Singapore Insurance Law & MAS Regulations Flashcards
6 cards from real PGI 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 Law & MAS Regulations flashcards as text
What is the purpose of MAS's 'stress testing' requirements for Singapore insurers?
Answer: To assess whether insurers can withstand severe but plausible adverse scenarios and maintain solvency
Stress testing requires insurers to model the impact of severe adverse scenarios (economic shocks, catastrophic events) on their financial position, ensuring they hold sufficient capital buffers to remain solvent under stress.
What is Singapore's MAS Technology Risk Management (TRM) Guidelines requirement for insurers?
Answer: Insurers must implement robust IT governance, cybersecurity measures, and technology risk management to protect operational resilience
MAS TRM Guidelines require insurers to implement comprehensive technology governance, cybersecurity controls, incident management, and business continuity measures to ensure operational resilience in an increasingly digital environment.
What is Singapore's approach under the Insurance Act to 'run-off' insurers?
Answer: MAS supervises run-off insurers (those no longer writing new business) to ensure they can still meet outstanding obligations to existing policyholders
MAS continues to supervise insurers in run-off — those that have stopped writing new business but still have outstanding obligations. This ensures remaining policyholders' interests are protected until all obligations are settled.
What does Anti-Money Laundering (AML) compliance require of Singapore insurers?
Answer: Customer due diligence, transaction monitoring, and reporting suspicious transactions to authorities
AML compliance requires insurers to conduct customer due diligence (know your customer), monitor transactions for suspicious activity, and report suspicious transactions to the Suspicious Transaction Reporting Office (STRO).
What is the 'Financial Action Task Force' (FATF) recommendation's significance for Singapore insurers?
Answer: FATF standards form the basis of Singapore's AML/CFT framework that insurers must comply with
FATF recommendations form the international standard for anti-money laundering and counter-terrorism financing. Singapore's MAS framework for insurers is largely based on FATF standards, applied domestically through MAS Notices and guidelines.
Under the Personal Data Protection Act (PDPA), what must Singapore insurers do with customer personal data?
Answer: Collect, use, and disclose data only with customer consent and for notified purposes
Under PDPA, insurers must obtain customer consent before collecting, using, or disclosing personal data, and can only use it for the purposes notified to the customer. Data protection obligations are ongoing.