Insurance business eyes continued growth

July 20, 2012

The local insurance industry reported growth in both long-term and general business, despite uncertainty in the global financial arena in the past year.
 
Making the remarks on the release of the Office of the Commissioner of Insurance’s Annual Report 2011, Commissioner of Insurance Annie Choi said renminbi business, non-resident business and the accident and health business were growth engines for the industry.
 
Hong Kong insurance brokers enjoyed another breakthrough in 2011, with the Supplement VIII to the Mainland and Hong Kong Closer Economic Partnership Arrangement, which further liberalised the Mainland intermediary market by allowing local insurance brokers to set up wholly owned insurance agency companies in Guangdong on a pilot basis.
 
Ms Choi believed the industry will continue to benefit from the tremendous business opportunities in the region, particularly in the Mainland, as well as the measures the industry has taken to strengthen consumer protection.
 
The office maintained close dialogue with its international counterparts, she noted, and had concluded a memorandum of understanding with The Central Bank of Ireland. It has also recently signed a multilateral memorandum of understanding under the International Association of Insurance Supervisors.
 
The Anti-Money Laundering & Counter-Terrorist Financing (Financial Institutions) Ordinance took effect on April 1, she said, adding her office would continue to work closely with the industry in combating both money laundering and terrorist financing.
 
As of last December, there were 163 authorised insurers, 64,702 appointed insurance agents and 9,162 authorised brokers operating in Hong Kong.