Hong Kong and China sign Equivalence Assessment Framework Agreement
Source: Asia Insurance Review | Jun 2017
The Hong Kong Federation of Insurers has welcomed the signing of the relevant framework agreement by the Office of the Commissioner of Insurance (OCI) and the China Insurance Regulatory Commission (CIRC) to conduct equivalence assessment on the insurance solvency regulatory regimes of the Mainland and Hong Kong.
“The Hong Kong insurance industry is most encouraged by the positive steps taken by the local and Mainland insurance regulators to try and achieve mutual equivalence recognition of the solvency regulatory regimes in the two places”, said Mr Peter Tam, Chief Executive of the Hong Kong Federation of Insurers. “This will enable Hong Kong to provide a much wider spectrum of quality reinsurance services for the Mainland and help facilitate market development on both sides.”
There are presently a total of 18 reinsurers from around the globe operating in Hong Kong. The equivalence assessment is expected to be completed in four years’ time.
Mr Tam said: “The HKFI will provide our regulator with the necessary support to ensure timely completion of the exercise. This will benefit the mutual development of insurance and reinsurance businesses in both Hong Kong and the Mainland and further reinforce the status of Hong Kong as an international reinsurance hub.” A