CHAPTER I - OBJECT AND SCOPE
CHAPTER II - DEFINITIONS
CHAPTER III - GENERAL PROVISIONS
CHAPTER IV - MONEY LAUNDERING AND FINANCING OF TERRORISM PREVENTION POLICY
CHAPTER V - GOVERNANCE OF THE MONEY LAUNDERING AND FINANCING OF TERRORISM PREVENTION POLICY
CHAPTER VI - THE INHERENT RISK ASSESSMENT
CHAPTER VII - PROCEDURES INTENDED TO KNOW THE CUSTOMERS
CHAPTER VIII - REGISTRY OF TRANSACTIONS
CHAPTER IX - MONITORING OF TRANSACTIONS AND BUSINESS RELATIONSHIPS
CHAPTER X - THE ANALYSIS AND TRANSACTIONS REPORTING
CHAPTER XI - PROCEDURES INTENDED TO KNOW EMPLOYEES, PARTNERS AND OUTSOURCED SERVICES PROVIDERS
CHAPTER XII - EFFECTIVENESS EVALUATION
CHAPTER XIII - ADMINISTRATIVE LIABILITY
CHAPTER XIV - FREEZE ACTIONS REGARDING ASSETS, RIGHTS OR VALUES
CHAPTER XV - ESPECIAL SITUATIONS
CHAPTER XVI - TEMPORARY AND FINAL PROVISIONS
CIRCULAR SUSEP 612, OF 18 AUGUST 2020* (versão em inglês/Editora Roncarati)
Providing for the policy, procedures and internal controls specifically intended to preventing and combating the crimes of money laundering or assets, rights and values concealment, or correlated crimes, as well as to preventing and restraining the financing of terrorism.
THE SUPERINTENDENT OF THE PRIVATE INSURANCE SUPERINTENDENCY – SUSEP, in accordance with the provisions set forth in sub items "b" and "c" of Art. 36 of Decree-Law 73 of 21 November 1966, § 2 of art. 3 of Decree-Law 261, of 28 February 1967, considering the terms of Complementary Law 137, of 26 August 2010, art. 74 of Complementary Law 109, of 29 May 2001, and single paragraph of art. 3 of Complementary Law 126, of 15 January 2007; and considering the provisions of Law 4.594, of 29 December 1964, of arts. 10, 11 and 12 of Law 9.613, of 3 March 1998, and its amendments, of Decree 5.640, of 26 December 2005, of Decree 5.687, of 31 January 2006, of Law 13.260, of 16 March 2016, of Law 13.709, of 14 August 2018, of Law 13.810, 8 March 2019, of Decree 9.825, of 5 June 2019 and the contents of Susep File 15414.633512/2017-19, resolves to:
Art. 1 Providing for the policy, procedures and internal controls specifically intended to preventing and combating the crimes of money laundering or assets, rights and values concealment, or correlated crimes, as well as to preventing and restraining the financing of terrorism.
Art. 2 The insurance and saving bonds companies, local and admitted reinsurers, open complementary pension companies, cooperative companies authorized to operate by Susep, reinsurance brokerage companies, insurance brokerage companies, and insurance, saving bonds and open complementary pension brokers shall be subject to the obligations provided for in this Circular.
Single paragraph. The branches, subsidiaries and similar establishments abroad of the persons mentioned above shall be subject to those same obligations, as well as the branches of foreign companies authorized to operate by Susep.
Art. 3 The following definitions apply for the purposes of this Circular:
I – companies: insurance and saving bonds companies, open complementary pension companies, cooperative companies authorized to operate by Susep, their branches, subsidiaries and similar establishments abroad, as well as the branches of foreign companies authorized to operate in Brazil by Susep;
II – reinsurers: local reinsurers, their branches, subsidiaries and similar establishments abroad, and representative offices of admitted reinsurers;
III – reinsurance brokers: reinsurance brokerage companies, their branches, subsidiaries and similar establishments abroad;
IV – insurance brokers: insurance brokerage companies, and insurance, saving bonds and open complementary pension funds brokers;
V – customers: insureds, cedents or principals, participants in open complementary pension plans, members of cooperatives authorized to operate by Susep, holders or subscribers of saving bonds and their respective representatives;
VI – beneficiaries: persons appointed by the insured, principal or participant in a pension plan, or recognized as such under the legislation in force or by court decision, holders of rights of redemption and awarded in saving bonds draws;
VII – third parties: those who do not fit in the previous items and are incidentally indemnified, benefited from or related to the acquisition or settlement of insurance policies, saving bonds and open private pension plans;
VIII – other related parties: any other directly or indirectly involved parties in the activities of the entities listed in the head and sole paragraph of art. 2, such as named insureds, microinsurance correspondents, insurance representatives, saving bonds dealers, settlors, open policies' registers, counterparts in private deals and transactions involving assets, financial intermediaries, employees, service providers, independent auditors, consultants, asset managers, administrators and custodians;
IX – ultimate beneficial owner: natural person or persons who, jointly or individually, directly or indirectly possess, control or influence significantly a legal person or other similar structure;
X – prevention of money laundering and of financing of terrorism: to prevent and combat the criminal offenses of laundering or assets, rights and values concealment, or correlated crimes, as well as to preventing and restraining the financing of terrorism;
XI – due diligence: set of policy, procedures and internal controls continuously applied in checking the identity and fittingness of all customers and business relationships, including third parties and beneficiaries, in a way to identify risks of being involved in situations related to money laundering, as well as to prevent and restrain the financing of terrorism, in relation to the traded products, private deals, buying and selling of assets and other transactional practices;
XII – enhanced monitoring: a differentiated and necessarily more comprehensive set of policy, procedures and internal controls, developed on the basis of the results of an identification, assessment and diagnosis of the risks, that the persons mentioned in art. 2 use to try to avert money laundering and financing of terrorism; and
XIII – conglomerate: financial conglomerate or prudential group, being:
a) financial conglomerate: any group of companies, including financial holdings, subject to a common control or dominant influence which carries out financial activities in at least two of the following sectors: banking, insurance or marketable securities; and
b) prudential group: in accordance with a definition established in a National Council for Private Insurance (CNSP) regulation.
