The head of the relevant department of the China Banking and Insurance Regulatory Commission answers reporters’ questions on the "Measures for the Supervision of Liability Insurance Business"
In order to further standardize liability insurance operations, protect the legitimate rights and interests of the parties involved in liability insurance activities, better serve the overall economic and social development, and promote the sustainable and healthy development of liability insurance business, the China Banking and Insurance Regulatory Commission issued the Measures for the Supervision of Liability Insurance Business (hereinafter referred to as the Measures).
A few days ago, the heads of relevant departments of the China Banking and Insurance Regulatory Commission answered reporters' questions on the "Measures".
1. What is the background of the formulation of the "Measures"?
In recent years, I will continue to optimize the development environment of liability insurance in accordance with the thinking of “policy guidance and market operation” to effectively serve economic and social development.
With the continuous optimization of the development environment and the effective play of its functions and roles, the liability insurance market has continued to expand and its operating capabilities have continued to improve. The role of serving the economy and society and assisting social governance has gradually emerged, which has been recognized by all parties.
However, with the rapid development of liability insurance, there are also problems such as the continuous expansion of liability insurance boundaries, the deviation of society's understanding of liability insurance, the irregular market behavior, and the nature and form of insurance services to be regulated.
In order to further regulate liability insurance operations and promote the sustainable and healthy development of liability insurance business, we have studied and formulated the Measures.
2. What content does the "Measures" mainly regulate?
The “Measures” mainly regulate the following contents: First, regulate the boundary of liability insurance.
In response to the continuous expansion of liability insurance boundaries, on the one hand, the scope of liability insurance is strictly enforced. It is clear that liability insurance should cover the insured’s legal liability for damages caused to third parties, and shall not cover intentional acts, fines, performance credit risks, and determination of losses , Speculative risks and other risks or losses. On the other hand, insurance companies are required to clarify the relationship between liability insurance and property loss insurance, guarantee insurance, accidental injury insurance and other insurance types, and reasonably determine the insurance types.
The second is to regulate market operations.
Regarding the current irregular competition, it is clear that there should be no failure to use approved or filed terms and rates, misleading sales, unfair competition, and violation of promises in accordance with regulations, and no substantial underwriting of financing credit risks in the form of underwriting guarantee agency liability, etc., The main or supplementary insurance of liability insurance other than motor vehicle insurance shall not be used to cover the liability of third parties of motor vehicles.
The third is to standardize insurance services.
Clarify that insurance companies providing insurance services should follow the principles of rationality and necessity, with the main purpose of reducing the risk of compensation, and not arbitrarily expanding the scope and content of services.
Insurance companies are required to formulate insurance service-related systems and perform accounting processing in accordance with accounting standards to ensure that the data is true and accurate.
The fourth is to strengthen internal control management.
Further strengthen the requirements of insurance companies for business management, authorization system, team building, business accounting, information system, data statistics, risk control and other aspects of liability insurance business.
3. The "Measures" further regulates the insurance liability of liability insurance. How should we understand it?
Article 6 of the “Measures” further regulates the insurance liability of liability insurance, clarifying that liability insurance should cover the insured’s legal liability for damages caused to a third party, and at the same time, through a negative list, clarify the risks or losses that cannot be insured.
The first is about "the insured shall be insured for causing damage to a third party and shall be liable for compensation in accordance with the law."
This provision is consistent with the "insurance of liability insurance causing damage to a third party" repeatedly emphasized in the "Insurance Law", avoiding the loss of a third party that is not caused by the insured, and it is agreed between the insured and the third party The situation where the loss is borne by the insured.
The above regulations are conducive to standardizing the boundary of liability insurance, preventing other risks from being converted into insurable liability of liability insurance through agreement, which will cause confusion in insurance types and form regulatory arbitrage.
The second is about not underwriting "performance credit risk."
The credit insurance and guarantee insurance stipulated in the "Measures for the Supervision of Credit Insurance and Guarantee Insurance Business" refer to insurance that takes the performance credit risk as the subject of insurance.
It is stipulated that "contract performance credit risk" shall not be underwritten, and the risk of credit guarantee insurance, especially the financing guarantee insurance business, shall be avoided in the name of liability insurance, which will help prevent and resolve risks.
4. How should we understand the relevant content of insurance services in the "Measures"?
Article 51 of the "Insurance Law" stipulates that insurance companies can provide related insurance services such as safety inspections, but the demand for insurance services from all walks of life continues to expand. It is hoped that insurance can provide related insurance services such as risk prevention, emergency response, and dispute mediation. The demand for insurance services in some types of insurance has even exceeded the demand for insurance claims.
Therefore, the "Measures" stipulate that insurance companies should provide insurance services with the main purpose of reducing the risk of compensation, follow the principles of reasonableness and necessity, and strictly follow accounting standards for accounting treatment.
On the one hand, this regulation helps to prevent insurance companies from arbitrarily expanding the scope of services, collecting fees through insurance services or engaging in other violations of laws and regulations; on the other hand, it helps prevent insurance companies from irregular accounting processing and affect data accuracy.