insurance and reinsurance systems, as well as to protect the rights of policyholders, insured persons and beneficiaries.
- To promote the competitiveness of Andorra's insurance and reinsurance systems both nationally and internationally.
- To carry out the necessary actions that the exercise of its functions requires.
The AFA excercices the following functions in terms of supervision and control of the insurance and reinsurance sector:
- Supervise and control the insurance and reinsurance market in Andorra. To achieve that, the AFA must prepare regulation or guidelines to disclose the criteria that entitles the aforementioned powers of supervision and control. In this sense, it can assume or adapt the regulation or guidelines emanating from the European Insurance and Occupational Pensions Authority.
- Instruct the files and resolve the authorization requests referred to in the Law 12/2017.
- Instruct and resolve the revocation of authorizations files referred to in the Law 12/2017.
- Instruct the disciplinary proceedings referred to in the Law 12/2017, and also resolve them except in cases in which this resolution is attributed to another body or entity.
- Instruct and resolve administrative dissolution proceedings of entities.
- Issue circulars, instructions and mandatory technical communiquées in the matters to which the Law 12/2017 refers.
- Create institutions to support the sector.
- Analyze, study and follow the evolution of the insurance and reinsurance market and, in particular, carry out qualitative impact studies to allow an adequate adaptation of the insurance and reinsurance sector to regulatory changes and to have a better knowledge of the market by the AFA and, if applicable, to help on the application of the corresponding corrective measures.