Staff Reporter
Islamabad
The Securities and Exchange Commission of Pakistan has proposed amendments to the primary insurance law i.e. Insurance Ordinance 2000.
The draft law has been placed on SECP’s website for stakeholders and public consultation, said a press release issued here.
The Draft Bill will address the regulatory gaps in existing law and provide a conducive regulatory environment to encourage market development. It will facilitate use of technology, provide ease of doing business and address entity specific and systemic risks by shifting towards Risk Based Supervision (RBS) and Risk Based Capital (RBC) Regime.
The amendments in law will also strengthen the regulatory framework and ensure its alignment with the Insurance Core Principles (ICP) of the International Association of Insurance Supervisors (IAIS).
The significant reforms proposed in the draft bill include introduction of dedicated microinsurers, provisions for regulation of takaful and re-takaful, regulation of local and foreign reinsurance business for enhancement of local capacity, regulation of reinsurance brokers.
