Singapore legislation

Regulation 11

of Insurance (Corporate Governance) Regulations 2013

Regulation 11

Nominating Committee

Subregulation 1

Subject to paragraphs (2) and (4) and regulations 14(3), 19 and 20, a Tier 1 insurer shall have a Nominating Committee comprising —

(a)

at least 3 members of the Board of the Tier 1 insurer; and

(b)

at least a majority of directors (including the chairman of the Nominating Committee) who are independent directors.

Subregulation 2

Where a single substantial shareholder holds 50% or more of the share capital or the voting power in a Tier 1 insurer, paragraph (1)(b) shall not apply to the Tier 1 insurer only if the Tier 1 insurer has a Nominating Committee comprising —

(a)

at least a majority of directors who are independent from management and business relationships with the Tier 1 insurer; and

(b)

at least one-third of directors (including the chairman of the Nominating Committee) who are independent directors.

Subregulation 3

Every member of the Nominating Committee shall be appointed to hold office until the next annual general meeting following that member’s appointment, and shall be eligible for re‑appointment.

Subregulation 4

If a member of the Nominating Committee resigns, ceases to be a director or for any other reason ceases to be a member of the Nominating Committee —

(a)

the Tier 1 insurer shall notify the Authority of the event within 14 days after the occurrence of the event; and

(b)

if this results in a breach of any requirement under paragraph (1), the Board shall, within 3 months after that event, appoint such number of new members as may be required to rectify the composition of the Nominating Committee in accordance with that requirement.

Subregulation 5

Any Tier 1 insurer which contravenes paragraph (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000 and, in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part thereof during which the offence continues after conviction.

Subregulation 6

Any Tier 1 insurer which contravenes paragraph (4)(a) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000.