Dec 2016
Issue No.240
2016 Extraordinary General Meeting (EGM)
Members’ Consultation of the Proposed Holistic Consumer Protection Framework
T
The Insurance Claims Complaints Bureau (ICCB)
he EGM held on 19 December 2016 unanimously approved the $20M funding for establishing the Centralised Insurance Claims Database to help combat insurance fraud. Your support is much appreciated. Upon completion of the “proof of concept (POC)” by March / April 2017, we will give you a further update on progress.
2016 Christmas Cocktail Party
T
he EGM was followed by our traditional yearend cocktail party. We had a record turnout of over 180 members and friends of the industry, including the HKSAR Chief Executive the Honourable C Y Leung. For viewing the highlights of the evening, please visit http://www. hkfi.org.hk/#!/media-corner/album/247.
also held its EGM on the same day. And the Bureau’s Chairman Mr Mike Huddart reported that of the feedback received from 42 members: ● 100% indicated their support for the proposed new framework. ● Over 87% supported the idea of offering free mediation services to consumers while insurers will pay for their own mediation costs on per case basis.
With this positive response from members, the ICCB will proceed accordingly. As part of the holistic framework, the ICCB will work with the HKFI to introduce an industry best practice guide on consumer protection.
In early December, Secretary for Food and Health
Dr Ko Wing Man revealed that at this stage, the proposed VHIS will not include Guaranteed Acceptance (GA) and High Risk Pool (HRP). To p u t t h e r e c o r d s t r a i g h t a n d a v o i d a n y misunderstanding, we issued a media release on 9 December 2016 reaffirming the industry’s support for GA with the following in place:
● The setting up of a HRP to be fully funded by the Government. ● The Administration to commit the required funding upfront to match the liability of policyholders joining the HRP for life. Year by year funding, i.e., pay as you go, is neither feasible nor sustainable. ● The Food and Health Bureau (FHB) to build a viable business model for HRP to ensure its sustainability and come up with practical and transparent guidelines for all stakeholders, including consumers. ● Participating insurers to assume the role of administering the HRP in accordance with the parameters and rules set by the Administration.