Hong Kong’s Insurance Authority (IA) has created the Disciplinary Panel Pool (DPP) as part of its new disciplinary mechanism for licensed insurance intermediaries and authorized insurers.
The IA, under the Insurance Ordinance (Cap. 41), is given the power to take disciplinary actions against authorized insurers and licensed insurance intermediaries.
In a statement, the IA said the DPP will serve as an integral part of its disciplinary process, with disciplinary decisions being taken by panels formed by persons drawn from the DPP. The panel is composed of IA board members, as well as experienced professionals from the legal, financial and other sectors.
DPP members are appointed by the IA for a renewable term of three years, which will end in September 2023.
“In developing the disciplinary mechanism under the new direct regulatory regime for insurance intermediaries, our aim has been to implement a process that is fair, efficient and robust,” said Peter Gregoire, acting head of market conduct, IA. “The DPP constitutes an integral part of this and will play a vital role in reinforcing the foundation of trust that must exist between the insurance industry and the policyholders it serves. We thank the members of the DPP for their participation and service to the Hong Kong community in taking on this role and look forward to working with them.”
Alongside the creation of the DPP, the IA also launched Conduct In Focus, a periodical newsletter that presents statistics and commentary on complaints received by the IA, and examines topical regulatory issues relating to conduct in the insurance market. The inaugural issue examined complaints regarding the handling of premium by insurance agents, while also providing a broad overview of the IA’s approach to enforcement, and showing how the general principles of good conduct must be embedded into the culture and governance of insurance companies.