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Insurance intermediaries in Hong Kong will have to undertake continuous professional training in order to pursue a career in the industry under a new programme to be introduced next year.
Starting from January 1, 2002, the "Continuing Professional Development (CPD) Programme" for insurance intermediaries will come into effect with a view to encouraging continuous and professional learning to meet the ever-changing needs of the modern society.
The CPD Programme is part of the Insurance Intermediaries Quality Assurance Scheme (IIQAS) which became operational in January 2000. The IIQAS aims to enhance the standard of insurance intermediaries in Hong Kong.
For entry into the insurance intermediary profession, individuals have since been required to pass the Insurance Intermediaries Qualifying Examination as a prerequisite.
Insurance intermediaries comprise insurance agents and brokers, their responsible officers/chief executives and technical representatives. Under the CPD Programme, they are required to undertake continuous professional training as a condition for renewal of their registration/authorization.
Announcing the new programme at the press conference today (July 18), the Commissioner of Insurance, Mr Benjamin Tang, described the CPD as a major step towards professionalism for both incumbent insurance intermediaries and new entrants.
"The CPD seeks to ensure that insurance intermediaries remain aware of current developments regarding best practice, regulation and insurance products after their initial registration/authorization, as well as attain a higher level of practical skills and knowledge that the society values," he said.
"In the longer term, it will serve to secure the professional image and status of the Insurance Intermediaries. They would also stand to benefit as an enhanced perception of the industry will facilitate their business development as a whole."
Under the CPD Programme, an insurance intermediary will have to earn 10 core (i.e. insurance legislation and regulatory aspects of insurance practices related) credits and 20 non-core (i.e. general business knowledge related) credits every year.
The CPD credits can be earned through participation in structured activities like seminars, conferences, training courses, etc. Moreover, studies for attaining university degrees or specified professional insurance or actuarial qualifications are also qualified CPD activities.
While all core CPD activities must be accredited, non-core CPD activities can be either accredited or non-accredited. The Hong Kong Council for Academic Accreditation ("HKCAA") has been appointed the independent accreditation authority of the CPD Programme. The HKCAA is working out the accreditation criteria and will accept applications for accreditation in due course.
A transitional arrangement is made for those insurance intermediaries who are practising in Hong Kong on December 31, 2001. During the first three years of assessment (or transitional period) after the implementation of the CPD Programme, non-compliance with the credits requirements will not usually trigger off a de-registration.
To ensure that the insurance industry would be fully aware of the new requirement, a seminar was held by the Office of the Commissioner for Insurance (OCI) and the Hong Kong Federation of Insurers at the Hong Kong Space Museum early this afternoon. The attendees, about 140, were mainly chief executives and training managers of authorized insurers who were briefed on details of the CPD programme.
Details of the CPD requirements can be downloaded from the OCI website (http://www.info.gov.hk/oci).
End/Wednesday, July 18, 2001
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