CHILE Trends and Developments Contributed by: Daniel Silva and Pía Parmar, Silva & Parmar Abogados
indemnity when a parameter defined in the policy is reached, without the need to prove the existence or the amount of the damage. The regulation provides: • criteria for the selection of variables and indices (seismic, meteorological, satellite); • insurable risks under this modality (earthquakes, droughts, frosts, extreme rainfall, business inter- ruptions); • an express prohibition whereby pension insurance, compulsory insurance (such as the compulsory personal accident insurance (SOAP)) and insurance required for the carrying out of an activity (such as guarantee policy for insurance brokers) may not be contracted under this modality; • policy conditions, automatic activation of payment and contractual clarity; and • amendment of General Rule No 306 to adapt the treatment of technical reserves, particularly in earthquake insurance. As a rule, the regulation provides that the indemnity must be paid within a period of up to 15 business days from the notification of the loss. Exceptionally, in the case of a risk that reaches the value of an index or of events of public knowledge, this period shall be counted from the occurrence of the risk. These short- ened timeframes are intended to ensure that policy- holders have rapid access to liquidity to face the loss. It is important to note that the marketing of these products is subject to high standards of market con- duct, which emphasise that the insurance offered must be suitable for the client’s needs. Otherwise, the insurance company must be able to demonstrate that it warned the client of the relevant facts and that, notwithstanding such warning, the client decided to contract for the insurance, having been provided with clear information not leading to error or confusion. This regulation allows insurance companies to mar- ket a product that already has a significant presence abroad, but which in Chile was limited by the indemni- ty principle governing damage insurance and required a legal amendment. Thus, in Chile – a country highly exposed to natural catastrophes and climate risks – an opportunity has opened up for innovation by insur- ers, while at the same time promoting financial inclu-
sion and the protection of historically underserved sectors, thereby reducing the protection gap within the population. The Cybersecurity Framework Act (Act No 21,663) Promulgated in April 2024, the Cybersecurity Frame- work Act establishes the institutional framework and general regulation for structuring and co-ordinating cybersecurity actions within State bodies and critical sectors. Its principal impacts on the insurance sector include: • establishment of the National Cybersecurity Agen- cy (ANCI) as the central regulatory authority; • regulation of essential services and operators of vital importance, with specific obligations regarding information security management; • promotion of public‑private collaboration and digi- tal resilience; and • strengthening investment in security measures and sanctions for non‑compliance. The Act drives the demand for cyber‑insurance and obliges insurers to strengthen their defensive capabili- ties and digital risk management. On 16 September 2025, the ANCI published in the Official Gazette the first list of institutions classified as Operators of Vital Importance, including insur- ance companies. On 17 December 2025, the ANCI published the definitive resolution regarding the list of Operators of Vital Importance after following a pro- cess of observations raised by the entities. The argu- ments advanced by the majority of insurance com- panies were taken into consideration, and ultimately only seven life insurance companies were recorded as Operators of Vital Importance. The classification as an Operator of Vital Importance entails a series of additional obligations in the field of cybersecurity, such as: • implementing an information security management system; • preparing and certifying Operational Continuity and Cybersecurity Plans; • conducting audits, assessments and regular drills; and
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