WHEREAS,   IC  Circular  Letter  No.  2014-47   dated  21  November   2014  on “Guidelines on Electronic Commerce of Insurance Products” recognizes the use of mobile application as a form of electronic commerce of insurance products;

WHEREAS,  a mobile insurance  application  is a type of mobile application  that may  be  preinstalled  in  the  mobile  device,  an  item  in  the  SMS  menu  of  the network carrier, or downloaded by the user through any of the digital platforms;

WHEREAS,   the  use  of  mobile  insurance  application   for  the  distribution   of insurance products will improve market penetration, promote product awareness, improve   efficiency   in  the   delivery   of  insurance   products   and   provide   an alternative platform accessible to the general public using technological advancements;

WHEREAS, there is a need to set the guidelines in the use of mobile insurance applications for the distribution of insurance products;

NOW WHEREFORE,  pursuant  to the authority  of the Insurance  Commissioner under  Sections  50  and  Section  437  of  the  Insurance  Code,  as  amended  by Republic Act No. 10607, Item 7.18 of IC Circular Letter No. 2014-47 on the Guidelines  on Electronic  Commerce  of Insurance  Products  is hereby amended as follows:

“7.18 The use of the mobile application should be with prior approval of the Commission.  The  mobile  application  should  be  registered  with  the  major digital platform like Apple, Inc. App Store and Google, Inc. Google Play and Microsoft Windows Marketplace and must possess the requirements of these guidelines as applicable to the website of the insurance provider.

“The mobile insurance application may be pre-installed in the mobile device, an item in the SIM menu of the network carrier, or downloaded by the user through any of the above-cited digital platforms. The mobile application insurance shall only be accessible and used within the Philippine  territory.  Only  approved  insurance  products  shall  be distributed  in  the  mobile  application  and  shall  comply  with  existing laws, rules, regulations, and circulars released by this Commission. Payment  of  the  insurance  product  availed  through  the  use  of  the mobile  insurance  application  may be through  automatic  deduction  to the existing load of the user to the network carrier, billed through the postpaid  plan, deducted  to existing  electronic  wallet, use of credit or debit card, and use of any accredited  online payment system, subject to existing rules and regulations of the National Telecommunications Commission.”

This Circular shall take effect immediately.