January 12: The Insurance Board has directed all insurance committees to set up Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) units within mid-January this year.
The Insurance Board issued such directive in accordance to the Anti-Money Laundering and Combating the Financing of Terrorism Strategy and Work Plan adopted by the government six months ago.
Banks have already started using AML/CFT software.
Now, the Insurance Board as well as insurance companies will have to use the Go-AML software to keep the records of customers. This system facilitates customers by avoiding filling the KYC (know your customer) form time and again and is based on biometric system.
The insurance companies will have to submit their reports regarding this issue to the board by the start of the next fiscal year.
The board will regularly check whether the insurance companies have been assessing the risk factor through AML and CFT software or not.
The board will have to report about suspected transactions as well.