Sole paragraph. Significant influence is presumed when the natural person or persons referred in item IX directly or indirectly possess more than 25% (twenty-five per cent) of the capital of the legal entity, even without controlling it, and without prejudice to the evaluation of the influence degree through other factors apart from the corporate stake.
Art. 4 For the purposes of this Circular, politically exposed persons are natural persons who are or have been entrusted with prominent employments or public functions, as well as with prominent functions in international organizations within the last 5 (five) years.
§ 1 For the purposes of this article, politically exposed persons are:
I – holders of terms of office in the Executive and Legislative Branches of the Federal Government;
II – holders of positions, in the Executive Branch of the Federal Government:
a) of Minister of State or equivalent;
b) of Especial Nature or equivalent;
c) of president, vice-president and officer, or equivalent, in public indirect administration entities;
d) of level 6 or equivalent in the Group of Senior Management and Advisory – DAS.
III – members of the National Council of Justice, Federal Supreme Court, Superior Courts of Justice, of Federal Regional Tribunals, of Labor, and Electoral, of the Superior Council for Labor Justice and of the Federal Justice Council;
IV – members of the Federal Council of the Prosecution Office, Federal Prosecutor-General, Federal Vice Prosecutor-General, Labor Prosecutor-General, Military Prosecutor-General, Federal Sub Prosecutors-General, and states' and Federal District's Prosecutors-General.
V – members of the Federal Court of Accounts, the Prosecutor-General and Sub Prosecutors-General of the Prosecution Office at the Federal Court of Accounts;
VI – political parties' presidents and national treasurers, or equivalent;
VII – States' and Federal District's governors and secretaries, States' and Districtal Deputies, presidents, or equivalent, of states' and districtal's entities of the public indirect administration, presidents of States' and Federal District's Courts of Justice, of Military, of Accounts or equivalent; and
VIII – Mayors, City Councilors, Municipal Secretaries, presidents or equivalent, of municipal public indirect administration entities and Presidents of the Municipal Courts of Accounts or equivalent.
§ 2 For the purposes of this article, are also regarded as politically exposed persons those who are foreign:
I – heads of state or government;
II – higher ranks politicians;
III – holders of higher ranks governmental positions;
IV – general officers and members of higher ranks in the judicial branch;
V – higher ranks executive officers in public companies; or
VI – political parties' leaders.
§ 3 The heads of higher ranks in public or private international law entities are also regarded as politically exposed persons for the purposes of this article.
CHAPTER III
GENERAL PROVISIONS
Art. 5 The persons mentioned on art. 2 shall develop and implement, under the current law and regulations, effective policy, procedures and internal controls consistent with the nature, complexity and risks of the transactions carried out, which shall comprise the identification, assessment, control and monitoring of the risks of being involved in situations related to money laundering and financing of terrorism, in relation to traded products, private deals, buying and selling of assets and other transactional practices, including at least the following items:
I – the establishment of a policy of prevention of money laundering and financing of terrorism, including guidelines about the risks assessment in the transactions underwriting process, in hiring third parties or other related parties, in products development, private deals and transactions with assets;
II – preparation of criteria and implementation of procedures to identify customers, beneficiaries, ultimate beneficial owners, employees, third parties and other related parties, and to retain physical and/or electronic registries concerning products and procedures exposed to the risk of being used in money laundering and financing of terrorism;
III – handbooking and implementation of procedures for identification, monitoring, risk analysis and reporting of transactions that could represent circumstantial evidences of money laundering or financing of terrorism, or correlated crimes;
IV – preparation and execution of a regular training program aimed at the dissemination of culture and the qualification of employees, partners and outsourced services providers, according to their respective functions, with specific emphasis on the compliance with Law 9.613/1998, this Circular and further regulations concerning the prevention of money laundering and financing of terrorism; and
V – preparation and execution of an annual audit program, by the internal audit, if existent, in order to verify the compliance with the provisions of this Circular, in all of its aspects.
CHAPTER IV
MONEY LAUNDERING AND FINANCING OF TERRORISM PREVENTION POLICY
Art. 6 The money laundering and financing of terrorism prevention policy must comprise, at least:
I – guidelines to the:
a) roles and responsibilities definition for the compliance with the duties quoted in this Circular;
b) definition of procedures aimed at the assessment and previous analysis of new products and services, as well as the use of new technologies, taking into account the risk of money laundering and financing of terrorism;
c) inherent risk assessment quoted in Chapter VI;
d) effectiveness evaluation, quoted in Chapter XII, and the validation of compliance with the policy, procedures and internal controls mentioned in this Circular, as well as identification and correction of detected deficiencies;
e) training program mentioned in art. 5, item IV; and
f) employees, partners and outsourced services providers recruitment and hiring, taking into account the risk of money laundering and financing of terrorism.
