The Monetary Authority of Singapore expressed disproval to multiple major insurers over remuneration breaches.
AIA Financial Advisers (FA), Prudential Assurance Company Singapore, Aviva Ltd, and Aviva FA breached related requirements, according to a statement from the MAS.
The reprimanded insurers most commonly breached regulatory requirements to assign scores for fulfilling non-sales key performance indicators and cap variable income payable in the first year before spreading the remaining over a prescribed period.
The MAS named three managing directors from AIA FA alongside two so-called master group agency managers and a consultant at Prudential.
Aviva Breaches
MAS also reprimanded and Aviva FA's CEO and director Lionel Chee for his failure to discharge the duties of his office.
Chee did not properly address the poor conduct of Aviva FA’s representatives which include misrepresentation to customers of certain insurance products despite repeated regulatory engagement by the MAS.
In addition, Chee also failed to put in place arrangements to monitor consultant Peter Tan who was hired as a consultant but acted as a supervisor. Tan was also reprimanded for breaching the cap for variable income.
