HC-4.1 HC-4.1 Annual Board Review and Certification[versions up to January 2011]
HC-4.1.1 [versions up to January 2011]
The Board must assess and document each year whether the internal corporate governance processes that it has implemented have successfully achieved their objectives, and consequently whether the Board has fulfilled its responsibilities for directing and monitoring the overall conduct of the licensee's affairs.
HC-4.1.2 [versions up to January 2011]
The requirements in Chapter HC-4 do not apply to
captive insurance firms , but should be considered as guidance. Unincorporated entities and single person companies are exempt from these requirements.Amended: January 2007HC-4.1.3 [versions up to January 2011]
The results of the review referred to in Paragraph HC-4.1.1 must be summarised in a written certification, to be signed by all Board members, and sent to the CBB within 3 months of the financial year-end of the licensee. The Board must report any material deficiencies identified during the review, along with an action plan and timescales for their correction.
Amended: January 2007HC-4.1.4 [versions up to January 2011]
The Board certification comprises a prescribed standard statement, to be signed by all Board members, attached to which should be a summary of the steps the Board has taken in carrying out the review; a summary of the results of that review, and a summary action plan (with timescales) for addressing any identified material deficiencies. The prescribed standard statement is included in Part B of Volume 3 (Insurance), under 'CBB Reporting Forms': see '
Directors ' High-Level Controls Certification' contained in the Insurance Firm Return (Form IFR) and the Insurance Intermediaries and Managers Return (Form IMR).Amended: January 2007