II – guidelines for the implementation of procedures for the:
a) information collection, verification, validation and updating, and execution of due diligences, in order to know customers, employees, partners and outsourced services providers;
b) record keeping of transactions and services;
c) monitoring, selection and analysis of suspicious transactions and situations, including deadlines for the selection of transaction or set of transactions and for the analysis conclusion;
d) reporting of transactions to the Financial Intelligence Unit of Brazil (Coaf); and
e) analysis concerning the freeze of assets of any amounts, ownership, direct or indirect, of natural persons, legal persons or entities, under the terms of Law 13.810, of 8 March 2019.
III – upper management's commitment to the effectiveness and ongoing improvement of the policy, procedures and internal controls related to prevention of money laundering and financing of terrorism.
Art. 7 The persons mentioned in art. 2 may adopt a single policy per conglomerate for the prevention of money laundering and financing of terrorism, provided that such policy takes into account the provisions of this Circular and comprises the specificities of their transactions.
Art. 8 The persons mentioned in art. 2 must ensure the application of the policy of prevention of money laundering and financing of terrorism in their branches, subsidiaries and similar establishments abroad.
Sole paragraph. In the case of a restraint or legal limitation to the application of the policy referred in this article to a branch, subsidiary or similar establishment abroad of a person mentioned in art. 2, a report must be prepared to explain such restraint or limitation.
Art. 9 The policy for the prevention of money laundering and financing of terrorism has to be released to the employees, partners and outsourced services providers of the person mentioned in art. 2 in a clear and accessible language, at a detail level compatible with the functions performed and the information sensitiveness.
Art. 10 The anti-money laundering and combating the financing of terrorism policy has to be:
I – documented;
II – approved by the board of director, or if nonexistent, by the executive board of the person mentioned in art. 2; and
III – kept updated.
Sole paragraph. In case the person mentioned in art. 2 chooses the option defined in art. 7, the item II of this article will be deemed as complied with if its board of directors or, if nonexistent, its executive board formalizes such decision in a meeting.
CHAPTER V
GOVERNANCE OF THE MONEY LAUNDERING AND FINANCING OF TERRORISM PREVENTION POLICY
Art. 11. The persons mentioned in art. 2 must have a governance structure able to ensure the compliance with the policy quoted in Chapter IV and with the procedures and internal controls for the prevention of money laundering and financing of terrorism defined in this Circular.
Sole paragraph. The executive board and the board of directors, if existent, are responsible to supply the governance structure mentioned in this article, comprising adequate human, financial and technological resources to the achievement of its objectives.
Art. 12. An officer must be appointed to be responsible for the compliance with the provisions of Law 9.613/1998, with the present Circular and with other complementary regulations.
§ 1 The responsible officer shall have immediate and irrestrict access to the identity's data of customers, beneficiaries, third parties, other related parties and ultimate beneficial owners, in accordance with the definitions of art. 3.
§ 2 In the case of brokerage companies, the responsible officer referred in this article is the officer designated for such purpose in the company's articles of incorporation or bylaws, or the technical responsible broker.
§ 3 In the case of admitted reinsurers, the responsible officer referred in this article is the representative in charge of the representative office.
§ 4 The responsible officer mentioned in this article might perform other functions, provided that there is no conflict of interests.
§ 5 The appointment mentioned in this article must be made for each of the persons mentioned in art. 2, even in the case of choosing the options established in arts. 7, 14 and 43.
CHAPTER VI
THE INHERENT RISK ASSESSMENT
Art. 13. The persons referred in art. 2 must perform an inherent risk assessment with the purpose of identify, understand and mensurate the risk of use of their products and services to the practice of money laundering and financing of terrorism.
§ 1 In order to identify the risk quoted in this article, the inherent risk assessment should consider, at least, the risk profiles of the:
I – customers;
II – beneficiaries of accumulation products;
III – person mentioned in art. 2, including the business model and the geographical spread of operation;
IV – operations, transactions, products and services, comprising all distribution channels and the use of new technologies; and
V – activities performed by employees, partners and outsourced services providers.
§ 2 The identified risk should be assessed as to its occurrence probability and to the financial, legal, reputational and socio-environmental magnitude of its impact to the person mentioned in art. 2.
§ 3 Risk categories should be defined in order to allow for the adoption of enhanced management and mitigation controls for the higher risk scenarios, and the adoption of simplified controls in the case of lower risk situations.
§ 4 When available, the assessments performed by public entities of Brazil concerning the risk of money laundering and financing of terrorism should be used as subsidy for the inherent risk assessment.
§ 5 The risk assessments of the persons mentioned in § 1 of this article should also take into account whether:
I – the country of origin is classified by international organizations, especially the Financial Action Task Force Against the Money Laundering and Financing of Terrorism (FATF), as no cooperative or with strategic deficiencies in their regimes to counter money laundering and financing of terrorism.
II – the natural person or legal person is part of any list of sanctions or restrictions from the United Nations Security Council (UNSC)
Art. 14. The inherent risk assessment may be centralized in an institution of the conglomerate, provided that such assessment takes into account the provisions of this Circular and comprises the specificities of the persons mentioned in art. 2,pertaining to the said conglomerate.
Sole paragraph. The persons mentioned in art. 2 who choose to perform the inherent risk assessment as described in this article must formalize such option in a board of directors meeting or, if nonexistent, in a meeting of its executive board.
