Jan 2019
Issue No.263
New membership
Let’s extend a warm welcome to two of our new Life Insurance Members: '
● Bowtie Life Insurance Company Limited ● Taiping Reinsurance Company Limited
Focus of Work for 2019
In his note to you dated 21 January 2019, HKFI Chief Executive provided a report on how HKFI prepares for the transition after our SRO functions are handed over to the Insurance Authority (IA). This includes:
i. a Framework of Collaboration with IA which defines clearly how HKFI is going to support IA in fulfilling its missions in the years ahead; ii. a strategic plan setting out key areas of our work focus for the next 12 months, i.e. handing over of IARB functions to IA; upgrading training on ethics management, compliance and topical industry issues; promoting best market practices; implementing industry-wide projects to improve the market landscape; facilitating healthy growth of the market and research and public education.
Insurance Fraud Prevention Claims Database (IFPCD)
he Food and Health Bureau (FHB) met medical insurers January is a busy month for many and especially so Tlast week and provided an update on product certification for the IFPCD Project Team. Our work is multifold: i) onboarding insurers for the first three lines of business, namely, motor, medical and personal accident; ii) establishing the Executive Committee (ExCom) among participating insurers; and iii) raising public awareness on insurance fraud and how the IFPCD helps protect honest policyholders and their interests.
We are pleased to note that good progress has been made on all fronts. The ExCom will hold the first meeting on 15 February 2019 to replace the existing Provisional ExCom and spearhead the phased implementation of the IFPCD (Circular Ref: Mv008/19). In the coming weeks, we will introduce an online publicity campaign on how policyholders are victimized by insurance fraud. Incidentally, we have also conducted a briefing for Hong Kong Confederation of Insurance Brokers and Professional Insurance Brokers Association to explain to their members how the IFPCD works so they can communicate with their clients accordingly.
and advice on how to expedite the process. We are working closely with FHB to facilitate product applications to ensure a level playing field for all participating insurers and the provision of sufficient choice of VHIS compliant products for consumers from day one (Circular Ref: Mv010/19). As VHIS will be launched in less than three months’ time, we are stepping up our efforts in providing relevant compliance training to frontline intermediaries. So far, more than 10,000 intermediaries have signed up for in-house and public class training on VHIS. If your company would also like to train your agents / brokers / staff on VHIS, please contact our Training Unit at 2861 9333. Incidentally, the IA is consulting us on its draft Guideline on Medical Insurance Business, which will cover all types of medical insurance policies based on the principle of fair treatment of customers (Circular Ref: Mv006/19). The draft guideline will take effect on 1 April 2019 in alignment with the launch of VHIS.
IFRS 17
HKFI continues to liaise with the Hong Kong Institute of Certified Public Accountants (HKICPA) on assisting
our member companies in getting prepared for the upcoming migration to IFRS 17. With technical support of HKICPA, we are planning to develop prototype models of compliance using employees’ compensation and motor insurance products as examples. We will step up efforts of collaboration with HKICPA to provide the necessary support to insurers before, during and after the transition. Stay tuned for more updates.