# Estonian insurance law update: Q2 2026 URL: https://insurancelawestonia.ee/blog/2026-06-30-legislative-update-estonia-q2-2026/ Author: Dr Olavi-Jüri Luik, Partner, Head of Insurance Law, attorney at law (Advokaadibüroo WIDEN OÜ) Published: 2026-06-30 Last updated: 2026-11-04 > Estonian insurance regulation in Q2 2026: distance-marketing rules adopted, insurer recovery and resolution bill in Parliament, KindlTS merger control. This post describes the position as at 30 June 2026. The quarter was busy: Parliament adopted the distance-marketing rules that apply from the autumn, the insurer recovery and resolution bill reached Parliament, and the Insurance Activities Act (kindlustustegevuse seadus, KindlTS) was amended on merger control. *Date note: the date of this post (30 June 2026) is the reference date of the update, not the date on which it was published here. The update was written for this website in 2026.* ## In force: genetic data ban On 1 April 2026 KindlTS § 216¹ entered into force, inserted by the new [Human Genes Research Act (inimgeeniuuringute seadus)](https://www.riigiteataja.ee/akt/117032026001) (RT I, 17.03.2026, 1). Insurers and intermediaries may not require or collect genetic data, and genetic characteristics may not affect premiums or benefits. ## Adopted: new rules for insurance sold at a distance On 13 May 2026 the Riigikogu (Parliament) adopted the [Act amending the Law of Obligations Act (võlaõigusseadus, VÕS) and the Consumer Protection Act (tarbijakaitseseadus, TKS)](https://www.riigiteataja.ee/akt/127052026002) (RT I, 27.05.2026, 2), transposing [Directive (EU) 2023/2673](https://eur-lex.europa.eu/eli/dir/2023/2673/oj). It enters into force on 1 September 2026. There is no separate insurance act: the changes sit in the VÕS rules on distance financial services contracts and in TKS. Key points for insurers, MGAs and intermediaries selling to Estonian consumers, including on a freedom-of-services basis: - **Pre-contractual information** must be given in good time on a durable medium; the trader bears the burden of proving that it was given. - **Duty to explain**: the consumer must receive adequate explanations to assess whether the contract suits his or her needs. - **Human intervention**: where communication is exclusively online, the consumer may require a human to intervene. - **Withdrawal button**: for contracts concluded via an online interface, withdrawal must be possible through a clearly labelled function ("Taganen lepingust", i.e. "I withdraw from the contract") throughout the withdrawal period. - **Long-stop**: if the consumer did not receive the terms or required information, the withdrawal period ends in any event 12 months and 14 days after conclusion, unless the consumer was not informed of the withdrawal right. - **VÕS § 433**: the general distance-contract withdrawal rules (§ 56) apply to insurance contracts concluded at a distance, except short-term travel and baggage policies (§ 53(4)(9)). - **Dark patterns** are prohibited under TKS; legal persons face fines of up to EUR 400,000. Online sales journeys, chatbots and document-delivery systems should be reviewed over the summer. ## Recovery and resolution bill in Parliament On 21 May 2026 the Government introduced [bill 925 SE, the Insurer Crisis Prevention and Resolution Act (kindlustusandja kriisi ennetamise ja lahendamise seadus)](https://www.riigikogu.ee/tegevus/eelnoud/eelnou/d2a106fd-0989-472b-98ad-24eb0479add3/). It transposes Directives [(EU) 2025/1](https://eur-lex.europa.eu/eli/dir/2025/1/oj) (IRRD) and [(EU) 2025/2](https://eur-lex.europa.eu/eli/dir/2025/2/oj) (Solvency II review), with a transposition deadline of 29 January 2027. Besides the recovery and resolution framework, it eases rules for small and non-complex undertakings: for example, no liquidity risk management plan or climate change scenarios, and an own risk and solvency assessment every two years. The first reading was completed on 8 June 2026. ## KindlTS: broker agents draft, second round On 22 June 2026 the Ministry of Finance circulated a revised [draft KindlTS amendment](https://eelnoud.valitsus.ee/main/mount/docList/dc65fa70-c965-4328-bad3-13a0153a384d) (EIS 26-0305) for a second consultation round, deadline 8 July 2026. The core ideas (broker agents; permanent cross-border activity without a branch) remained. ## Adopted: foreign investment screening of insurer mergers On 17 June 2026 the Riigikogu adopted the [Act amending the Credit Institutions Act and other acts (governance and operating requirements of credit institutions)](https://www.riigiteataja.ee/akt/111072026007). It also amends KindlTS: an application for a merger permit between insurers must include, where required under the Foreign Investment Reliability Assessment Act (välisinvesteeringu usaldusväärsuse hindamise seadus), the decision of the Consumer Protection and Technical Regulatory Authority on the foreign investment permit (KindlTS § 143(1)(8)). A new misdemeanour, § 255², sanctions failure to notify a merger or completing it without a permit (legal persons: up to EUR 5,000,000 or up to 3% of consolidated turnover). ## Supreme Court To our knowledge the Supreme Court issued no new insurance contract law rulings in Q2. The casco maintenance judgment (2-23-10549/35) was given on 25 March 2026 and is covered in the Q1 update. ## Later note (3 November 2026) - The Credit Institutions Act amending act was published in RT I, 11.07.2026, 7 and entered into force on 21 July 2026. - The VÕS and TKS amendments entered into force on 1 September 2026. - Bill 925 SE: second reading completed 21 October 2026; third reading scheduled for 11 November 2026. - The KindlTS draft was introduced in the Riigikogu on 14 September 2026 as bill 993 SE; see [our news post](https://insurancelawestonia.ee/blog/2026-11-03-draft-insurance-activities-act-amendments-broker-agents). ## Related pages - [Withdrawal from distance insurance contracts from 2026](https://insurancelawestonia.ee/blog/2026-11-03-withdrawal-distance-insurance-contracts-2026) - [Distance contracts and withdrawal](https://insurancelawestonia.ee/estonian-insurance-contract-law/distance-contracts-and-withdrawal) - [Regulatory and distribution advice](https://insurancelawestonia.ee/services-for-insurers/regulatory-and-distribution) - [Update for Q1 2026](https://insurancelawestonia.ee/blog/2026-03-31-legislative-update-estonia-q1-2026) ## Sources - Human Genes Research Act (RT I, 17.03.2026, 1): - Act amending VÕS and TKS (RT I, 27.05.2026, 2; in force 01.09.2026): - Riigikogu, bill 925 SE: - EIS 26-0305: - Act amending the Credit Institutions Act and other acts (RT I, 11.07.2026, 7): - Directives (EU) 2023/2673, 2025/1 and 2025/2 (EUR-Lex)