Art. 15. The inherent risk assessment must be:
I – documented and approved by the responsible officer referred in art. 12;
II – forwarded for the knowledge of the:
a) risk committee, if any;
b) audit committee, if any; and
c) executive board and, if existent, to the board of directors of the person mentioned in art. 2.
III – reviewed biennially, as well as when there are significant changes in the risk profiles mentioned in art. 13, § 1.
CHAPTER VII
PROCEDURES INTENDED TO KNOW THE CUSTOMERS
Section I
Procedures
Art. 16. The persons mentioned in art. 2 must implement procedures intended to know their customers, including procedures to ensure the due diligence in their identification, qualification and classification.
§ 1 The procedures referred in this article should be compatible with:
I – the customer's risk profile, including an enhanced monitoring for customers classified in higher risk categories, according to the inherent risk assessment quoted in Chapter VI;
II – the risk profile of the beneficiary of accumulation products, including an enhanced monitoring for beneficiaries classified in higher risk categories, according to the inherent risk assessment quoted in Chapter VI;
III – the policy of prevention of money laundering and financing of terrorism, quoted in Chapter IV; and
IV – the inherent risk assessment quoted in Chapter VI.
§ 2 The procedures mentioned in this article must be formalized in a specific handbook.
§ 3 The handbook referred in § 2 must be approved by the executive board of the person mentioned in art. 2 and kept updated.
Art. 17. The information obtained and used in the procedures referred in art. 16 must be stored in data-processing systems.
Art. 18. The procedures defined in this Chapter should be taken into account without prejudice to the provisions of the regulations concerning specific products.
Art. 19. The responsible officer appointed in accordance with art. 12 may, except for the higher risk cases, waive the accomplishment of the provisions of this Chapter for residents in Brazil or in countries without strategic deficiencies in their regimes to counter money laundering and financing of terrorism, provided that the policy quoted in Chapter IV has established the criteria and parameters for such purpose.
Sole paragraph. The rationale justifying the waiver mentioned in this article, as well as its supporting studies, information and documents on which it was based, should be available for immediate submission to Susep, as required.
Section II
Identifying Customers
Art. 20. The persons mentioned in art. 2 should adopt identifying procedures that comprise at least their customers, beneficiaries, third parties and ultimate beneficial owners.
§ 1 The procedures mentioned in this article should include customer identity information's sourcing, verification and validation of authenticity, including the comparison of such information with the ones available in public and private databases.
§ 2 The persons mentioned in art. 2 should evaluate the need for the information's verification and validation referred in § 1 of this article, according to the customer's risk profile and the business relationship nature.
§ 3 The identifying process should contain, at least:
I – if a natural person, its:
a) full name;
b) individual tax payer code; and
c) permanent address.
II – if a legal person, its:
a) brand name or corporate name;
b) corporate tax payer code or equivalent for the companies exempt of a corporate tax payer code;
c) head-office's address;
d) item I information applied to controllers up to the level of a natural person, to main administrators and to attorneys-in-fact; and
e) item I information applied to the ultimate beneficial owners.
§ 4 In the case of a natural person resident abroad, exempt from holding an individual tax payer code under the Brazilian tax authority regulations, a travel document may be used under the current law and as a minimum information it should contain the issuing country, number and type of document.
§ 5 In the case of a legal person domiciled or with head office abroad, exempt from holding a corporate taxpayer code under the Brazilian tax authority regulations, the persons mentioned in art. 2 should obtain as a minimum the name of the company, the head office address and the number of identification or registry of the company in its home country.
Art. 21. The information referred in art. 20 should be kept updated, according to the risk categories defined by the inherent risk assessment, the business relationship development, and the risk profile.
Section III
Customers Qualification
Art. 22. The persons mentioned in art. 2 shouId adopt procedures to qualify their clients by means of information's collection, verification and validation, compatible with the customer's risk profile and nature of the business relationship.
§ 1 The procedures of qualification referred in this article should include the collection of information to assess the customer's financial background, including its income in the case of a natural person, or its turnover in the case of a legal person.
§ 2 The persons mentioned in art. 2 should evaluate the need for the information's verification and validation referred in the head and § 1 of this article, according to the customer's risk profile and the business relationship nature.
§ 3 In the case of the procedures quoted in this article, customer’s additional information should be collected according to the risk of use of the products and services in money laundering and financing of terrorism.
§ 4 The customer's qualification should be permanently reassessed by means of ongoing diligence, according to the business relationship development and risk profile.
§ 5 The information collected for the qualification of the customer should be kept updated, according to the business relationship development and risk profile.
§ 6 Susep may release a list of information to be collected, verified and validated in specific procedures for the customers' qualification.
Art. 23. The qualification procedures mentioned in art. 22 should include the verification of the politically exposed person condition, in accordance with art. 4, as well as the verification of the condition of those persons' representative, family member or close collaborator.
§ 1 For the purposes of this article, family members are the relatives up to the second degree in direct line, the spouse, common-law spouse, stepson and stepdaughter.
§ 2 For the purposes of this article, close collaborators are:
I – natural persons known for having any type of close relationship with a politically exposed person, including:
a) a jointly participation in a private law legal person;
b) being a designated agent of the person mentioned in sub item a), even by means of a private instrument; or
c) having a jointly participation in legal arrangements without legal person status.
II – natural persons controlling private law legal persons, or legal arrangements without legal person status, known for being created to the benefit of a politically exposed person.
