CAPI 4.1.3 Selecting captive insurance manager and entering into agreement

(1) A firm must exercise due skill, care and diligence in selecting a captive insurance manager and in entering into, managing and terminating an outsourcing agreement.
(2) In making a decision for subrule (1), the firm must have regard to—
(a) the ability and capacity of a captive insurance manager to exercise the outsourced activity or functions reliably and professionally at the start and during the life cycle of the outsourcing agreement; and
(b) whether the captive insurance manager has adequate resources (including employees, information technology, office space and equipment) to provide the services requested; and
(c) potential conflicts of interest that may arise from the provision of the service by the captive insurance manager; and
(d) the financial stability and expertise of the captive insurance manager; and
(e) any other relevant factors.
Derived from QFCRA RM/2011-1 (as from 1st July 2011)