(Oct. 7, 2019) On August 26, 2019, Brazil’s Superintendence of Private Insurance (Superintendência de Seguro Privado, SUSEP), issued Act (Circular) No. 592 (Circular SUSEP No. 592, de 26 de Agosto de 2019), which authorizes “on demand” insurance policies. Such policies may have terms of months, days, hours, minutes, or may even lack a defined deadline, instead of one-year terms.
SUSEP is an independent agency under the Ministry of Economy that is responsible for the control and supervision of the insurance, open private pension, capitalization, and reinsurance markets.
The president of SUSEP was quoted as saying that “the market demanded this flexibility of time and, therefore, SUSEP updated the regulation to make it as flexible as possible to encourage more affordable products and to attract more Brazilian consumers to the market.”
As a result of the new regulation, it is expected that insurance companies will launch new products covering bicycles, cell phones, scooters, cars, and motorcycles.