§ 3 In order to ascertain the status of a politically exposed person, regardless of any negative self-declaration, the persons mentioned in art. 2 should adopt at least one of the following measures:
I – rely on available public information; or
II – refer to public or private databases about politically exposed persons.
Section IV
Customers Classification
Art. 24. The persons mentioned in art. 2 should classify their customers in the risk categories defined by the inherent risk analysis quoted in Chapter VI, and based on the information obtained in the customers qualification procedures mentioned in arts. 22 and 23.
Sole paragraph. The classification mentioned in this article should be:
I – performed on the basis of the customer risk profile and nature of the business relationship; and
II – reviewed whenever there are changes in the customer risk profile and in the nature of the business relationship.
Section V
Registry and the Relevant Documentary Evidence
Art. 25. The person mentioned in art. 2should prepare the registry of the information defined in arts. 20 to 23 prior to the inception of the business relationship, for the purposes of the prevention of money laundering and financing of terrorism.
§ 1 If this is impossible, the registry of the information referred in this article may be done at a later stage, provided that it is based on the inherent risk analysis quoted in Chapter VI.
§ 2 The persons mentioned in art. 2 must update the registry of information defined in arts. 20 to 23 prior to any financial settlement in the cases where customers, beneficiaries, third parties, other related parties and ultimate beneficial owners are included in the business relationship only at a later stage, or were previously unknown.
Art. 26. Reinsurers must complete the registry of the information defined in arts. 20 to 23, for the purposes of preventing money laundering in the case of direct payment to the insured, participant, beneficiary or participant, regarding the portion of the indemnification or benefit corresponding to the reinsurance share, in accordance with the sole paragraph of art. 14 of Complementary Law 126, of 15 January 2007, and in the case of contracting third parties and other related parties.
§ 1 There must be no funds settlement by the reinsurer prior to the completion of the registry referred in this article.
§ 2 In the case of acceptance of risk from abroad, the local reinsurers should collect the information defined in arts. 20 to 23 until the contractual formalization deadline.
Art. 27. The persons mentioned in art. 2 may enter into agreements or contracts with financial institutions, named insureds, insurance representatives, microinsurance correspondents, saving bonds dealers, settlors, open policies' registers or database management companies, that maintain registries with information, or information and documents, compliant with the provisions of this Chapter.
Sole paragraph. The agreements or contracts above mentioned do not exempt companies, reinsurers or brokers from the compliance with the provisions of this Circular, as well as from timely presenting the information registry defined in this Chapter, at the Authority's request.
Art. 28. The persons mentioned in art. 2, pertaining to the same conglomerate may share a single registry, which does not exempt them from the compliance with the provisions of this Circular, as well as from timely presenting the information registry defined in this Chapter, at the Authority's request.
Art. 29. In the case of coinsurance, only the leader insurer is required to keep the documents and registry information defined in this Chapter.
Art. 30. The persons mentioned in art. 2are responsible for the accuracy and adequacy of the registries and documents mentioned in this Chapter, except for fraud and bad-faith from the persons and inaccuracy of the registry's data from the information basis and/or other sources of information which are not in possession of the persons mentioned in art. 2.
CHAPTER VIII
REGISTRY OF TRANSACTIONS
Art. 31. For the purposes of item II of art. 10 of Law 9.613/1998, the persons mentioned in art. 2 should maintain organized and at Susep's disposal the registries of all transactions with clients, beneficiaries, third parties and other related parties, including those concerning all payments made, with the identification of the ultimate beneficial owner.
CHAPTER IX
MONITORING OF TRANSACTIONS AND BUSINESS RELATIONSHIPS
Art. 32. The monitoring should be made in an enhanced and ongoing manner in the following cases:
I – transactions and transactions proposals involving politically exposed persons, their family members, representatives, close collaborators or legal persons from which they participate.
II – business relationships that, for their characteristics, pose a risk of being related to money laundering transactions or financing of terrorism.
III – transactions or business relationships in which there is any doubt about the veracity and adequacy of the customer's identity, as well as in which it is not possible to identify the ultimate beneficial owner;
IV – transactions or business relationships involving nonprofit organizations; and
V – operations from or destined to countries or territories classified by FATF as non-cooperative or with strategic deficiencies in their regimes to counter money laundering and financing of terrorism.
Sole paragraph. Concerning the transactions mentioned in this article, the persons mentioned in art. 2 should adopt the following procedures, in the cases of higher risks:
I – obtain previous authorization from upper management to establish a business relationship or to continue with ongoing relationships; and
II – adopt due diligences to ascertain the origin of the resources, at least in the case mentioned in item I of the head of this article.
Art. 33. The persons mentioned in art. 2 should, in the cases of lower risk, perform a review of the entire customers' registry base at least once a year, involving all traded products regardless of the premium amount, contribution or lump sum top-up, in order to identify persons who might have become politically exposed persons.
Art. 34. In the situations of cancelation with premium return, payment of indemnification or benefit, contract renewal, and payment of rights of redemption or awards in saving bonds draws, the verification as to whether a person in question is a politically exposed person should be made in case more than 6 (six) months have elapsed since the last registry base review, as referred in art. 33.
CHAPTER X
THE ANALYSIS AND TRANSACTIONS REPORTING
Art. 35. The persons mentioned in art. 2 should implement procedures for the analysis of proposals or transactions, jointly or individually, in order to determine whether or not they are atypical or suspicious of money laundering and financing of terrorism.
