Regulatory Alerts2023-11-07
Added · Updated
Circular on Structure and Composition of the Board of Directors
The Malta Financial Services Authority (MFSA) has issued a circular to Insurance Agents, Insurance Brokers, and Retirement Scheme Administrators, clarifying its expectations for implementing the Corporate Governance Code's requirement for at least one Independent Non-Executive Director (INED) on their Boards of Directors. License holders currently without an INED must identify a suitable individual, with Retirement Scheme Administrators and larger Insurance Agents/Brokers (premium income > €5m) required to submit a Personal Questionnaire within six months, and all other Insurance Agents/Brokers within eighteen months. The MFSA is adopting a risk-based approach to ensure boards include members capable of independent judgment and possess the necessary skills, diversity, and experience for effective decision-making and sound governance.