IRELAND Law and Practice Contributed by: Niall Esler, Shane Martin, Laura Whitson and Coleen Wegmann, Walkers
compulsory insurance – eg, in relation to aircrafts and shipping. Insurance products with an investment component are treated differently to other insurance products and are subject to the Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation. Commercial and consumer insurance products are treated differently. Additional obligations apply when dealing with consumers, including the CPC 2025, the Consumer Protection Act 2007 and the Consumer Insurance Contracts Act 2019. Generally speaking, the provision of regtech services is less likely to be a regulated activity, but this will depend on the nature of the regtech service performed and the nature of the entity to which such services are provided. 9.2 Contractual Terms to Ensure Performance and Accuracy When outsourcing or sourcing ICT services, regulated entities may be obliged to impose certain contractual provisions on their service providers. The CBI Outsourcing Guidance Outsourcing is a particularly topical issue for the Central Bank. The CBI Outsourcing Guidance applies to all Irish regulated firms and is to be implemented alongside any specific sectoral legislative outsourcing requirements. It imposes similar contractual require - ments to the EBA Outsourcing Guidelines (which apply directly to certain firms, such as credit institu - tions and payments/e-money institutions). The EBA Outsourcing Guidelines The EBA Outsourcing Guidelines require, inter alia, that outsourcing agreements specify service levels and precise quantitative and qualitative performance targets to allow for the timely monitoring of the per - formance of the outsourced function. Specific termi - nation rights, provisions around business continuity, data and access and audit rights for the regulated 9. Regtech 9.1 Regulation of Regtech Providers
firm and its regulators are also required. Other EU- level guidelines may also apply, depending on the outsourced service. DORA A key requirement of DORA is that all contracts between financial entities (as defined in DORA) and ICT third-party service providers for the use of ICT ser - vices must meet certain minimum contractual require - ments. Additional contractual requirements are placed on arrangements with ICT third-party service provid - ers that support a critical or important function of the financial entity. 10. Blockchain 10.1 Use of Blockchain in the Financial Services Industry Traditional domestic and international institutions operating in Ireland are investigating the use of block - chain, and certain institutions have conducted trials in this area. Ireland is also home to a number of crypto- led businesses, and this population is expected to grow. 10.2 Local Regulators’ Approach to Blockchain The Central Bank’s Approach Firms providing certain services in relation to crypto- assets are required to obtain a CASP authorisation. In December 2024, the Central Bank released its super - visory expectation for CASPs, outlining its risk appe - tite for crypto-asset services in Ireland. Outside of these processes, the Central Bank has issued consumer explainers and warnings, and remains cautious on the benefits and risks of crypto. However, it has acknowledged that technological innovation is a key feature of the environment in which it seeks to deliver its mandate. On 22 October 2024, the Department of Finance pub - lished its final report on the review of the “Funds Sec - tor 2030”. One of the areas being examined is how technological change and innovation will influence future development, including mapping a pathway for the broader adoption of tokenisation. The Central
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