Following the economic and financial crisis, it became clear that there was a need for higher standards of governance in the European Union, reflecting best practices at the national level, in order to protect pension scheme members and beneficiaries and facilitate safe, sustainable and cross-border provision.
Revision of the earlier legislation resulted in Directive (EU) 2016/2341 of the European Parliament and of the Council of 14 December 2016 on the activities and supervision of institutions for occupational retirement provision (IORP II), which allows institutions for occupational retirement provision (IORPs) to operate in other Member States while providing a high level of protection and security for members and beneficiaries of occupational pension schemes. The legislation places strong emphasis on information for IORP members, with the novelty of the introduction of cross-border transfers of pension accounts, which allows the transfer of a pension account to another IORP, even if it is operating in another Member State. The amended rules also ensure the effective supervision of institutions and close cooperation between national supervisors, including an efficient exchange of information with the European Insurance and Occupational Pensions Authority (EIOPA).
The provisions of IORP II have been transposed into Hungarian law by the Act on Occupational Retirement Pension and Institutions for Occupational Retirement Provision, the Act on Business of Insurance and, in part, the MNB Act. The MNB has published information on its website to assist domestic institutions in their IORP II-related enforcement practices.