New Member
GBA Development
On 10 September, the Hong Kong Monetary Authority (HKMA) promulgated the implementation details for the Cross-boundary Wealth Management Connect Pilot Scheme in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA).
Our initial response was, albeit the fact that investmentlinked assurance schemes (ILAS) are approved by the Securities and Futures Commission (SFC), they are currently not included in the Wealth Management Connect initiative. When the Administration reviews the product scope, we recommend to include ILAS, in particular the newly developed Protection-linked Plan (PLP), in the Wealth Management Connect so as to introduce more diversity / risk management elements to the product offering.
Green and ESG
ILAS & PLP Frameworks
According to the Insurance Authority's (IA) provisional statistics of Hong Kong insurance industry, the linked business for the first half of 2021 had increased by 192.2%. In anticipation of the enhanced product frameworks on ILAS & PLP, we are cautiously optimistic on the overall Class C business outlook for the rest of the year.
After our meeting in August with the three regulators, namely IA, HKMA, SFC, we conducted another round of industry consultation on the latest regulatory framework for PLP. We are thankful for the industry’s candid comments under the very tight timeline.
The Green and Sustainable Finance Cross-Agency Steering Group (Steering Group) established a Hong Kong Centre for Green and Sustainable Finance (GSF Centre) to engage different stakeholders. Under this GSF Centre, two Working Groups on Data and Capacity Building were formed and the HKFI nominated its Task Force on Green Insurance (TF) Chairman and Convenors of the TF’s four Subgroups as well as HKFI Chief Executive to join the working groups.
Internally, the TF has made knowledge building the top priority for this year. We are thus organizing a webinar series with subject experts addressing different aspects of Green and ESG. The first one entitled “What Does ESG Mean in Insurance” will be held on 22 October with speaker from PwC sharing insights on regulatory landscape in ESG and climate risks, including the Task Force on Climate-related Financial Disclosures (TCFD) reporting framework (Circular Ref: Mv084/21). More informative sessions are in the pipeline.
Share Your Green Initiatives and Increase Your Brand Awareness
In addition to the above, as more and more members implement green & ESG initiatives and innovate products with green elements, we hope to help share these efforts and innovation with stakeholders and the general public through our established social media platforms LinkedIn and Facebook. Share your stories with us now (Circular Ref: Mv081/21)!
Insurance Fraud Prevention Claims Database (IFPCD)
On 2 September, we met the Privacy Commissioner for Personal Data Ms Ada Chung and her team and provided an overview of the IFPCD, its governance structure and the safeguards we have in place to protect personal data. Taking the chance, we also presented the additional personal data fields we proposed to include in the IFPCD for analytical solution enhancement after close to two years’ operation.
We are delighted to have received very positive comments from the Commissioner and are appreciative of her words of encouragement. Going forward, we will continue maintaining this high level of protection for the privacy of personal data and, at the same time, ensuring the efficacy of the data analytics.
If you wish to be part of this meaningful project for the good of Hong Kong, please contact us at 2861 9392 or claimsDB@hkfi.org.hk
Joint Subcommittee on Issues Relating to Insurance Coverage for Transport Sector at the Legislative Council
At the previous three meetings of the Joint Subcommittee, HKFI introduced a ran ge of remedial actions and possible solutions to address the problems encountered by the transport sector in procuring insurance. The core group attended the fourth meeting on 6 September and reviewed the actions taken by the Administration and the outstanding items which are yet to be addressed. On the latter, we are arranging individual follow-up meetings with various departments with the presence of the Hon Frankie Yick, who chairs the Joint Subcommittee.
We are very encouraged to see the positive outcome of the meetings and are appreciative of the support from the Hon Yick and the Hon K P Chan and the collaborative efforts of the IA.
IUMI 2021 Seoul Annual Conference
This is the second year in a row that the International Union of Marine Insurance (IUMI) Annual Conference was held in the virtual space. Thanks to the enthusiastic support from our industry, Hong Kong as IUMI’s Asia Hub has formed a delegation of 25, including insurance brokers, at this signature annual event and recorded the highest participation rate in Asia. Delegates found the conference enjoyable and professionally satisfying.
The next IUMI Annual Conference will be held in Chicago in 2022.
Mitigating Risk Arising from COVID-19
HKFRS 17
To facilitate Member Companies’ preparation for imminent implementation of HKFRS 17 in 15 months’ time, the General Insurance Council's (GIC) Task Force on IFRS 17 has identified three professional firms to share the implementation challenges and showcase their HKFRS 17 implementation solutions / tools. A total of over 140 participants attended these informative webinars in mid-September.
Apart from the above practical sharing, we are also organizing two C-Suite webinars on HKFRS 17 for general and life insurers on 4 October and 11 October respectively, covering key requirements of the HKFRS 17 and its impact on the industry, and the points-tonote for directors’ in fulfilling stewardship duties.
InsurTech 101 Webinar Series
With the intention of educating and building a stronger understanding of InsurTech related topics to our Members, the HKFI has been gathering experts from various sources. In August, we delivered the first of our InsurTech 101 Webinar Series on cryptocurrencies & digital assets with over 170 registrants. The next webinar on cybersecurity is scheduled for October.
Incidentally, we are also organizing a webinar on ethics concerning the use of big data and AI.
As professionals in managing risk on a daily basis, our industry strongly believes that vaccination is the best way to mitigate the risk posed by COVID-19. Everyone has the responsibility to protect themselves, their loved ones and the community they live in.
In this connection, the Medical Insurance Association has released an industry statement on 7 September to highlight the importance of COVID-19 vaccination based on public health considerations and from the perspective of insurers’ medical directors. View the complete statement
Membership News
Change Company Name
● Life Insurance Member: BEA Life Limited changed to AIA Everest Life Company Limited
Change of Authorized Representative
● Life Insurance Member: AIA Everest Life Company Limited – Ms Joy Ellis
New Membership
● General Insurance Member: FuSure Reinsurance Company Limited