Chinanews.com, December 1st. The General Office of the China Banking and Insurance Regulatory Commission issued a notice on December 1st on the pilot program of commercial pension business of pension insurance companies.
It is clearly stated that starting from January 1, 2023, 10 provinces (cities) including Beijing, Shanghai, Jiangsu, Zhejiang, Fujian, Shandong, Henan, Guangdong, Sichuan, and Shaanxi will be launched. Commercial pension business pilot.
The trial period is tentatively set for one year.
What is the main difference between commercial pension business and personal pension?
According to the person in charge of the relevant department of the China Banking and Insurance Regulatory Commission,
commercial pensions are positioned as inclusive and innovative personal commercial pension financial services for the general public
. Supplementary role.
The main difference between the two is:
First of all, personal pension is an endowment insurance system supported by government policies, voluntarily participated by individuals, and market-oriented operation, which realizes the supplementary function of endowment insurance.
Commercial pension is a pension financial business that individuals voluntarily participate in, and operates market-oriented and legalized. Pension insurance companies provide one-stop services including account management, planning consultants, product purchases, and long-term payment.
Second, the state formulates preferential tax policies to encourage qualified personnel to participate in the personal pension system and receive personal pensions in accordance with regulations.
Individuals who participate in the commercial pension business do not enjoy the relevant preferential policies for personal income tax.
Third, workers who participate in the basic endowment insurance for urban employees or the basic endowment insurance for urban and rural residents in China can participate in the personal pension system.
Individuals who have reached the age of 18 can sign commercial pension business-related contracts with pension insurance companies and accumulate long-term pensions through commercial pension accounts.
Fourth, personal pension fund accounts are used to purchase financial products such as bank wealth management, savings deposits, commercial pension insurance, and public funds that meet the regulations.
Commercial pension customers can choose to purchase a variety of commercial pension products provided by pension insurance companies.
(China New Finance and Economics)