The Insurance and Social Security Supervisory Authority (ACAPS) has just published the results of its latest mission to monitor the sector in the fight against money laundering and terrorist financing (LBC/FT). At the end of this mission, carried out from the first quarter of 2021 to the first quarter of 2022, the regulator decided to draft sanctions against 2 companies and sanctions against 6 intermediaries. Here's why.

The Insurance and Social Security Supervisory Authority (ACAPS) continues to supervise and support the sector in the fight against money laundering and terrorist financing (LBC/FT). It has just published the results of its latest mission to supervise insurance and reinsurance companies (EAR) and intermediaries (IA). This mission allowed for the on-site inspection of 5 companies and 16 intermediaries, in addition to periodic LBC/FT questionnaires (for 23 EAR and 26 IA) and surveillance interviews (2 and 5 respectively). This is to ensure compliance with the provisions of circular AS/02/19 relating to the due diligence and internal monitoring obligations of the EAR and IA, two years after its entry into force, and to assist them in bringing them into compliance with LBC/FT, in particular with the FATF standards.

At the EAR level, the mission noted that 2 companies (their names are not disclosed) among the 5 inspected do not yet have a filtering tool (Filtering of persons doing the object of freezing assets, persons under sanctions (subject to enhanced vigilance and screening of PPEs: politically exposed persons). In addition, 2 of the 5 inspected EARs do not have sufficient human resources and an effective organization to carry out the various LBC/FT compliance missions. With regard to the audited insurance intermediaries, it appears that 37% do not have internal documents formalizing LBC/FT procedures. The majority of the AIs audited state that they were not aware of the publication of the authority's circular on due diligence. In addition, 80% do not have an LBC/FT risk classification model. With regard to the Suspicion Reporting System (DS), 87% of controlled AIs do not have access to the UTRFNET platform and none of the intermediaries have carried out a DS.