Regulatory Alerts2025-07-01
Added · Updated
Guidelines to MAS Notice 314 on Prevention of Money Laundering and Countering the Financing of Terrorism – Life Insurers
These guidelines provide direct life insurers with interpretive guidance on the requirements of MAS Notice 314 regarding the prevention of money laundering and countering the financing of terrorism. The document clarifies definitions for terms such as connected parties, legal arrangements, and officers, and specifies that customer due diligence measures are not required when solely prospecting without providing financial advice. It mandates that direct life insurers conduct enterprise-wide money laundering and terrorism financing risk assessments, approved by senior management, which must incorporate Singapore's national risk assessment reports and account for risks across all business units, products, and delivery channels. Furthermore, the guidelines outline the three lines of defence framework, assigning ultimate accountability to the board of directors and senior management while defining specific roles for business units, the compliance function, and internal audit.