Regulatory Alerts2020-01-01
Circular No. 15 of 2020 – Prohibition on Employees of Insurance Licensees Acting as Sub-Agents
The Financial Services Authority extends its existing prohibition to bar full-time and part-time employees of insurers, brokers, agents, and insurance managers from acting as insurance sub-agents during their employment. Building on Circular No. 5 of 2020, this directive explicitly includes brokers, agents, and insurance managers alongside insurers to prevent conflicts of interest. All affected licensees must ensure that their personnel do not apply for or hold sub-agency roles concurrently with their primary employment under the Insurance Act, 2008.
Circular No. 15 of 2020 Date: 4th December, 2020 Prohibition on employees of insurers, brokers, agents and insurance managers to act as an insurance sub‐agent The Financial Services Authority (“FSA”) would like to draw the attention of all itslicensees under the Insurance Act, 2008 (“the Act”), that further to Circular No.5 of 2020 issued on the 25th May 2020 that the Prohibition on employees of insurers to act as insurance sub‐agents will now also extend to; i. Brokers; ii. Agents; and iii. Insurance managers The FSA therefore hereby reiterates that it prohibits any employee (part time or full time) of an insurer, broker, agent and insurance manager to apply and act as an insurance sub‐agent during the course of their employment. Financial Services Authority