Fit & Proper Tests in the Insurance Industry - Directors and Commissioners

The Minister of Finance (MoF) has issued Regulation No. 78/PMK.05/2007 to perfect an earlier MoF Decision, No. 421/KMK.06/2003, on the subject of Fit and Proper Tests in the Insurance Industry. The Regulation is to facilitate increased effectiveness in the fit and proper test evaluation.

The Regulation applies to all directors, commissioners, and shareholders. These individuals are required to satisfy the fit and proper standards at all times as required. Fit and proper tests are also to be conducted at the time of a business license application or during the process of acquisition. However, any further regulation required for shareholders is to be confirmed in a MoF Regulation.