May 2014 Issue No. 212 HKFI Chairman’s Message – May 2015 I am writing to you for the first time as HKFI Chairman. Thank you for rendering your continued support in the past years. I look forward to working more closely with you in the future to address a variety of challenging industry issues. New Member On behalf of the Governing Committee, I would like to extend a warm welcome to Euler Hermes Europe as our General Insurance Member. Establishment of the Independent Insurance Authority (IIA) As you are probably aware, the Bills Committee on the Insurance Companies (Amendment) Bill 2014 had the first meeting on 27 May 2014. Lawmakers showed keen interests in this subject and raised a range of questions/concerns on the representation of the Governing Board, the absence of a disciplinary committee, the pecuniary penalty for misconduct, the rights and interests of insurance agents, etc. Thanks to the Hon K P Chan, the industry's key concerns were forcefully articulated, thus setting a proper context for upcoming deliberations at the Bills Committee. Given the importance and complexity of the subject and its far-reaching impact on our industry and the insuring public, we have commissioned Reed Smith Richards Butler to conduct a clause by clause legal review of the Bill.
At the same time, in conjunction with the Hong Kong Insurance Law Association (HILA), we organised a forum on 13 May 2014 to study the Bill from five angles - conduct requirements, checks and balances, penalties and appeals, industry involvements and other issues. Close to 90 legal professionals, industry practitioners and representatives of industry bodies participated and we had vigorous and in-depth discussions. The synopsis of the discussion outcome will be cleared by the Task Force on IIA before we present it to the Bills Committee. On this, we are now working closely with the Hon Chan and will provide him all the necessary support to ensure the industry's concerns are duly heard and understood by the lawmakers. Vision 2028 With the introduction of the above Bill and the envisaged establishment of the IIA in 2015, the HKFI is about to enter a new era. To ensure the Federation stays relevant and effective, advances the legitimate interests of the industry, helps contribute to the socio-economic growth of Hong Kong and meets the expectation of our Member Companies and stakeholders, we are formulating a long term blue print to provide a clear focus for our work going forward. In celebrating our 25th anniversary last August, we installed a time capsule scheduled to be opened up in 15 years' time, i.e. 2028. Accordingly, we are going to launch "Vision 2028" with a view to charting a new pathway for the HKFI in the years ahead. Meanwhile, the most important task of the HKFI and our secretariat remains to be working closely with the Government and all stakeholders to ensure a seamless transition to the IIA regime.