Distribution law: Prohibition of activity for lawyers in the distribution of insurance policies and in the brokerage of occupational pension schemes (bAV)

*by Johannes Fiala, Lawyer (Munich), Mediator (Univ.), MBA Financial Services (Univ.Wales), MM (Univ.), Certified Financial and Investment Advisor (A.F.A.), EC Expert (C.I.F.E.), Lecturer (Univ. of Cooperative Education), Banker (www.fiala.de)
It is precisely those who are on the wrong track who behave like an axe in the woods”. (Proverb)
Customer visit from the insurance broker: An insurance broker visits his medium-sized industrial customer ? it involves the conversion of various coverage concepts and the establishment of a new implementation channel for occupational pensions in the company. But one affected insurer strongly disagrees that the previous insurance solution is considered suboptimal by the insurance broker.
Customer visit from the insurer: Without further ado, the insurer announces the visit of a sales representative. A lawyer from Pfefferminzia appears at the appointment, equipped with a representative business card. there’s hardly anything good to hear about the insurance broker. Wordily, the Peppermint lawyer begins to advise the employer. Later still, a meeting protocol is made.
Some rules of the game: The insurance broker involved knows the rules of the game. He is aware that lawyers are not allowed to advise the clients of their principals/employers. Also, being in the business of selling financial services may be sufficient grounds to have her license revoked. Every lawyer is prohibited from any acquisitive activity – with the exception of insurance contracts concerning herself and her next of kin. The lawyer is prohibited by law from acting as an insurance broker on a sideline basis, as well as from working as an employee in this capacity. It does not matter whether she is “responsible for the organisation of the sales force and marketing”, or whether she herself is active in direct contact with customers in an advertising capacity (procures contracts herself) or whether she has such an activity – and this is obvious in the case of the managing director of a brokerage company – carried out by salaried employees. The prohibition of activities always applies.
Competitor’s reaction: The insurance broker reacts accordingly ? the changeover of the coverage concepts could not be prevented after all.

Our office in Munich

You will find our office at Fasolt-Strasse 7 in Munich, very close to Schloss Nymphenburg. Our team consists of highly motivated attorneys who are available for all the needs of our clients. In special cases, our law firm cooperates with selected experts to represent your interests in the best possible way.

About the author

Dr. Johannes Fiala Dr. Johannes Fiala

Dr. Johannes Fiala has been working for more than 25 years as a lawyer and attorney with his own law firm in Munich. He is intensively involved in real estate, financial law, tax and insurance law. The numerous stages of his professional career enable him to provide his clients with comprehensive advice and to act as a lawyer in the event of disputes.
»More about Dr. Johannes Fiala

On these pages, Dr. Fiala provides information on current legal and economic topics as well as on current political changes that are of social and/or corporate relevance.

Arrange your personal appointment with us.

Make an appointment / call back service

You are already receiving legal advice and would like a second opinion? In this case please contact Dr. Fiala directly via the following link.

Obtain a second legal opinion

(The first phone call is a free get-to-know-you conversation; without consulting. You will learn what we can do for you & what we need from you in terms of information, documents for a qualified consultation.)