The channel will allow consumers to purchase term and whole life insurance products directly from insurers and will be released early next year.
MAS said the products on the channel will be “largely standardized”, making them easier for consumers to understand and compare, as well as reducing distribution costs.
It added that the channel is aimed at consumers who do not require financial advice.
In its annual report for 2013-2014, the regulator also announced that it is “working closely” with the industry and consumer groups to develop a web aggregator.
Initiatives such as raising admission and ongoing requirements for FA firms and a balanced scorecard remuneration framework that will recognize FA representatives and their supervisors for providing good quality advice will also be implemented next year.
The regulator is also working on complexity-risk framework to help consumers compare the complexities and risks involved in investment products.
'Limited availability'
The regulator said it is "working to address" the “limited availability” of simple and low cost products, which it believes has lead consumers to venture into more unconventional products.
Ravi Menon, managing director at MAS said: “Many retail consumers have ventured into unconventional and unregulated financial products promising higher yields. But these products may also entail risks that are not well understood by retail investors.
“MAS has therefore decided to extend to these unconventional products regulatory safeguards that apply to capital markets.”
