Singapore legislation
Regulation 18
Regulation 18
Risk Management Committee
Subregulation 1
Subject to paragraph (4) and regulations 14(3) and 20, a Tier 1 insurer shall have a Risk Management Committee comprising —
at least 3 members of the Board of the Tier 1 insurer; and
at least a majority of directors (including the chairman of the Risk Management Committee) who are non-executive directors.
Subregulation 2
The Risk Management Committee shall, in addition to such other responsibilities as may be determined by the Board, be responsible for overseeing —
the establishment and the operation of an independent risk management system for managing risks on an enterprise‑wide basis; and
the adequacy of the risk management function of the Tier 1 insurer, including ensuring that it is sufficiently resourced to monitor risk by the various risk categories and that it has appropriate independent reporting lines.
Subregulation 3
The Risk Management Committee shall maintain records of all its meetings.
Subregulation 4
If a member of the Risk Management Committee resigns, ceases to be a director or for any other reason ceases to be a member of the Risk Management Committee —
the Tier 1 insurer shall notify the Authority of the event within 14 days after the occurrence of the event; and
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 Risk Management 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.