Compliance in Puerto Rico: A Guide to Regulations and Best Practices

Key Takeaways

• Dual Compliance Requirements: Businesses operating in Puerto Rico must comply with both federal regulations and local laws, which may differ in some areas.
• Specialized Industries: Certain industries have specific compliance regulations overseen by specialized officers. These include:
  • Pharmaceuticals
  • Banking
  • Tourism

The Role of the Chief Compliance Officer (CCO)

• Position within the Company: The CCO holds a higher position within the company and oversees all compliance efforts.
• Responsibilities:
  • Developing comprehensive compliance programs
  • Implementing and enforcing compliance policies
  • Ensuring ongoing training for employees

Insurance Requirements for Compliance Officers

• Professional Liability Insurance: Businesses employing Compliance Officers in Puerto Rico are required to have Professional Liability Insurance.
• Directors and Officers (D&O) Liability Insurance: Companies must also have D&O Liability Insurance.

Training and Resources for Compliance Officers

• Supplemental Trainings: Additional training is available for Compliance Officers to ensure they stay up-to-date on compliance standards and regulations.
• Resources: Supplemental resources, such as workshops and online courses, are available to support Compliance Officers in their roles.

Recognizing and Rewarding Exceptional Compliance

The state government of Puerto Rico recognizes and rewards organizations with exceptional compliance records and practices through its Compliance Excellence Program. Eligible companies may receive benefits such as:

• Tax incentives
• Reduced regulatory oversight
• Increased eligibility for government contracts