Plans for Insurance Authority revealed

A licensing regime will be introduced as the authority holds a direct regulatory role over the conduct of insurance intermediaries.

A news.gov.hk report said the authority will be given powers to initiate investigations, search and seize materials upon the issue of a warrant, prosecute offences summarily and impose a range of regulatory sanctions in cases of misconduct.

Also, at least two industry advisory committees are proposed to be formed to advise and make recommendations to the Insurance Authority’s Governing Board.

According to the report, Secretary for Financial Services & the Treasury KC Chan said establishing the authority will enhance the regulation of insurance companies and intermediaries, and meet international practice for financial regulators to be independent, both operationally and financially, of the Government and the industry.

View the full report here.