Exceptions to the Isolation in Insurance Matters in the City of Buenos Aires

Decree 299/2020, issued by the Office of the Chief of Staff of the City of Buenos Aires ( “Decree 299”) and published in the Official Gazette on August 19, 2020, allows different activities within the City of Buenos Aires, among them insurance activity carried out by insurance and reinsurance companies and intermediaries. This authorization came into force on August 19, 2020 and is in addition to the one for experts and loss adjusters, which had already been granted at a national level by Administrative Decision 524/2020 and has been maintained by successive decrees issued by the Argentine Government.

The activity of insurance and reinsurance companies and intermediaries had previously been authorized at a national level by Administrative Decision 810/2020 issued by the National Office of the Chief of Staff on May 16, 2020. However, this authorization was subsequently suspended from July 1 to July 17 by Decree 576/2020. Decree 605/2020, enacted by the Argentine Government, reestablished the validity of the authorization from July 18, although this was subject to each local authority’s establishing the date from which the activity could be carried out in their respective jurisdiction. This local decision for insurance, reinsurance companies and intermediaries in the City of Buenos Aires was finally established by Decree 299.

In the new phase that begins on August 19, 2020, the “Protocol for the Insurance Activity Carried Out by Insurance and Reinsurance Companies and Intermediaries for the Prevention and Handling of Covid-19 Cases” will apply for insurance and reinsurance companies and intermediaries. This protocol was approved by Resolution 136/2020 issued by the Economic Development and Production Ministry of the City of Buenos Aires and published in the Official Gazette on May 21, 2020.

The protocol recommends some measures for insurance and reinsurance companies and intermediaries to apply to their personnel -including officers- experts and loss adjusters, clients, and any other person who for any reason visits their offices. It also establishes that offices must be open to the public only by prior appointment with the client and where necessary.

The protocol also recommends hygiene and prevention measures for loss adjusters who carry out activities outside their offices, as well as specific rules for general and capitalization and savings brokers.

As for the activity of experts and loss adjusters, although the protocol regulates how their offices may open to the public, it must be recalled that the decrees issued by the Argentine Government for the activity of experts and loss adjusters state that ‘In no case may their offices be open to the public and all procedures must be virtual, including payments’. Therefore, it seems that the protocol differs from the terms of the exemption ordered by the Argentine Government and raises doubts about the actual scope of the authorization for experts and loss adjusters. It is to be expected that future regulations will clarify this as it impacts the activity of experts and loss adjusters.