Belgium insurance market

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Verzekeringsmakelaar / Courtier en assurances

An independent intermediary registered with the FSMA who acts on behalf of the client, not the insurer, to arrange suitable insurance coverage from multiple carriers.

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Verzekeringsagent / Agent d'assurances

A distribution intermediary who acts on behalf of one or more specific insurer(s) under a mandate, distinct from a broker who represents the client.

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Bancoverzekering / Bancassurance

Distribution of insurance products through bank branch networks; a dominant channel in Belgian life and unit-linked insurance segments.

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Tak 21 / Branche 21

Guaranteed-rate individual life insurance product. Insurer guarantees a minimum return on premiums, subject to the statutory maximum technical rate set by the NBB.

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Tak 23 / Branche 23

Life insurance product where premiums are invested in investment funds (UCITS or equivalent); the investment risk is borne by the policyholder.

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BA Auto / RC Auto

Mandatory insurance covering civil liability for bodily injury and property damage caused to third parties by a motor vehicle. Compulsory for all vehicles in Belgium.

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Solvabiliteit II / Solvabilité II

EU risk-based prudential framework for insurers and reinsurers, implemented in Belgium by the Law of 13 March 2016. Sets capital, governance and reporting requirements.

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Verzekeringsombudsman / Ombudsman des Assurances

Independent, free mediation service handling disputes between policyholders and insurers or intermediaries in Belgium. Accessible at www.ombudsman-insurance.be.

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Arbeidsongevallenverzekering / Assurance accidents du travail

Mandatory insurance covering employees for accidents at work and occupational diseases, providing medical costs, disability income and death benefits.

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Brandverzekering / Assurance incendie

Property insurance covering damage caused by fire, explosion, storm, water damage and related perils. Mandatory for mortgaged properties and regulated residential buildings.

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Familiale verzekering / Assurance familiale

Personal liability insurance covering claims by third parties for bodily injury or property damage caused by the policyholder, family members or pets in private life.

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Hospitalisatieverzekering / Assurance hospitalisation

Supplementary private health insurance covering hospital stays, surgical costs and related medical expenses above the compulsory public health insurance reimbursement levels.

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Groepsverzekering / Assurance de groupe

Employer-sponsored occupational pension and risk insurance scheme (second pillar). Employers are legally obliged to guarantee a minimum return on contributions.

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Vrijheid van dienstverlening / Libre prestation de services

EU right allowing an EEA-licensed insurer to write risks in Belgium without establishing a local branch, using its home-country licence after notifying the NBB.

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Premiebelasting / Taxe sur les primes

Tax levied on insurance premiums when the insured risk is located in Belgium. Standard rate is 9.25%; reduced rates apply for life, agricultural and certain other products.

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Schadevergoeding / Indemnisation

Payment by the insurer to the insured or beneficiary upon occurrence of an insured event. Since October 2024, Belgian law imposes a 30-day payment deadline once the amount is established.

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Wedersamenstelling / Reconstitution

Transfer of an insurance portfolio from one undertaking to another, subject to NBB approval and policyholder notification obligations under the Solvency II Law.

How large is the Belgian insurance market?

Total Belgian insurance premiums reached €35.1 billion in 2024, an 8.4% increase on 2023. Non-life premiums totalled €16.7 billion and life premiums €18.4 billion. The market represents approximately 59% of Belgian GDP and is one of the larger EU insurance markets per capita.

Who regulates insurance in Belgium?

Belgium uses a Twin Peaks model. The National Bank of Belgium (NBB) is the prudential supervisor for insurers, overseeing solvency, governance and financial soundness. The Financial Services and Markets Authority (FSMA) supervises market conduct, insurance distribution, product rules and consumer protection.

Which distribution channel dominates the Belgian insurance market?

Insurance brokers dominate, holding approximately 61% of non-life premiums and 44-45% of life premiums. Brokers are especially strong in commercial lines, where their share exceeds 80%. Bancassurance is the second channel (around 25% overall), dominant mainly in unit-linked life products (Branch 23), where it captures about 53%.

What are the main compulsory insurance classes in Belgium?

Key mandatory insurances include motor third-party liability (BA Auto), workers' compensation (arbeidsongevallenverzekering), professional indemnity for regulated professions (lawyers, architects, accountants), aviation liability, fire insurance for certain buildings, and civil liability for contractors. A full list is maintained on the FSMA website.

How can a foreign EEA insurer operate in Belgium?

EEA insurers may operate in Belgium under the EU single passport via two modes: (1) Freedom of Establishment, by opening a Belgian branch notified by the home regulator to the NBB; or (2) Freedom to Provide Services, cross-border without a branch, after notification by the home regulator. No separate NBB licence is needed. Belgian general-good rules and FSMA conduct supervision apply in both cases.

What changed for consumers terminating non-life insurance contracts since October 2024?

Since 1 October 2024, consumers can terminate tacitly renewable non-life policies (home, auto, family) at any time after the first year with two months' notice — no longer tied to the annual renewal date. Termination is now possible electronically (digital signature). A new insurer or broker can handle the termination formalities on the consumer's behalf. No charges or penalties apply to early cancellation.

What is the Insurance Ombudsman and how do I contact it?

The Insurance Ombudsman (Ombudsman van de Verzekeringen / Ombudsman des Assurances) is a free, independent mediation service for disputes between consumers and insurers or intermediaries. Contact: Square de Meeûs 35, 1000 Brussels; phone +32 2 547 58 71; email info@ombudsman-insurance.be; website www.ombudsman-insurance.be. A prior attempt to resolve the dispute with the insurer is required.

Is composite insurance (combining life and non-life) permitted in Belgium?

No. Belgian law prohibits a single insurance company from underwriting both life and non-life insurance, unless it was already doing so before 15 March 1979. This prohibition shapes the market structure: major groups operate separate life and non-life legal entities. Composite insurers established before 1979 may continue but must maintain separate management and accounting for each branch.

What insurance premium tax rate applies in Belgium?

The normal Belgian insurance premium tax (taxe sur les primes / premietaks) rate is 9.25%. Reduced rates apply to specific lines such as life insurance (1.1% for individual life) and certain agricultural policies. Additional solidarity contributions may apply for specific coverages. Tax is due when the insured risk is located in Belgium.

What are the cooling-off periods for Belgian insurance contracts?

For distance-sold insurance contracts, Belgian law grants a 14-day cooling-off period for non-life products, extended to 30 days for life insurance contracts. During this period the policyholder may cancel without penalty. These rights are mandatory and cannot be contractually waived.