Insurance Act 1966 · 2020 Revised Edition · Part 2 · Conduct of Insurance Business
11. Licensing of insurers
Feedback & supportLast amended by an amending law of 2013.
A person who desires to carry on insurance business in Singapore as an insurer must —
insurance business in Singapore
“insurance business in Singapore” means the business of assuming risk or undertaking liability in Singapore under policies, and of —(a)receiving proposals for policies in Singapore;(b)issuing policies in Singapore; or(c)collecting or receiving premiums on policies in Singapore,but does not include such businesses or activities, such class of businesses or activities, or such businesses or activities carried on by such persons or class of persons, as the Authority may prescribe;
apply in writing to the Authority for a licence under this section; and
provide such information as the Authority may require.
Upon receiving an application under subsection (1), the Authority must consider the application and may grant a licence to the applicant with or without conditions or refuse to grant a licence.
The Authority must not grant a licence to any person unless —
the applicant is a company, a company incorporated outside Singapore which has an established place of business in Singapore, or a co-operative society; and
the applicant satisfies such financial requirements as may be prescribed.
For the purposes of this section, the Authority may prescribe financial requirements of different forms or amounts for different classes of insurance business and for different types of insurers.
The Authority may license an insurer as a direct insurer, reinsurer or captive insurer.
direct insurer
“direct insurer” means any insurer other than a reinsurer, an authorised reinsurer or a captive insurer;
The Authority must cause notice of the grant of any licence or change of name of a licensed insurer to be published in the Gazette.
licensed insurer
“licensed insurer” means an insurer which is for the time being licensed under section 11;
Any applicant which is aggrieved by the refusal of the Authority to grant it a licence under this section may, within 30 days after being informed of the decision of the Authority, appeal to the Minister in writing in accordance with Part 3B.
The Authority may at any time add to, vary or revoke any of the existing conditions of the licence of an insurer or impose any condition thereto.
A licensed insurer must, at all times during the currency of its licence, satisfy such financial requirements as may be prescribed under subsection (3)(b).
Any licensed insurer which fails to comply with any condition imposed by the Authority under subsection (2) or (8) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction.
Any licensed insurer which contravenes subsection (9) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $250,000 and, in the case of a continuing offence, to a further fine not exceeding $25,000 for every day or part of a day during which the offence continues after conviction.[8