Regulatory Alerts2022-04-01
Added · Updated
Supervisory Standards and Key Requirements on the Use of Premium Financing for Long Term Insurance Policies
The Insurance Authority issues this circular to clarify supervisory standards for authorized insurers and licensed intermediaries regarding the use of premium financing for long term insurance policies. It mandates rigorous affordability and suitability assessments, requiring firms to verify customer financial resources and specifically address risks of over-leveraging. Additionally, the document enforces strict disclosure protocols via the IFS-PF form, mandates adequate staff training, and establishes compliance monitoring mechanisms effective from January 2023.