ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has introduced the Directive for the Sale of Life Insurance Savings Products through Technology-Based Distribution Channels, 2025, designed to create a flexible and supportive environment for the digital distribution of life insurance savings products.
This new directive streamlines the onboarding process to enhance accessibility and improve the value for policyholders. It includes provisions for a low-charge structure and mandates that insurers invest in low-risk instruments, thereby strengthening consumer protection.
A key feature of the directive is the promotion of digital accessibility, requiring insurers to offer at least one life insurance savings product via a website or mobile app, as well as through an independent platform, within the next year.
By simplifying the onboarding process, this initiative is expected to significantly increase insurance penetration across Pakistan and support the growth of the country’s insurance sector. The directive also opens doors to new digital channels for distributing life insurance savings products, such as digital banks, telecommunications operators, and web aggregators.
This move aligns with the SECP’s five-year strategic plan for the insurance sector, reaffirming its commitment to facilitating the distribution of savings policies through online platforms and promoting digital financial services in the country.