§ 1 The proposals or transactions classified as of the lowest risk degree, as defined by the person mentioned in art. 2, may have their individual analysis waived, taking into account the inherent risk analysis quoted in Chapter VI.
§ 2 When the result of the analysis referred in this article suggests atypical or circumstantial evidences of crime, this should be reported to Coaf within twenty-four hours as of the conclusion of the analysis or of the awareness of the said classified condition.
§ 3 The reports received by Coaf will be made available to Susep by means of an appropriate system.
§ 4 The reports referred in § 2 should:
I – explain and substantiate the suspicious situation detected;
II – name the intermediary broker of the transaction, if any;
III – elaborate on the characteristics of the transaction carried out, such as the insured interest, the method of payment and form of contracting;
IV – produce the information obtained through due diligence that qualifies the involved, such as the insured's, third parties' and other related parties' registry data, origin and destination of the resources and potential classification as, or relationship with, a politically exposed person.
V – produce additional information obtained by means of due diligence measures, that clarifies the suspicious situation or describes the customer behavior; and
VI – be conducted in the manner defined by Coaf, without disclosing the facts to any other person, including the involved parties.
§ 5 The report to Coaf should be made through automatic means, regardless of any analysis or value judgment from the persons mentioned in art. 2, in the following cases:
I – transactions carried out with payment of premium, contribution, funding and acquisition of saving bonds in cash, in an amount equal or higher than R$ 10,000.00 (ten thousand reals); or
I - transactions involving the payment of a premium, allocation, contribution or acquisition of savings bond, in cash money, in an amount equal to or greater than R$ 10,000.00 (ten thousand reais); or
(Note: item I amended by Susep Circular 705 of 21 November 2024)
II – payments of rights of redemption, indemnifications or draw awards, to a foreign account, in an amount equal or higher than R$ 100,000.00 (one hundred thousand reals)
§ 6 The reports made in good faith, in accordance with § 2 of art. 11 of Law 9.613/1998 shall not cause civil, criminal or administrative liability to the persons mentioned in art. 2, their controllers, officers and employees.
Art. 36. The following situations should be included among the ones where the analysis referred in art. 35 has to be carried out with especial attention:
I – contracting of services provided by the persons mentioned in art. 2 by nonresident alien;
II – proposals or transactions incompatible with the customer's, beneficiary's, third parties' and other related parties' socioeconomic profile, financial background or professional occupation;
III – proposals or transactions inconsistent with the usual market conditions;
IV – payment to a beneficiary apparently unrelated with the person contracting the insurance, open pension fund, saving bonds or reinsurance;
V – change in the ownership of the business or asset right before a loss;
VI – payment of premium, contribution, lump sum top-up and acquisition of saving bonds out of the banking system, except for the provision of art. 35, § 5, item I;
VII – payment of premium, contribution, lump sum top-up and acquisition of saving bonds by a person unrelated to the transaction and released from that obligation;
VIII – transactions whose peculiar features, mainly referring to the involved parties, amounts, methods of contracting, instruments utilized, or for being economically or legally groundless, even though bringing advantage to the company, reinsurer or broker, may characterize circumstantial evidence of money laundering, financing of terrorism or of any other misconduct;
IX – unnecessary utilization of a complex network of reinsurance brokers for contracting reinsurance or retrocession;
X – unnecessary utilization of a reinsurance broker for contracting reinsurance or retrocession;
XI – apparently legitimate losses advices, but with unusual frequency;
XII – material changes in the sum insured with no apparent reason;
XIII – holders of rights in draws, in any modality of saving bonds, awarded in more than one draw within the last 12 (twelve) months;
XIV – buyers of saving bonds who have redeemed bonds whose total amounts exceed R$ 50,000.00 (fifty thousand reals) within the last 12 (twelve) months;
XV – lump sum top-ups in the calendar month or single lump sum to pension fund plans of the annuity type or personal insurance plans of the annuity type in an amount equal to or exceeding R$ 1,000,000.00 (one million reals);
XVI – acquisition of saving bonds in a single lump sum in an amount equal to or exceeding R$ 1,000,000.00 (one million reals);
XVII – business transactions, of whichever amount, carried out by persons who have committed or intended to commit terrorist acts, or having participated in, or eased such acts commitment, in accordance with the provisions of Law 13.260, of 16 March 2016;
XVIII – resources handling susceptible of being associated to financing of terrorism, in accordance with the provisions of Law 13.260/2016;
XIX – payments of redemptions, benefits, indemnifications and draws carried out abroad, except for the provisions of art. 35, § 5, item II; and
XX – proposals or transactions in which it is not possible to identify the ultimate beneficial owner in the identification process defined in art. 20.
§ 1 Susep may release market communications pointing out new situations or transactions that will also need to be analyzed and executed with especial attention.
§ 2 The persons mentioned in art. 2 should watch for the atypical behaviors described in this article, even if the origin or the destination of the resource for the transaction's financial settlement refers to the same natural or legal person.
§ 3 The responsible officer appointed according to the terms of art. 12 may, except for the higher risk case, waive the compliance with items, as well as the adoption of specific controls and procedures for the compliance with the provisions of this article, provided that the policy quoted in Chapter IV has established criteria and parameters for such purposes.
§ 4 The rationale of the waiver mentioned in § 3, as well as its supporting studies, information and documents on which it was based should be available for immediate submission to Susep, as required.
