The Thailand Office of Insurance Commission has summoned Thai Life Insurance Public Company Limited to explain its handling of a case in which a life insurance agent fraudulently misappropriated insurance premiums, and has ordered urgent remediation for affected policyholders alongside a comprehensive strengthening of internal controls. The regulator warned it will escalate legal enforcement if the company fails to comply. The directions require Thai Life Insurance to refund premiums, reinstate renewal policies as if premiums had been received, or offer other beneficial options to impacted policyholders within 15 days of receiving the order, with complete, accurate and non-discriminatory execution. Any refusal must be supported by clear evidence that a specific policyholder colluded in the fraud, and the company must consider legal action against wrongdoers. The company must also immediately review and improve internal controls related to complaint handling, report progress to the Office of Insurance Commission on an ongoing basis until remediation and fixes are complete, and communicate clearly and concretely about its remedial actions. The Office of Insurance Commission noted it has already revoked the agent’s licence and will coordinate with investigators to pursue criminal proceedings for insurance fraud. Ongoing supervisory follow-up will include assessing root causes and the effectiveness of risk management, internal control, compliance and agent oversight, with further action if implementation is incomplete or non-compliant.

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