Financial Services
New Insurance Guidelines issued by Bank Negara Malaysia
("BNM")
On 13 February 2023, BNM issued two new policy documents
relating to insurance business:
- universal life business which applies to insurers licensed
under the Financial Services Act 2013 to carry on life
business.
A "universal life policy" is a contract of insurance
on human life or an annuity where the benefits are, wholly or
partly, to be determined by reference to a nonunitised account, and
the value of which is related to (i) the income from property of
any description or (ii) the market value of such property.
The policy document sets out the regulatory requirements
relating to, among others, the corporate governance in the
management of such business and the disclosure requirements to
promote transparency to universal life policy owners.
