The Securities and Exchange Commission of Pakistan (SECP) has delegated powers to the Commissioner (Insurance) to determine and impose the liquidated damages on an insurer in addition to amount of claim payable by such insurer.
The SECP has issued SRO 719 (I)/2019 here on Friday to delegate certain powers of the commission to the Commissioner (Insurance). According to the SRO, (the Commission), subject to such conditions and limitations as it may from time to time impose, hereby delegates the following powers and functions of the Commission to its Commissioner (Insurance), to the extent of insurance companies, whether listed or not:
Commissioner (Insurance) can exercise powers under relevant section (118(1) & 118(2) of the Insurance Ordinance, 2000 to determine and impose the liquidated damages, a sum calculated in the manner as specified, on an insurer in addition to amount of claim payable by such insurer.
Commissioner (Insurance) has been empowered to exercise powers under relevant section (130(2) of the Insurance Ordinance, 2000 to pass an order on an appeal filed by an insurance company, or official of an insurance company or a complainant aggrieved by an order passed by the Insurance Ombudsman.
Commissioner (Insurance) has been empowered to exercise powers under relevant section 130(3) of the Insurance Ordinance, 2000 to take such action including the imposition of a fine or penalty as the Commission may deem fit on the insurance company, and in relation to an insurance company officer, to initiate appropriate disciplinary or other proceedings if order of the Insurance Ombudsman or order passed by the Commission in appeal is not implemented. The Commission shall have the authority to exercise all powers delegated to the Commissioner, concurrently under sub-section (2) of section 10 of the Securities and Exchange Commission of Pakistan Act, 1997, SECP added.