Pakistan's Senate has passed a Marine Insurance Bill in a move to promote the marine insurance sector in the country and to provide a legal framework for the regulation of this class of business.
Currently, marine insurance business is carried out in line with the British Marine Act, 1906.
The Bill goes next to the National Assembly.
Previously, the Chairman of the Senate Standing Committee on Commerce and Textile, Mr Syed Shibli Faraz, had directed the Ministry of Commerce to initiate consultations with other stakeholders including the Securities and Exchange Commission of Pakistan (SECP), National Insurance Company and other related provincial departments in order to make the proposed new law more effective in meeting the insurance requirements of the marine business, and aligned with new developments and international best practices.
As per the proposed legislation, the SECP will regulate marine insurance business throughout the country.