May 2025 Issue No.333
Greetings from HKFI Chairman I am truly honoured to be elected as the HKFI Chairman for the 2025/2026 term. Over the next 12 months, we will continue to focus on fostering industry growth, safeguarding our Members' interests, and enhancing community welfare. I greatly value your guidance and support as we work together to create a promising future and a sustainable market for our insurance industry. Let’s join our efforts for the betterment of both our industry and the community. Ellick Tsui
Mr Tsui delivered his inaugural keynote as HKFI Chairman at the 18th Asia Insurance CFO Summit on 27 May in Hong Kong.
Sustainability of Medical Insurance As reported in the previous Monthly Brief, the HKFI is now reviewing the long term sustainability of medical insurance and exploring ways to improve the current ecosystem. We are thus pleased to see the Health Bureau’s legislative proposals aimed at improving price transparency of private healthcare services. The paper revealed the drawbacks of the current lack of transparency in medical service charges, including significant differences in fees for similar services, complex pricing structures, and disordered price information that makes comparison difficult for consumers. It also aptly pointed out that "Price transparency is particularly important for citizens in deciding whether to use private healthcare services. Failure to address this issue properly could trap Hong Kong’s healthcare system in a vicious circle: opaque pricing practice in private healthcare and continued escalation in fee levels would not only deter the public from using the services, but also increase the premium level of health insurance and disincentivise citizens in purchasing or renewing policies." The three legislative and long-term enhancement measures suggested by the Health Bureau focusing on the above-mentioned issues and put forward feasible improvement plans. The HKFI will respond proactively to the consultation of the Health Bureau, and hope the legislative proposal can be implemented soon for the benefits of our society. Simultaneously, the HKFI is also collaborating with PolyU-CPCE’s Centre for Ageing and Healthcare Management Research on an independent research project titled “The Determinants of Post-Pandemic Medical Inflation: An Analysis of Private Insurance Claims Data in Hong Kong”. Going forward, we will continue to work with different stakeholders to help address the pressing challenges in the medical insurance landscape.
HKFI Welcomes Commencement of Legislation on Company Re-domiciliation Regime The HKFI welcomes the enactment of the Companies (Amendment) (No.2) Bill 2024, effective from 23 May 2025. This legislation provides a fast-track legal mechanism that facilitates the re-domiciliation of international insurers to Hong Kong. This new framework streamlines regulatory and financial obligations, further enhancing insurers’ ability to serve local customers and meet market needs. We appreciate the tireless efforts from the Financial Services and the Treasury Bureau as well as the Insurance Authority (IA) throughout the legislation process. The HKFI has worked closely with the Administration on this important initiative, rendering technical advice and support through our dedicated Special Project Team. Several international insurers are already planning to capitalize on this legal mechanism to re-domicile to Hong Kong. This move represents a significant vote of confidence in Hong Kong and will further solidify Hong Kong's status as a global financial hub.