Legal measures and the role of governmental agencies regulating insurance business in anti-money laundering and combating the financing of terrorism

Abstract

Insurance business regulating for Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) has been changed since 2013. Previously, it was the authority of the Office of Insurance Commission (OIC) to become the authority of the Anti-Money Laundering Office (AMLO), but there is still no clear legal measure and supervision role between departments causing supervision not to be unified and ineffective. From the study, analysis of the problems and regulatory guidelines of the United States, Australia, Singapore, International standards as Recommendations of the Financial Action Task Force on Money Laundering and Insurance Core Principle No. 22 have led to the development and supervision of the insurance business in two areas, namely legal measures oversee the insurance business and the role of government agencies responsible for overseeing the insurance business according to the Risk-based Approach, which is used as a guideline for government agencies the responsible regulatory agencies and in the private insurance sector can be used in the prevention and suppression of money laundering and combating the financing of terrorism to achieve efficiency.