Poland adopts new bankruptcy and insurance restructuring laws

The Polish government has adopted legislative projects aimed at reforming bankruptcy and restructuring laws, implementing EU directives to improve financial stability and debt relief processes.

One project focuses on the insurance sector, introducing a system for the controlled rescue of insurance and reinsurance companies facing insolvency. Instead of standard bankruptcy, the law would allow for mandatory restructuring under state supervision. The Polish Financial Supervision Authority (KNF) would be designated as the body responsible for these interventions, with the goal of ensuring continuity of insurance coverage and protecting policyholders from sudden loss of protection.

A second project targets consumer and individual entrepreneur bankruptcy. These changes aim to simplify and accelerate the debt relief process by reducing bureaucratic burdens on courts and debtors. Key provisions include the possibility of ending repayment plans earlier and the automatic discharge of remaining obligations. The reforms are intended to help individuals regain financial liquidity and return to economic activity more efficiently.