Under the proposed rules, insurers and takaful operators would have to check customer understanding before underwriting and stop sales that cannot meet a customer's needs.
The chief operating officer, who joined from Etiqa in 2019, takes charge on 1 October after running the insurer's bancassurance and financial adviser channels.
Formerly of Tokio Marine, Hata leads the renamed EMIS Insurance Services, which offers personal lines cover to group employees and affiliated companies and risk consulting to corporate clients.
Domestic systemically important insurers would need larger boards, while insurers with less retail reach or lower systemic importance would face fewer approvals.
The regulator will also review funeral insurance in the first half of 2027 and report on life insurer service issues, while continuing to monitor cash settlements and motor premium disclosure.
