The New European Conflict of Law Rules on Insurance Contracts in Rome I: A Complex Compromise

This article focuses on the law applicable to insurance contracts in the EU, most notably on the Regulation No 593/2008 on the Law Applicable to Contractual Obligations (Rome I), which will replace the Rome Convention. The conflict of law rules relating to insurance contracts have always been one of the most complicated areas in (European) private international law. The conflict rules emanate from diverse sources - various directives and the Rome Convention - and lack cohesion and uniformity. The conversion of the Rome Convention into the Rome I Regulation was an excellent opportunity to get rid of this maze and to formulate uniform conflict rules for insurance contracts. The Commission proposal did not include a rule on insurance contracts, but a special rule was introduced during the negotiations. The difficult negotiations on this provision demonstrated clearly the complexity and delicacy of the matter. Various proposals were put forward and special consultations were launched, but the final result, laid down in Article 7 Rome I, seems to be no more than a complex compromise. The Regulation of international insurance contracts still remains unnecessarily complicated, fragmented and incomprehensible. In my opinion, therefore, the new rule in Article 7 is disappointing. Rather than removing the current divergences, the introduction of Article 7 mainly conceals them. It may be hoped that on the occasion of the evaluation of the Rome I Regulation, the conflict rules on insurance contracts will be carefully reconsidered.