to seek redress. within the insurance sector, the insurance mediation bureau established in 1992 constitutes the main avenue outside the court system for resolving disputes between policyholders and their insurers. to further enhance the role of the insurance mediation bureau as a dispute resolution mechanism, an expanded scope for the bureau involving higher limits for claims falling within its purview and the inclusion of third party claims is being considered. this will provide greater access to the bureau for a wider spectrum of the insuring public. at the same time, efforts are also underway to merge the mediation bureaus of both the banking and insurance sectors into a single new financial mediation bureau that will serve as a one - stop centre for the resolution of a broad range of retail consumer issues raised against the financial institutions that are regulated by the central bank. with effect from 1 june this year, we have also made it a requirement for all insurers and takaful operators to establish dedicated complaints units in their respective organizations. the experience has been that most complaints can be resolved in - house by the service providers themselves, in particular those complaints that involve delays in claims settlements due to institutional procedures, which generally comprise the bulk of public complaints. the establishment of the complaints unit by insurers and takaful operators is expected to promote a more pro - active approach in the management of complaints. such consumer complaints also provide valuable information regarding any shortcoming in the products and services. responding to consumer complaints also promotes customer goodwill. certainly, as consumer awareness and financial literacy increases with the implementation of this consumer education programme, it is essential for financial service providers to recognise the opportunity to build customer loyalty and increase customer retention through this mechanism. ladies and gentlemen, the advent of new technology and other market innovations will bring new challenges and possibilities for businesses and consumers. we can expect that this pace of change in the financial services industry will continue to increase. in striving to adjust to these changes, we should not underestimate the significant improvements in financial and business practices that can be achieved by empowering consumers through education. as we continue on this drive to raise the standards of individual economic and financial well - being through consumer education, the broad involvement of all parties involved in every stage of the programme ’ s implementation is vital to encourage expanded linkages between business and consumer education on an ongoing basis. our success in this important endeavour will have a significant bearing on how well prepared our society is to meet the challenges of an increasingly dynamic and complex financial environment.

education programme for banking, the insurance education programme has been given the acronym : “ insuranceinfo ” ( or “ infoinsurans ” in bahasa malaysia ). over time, it is envisaged that the acronym and the programme will become readily recognizable in the public domain. in its first year, the consumer education programme will focus on the wide dissemination of information in 12 priority areas that have been identified. these include issues on the fundamentals of insurance and takaful products and services, highlighting the important terms and conditions, rights and obligations under a policy contract as well as the redress avenues available, and the common insurance and takaful products. with participation from the insurance associations, bank negara malaysia has produced 12 booklets that set out the important information for consumers in these areas. these booklets can be obtained from the principal offices and branches of insurance companies and takaful operators, as well as from selected branches of banks that have bancassurance arrangements with insurers. ladies and gentlemen, in addressing the challenges of financial education, collaborative partnerships are important. no single organisation can be expected to meet all the demands for consumer education. while bank negara will continue to actively engage the insurance industry in the development, production and dissemination of educational materials and initiatives, the process needs to be driven by the industry. insurance intermediaries provide the direct link to the insuring public and therefore is an essential part of the efforts to increase familiarity on insurance by the community. with approximately 147, 000 agents currently in the market, the agency force can contribute significantly towards raising the level of financial literacy among malaysians through insuranceinfo. similarly, the various consumer associations, through their direct contact with consumers, have an important role to play in promoting an active consumer movement by providing useful guidance to consumers in dealing with issues relating to insurance and takaful matters. their wide network, close proximity, and good relationship with consumers can contribute towards the successful implementation of the consumer education programme. just as the rapid deployment of new information technology has expanded the scope of financial services, so too, has it increased our options for meeting the challenges of financial education. in this regard, the insuranceinfo website represents an important delivery channel which has significant potential to be used extensively to bring relevant and timely information to the public. all the pamphlets and booklets can be downloaded from the website. over time, the website will be continually enhanced to provide for a more interactive and user - friendly interface with