Art. 37. The persons mentioned in art. 2 should inform Susep, annually, until the last working day of March, by means of a negative communication, the inexistence, during the previous calendar year, of transactions or proposed transactions susceptible of being reported, in accordance with art. 35.
Sole paragraph. This communication should be made in Susep's electronic site.
CHAPTER XI
PROCEDURES INTENDED TO KNOW EMPLOYEES, PARTNERS AND OUTSOURCED SERVICES PROVIDERS
Art. 38. The persons mentioned in art. 2 must implement procedures intended to know their employees, partners and outsourced services providers, including procedures to their qualification and classification.
Sole paragraph. The procedures above referred should be compatible with the policy quoted in Chapter IV, and with the inherent risk assessment quoted in Chapter VI.
Art. 39. The procedures referred in art. 38 should be formalized in a specific document and approved by the executive board of the person mentioned in art. 2.
Sole paragraph. The above-mentioned document should be kept updated.
Art. 40. The persons mentioned in art. 2 should classify the employees', partners' and outsourced services providers' in the risk categories defined in the inherent risk assessment, in accordance with Chapter VI.
§ 1 The classification mentioned above, as well as the information about employees, partners and outsourced services providers' should be kept updated.
§ 2 The criteria mentioned above for the classification in risk categories should be defined in the document mentioned in art. 39.
CHAPTER XII
EFFECTIVENESS EVALUATION
Art. 41. The persons mentioned in art. 2 should evaluate the effectiveness of the policy, procedures and internal controls quoted in this Circular.
§ 1 The evaluation referred above should be documented in a specific report.
§ 2 The report should be:
I – prepared annually, being the base date 31 December; and
II – forwarded up to 31 March of the next year of the base date for the knowledge of the:
a) audit committee, if any;
b) executive board and if existent, to the board of directors of the person mentioned in art. 2.
Art. 42. The report referred in art. 41, § 1, should:
I – contain information describing the:
a) methodology adopted for the evaluation of effectiveness;
b) tests applied;
c) evaluators' qualification; and
d) deficiencies detected.
II – list all the analysis waivers carried out as provided for in art. 36, §§ 3 and 4, including a summarized conclusion of the studies made for that purpose;
III – list all the events detected in the immediately preceding year for the occasion of the monitoring described in art. 32, including a summarized conclusion of the studies made for the decision taken in regard to the communication established in art. 35, as well as the respective number of the report to Coaf, if this is the case;
IV – produce a diagnostic containing recommendations regarding possible deficiencies, including the establishment of a chronogram for the corrections, if this is the case, in order to mitigate the risks detected and to relate the status and steps taken regarding previously detected deficiencies;
V – produce a summarized conclusion of the examinations carried out;
VI – produce a statement from the responsible officer appointed in accordance with art. 12 with respect to the report, and a signed commitment as to the correction of possible deficiencies; and
VII – contain, at least, the evaluation about the:
a) procedures intended to know the customers, including the verification and validation of the information and the adequacy of the registry data;
b) procedures concerning the monitoring, selection, analysis and communication to Coaf, including the effectiveness evaluation of the parameters applied to the transactions selection and of suspicious situations;
c) governance of the policy for the prevention of money laundering and financing of terrorism;
d) measures in favor of the development of an organizational culture intended to prevent money laundering and financing of terrorism;
e) periodic training programs for the employees;
f) procedures intended to know the partners' and outsourced services providers' employees;
g) corrective measures taken with respect to the findings from the internal audit and from Susep's audit; and
h) procedures related to the freeze of assets of any amount, directly or indirectly owned by natural or legal persons or entities, in accordance with Law 13.810/2019.
VIII – availability to immediate presentation to Susep when required.
Art. 43. The effectiveness evaluation report quoted in arts. 41 and 42 may be prepared in a centralized manner by a conglomerate's institution, provided that such report complies with the provisions of this Circular and takes into account the specificities of the transactions carried out by the persons mentioned in art. 2 and who are parts of the conglomerate.
Sole paragraph. The persons mentioned in art. 2 who choose to make the effectiveness evaluation report in accordance with this article should formalize this option in a board of directors meeting or, if nonexistent, in a executive board meeting.
CHAPTER XIII
ADMINISTRATIVE LIABILITY
Art. 44. Violations to the provisions of this Circular will be punished in accordance with art. 12 of Law 9.613/1998 and with the regulations in effect, except in what it refers to Chapter XIV.
Art. 44: Infringement to the provisions of this Circular will be penalised under the terms of art. 12 of Law no. 9.613 of 1998 and the regulations in force.
(Note: Art. 44 amended by Susep Circular 705 of 21 November 2024)
CHAPTER XIV
FREEZE ACTIONS REGARDING ASSETS, RIGHTS OR VALUES
Art. 45. The persons mentioned in art. 2 must immediately and without previous notice comply with the UNSC's resolutions or designations of its sanctions committees ordering the freeze of assets of any value, directly or indirectly owned by natural or legal persons or entities, in accordance with Law 13.810, of 8 March 2019, without prejudice to the duty of complying with other freeze judicial determinations also mentioned in the cited law.
§ 1 The freeze arising from the order quoted in this article should be maintained in accordance with item II of art. 2 and § 2 of art. 31 of Law 13.810/2019, while it comprises the prohibition of transferring, converting, moving, releasing or disposing of assets, directly or indirectly, affecting also interests and other civil fruits and earnings resulting from the contract.
