Member States have until 1 July to publish the laws, regulations and guidance which become effective at the start of October.
“Despite the transposition period foreseen and the fact that the date of entry into application was well known to stakeholders, it appears that some insurance distributors, especially smaller ones, are not yet fully ready for the new rules,” the European Commission said in a statement announcing the “exceptional” delay.
Analysts have warned IDD was still problematic as the market had moved on since it was designed.
“Generally, the provisions of the IDD are laudable in spirit but any benefit for the industry will depend on practical implementation and there is a risk bureaucracy and form filling will take over from the underlying intent of the rules,” Mazars partner Sarah Sarah Ouarbya, told International Adviser in October.
The amending directive was published in Tuesday’s Official Journal of the European Union.