'Over regulation blocked growth'
The Insurance Board of Sri Lanka (IBSL) hosted the 10th annual
conference of the Asian Forum of Insurance Regulators (AFIR) in Colombo
last week. This is the first time Sri Lanka hosted the forum.
This year's conference theme was the changing landscape in insurance
regulations.
Chief Guest ex-parliamentarian Mahinda Samarasinghe said the
importance and position of insurance in the financial sector of trade as
it is a mechanism for the transference of risk which allows individuals
and corporates to operate in a financial environment with a greater
degree of safety.
Therefore, it is a vital and integral part of the financial landscape
of any country.
The Insurance Board of Sri Lanka which was incorporated by an Act of
Parliament in 2000, regulates the insurance industry and is entrusted
with the task of developing, regulating the industry.
It is its responsibility to see that the Insurance Business in Sri
Lanka is carried with integrity and professionally.
While safeguarding the interests of policy holders and potential
policy holders, the insurance industry has become a vital component of
the financial industry, he said.
Though our insurance industry is small compared to some countries
present here it is nevertheless vibrant and competitive with 29
insurance companies and fifty seven insurance brokering companies
offering a wide range of long term and general insurance products that
are now poised for exponential growth in the market.
Therefore, it is vital that regulators get the policies right the
first time around.
Overregulation has blighted the growth prospects in this continent
for decades, he said.
A panel discussion followed the session covering a discussion to
develop a common regulatory framework for inclusive insurance and
sharing experiences in micro insurance regulatory framework and the way
forward for the AFIR. The official website of the AFIR was also launched
at this function. |