By; Shahab Nafees
The untapped insurance industry of the country has a lot of room to grow. But the sector has to undergo certain reforms should it keep pace with a changing world, says a report unveiled by the Securities and Exchange Commission of Pakistan (SECP) on Thursday.
The report, which proposes a insurance sector reform roadmap and development in the insurance industry, was launched in a ceremony attended by participants from insurance, banking and business segments.
Prepared by the SECP’s Insurance Industry Reform Committee, the report says the business of insurance is changing dramatically across the world, posing unprecedented challenges both to insurers and regulators.
The report highlights the “need to seek greater efficiency through organisational and operational restructuring, stronger focus on core competencies and to preclude greater financial risks and uncertainties in the minds of various stakeholders”.
The potential reform areas identified in the report include regulatory reforms, operation challenges in life and non-life insurance, market development issues, insurance education and awareness and technology development.
Speaking on the occasion, SECP Commissioner (Insurance) Mohammed Asif Arif stressed the need to deliberate on the policy and regulatory issues to bring local insurance industry at par with the international standards.