§ 2 The freeze arising from the order quoted in this article should be maintained even with the demise of the holder, as it is extensive to the beneficiaries and persons with close relationship with the holder of the products affected.
§ 3 The persons mentioned in this article should adopt the following procedures, without the need of the communication from Susep quoted in item I of art. 10 of Law 13.810/2019:
I – monitor, directly and permanently, the orders of freeze referred in this article, as well as incidental information to be taken into account for adequate compliance with those orders, including the possible total or partial lifting of the freeze in relation to persons, entities or assets, and aiming at the immediate enforcement of the amount defined. For this purpose, the UNSC's world wide web page information should be followed-up, without prejudice to the adoption of other appropriate monitoring actions; and
II – immediately communicate the freeze of assets and the attempts of their transference related to the natural persons, to the legal persons, or to the entities sanctioned by a resolution from the UNSC or by designations of its sanctions committees, in accordance with art. 11 of Law 13.810/2019 to:
a) Susep;
b) the Ministry of Justice and Public Security; and
c) Coaf.
III – maintain under scrutiny the existence or the emergence, within its scope of application, of assets affected by the orders of freeze quoted in this article, in order to put such assets immediately and as soon as detected, under the regime of freeze provided for in item II of art. 2 and § 2 of art. 31 of Law 13.810/ 2019.
§ 4 The persons mentioned in art. 2 must proceed to the immediate lifting of the freeze of assets mentioned in this article by the time of the exclusion of persons, entities or assets from the relevant lists of the UNSC or from its sanctions committees.
§ 5 The compliance with the duties quoted in this Chapter should not be submitted to the parameters of risk based approach as to money laundering and financing of terrorism.
Art. 46. The persons mentioned in art. 2 should – up to the limits of their assignments – adequate their rules, procedures and internal controls in connection with all business relationships, existing or to be initiated within its scope of activities, while there might be interested natural persons, legal persons or entities identified among the ones affected by freeze orders as quoted in art. 45.
CHAPTER XV
ESPECIAL SITUATIONS
Art. 47. The insurance brokers with annual gross turnover below R$ 12,000,000.00 (twelve million reals) in the preceding financial year, and the admitted reinsurers, should create controls compatible with the risks of money laundering and financing of terrorism arising out of their operations.
§ 1 In case the persons defined in this article consider their operations as being of lower risk, they will only be required to:
I – effect the procedures defined in art. 6, item II;
II – effect the identification of their clients in accordance with art. 20;
III – communicate transactions or proposed transaction or atypical situations in accordance with Chapter X;
IV – proceed with the freeze of assets in accordance with Chapter XIV; and
V – comply with the provision of art. 26, in case they are admitted reinsurers.
§ 2 The persons defined in this article should evaluate the possibility of compliance with other provisions of this Circular as a way of mitigating any increased risk in their transactions, in case they consider them as being of medium or higher risk of exposure to money laundering and financing of terrorism, or in case they operate in segments considered as of those levels of risk.
§ 3 The evaluation referred in §§ 1 and 2 should be documented and remain available at Susep's request.
§ 4 In order to comply with §§ 1 and 2, the persons defined in this article may:
I – utilize the procedures and systems ran in their head-offices, following the requirements of the local regulator;
II – enter into agreements and contracts with financial institutions or specialized legal persons; and
III – utilize studies performed by class entities that fully comprise the situation of the person defined in this article.
§ 5 The use of the possibility described in § 4 does not exempt the persons defined in this article from the responsibility for the compliance with the provisions of this Circular.
§ 6 Susep may release a list of transactions and/or situations considered riskier in relation to the money laundering and financing of terrorism, and may also indicate mandatory controls that should then be created and maintained by the persons defined in this article.
CHAPTER XVI
TEMPORARY AND FINAL PROVISIONS
Art. 48. The persons mentioned in art. 2 should maintain the following documents and information, in accordance with specific regulations:
I – customers' registry information and respective supporting documentation, as mentioned in Chapter VII;
II – registry of transactions, as mentioned in Chapter VIII;
III – policy, handbooks, studies, analysis and reports developed in the context of the prevention of money laundering and financing of terrorism, in particular the ones mentioned in Chapters IV, VI, X and XII; and
IV – further supporting documentation to prove the compliance with the provisions of this Circular.
Art. 49. The action plans in force, referring to the deficiency charts issued by Susep should be adapted to the current Circular.
Art. 50. For the purposes of the compliance with the provision of Chapter XII of this Circular, the persons mentioned in art. 2 should consider 31 December 2021 as first base date.
Art. 51. The Circular Susep 445, of 2 July 2012 is hereby revoked.
Art. 52. This Circular becomes effective on 1 March 2021, except for arts. 45 and 46, which take effect on the date of its publication.
Art. 52. This Circular becomes effective on 3 May 2021, except for arts. 45 and 46, which take effect on the date of its publication.
(Note: Art. 52 is amended by Circular Susep 622, of 26 February 2021)
SOLANGE PAIVA VIEIRA
(Official Gazette “DOU” of 02 september 2020)
*The information provided in this publication is general and may not apply to a specific situation or person. Every effort has been made to ensure that matters of concern to readers are covered. Although the information provided is accurate, be advised that this is a developing area. The information contained herein is not intended to be relied upon or to be a substitute for legal advice in relation to particular circumstances. Specific legal advice should always be sought from experienced local advisers. Accordingly, Editora Roncarati accepts no liability for any loss that may arise from reliance upon this publication or the information it contains.
