Singapore: MAS Reprimands Aon Singapore Pte Ltd for Licensing Breach under the Insurance Act [“IA”]

1. On 26 September 2014, MAS reprimanded Aon Singapore Pte Ltd (“Aon”), a registered direct insurance broker under the IA, for contravention of section 35W of the IA.
2. Section 35W of the IA states that no person shall carry on business as any type of insurance broker in Singapore unless the person is registered by MAS as that type of insurance broker or exempted from registration under section 35ZN of the IA.
3. Aon had contravened section 35W of the IA as it had carried on business as a general reinsurance broker by acting as agent for an overseas insurer by placing four reinsurance policies with various Singapore registered insurers from 2010 to 2013, without being registered by MAS as a general reinsurance broker.
4. Aon has confirmed to MAS that it has put in place policies and procedures to prevent future recurrence of a similar contravention.

All insurance brokers should ensure that they only conduct the type of insurance broking activity for which they are registered under the IA.