The insurer said it has addressed most of the issues identified by the regulator.

FWD Life Insurance Company (Bermuda) Ltd. has strengthened its anti-money laundering controls after Hong Kong's Insurance Authority (IA) identified weaknesses in customer screening, third-party payer identification, and transaction monitoring.

“FWD acknowledges the findings of the routine anti-money laundering inspection, initiated by the Insurance Authority (IA) in 2023, of its Hong Kong business,” the company said in an emailed statement.

FWD said it has addressed most of the issues identified by the regulator.

The insurer said it has enhanced its compliance programmes, boosted its risk management framework, expanded staff training, and increased its use of technology in fraud and anti-money laundering prevention.

The Insurance Authority on Sept. 24 said it had fined FWD $2.5m (HK$19.5m) for weaknesses in third-party payer identification, screening politically exposed persons, monitoring suspicious transactions, and customer due diligence.

The regulator said FWD had taken corrective action and acknowledged the insurer's cooperation with the probe.

The enforcement action comes as the Insurance Authority increases scrutiny of anti-money laundering compliance across Hong Kong's insurance sector.

In a March 2026 report, the regulator said three insurance broker companies had been reprimanded and fined a combined $54,672 (HK$429,000) for anti- breaches. Three people connected to the cases were also reprimanded.

The companies — ASI-Union Global Assets Management Ltd., Macroscopica International Wealth Management Ltd., and Bay Union Insurance Brokers Ltd. — failed to conduct adequate customer due diligence, identify politically exposed persons, verify authorised representatives, and retain required records, the IA said.

The report identified weaknesses in customer identity verification, screening politically exposed persons, confirming the authority of representatives acting for customers, and record retention.

In some cases, brokers failed to record when identification documents were verified. Another incorrectly recorded family trusts as policyholders instead of the relevant corporate entity.

The regulator also found that one broker had failed to retain identification documents for some policy applications despite internal requirements to keep them for at least five years. The Insurance Authority said it detected no money laundering or terrorist financing activity in those cases.

On Oct. 14, the authority announced disciplinary action against six insurance intermediaries that helped customers make false declarations related to bank drafts used for premium payments.

The transactions involved about $930,317(HK$7.3m). The intermediaries received licence suspensions or bans ranging from six to 13 months.

“Although robust internal controls are of vital importance in preventing Money Laundering and Financing of Terrorism activities, strict compliance by licensed insurance intermediaries remains to be the key in safeguarding the status of Hong Kong as an international financial centre,” Maria Tsui, head of Enforcement at Hong Kong's Insurance Authority, said in the announcement.

FWD said employees must complete financial crime training during onboarding, whilst existing staff and directors attend mandatory refresher programmes on risk management and regulatory compliance.

“FWD cooperated closely with the IA and is fully committed to making ongoing investments in people, systems, and processes to ensure we meet the high standards expected of us,” the company said.

(US$1 = HK$7.85 as of 29 October 2026)