July 2014 Issue No. 213
Establishment of the Independent Insurance Authority (IIA)
Through the kind assistance of the Hon K P Chan, the Task Force on IIA has met most of the members of the Legislative Council's Bills Committee during the past month. We are pleased to note that Legco members acknowledged the issues we raised, recognised what the key concerns are and taken on board our proposed solutions. It was duly reflected at the Bills Committee meeting held on 21 July where members raised concerns and questions on those key issues including industry's representation, disciplinary procedure, appeals mechanism, etc.
procedure, mechanism, etc.
With the summer recess of the Legislative Council, we will make use of this break to review our position, fine tune our proposals and strengthen our communications with stakeholders. We will continue to do our best endeavours to get the Bill right and fit for purpose.
Health Protection Scheme (HPS)
We had a very fruitful meeting with Secretary for Food
and Health
Dr Ko Wing Man on 16 July 2014. During the meeting, Dr Ko invited us to come up with concrete counter-proposal to address the deficiencies of HPS as identified by the industry before the Administration issues a public consultation document in the last quarter of 2014.
The Task Force on Health Care Reform will meet very shortly to put together a full response to the Food and Health Bureau.
Hong Kong Insurance Awards 2014
The response from Member Companies and industry practitioners has been most positive and encouraging. Please be reminded that the deadline for submitting entries is 8 August 2014. Visit our official website now at www.metroradio.com.hk/Campaign/2014/104/HKIA/ and compete for excellence!
Greater China Affairs
We had an extremely busy time last week. On 22 July 2014, together with representatives from the banking and securities industries, I joined a meeting at the Trade and Industry Department and met a Mainland delegation led by the Ministry of Commerce. I presented the insurance industry's wish list to Mr Liu Zhifu (劉智夫), Director of the China Insurance Regulatory Commission's (CIRC) International Department, on the implementation of CEPA, in particular allowing insurers to set up customer service centre in designated cities in the Guangdong Province and establish an anti-fraud platform across the border. I am pleased to report that Mr Liu was very supportive of our proposals.
Similar ideas were presented to Chief of CIRC Shenzhen Bureau Mr Sun Bao Ping (孫抱平) when the Task Force on Greater China Affairs visited his office on 24 July 2014. Mr Sun and his team also responded positively to our proposals on establishing anti-fraud mechanism and reinforcing cooperation.
On the same day, I joined a panel discussion at the 2014 China International Conference on Insurance and Risk Management organised by Tsinghua University and shared with the audience the latest development of the Hong Kong insurance market.
Competition Law
We met the Hon Anna Wu, Chairman of the Competition Commission, and her senior management team recently to understand more about the work and mission of the Commission and the possible impact the relevant ordinance will have on our industry. We will organise a briefing for our Member Companies in due course to bring them up to date on this subject.
Investment Linked Assurance Schemes (ILAS)
Through the Hon K P Chan, the Life Insurance Council Chairman and Deputy Chairman met with the Hon Christopher Cheung (Financial Services Sector) on 2 July 2014 to exchange views on ILAS. In a previous media interview, the Hon Cheung has asked for tighter control over the sales of ILAS. We are pleased to note that the Hon Cheung agreed to review the issue in the light of the information we presented particularly on the various measures introduced by the industry to protect consumers.
Educational Campaign
We have just launched a series of exciting programme via different channels. A comic strip created by popular cartoonist Cuson Lo is published in the Next Magazine to provide useful tips on various types of insurance products. This animated visual educational aid is also available for sharing via social media. More will be available in the coming weeks with lively illustration and narrative on insurance tips.
We have also launched a mobile app with similar messages and insurance tips. You are welcome to download the new app and share this QR code with your clients, friends and family.
Meeting the Media
On 23 July 2014, HKFI Deputy Chairman Mr Mike Lee, General Insurance Council Chairman Mr Ronnie Ng, Deputy Life Insurance Council Chairman Mr Andy Robinson and I met with a group of journalists from the local paper media. We briefed them on the work and challenges of the HKFI and the latest market situation. We will continue to communicate with the mass media through various channels.
Mission Well Community Project
30 third and fourth formers aged between 14 and 16 have been selected as the fifth batch of “Junior Financial Secretaries" (JFS) and have started a series of intensive training. In addition to visiting us and familiarising themselves with the work of the HKFI and the insurance industry, they have also met the Hon Kenneth Leung and Dr Law Chi Kwong to learn more about Hong Kong's tax system, formulation of budget policy, poverty relief policy and the work of the Community Care Fund Task Force.
HKFI Annual Report 2013/2014
The latest HKFI Annual Report was published in early July. Illustrated with a collection of pictures, it provides an interesting and comprehensive overview of the work accomplished by the HKFI in the past 12 months.
An e-version is available online at: www.hkfi.org.hk/#!/resourcescentre/ar-2013/.
International Union of Marine Insurance (IUMI) Annual Conference 2014
We have lined up some distinguished speakers, including the Hon C Y Leung, Chief Executive of the HKSAR, and the Hon Laura Cha, Chairperson of the Financial Services Development Council, to address the above conference to be held in Hong Kong next month. Please visit www. iumi2014hk.com/IUMI%20detail%20program.pdf for the latest programme. Sign up now and don’t miss the chance of meeting the top-notch experts from the global marine insurance market!
Cross-strait,
HK and Macau Insurance Business Conference 2014
The above conference will be held in Taipei on 24 and 25 September 2014. You are invited to sign up for this signature event and join the Hong Kong delegation (Circular Ref: JP/SL/ML/ec/14013). A MOU will be signed at the conference to strengthen the working relation among the four markets.
Summer Greetings
In view of the summer holiday, the next issue of the Monthly Brief will be published in September 2014. Wishing you all a relaxing and refreshing summer break!
Jimmy Poon HKFI Chairman
MEMBERSHIP NEWS
Change of Authorized Representative
Transamerica Life (Bermuda) Ltd. (Life Member) – Mr Damiaan Jacobovits de Szeged
Cigna Worldwide Life Insurance Company Limited (Life Member) – Mr Stuart Austin Marsh
Cigna Worldwide General Insurance Company Limited (General Member) – Mr Stuart Austin Marsh (Chief Executive Officer)
AIA International Limited (Life Member) – Mr Ip Man Kit
HKFI Membership
As at 30 July 2014, the HKFI has 88 General Insurance Members and 44 Life Insurance Members.