Insurance Commission (IC) Deputy Commissioner Vida T. Chiong said in a telephone interview that this amendment’s purpose is to bridge the gap, with this year’s licenses expiring in June 2014 and the new licenses that will be issued in January 2015. She also mentioned two ways in attaining this issue, either they will issue circularly or give extensions to settle effectivity dates. Another purpose of this amendment is to address the “over tedious” licensing of insurers. According to Ms. Chiong, they deliberated over 40,000 licenses last year, through this amendment they will now deliberate every three years that is similar with the Land Transportation Office (LTO) that gives them more time to divert their work to other issues.
They (IC) may now be able to conduct regular inspections or “warrant onsite examinations” to life and non-life insurers through a mandatory monthly and quarterly reports. With the new structure that will be implemented this August the insurance industry will be performing on their toes, meaning they will be more alert on their activities and to ensure that they work on reputable playing field.