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consistency with the Financial Action Task Force (FATF) could be strengthened. When in June 2019 a first draft Cyber Risk and its Insurance services for two years now. The services delegation met
Recommendations. In response to the consultation, WFII report was presented, WFII provided comments and a WFII several Ambassadors and commercial counsellors of
made suggestions about flexibility and the optimisation delegation discussed the draft report with the drafters. WFII During the last two years, the IPPC examined the role WTO members and discussed the state of play of these
of the ML/TF assessment. In order to avoid duplication commented, inter alia, that the report should make clear that of insurance in managing cyber risk. The Committee talks and of their support for these initiatives. WFII seized
of effort, and to optimize the process, WFII proposed that it is in the interest of the consumer, that all actors distributing organised a conference on this issue and published a set of the opportunity offered by these bilateral meetings,
consideration should be given to allow intermediaries and insurance products, regardless of their title, should fall under recommendations that different stakeholders (businesses, to bring its perspective regarding liberalisation of the
insurers to distribute the tasks amongst them. This could the scope of the regulation and supervision (the activity- intermediaries, (re)insurance companies and governments) insurance mediation sector and the issue of multinational
be done in a contract between insurer and intermediary. based approach). The report should also include the message could implement to address the challenges to the cyber placements to the attention of the WTO Ambassadors and
Furthermore, WFII proposed mentioning in the ICP that that there is a distinction between non-life insurances/ risk insurance market’s development. WFII contributed to their teams.
intermediaries should take steps, proportionate to their pure risk life insurances and life insurance products with this OECD report and participated in the conference as a
nature and their size, to identify, assess and understand an investment element. Many jurisdictions already make panellist. As a next step in this project, the IPPC studied EU-US Insurance Project
their ML/TF risks. this distinction when regulating insurance distribution. A the differences in policy and regulatory requirements that
statement should also be included about certain limits of the affect the scope or form of cyber insurance coverage. The EU-US Insurance Project started in early 2012,
Activities with the OECD report due to the enormous complexity and variety of the At the December 2019 meeting the initial report was when the European Commission, EIOPA, NAIC (National
sector when trying to compare words, business models and presented in two separate reports, one on claims data Association of Insurance Commissioners) and the FIO
WFII attended the 2019 meetings and roundtables of the legislation from around the world. Considering the potential sharing, the other on insurance coverage issues. (Federal Insurance Office of the US Department of the
Insurance and Private Pensions Committee (IPPC) of the misunderstandings in terms of terminology, WFII asked Treasury) agreed to participate in a deeper dialogue project
OECD. The following issues, inter alia, are on the agenda of the drafters to avoid recommendations. More specific, as The institutional structure of insurance regulation and to contribute to an increased mutual understanding and
the IPPC and followed by WFII: the word independent has a different meaning in different supervision enhanced cooperation between the EU and US to promote
jurisdictions and triggers different regulation, WFII insisted business opportunity, consumer protection and effective
Report on insurance intermediation: regulatory/supervisory that paragraphs regarding independence of intermediaries In 2018 the IPPC published a Report on the institutional supervision in the EU and US.
framework and market conduct should be deleted. Many of WFII comments were taken into structure of insurance regulation and supervision. Building
consideration and important paragraphs, supportive to our on this work, the Committee developed policy guidance The above-mentioned insurance regulators and supervisors
In 2018-19, the IPPC examined the regulatory and sector, were inserted. The final report is a description of to complement the IAIS Insurance Core Principles (ICPs) on had the intention to continue their dialogue by organising
supervisory framework of insurance intermediation for both regulation in place in different countries and, contrary to its the objectives, powers and responsibilities of insurance a public event in Washington D.C. in March 2020, related
incumbent and emerging digital distribution channels with initial intention, and in line with what WFII always said and supervisors. This includes guidance on the institutional to cyber security risks, the cyber insurance market and
the view of identifying areas where consumer protection wrote, the IPPC has not included policy recommendations. structure of insurance regulation and supervision as well the use of Big Data. A representative of the American
as issues related to the independence and accountability insurance intermediary sector, submitted by WFII to the
and mandates and objectives of insurance regulators and organisers, would have been one of the panellists but due
supervisors. WFII commented in 2019 on the draft policy to the COVID-19 outbreak this event was cancelled.
guidance. WFII suggested, among others, to the drafters to
give more attention to innovation in the sector. New concepts The 2019 WFII Annual meeting
that appeared in the market could be elaborated in the
guidance. WFII also suggested mentioning the consideration Due to the COVID-19 outbreak, the WFII World Council
that regulation should be based on high-level principles Singapore 2020 meeting in person was cancelled. Instead,
and should not be subject to a constant change in order to a WFII General Assembly was held by email and on
guarantee stability, and to ensure that the supervisor has the Wednesday 29 April 2020 a video conference took place
time to deliver effective supervision. which was joined by many World Council members and
the members of the ExCSE Committee. Mr. Yoshi Kawai,
Activities with the WTO Chairman of the OECD- Insurance and Private Pensions
Committee (IPPC) also joined this video conference. Mr
Within the framework of the WTO Public Forum that took Kawai, who would have been a speaker at the WOC 2020
place in October 2019 in Geneva, WFII joined a delegation Singapore meeting, elaborated in his speech on the OECD
of the Global Service Coalition and met several key country note Initial assessment of insurance coverage and gaps
negotiators who have been discussing e-commerce, for tackling COVID -19 impacts.
investment facilitation and domestic regulation in

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