Phoenix Life Ltd, Re [2022] EWHC 2669 (Ch) (24 October 2022)

Phoenix Life Ltd, Re [2022] EWHC 2669 (Ch) (24 October 2022)

The court sanctioned the insurance business transfer scheme because all statutory and regulatory requirements were met, the scheme was necessary due to Brexit-related loss of passporting rights, there was no material adverse effect on policyholders or other stakeholders, and the scheme was fair and appropriate in all the circumstances. The opinions of the independent expert and regulators were given full weight, and objections raised by policyholders did not establish any real or significant risk.

Citation
[2022] EWHC 2669 (Ch)
Parties
Applicant/transferor: Phoenix Life Limited; Applicant/transferor: ReAssure Life Limited; Transferee: Phoenix Life Assurance Europe DAC
Jurisdiction
England and Wales
Judgment Date
24 October 2022
Procedural Posture
Insurance Business Transfer Scheme Sanction Application / Final Sanction Hearing
Outcome
Scheme sanctioned
Legal Topics
Insurance Business Transfer, Solvency II Compliance, Brexit Related Regulatory Change, Policyholder Protection, Cross Border Insurance Transfers
Insurance Law Financial Regulation Company Law Insurance Business Transfer Solvency II Compliance Brexit Related Regulatory Change Policyholder Protection Cross Border Insurance Transfers

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 5 Authorities cited 13 Party arguments 2 Amounts and remedies 19
Sign in to unlock

Parties

Phoenix Life Limited

Applicant/transferor

ReAssure Life Limited

Applicant/transferor

Phoenix Life Assurance Europe DAC

Transferee

Procedural Posture

Insurance Business Transfer Scheme Sanction Application / Final Sanction Hearing

Legal Issues

  1. 1 Whether the statutory requirements for sanctioning the insurance business transfer scheme under Part VII of the Financial Services and Markets Act 2000 are satisfied
  2. 2 Whether the scheme has a material adverse effect on policyholders or other stakeholders
  3. 3 Whether the scheme is appropriate in all the circumstances, including regulatory compliance and international recognition

Ratio Decidendi

The court sanctioned the insurance business transfer scheme because all statutory and regulatory requirements were met, the scheme was necessary due to Brexit-related loss of passporting rights, there was no material adverse effect on policyholders or other stakeholders, and the scheme was fair and appropriate in all the circumstances. The opinions of the independent expert and regulators were given full weight, and objections raised by policyholders did not establish any real or significant risk.

Court Disposition

Scheme sanctioned

Orders

  • Order sanctioning the insurance business transfer scheme under section 111 of FSMA
  • Order under section 112(1)(d) of FSMA for incidental, consequential, and supplementary matters to secure effective implementation of the scheme