Great Supervisor of the State Council!

Ningxia Shizuishan is now the "exclusive agent" of liability insurance, emergency department suspected of monopoly

  Work safety liability insurance is a kind of commercial insurance promoted throughout the country in recent years. It provides enterprises with compensation for losses in safety accidents and accident prevention protection. Enterprises can freely choose qualified insurance companies to purchase.

However, the sixteenth inspection team of the eighth major inspection of the State Council received reports from a number of companies in Shizuishan City, Ningxia, saying that they could only purchase from a designated agency. The inspection team subsequently conducted unannounced investigations on the spot.

  On September 1, the sixteenth inspection team came to an insurance company's business outlet in Dawukou District, Shizuishan City Administrative Service Center Emergency Management Service Counter and other places to learn about the situation. It is purchased through an insurance brokerage agency named Jiangtai, otherwise it will not be possible to apply for a safety production license in the emergency management department.

Zhang Lihua, director of the Shizuishan Emergency Management Bureau:

If I need a co-insurance right now, can I do this with an insurance brokerage company? What am I doing?

  In addition, during the investigation, the inspection team also found that accident prevention fees were transferred to government accounts: From December 2020 to February 2021, accident prevention fees of insurance companies were transferred to the designated account of the Shizuishan Emergency Management Bureau .

From March to July this year, they were transferred to the Shizuishan City Non-tax Revenue Collection Management Center, totaling 2.4478 million yuan.

  According to the investigation, the actions of the Shizuishan Emergency Management Bureau violated the provisions of the Anti-Monopoly Law of the People's Republic of China, constituted an abuse of administrative power to exclude and restrict competition, and undermined the local business environment. At the same time, the accident prevention fee was transferred to the government department. The practice of designating accounts also violates financial discipline.

  In this regard, the supervision team recommended that the use of accident prevention fees be strengthened, and a linkage mechanism consisting of emergency management departments, banking and insurance regulatory departments, insurance institutions, and business administration departments should be established to ensure the sound development of the security liability insurance market operation mechanism.