XN000022-1972-05-24 — Page 22

22

Wednesday, May 24, 1972

NEED TO STRENGTHEN LAW ON INSURANCE

Greater Protection For Public

Financial requirements in some of the ordinances relating to

insurance will be strengthened soon to provide greater protection to the

public.

The Financial Secretary, the Hon. C.P. Haddon-Cave told Legislative Council today that recent investigations had shown a need for strengthening the law at an early date.

He said a draft Bill was being prepared for submission to Executive Council. This would propose substantial increases in the present requirements as to the deposits, paid-up capital and solvency margins.

"It is intended that these provisions will take effect from today

(May 24)," Mr. Haddon-Cave said.

The Financial Secretary was replying to a question from Sir Yuet-keung Kan who had asked whether Government intended to amend present legislation dealing with insurance companies and, in particular, to revise the financial requirements to be met.

The Government, he said, also intended to undertake later this year a review of the whole field of insurance legislation. A law officer, who is at present on leave in the United Kingdom, would be spending some time in the Insurance and Companies Division of the Department of Trade and Industry in preparation for this review.

Mr. Haddon Cave