China News Service, Beijing, March 26 (Reporter Wang Enbo) China's State Financial Supervision Administration and the Ministry of Finance issued a document on the 26th to expand the coverage of urban and rural residential catastrophe insurance from previous earthquakes to typhoons, floods, etc. As one of the countries most severely affected by natural disasters in the world, China's catastrophe insurance coverage has basically achieved full coverage of common natural disasters in the entire region.
China launched an earthquake catastrophe insurance system for urban and rural residential buildings in 2015. As of the end of last year, earthquake catastrophe insurance had provided a total of 791.8 billion yuan (RMB, the same below) of catastrophe risk protection for 21.34 million households, with compensation funds exceeding 100 million yuan.
The above two departments issued the "Notice on Expanding the Coverage of Catastrophic Disaster Insurance for Urban and Rural Residential Residential Buildings and Further Improving the Catastrophic Catastrophic Insurance System", which proposes to protect urban and rural residential buildings and indoor ancillary facilities, and the insurance liability shall be based on the existing destructive earthquakes. to expand and increase the number of natural disasters such as typhoons, floods, heavy rains, mudslides, and landslides.
The person in charge of the relevant department of the State Administration of Financial Supervision said that this means that in addition to Sichuan, Qinghai, Xinjiang and other regions with frequent earthquake activities, other regions in China that are prone to disasters such as typhoons and heavy rainfall also have policies for their catastrophe risks. comprehensive catastrophe insurance coverage, basically achieving full coverage of common natural disasters in the entire region.
After the introduction of new regulations, catastrophe insurance protection capabilities are more sufficient. The "Notice" requires that the basic insurance amount of catastrophe insurance be doubled, from 50,000 yuan per household for urban residential homes and 20,000 yuan per household for rural residential homes, to 100,000 yuan per household for urban residential homes and 4.0 yuan per household for rural residential homes. Ten thousand yuan. Each household can refer to the market value of the house and negotiate with the insurance company as needed to determine the insurance amount. The maximum amount shall not exceed 1 million yuan per household. The insurance company can provide commercial insurance for the portion above 1 million yuan.
The government also clearly supports the development of commercial catastrophe insurance. For insurance liabilities and protection objects beyond the existing protection content, the China Urban and Rural Residential Catastrophe Insurance Pool, composed of 45 property insurance companies, can provide commercial insurance supplements with the approval of the general meeting of members. Fully meet the differentiated risk protection needs of various regions. (over)