The Insurance Companies (Amendment) Bill 2014, to enable an independent Insurance Authority's establishment, will be gazetted on April 25 and tabled at the Legislative Council for first reading on April 30.
Secretary for Financial Services & the Treasury Prof KC Chan said today the bill marks a significant step towards establishing an independent insurance regulator in line with international practice.
The bill’s key aspects include the authority's formation, its functions and accountability measures, including the establishment of a statutory Insurance Appeals Tribunal to review the authority's decisions. It aims to modernise the industry's regulatory infrastructure, provide better protection for policyholders and facilitate the industry's sustainable development.
It also introduces statutory requirements to enhance corporate governance, and a statutory licensing regime and conduct requirements for intermediaries, including brokers and agents.
The authority will take up the regulatory responsibilities of the Office of the Commissioner of Insurance, which will be disbanded on the authority’s establishment.
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