BNM issues policy document on Licensing and Regulatory Framework for Digital Insurers and Takaful Operators

3 October 2024

On 9 July 2024, Bank Negara Malaysia issued a Policy Document on Licensing and Regulatory Framework for Digital Insurers and Takaful Operators (“DITOs”) (“Policy Document”), which takes effect from 2 January 2025. The Policy Document sets out the requirements to facilitate the entry of DITOs that can deliver strong and meaningful value propositions of inclusion, competition and efficiency following feedback received in earlier consultations.

The Policy Document covers related key areas as follows: (a) applicability, (b) eligibility criteria, (c) application procedures and submission requirements, and (d) regulatory requirements.