Edition 2020 Ninth edition

2.1.1.5. 
Insurance companies — In the case of insurance undertakings, Directive 
91/674/EEC provides that Member States may permit or require that the 
value of land and buildings is assessed on the basis of the "Market Value" on 
the date of valuation. Article 49(2) of this Directive defines "Market Value" 
as "the price at which land and buildings could be sold under private contract 
between a willing seller and an arm's length buyer on the date of valuation, 
it being assumed that the property is publicly exposed to the market, that 
market conditions permit orderly disposal and that a normal period, having 
regard to the nature of property, is available for the negotiation of sale".
Legislation
Council Directive 91/674/EEC of 19 December 1991 on the annual accounts and con-
solidated accounts of insurance undertakings
Regulation (EC) No 1606/2002 of the European Parliament and of the Council of 19 
July 2002 on the application of international accounting standards

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European Valuation Standards 2020
VII. European Union Legislation and Property Valuation
333
Directive 2006/43/EC of the European Parliament and of the Council of 17 May 
2006 on statutory audits of annual accounts and consolidated accounts, amend-
ing Council Directives 78/660/EEC and 83/349/EEC and repealing Council Direc-
tive 84/253/EEC
Commission Regulation (EC) No 1126/2008 of 3 November 2008 adopting certain 
international accounting standards in accordance with Regulation (EC) No 
1606/2002 of the European Parliament and of the Council
Directive 2013/34/EU of the European Parliament and of the Council of 26 June 
2013 on the annual financial statements, consolidated financial statements and 
related reports of certain types of undertakings, amending Directive 2006/43/EC 
of the European Parliament and of the Council and repealing Council Directives 
78/660/EEC and 83/349/EEC
Directive 2014/56/EU of the European Parliament and of the Council of 16 April 
2014 amending Directive 2006/43/EC on statutory audits of annual accounts and 
consolidated accounts