ICOB 1.3 General application: where?

Except as set out in this section, ICOB 2 to ICOB 8 apply in relation to activities carried on from an establishment maintained by the firm (or its appointed representative) in the United Kingdom only.

In addition to the situation in ICOB 1.3.1 R, ICOB 4.2.19 R (Overseas business for UK retail customers) applies wherever the activity is conducted.

1. (1)

   1Notwithstanding ICOB 1.3.1 R, this rule sets out circumstances in which some or all of the rules in ICOB are disapplied for an insurer or a managing agent in relation to any non-investment insurance contract provided, or which may be provided, by it (or in the case of a managing agent, by members for whom it acts).

2. (2)

   ICOB does not apply if:

   1. (a)

      the intermediary (whether or not an insurance intermediary) in contact with the customer is not established in the United Kingdom; and

   2. (b)

      the customer is not habitually resident in, and, if applicable, the State of the risk is outside, an EEA State.

3. (3)

   A rule in ICOB which goes beyond the minimum required by Community legislation does not apply if the customer is habitually resident in (and, if applicable, the State of the risk is) an EEA State other than the United Kingdom, to the extent that the EEA State in question imposes measures of like effect.

Notwithstanding ICOB 1.3.1 R, the territorial scope of ICOB 3 (Financial promotion) is set out in ICOB 3.4 (Application: where?).

In addition to the situation in ICOB 1.3.1 R, but subject to ICOB 1.3.6 R, ICOB 5.5.20 R(1) to (3) (Directive-required information) and the other rules in ICOB 5 (in so far as they relate to such information) apply to firms in relation to business in respect of general insurance contracts if the State of the risk is the United Kingdom.

In addition to the situation in ICOB 1.3.1 R, but subject to ICOB 1.3.6 R, ICOB 5.5.20 R(4) to (15) and (22) (Directive-required information), the other rules in ICOB 5 (in so far as they relate to such information), and ICOB 6 apply to firms in relation to business in respect of non-investment insurance contracts which are pure protection contracts if the habitual residence of the customer is in the United Kingdom.

The rules in ICOB 1.3.4 R and ICOB 1.3.5 R do not apply with respect to an activity exclusively concerning a distance contract with a retail customer, if the following conditions are satisfied:

1. (1)

   the firm carries on the activity from an establishment maintained by the firm in an EEA State other than the United Kingdom;

2. (2)

   either that EEA State:

   1. (a)

      has implemented the DMD; or

   2. (b)

      has obligations in its domestic law corresponding to those provided for by the DMD;

3. (3)

   and, in either case, with the result that the obligations provided for by the DMD (or corresponding obligations) are applied by that EEA State when the firm carries on that activity; and

4. (4)

   the firm is a national of an EEA State or a company or firm mentioned in article 48 of the Treaty.

The territorial scope of this sourcebook is modified by ECO in relation to electronic commerce activities and electronic commerce communications.

1. (1)

   1In addition to ICOB 1.3.1 R, the provisions in ICOB 1.3.11 R apply to the passported activities carried on by a UK firm under the IMD from a branch elsewhere in the EEA unless the Host State regulator imposes measures which implement articles 12 and 13 of the IMD for those activities.

2. (2)

   Notwithstanding ICOB 1.3.1 R, the provisions in ICOB which implement articles 12 and 13 of the IMD do not apply to a UK firm providing cross border services in another EEA State under the IMD, except that:

   1. (a)

      the provisions in ICOB 1.3.11 R apply if the Host State regulator does not impose minimum measures which implement articles 12 and 13 of the IMD for those activities; and

   2. (b)

      the other provisions in ICOB relating to articles 12 and 13 of the IMD apply unless the Host State regulator imposes measures of like effect for those activities.

3. (3)

   Notwithstanding the other rules in this section, the only provisions in ICOB that apply to an incoming EEA firm carrying on passported activities under the IMD in the United Kingdom are:2

   1. (a)

      ICOB 1.3.8 R (Electronic commerce activities and communications) and ICOB 3 (Financial promotion); 2

      2
   2. (b)

      the provisions in ICOB 1.3.11 R if the firm's Home State regulator does not impose minimum measures which implement articles 12 and 13 of the IMD for those activities;

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   3. (c)

      the other provisions in ICOB relating to articles 12 and 13 of the IMD (beyond the minimum required to implement these articles) unless the firm's Home State regulator imposes measures of like effect for those activities; and2

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   4. (d)

      (if the activities are carried on from a branch in the UK and are in connection with a distance contract with a retail customer) the provisions in ICOB which implement the DMD in respect of a distance non-investment mediation contract, unless the firm'sHome State imposes measures which implement, or correspond to obligations provided for by, the DMD.2

1The provisions referred to in ICOB 1.3.10 R are:

1. (1)

   ICOB 4.2.2 R to ICOB 4.2.8 R, ICOB 4.2.11 R, ICOB 4.2.14 R and ICOB 4.2.20 R;

2. (2)

   ICOB 4.3;

3. (3)

   ICOB 4.4 (except ICOB 4.4.7 R); and

4. (4)

   ICOB 4.8.1 R.