Abstract

This paper seeks to illustrate the extent of neo-functional and intergovernmental processes at work in the evolving European Union (EU). To accomplish this an analysis of a service sector (the life insurance industry) has been undertaken in respect of its relationships with EU decision-making institutions. Initially, the paper overviews the theoretical schools that are relevant to the study. Secondly, it undertakes a comparative analysis of Member State legislative regimes. Thirdly, it compiles the results of a survey of the EU life insurance industry; this gives an understanding of different Member State regulatory environments in eight Member States. Fourthly, the survey results illustrate the different kinds of regulatory environments that Member States wanted the single market to encompass and offers an explanation of how different understandings of legislation and regulatory structures are compromised in the EU decision-making process. Finally, the extent of neo-functional and intergovernmental processes is posited in relation to the findings.