Direct Distribution Channels for Pure Protection ProductsRelease Date: 23 Jun 2017
23 June 2017
1 July 2017
The Life Insurance and Family Takaful Framework issued on 23 November 2015 sets out initiatives for the diversification of distribution channels to promote greater accessibility and wider outreach of life insurance and family takaful products. One of these initiatives is for life insurers and family takaful operators to offer commission-free standalone pure protection products through the direct distribution channels.
This Policy Document sets out the specific requirements for life insurers and family takaful operators to offer pure protection products through the direct distribution channels, which cover the following:
- General requirements for direct distribution channels;
- Business conduct requirements on product suitability and disclosure;
- Operational requirements on customer support and electronic payment facilities; and
- Specifications for pure protection products.
Pure protection term products will be made available through the direct distribution channels with effect from 1 July 2017 onwards, followed by pure protection critical illness and pure protection medical and health products from 1 July 2018 onwards. The specific requirements for the pure protection critical illness and pure protection medical and health products will be issued subsequently.
Details can be found in the following document:
© Bank Negara Malaysia, 2018. All rights reserved.