Singapore Insurance Act & Legal Framework Flashcards
6 cards from real BCP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Singapore Insurance Act & Legal Framework flashcards as text
Which government body regulates the insurance industry in Singapore?
Answer: Monetary Authority of Singapore (MAS)
The Monetary Authority of Singapore (MAS) is the integrated financial regulator in Singapore responsible for regulating and supervising the insurance industry under the Insurance Act.
Under the Singapore Insurance Act, what is the minimum paid-up capital required for a direct insurer licensed to carry on general insurance business?
Answer: S$10 million
Under the Insurance Act, a direct insurer licensed to carry on general insurance business must maintain a minimum paid-up capital of S$10 million.
Which of the following is NOT a class of insurance business under the Singapore Insurance Act?
Answer: Agricultural insurance
The Insurance Act categorizes insurance into Life insurance, General insurance, and Health insurance as the main classes. Agricultural insurance is not a separately defined class under Singapore's Insurance Act.
What does the term 'policyholder protection' refer to under Singapore's regulatory framework?
Answer: Safeguarding policyholders' interests and ensuring insurers can meet obligations
Policyholder protection refers to the regulatory framework ensuring insurers maintain sufficient financial resources and conduct business fairly to meet their obligations to policyholders.
Under the Insurance Act, what must an insurer do if it wishes to carry on a new class of insurance business?
Answer: Apply for MAS approval
An insurer must apply to MAS for approval before commencing a new class of insurance business. MAS will assess whether the insurer meets the required standards.
Which legislation governs the professional conduct of insurance intermediaries in Singapore?
Answer: Financial Advisers Act (FAA)
The Financial Advisers Act (FAA) governs the professional conduct of insurance intermediaries, including licensed financial advisers who provide financial advisory services including insurance.