The Hong Kong Insurance Authority (IA) has voiced its support for the recent consultation conclusions and legislative proposals put forth by the government concerning the establishment of a company re-domiciliation regime.
Clement Cheung, CEO of the IA, expressed that these initiatives underscore Hong Kong’s standing as a global financial hub.
“The insurance sector has long advocated for a regime that facilitates offshore companies with substantial local presence to relocate their headquarters to Hong Kong seamlessly. This marks a significant vote of confidence in our competitiveness as an international financial center,” Cheung remarked.
Highlighting the benefits of the proposed re-domiciliation regime, Cheung pointed out that it would streamline administrative procedures, reduce legal costs, and shorten the time required for offshore companies to complete the process without major disruption to their operations.
“It will be particularly valued by insurance groups aiming to expand their regional presence and capitalize on opportunities within the Guangdong-Hong Kong-Macao Greater Bay Area, while also boosting the development of the headquarters economy,” he added.
The IA affirmed its commitment to collaborate closely with both the government and industry stakeholders to ensure the swift implementation of the re-domiciliation regime.
In other developments concerning the Hong Kong insurance industry, the IA issued a cautionary advisory regarding a suspicious website, “https[:]//www[.]podenaz[.]com,” purportedly associated with “Podenas Bank (Hong Kong).”
The IA clarified that this entity lacks authorization as an insurer or licensure as an insurance intermediary under Hong Kong’s Insurance Ordinance (Cap. 41) to conduct insurance business or regulated activities.
The IA urged the public to verify the legitimacy of any entity soliciting insurance business online and provided links to comprehensive lists of authorized insurers and licensed insurance intermediaries available on its official website.
Additionally, the IA recently cautioned the public to remain vigilant against unlicensed insurance sellers targeting Mainland China visitors (MCVs).
Peter Gregoire, Head of Conduct Supervision and General Counsel at the IA, stressed the importance of engaging only with licensed insurance intermediaries. He warned that unauthorized insurance selling carries penalties including fines and up to two years of imprisonment.
“The Insurance Authority maintains a zero-tolerance stance against such activities, which not only endanger policyholders but also undermine confidence in the insurance market,” Gregoire emphasized.
