The bill is intended to address the risk of “real harm” to customers, following a series of behavioral and cultural reviews, and director FMA director James Greig told regulators “all new.” He said he would open the world. What you can do to better protect your customers.
“The COFI bill not only introduces licenses to all providers, but also introduces a wide range of tools to address fraud and flaws,” said Craig.
“In the past, there have been gaps in the applicable behavioral regulations, and this law will open up a whole new world to us in that regard.”
“When we enter that new regime, it will open up many new areas for us to move our heads,” he said. “It will also be a good opportunity for financial services providers to think about how to comply with their primary customer-first obligation.”
Commenting on the implementation of the bill, FMA director of banking and insurance Claire Bowlingford said regulation is more than just compliance with “minimum standards.” She has seen FMA “various practices” so far. The organization said it needed to delve into culture and systems, identify potential risk areas, and consider the need for remediation or ways to avoid repeating past mistakes.
“Behavior is really important, it’s what our customers actually experience, and it’s about the organization’s long-term behavior towards those customers, so we see it as a permanent issue,” says Bolingford. Says.
“It’s not just about complying with the minimum standards of law. It’s about understanding what good practices are in the front lines, systems and controls, and governance and operations.”
“This means that when these issues are identified, it is very important to identify and fix the root cause of the issue. Understand that this can take some time. “I do,” she explained.
“But as we gain a better understanding of some of the poor practices and mistakes made in the industry, there is a considerable mix of practices regarding how to identify and fix these problems and how to root them. The cause is resolved to ensure that no further improvements are needed in the future. “
Bolingford encourages companies that feel they need more guidance to take advantage of materials already available through more guides, reviews, and information pages to approach FMA directly. rice field.
“We are very pleased to be able to actually work with companies on this, because there are mixed practices out there,” said Bowlingford.
“So if your company experiences behavioral problems, all we can do is sit down with you and experience some of the good habits we’ve seen. Our expectations have already been set and companies have a lot of resources available. “
“There is our good deeds guide from 2017. It’s a lot you can ask yourself about how your company actually operates and if you have the principles of good deeds. I’m asking the question, “she said.
“We also review behavior and culture for banks, life insurers, fire departments and the general market. They may be considered very sector-specific, but in terms of broader recommendations. , I think it’s really very useful for the entire licensed population to look at them and see how they affect their business. “
Companies in need of COFI guidance were urged to seek advice from regulatory agencies
Source link Companies in need of COFI guidance were urged to seek advice from regulatory agencies