On March 18, the China Insurance Regulatory Commission’s official website issued the “Notice on Matters Concerning the Standardization of Short and Medium Duration Products” (hereinafter referred to as the “Notice”), urgently “stopping” products that exceeded the limit of short and medium duration products.

The "Notice" will be officially implemented on the 21st.

The "Notice" expands the actual duration of "short-to-medium duration products" from less than 3 years to less than 5 years for the first time, and proposes that products with a duration of less than 1 year will be immediately discontinued, and products with a duration of 1 to 3 years will be suspended.

The scale will be reduced year by year by 90%, 70%, and 50% within 3 years, and will be controlled within 50% of the overall limit after 3 years.

Short- and medium-duration personal insurance products are not equivalent to short-term financial management products. It is understood that such products are mainly partial universal insurance, a small amount of dividend-based and ordinary insurance.

It is the so-called short and medium duration life insurance product.

Some e-commerce online sales platforms place too much emphasis on high yields, and even use the "financial management card", and use "low threshold", "high yield" and "ultra-short-term" as gimmicks to publicize, and even combine insurance products with bank deposits, monetary funds, etc.

Comparisons are made to mislead investors, causing them to ignore the functions of the product itself and think it is a short-term financial product.

Professionals explain that, in fact, short-term financial insurance is not equivalent to short-term financial products.

Because there are certain risks in short- and medium-term life insurance products, take universal insurance as an example. It is an investment-type life insurance. In addition to having certain protection functions, it can also share the investment income of the insurance company.

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The ranking of the top ten insurance companies in the country began in 2013. In order to quickly occupy the market and expand the scale of assets, some insurance companies, especially some small and medium-sized insurance companies, have used short- and medium-duration products as their main tool to obtain premiums, often promising investors

You can get relatively high premiums in a short period of time.

Therefore, industry insiders remind that short- and medium-duration products are essentially insurance products. The core of insurance products is “insurance” and need to be distinguished from bank deposits and short-term financial products.

I suggest that everyone should be rational whether they choose financial products or financial insurance. Don’t be blinded by high returns, let alone be tempted by a series of gifts given by sales staff when promoting products. These are just sesame seeds instead of watermelons.

Rational approach.

The suspension of "short-term financial insurance" can prevent systemic risks in the industry. After the introduction of new regulations, most insurance companies on the market have removed short-term insurance and financial products.

The background behind the "stop" of short-term insurance financial products is actually the rapid development of the scale of short- and medium-duration products.

Industry insiders pointed out that such financial management insurance products have hidden risks.

For example, with universal insurance, if the insurance company performs poorly, the income will be reduced, and may even be lower than the bank deposit interest rate.

In addition, if investors surrender the policy in the short term, they will still need to pay a certain percentage of handling fees, which poses great risks.

So if you buy the wrong insurance, do you need to surrender it? If so, how can you do so without losing money?

Can I get a refund if I buy the wrong insurance?

How much money can I get back if I surrender the policy?

How to cancel the policy in full?

On the other hand, behind the rapid growth of short- and medium-term insurance financial products, there are often problems such as misleading sales and the conversion of deposit certificates into insurance policies, which can easily lead to disputes such as insurance surrender.

As early as February this year, in order to prevent consumers from being misled, the China Insurance Regulatory Commission issued a document: When purchasing financial products, consumers should understand in detail the nature of the product, whether it is a bank deposit or insurance, etc., to prevent the deposit from turning into an insurance policy.

In addition, in recent years, the rapid development of the insurance industry has caused some asset-liability mismatch problems. In particular, some companies with a high proportion of short- and medium-duration products may generate liquidity risks. The "tightening curse" issued by the regulatory authorities this time,

It basically achieves early prevention and plays a role in preventing systemic risks in the industry. At the same time, it also creates a better investment environment for consumers.

Related recommendations: Whether financial insurance is good or not, you will know after reading this! With the continuous development and growth of the insurance industry in the market and the popularization of insurance knowledge, everyone’s awareness of insurance is also getting higher and higher.

More and more people understand the importance of insurance, which is to provide us with corresponding protection.

On the other hand, with the increase in insurance products, there are more and more types for everyone to choose from.

Because society is always moving forward, the insurance industry must also keep pace with the times.

So now there is a new insurance launched, which is financial insurance.

So is financial management insurance any good?

After reading this article, everyone will know the answer.

What are the types of financial management insurance? Financial management insurance is a new insurance product that combines insurance protection and investment functions. It is a new type of life insurance. Insurance companies that operate investment insurance make full use of their scale investment advantages and investment experts as policyholders.

To strive for maximum investment benefits, this article will introduce to you the relevant content of financial insurance.