Is a Securities Investment Business Licence required to have an insurance policy in place?

All Securities Investment Businesses licensed under the Securities Investment Business Law (the “SIBL”) must have and maintain adequate insurance coverage. The licensee must have insurance to cover 

• Professional Indemnity, 
• Professional Liability of Senior Officers and Corporate Secretaries, and 
• Business Interruption, as required by Section 4(1) of the Securities Investment Business (Conduct of Business) Regulations.

Please refer to Authority’s Statement of Guidance – Professional Indemnity Insurance for Trust, Insurance, Mutual Fund Administrator, Securities Investment Business and Company Management Licensees and Directors for guidance.