No L 35/20 Official Journal of the European Communities 7.2.85 COMMISSION DECISION of 5§ December 1984 relating to a proceeding under Article 85 of the EEC Treaty (IV/30.307 — Fire insurance (D)) (Only the German text is authentic) (85/75/EEC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the Euro- pean Economic Community, Having regard to Council Regulation No 17 of 6 February 1962, First Regulation implementing Articles 85 and 86 of the EEC Treaty (), as last amended by the Act of Accession of Greece, and in particular Article 3 thereof, Having regard to the application for negative clear- ance or exemption filed, pursuant to Articles 2 and 4 of Regulation No 17, on 23 September 1982 by the Verband der Sachversicherer eV, Cologne, Federal Republic of Germany, Having decided on 9 September 1983 to initiate pro- ceedings in the case, Having given the Verband der Sachversicherer eV an opportunity to reply to the objections raised by it, in accordance with Article 19 (1) of Regulation No 17 and with Commission Regulation No 99/63/ EEC of 25 July 1963 on the hearings provided for in Article 19 (1) and (2) of Council Regulation No 173, Having consulted the Advisory Committee on Restrictive Practices and Dominant Positions, Whereas: A. Facts (1)  On 23 September 1982 the Verband der Sach- versicherer eV, Cologne (Association of Pro- perty Insurers — ‘VdS’), as a precautionary measure, filed an application for negative clearance or exemption pursuant to Articles 2 and 4 of Regulation No 17 for, among other - things, a ‘Pramienempfehlung zur Stabilisie- (') OJ No 13, 21. 2. 1962, p. 204/62. () OJ No 127, 20.8. 1963, p. 2268/63. (2) 3) 4 rung und Sanierung des Geschifts der indus- triellen Feuer- und Betricbsunterbrechungs- versicherung’ (Premium Recommendation to re-establish stable and viable conditions in the industrial fire and consequential loss insurance business) issued in June 1980 (Annex 1). |.  Structure of the market and the undertak- ings involved 1.1. In the class of insurance that provides cover against industrial fire risks and conse- quential loss due to disruption of business activities, the common market is still split into several sub-markets corresponding to the terri- tories of Member States in which premium rates vary considerably. One important reason for this is the continuing national regulation of insurance markets, which, despite all the progress that has been made towards integra- tion, still plays a key role in a number of Member States. The situation has changed little since the restrictions on freedom of estab- lishment for direct non-life insurance were removed under the Council Directive of 24 July 1973 (OJ No L 228, 16. 8. 1973, p. 20). Even the confirmation by the European Court of Justice (for the first time in van Binsbergen — Case 33/74 of 3 December 1974) of the freedom of Community undertakings to pro- vide services in a Member State without need- ing to be established there has not yet in practice resulted in the business of industrial fire and consequential loss insurance being carried on throughout the common market from an insurance company’s head office. Instead, fire insurers that also do business outside their own country establish branch offices or local subsidiaries in other Member States, as they do in non-Community coun- tries. 1.2.  In the Federal Republic of Germany 17 Community fire insurers having their head office in other Member States transact indus- trial fire insurance business through German