Open an Insurance Company in Slovakia

To establish an insurance company in Slovakia, investors should incorporate a company in accordance with the rules available for any other type of company. However, due to the particularities of the domain, entrepreneurs will need to obtain business permits and licenses that will allow them to carry out their activities as prescribed by the local legislation. Our team of Slovakian company formation specialists can provide assistance on the incorporation process, as well as on any other aspect that may refer to this domain. 

How can I operate an insurance company in Slovakia?

There are 3 ways to start an insurance business in Slovakia, as presented below:

• you can operate as an independent insurance agent, in which case you need to register as a sole trader (please note that if you are a foreigner, immigration formalities must be adhered to);
• you can follow the regular Slovak company formation procedure and register a private or public limited liability company: choose in accordance with the size of the business;
• you can expand your operations through a branch office if you already have an insurance enterprise in another country.

When choosing the business form, pay attention to the services you want to offer, as for each of them, special requirements (especially for the capital) apply.

What is the company registration procedure for a Slovak insurance company?

The procedure for the incorporation of a company in Slovakia is similar to the registration process available in other European countries. 

The investors will have to choose a legal entity that will represent their interests on the Slovakian market and to notarize the statutory documents of the future company. The procedure is handled at a public Slovak notary. A particularity of the Slovakian legal system refers to the establishment of the One-stop shop, an entity which created the Trading Licenses Office, where businessmen can apply for several compulsory requirements (trade licenses, income tax, health insurance) by submitting only one form, which will then be sent to the Registry Court. 

Do I need a specific license to open a Slovak insurance business?

 Yes, you do. The insurance license is issued by the National Bank of Slovakia based on the submission of various documents. The application must contain the following information and is available for corporate forms:

• details about the company
• a list of the shareholders;
• details of the directors;
• a list of the activities to be carried out.

How can I operate as an independent insurance agent in Slovakia?

This profession can be completed by registering as a financial agent in the register kept by the National Bank of Slovakia (Act No. 186/2009), wherever you plan to offer your services. The documentation is less stringent; however, you must submit proof of qualifications/education with the respective office to indicate your knowledge and ability to advise and sell insurance packages to clients.

What are the capital requirements to consider for a Slovak insurance company?

The National Bank applies the Solvency II minimum capital requirement, with an absolute floor of EUR 2.7 million (non-life) or EUR 4 million (life), for undertaking an insurance activity in Slovakia. However, the maximum amount can be higher, depending on the types of operations of the enterprise. Specifically, each insurer must also cover its own solvency capital requirement.

Apart from this requirement, insurance companies must also ensure specific solvency capital levels, as provided by the Solvency II rules. They provide for such a business to cover 99.5% of the confidence level, which relies on the enterprise being able to withstand extreme risks that happen less than once in 200 years.

Are there any specific things to consider when setting up an insurance branch?

Yes, in this case, there is no need to observe the capital requirements imposed at a national level. The branch is required to appoint a local representative who can also be a non-Slovak resident by transferring an employee (manager, usually) from the parent company. Please note that a work permit will be necessary for a non-EU citizen.

Businessmen who need assistance for the incorporation of an insurance company in Slovakia can address our team of Slovakian company incorporation consultants.