Insurance Authority disciplines two licensed broker companies for failure to keep client monies separately and procure adequate professional indemnity insurance respectively

On July 2, 2025, the Insurance Authority ("IA") publicly reprimanded Century Investment Planning Limited and levied a $12,000 fine against another broker company. The latter failed to segregate client funds and delayed premium settlements, breaching guidelines and rules set forth in 2019. Separately, a broker's miscalculation in professional indemnity insurance led to a coverage shortfall of $11.8 million in 2019. Despite this oversight, no policyholders were adversely impacted, and both entities fully cooperated with the IA's disciplinary process.

Regulatory compliance is critical for brokers in safeguarding policyholders' interests. Failure to separate client funds and maintain adequate professional indemnity insurance may result in disciplinary actions and penalties.