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IM-1.2.1

The following table lists the Modules of the CBB Insurance Rulebook and indicates those that apply to insurance brokers, insurance consultants and insurance managers. The remaining chapters of this guide will describe in more detail the principal requirements of each Module of the Regulations and Directives that apply to insurance intermediaries and insurance managers.

HIGH LEVEL STANDARDS

Module AU (Authorisation) Regulations and Directives dealing with the licensing requirements and conditions for providers of regulated insurance services. The Sections dealing with the authorisation requirements, licensing conditions, approved persons conditions and information requirements and processes are applicable to insurance intermediaries and insurance managers.
Module PB (Principles of Business) Principles that are applicable to all insurance licensees regulated in Bahrain; these apply in full to insurance intermediaries and insurance managers.
Module HC (High-Level Controls) Directives in respect of governance, systems and controls of licensees. Different Rules and Guidance apply depending on the type of insurance intermediaries and insurance managers.
Module AA (Auditors and Actuaries) Directives on the appointment and functions of external auditors and actuaries of insurance licensees. Only those Directives dealing with auditors apply to insurance intermediaries and insurance managers.
Module GR (General Requirements) Regulations and Directives dealing with requirements covering other areas not included in other Modules. These include: books and records, corporate and trade names, dividends, business transfers, controllers, close links, statutory deposits, cessation of business and professional indemnity coverage. Statutory cash deposits are required for insurance brokers.


BUSINESS STANDARDS

Module CA (Capital Adequacy) Directives governing minimum capital and solvency requirements and the valuation of assets and liabilities. Some of these Directives apply specifically to insurance intermediaries and insurance managers. Considering the nature of their business, the requirements for capital and solvency for insurance firms are far more detailed than for insurance intermediaries and insurance managers.
Module BC (Business Conduct) The Code of Business Conduct governs the sale of insurance and applies to all insurance licensees.
Module CL (Client Money) Directives applicable to insurance brokers and appointed representatives dealing with the holding of client money.
Module RM (Risk Management) Risk management standards applicable to licensees. Several of the requirements for risk management can be outsourced to insurance managers.
Module FC (Financial Crime) Directives governing the monitoring and reporting of financial crime, including the prevention of money laundering and terrorism financing and insurance fraud.
Module TC (Training & Competency) Directives to be developed will apply to insurance intermediaries and insurance managers.


REPORTING REQUIREMENTS

Module BR (CBB Reporting) Requirements for reporting to the CBB. Annual reporting requirements apply to insurance intermediaries and insurance managers. Insurance intermediaries and insurance managers are exempted from group and quarterly reporting requirements.
Module PD (Public Disclosure) Module PD does not apply to insurance brokers, insurance consultants and insurance managers.


ENFORCEMENT AND REDRESS

Module EN (Enforcement) This Module outlines enforcement powers and processes that may be applied by the CBB and applies in full to all insurance licensees.
Module DP (Dispute Resolution) Directives will be developed later.
Module CP (Compensation) Directives will be developed later.
Amended: April 2012
Amended: April 2011
Amended: January 2007
Amended: October 2007