An insurance company engaged in life insurance business shall not be dissolved except for division or merger.
Article 88 If an insurance company engaged in life insurance business is revoked or declared bankrupt according to law, its life insurance contract and reserve must be transferred to other insurance companies engaged in life insurance business; If the transfer agreement cannot be reached with other insurance companies, the insurance supervision and administration institution shall designate an insurance company that engages in life insurance business to accept it.
Where the personal insurance contracts and reserves specified in the preceding paragraph are transferred or accepted by insurance supervision and administration institutions, the legitimate rights and interests of the insured and beneficiaries shall be safeguarded.
The "measures" for the administration of insurance protection funds have been deliberated and adopted at the chairman's office meeting of China Insurance Regulatory Commission on February 29, 2004, and are hereby promulgated, and shall come into force as of October 29, 2005.
President Wu Dingfu.
December 30th, 2004
Measures for the administration of insurance guarantee funds
Chapter I General Provisions
Article 1 These Measures are formulated in accordance with Article 97 of the Insurance Law of People's Republic of China (PRC) (hereinafter referred to as the Insurance Law) in order to standardize the payment, management and use of insurance guarantee funds, safeguard the interests of policyholders, effectively resolve financial risks and maintain financial stability.
Article 2 The term "insurance companies" as mentioned in these Measures refers to commercial insurance companies established with the approval of insurance supervision and administration institutions and registered according to law, including Chinese-funded insurance companies, Sino-foreign joint venture insurance companies, wholly foreign-owned insurance companies and branches of foreign insurance companies.
The term "insurance protection fund" as mentioned in these Measures refers to the statutory fund paid by an insurance company in accordance with the Insurance Law, which is used to provide relief to the insured or the policy transferee company in the case that the insurance company is revoked, declared bankrupt and recognized by the China Insurance Regulatory Commission (hereinafter referred to as the China Insurance Regulatory Commission) in accordance with Article 20 of these Measures.
The term "applicant" as mentioned in these Measures refers to the parties to the insurance contract who have the right to claim the benefits of the policy from the applicant, the insured or the beneficiary when the insurance company is revoked or declared bankrupt.
The term "policy transferee company" as mentioned in these Measures refers to a life insurance company that accepts its legally transferred life insurance contract when the insurance company is revoked or declared bankrupt.
Article 3 Insurance guarantee funds are divided into property insurance company guarantee funds and life insurance company guarantee funds.
The property insurance company's guarantee fund is formed by property insurance companies, comprehensive reinsurance companies and property reinsurance companies.
The guarantee fund of a life insurance company is jointly funded by life insurance company, health insurance company and life reinsurance company.
Article 4 The management and use of insurance protection funds shall follow the principles of openness, reasonableness and effectiveness.
Article 5 The insurance guarantee fund shall be centrally managed and used by China Insurance Regulatory Commission.
Chapter II Payment
Article 6 An insurance company shall pay the insurance guarantee fund according to the following proportions for the insurance business included in the insurance guarantee fund:
(1) Property insurance, accident insurance and short-term health insurance shall be paid by 1% retention premium;
(2) Long-term life insurance and long-term health insurance with guaranteed interest rate shall be paid at 0. 15% of the retained premium;
(3) Long-term life insurance without guaranteed interest rate shall be paid at 0.05% of the retained premium;
(4) The proportion of other insurance businesses of an insurance company shall be stipulated separately by the China Insurance Regulatory Commission.
Article 7 The China CIRC shall set up a special account for insurance protection funds. The insurance guarantee fund shall be accounted for separately by the insurance company.
Article 8 An insurance company shall timely and fully pay the insurance protection fund into the special account of the insurance protection fund, but the payment of the insurance protection fund may be suspended under any of the following circumstances:
(1) The balance of insurance guarantee funds of property insurance companies, comprehensive reinsurance companies and property reinsurance companies reaches 6% of the company's total assets;
(2) The balance of insurance guarantee funds of life insurance companies, health insurance companies and life reinsurance companies reached 65,438+0% of the total assets of the companies.
If the balance of the insurance protection fund of an insurance company decreases or the total assets increase, and the proportion of the balance of the insurance protection fund to the total assets cannot reach the provisions of the preceding paragraph, the payment of the insurance protection fund shall be automatically resumed.
The balance of the insurance protection fund of an insurance company is equal to the accumulated amount of the insurance protection fund paid by the company plus the investment income shared by the company, MINUS the amount used.
Article 9 If an insurance company is cancelled or declared bankrupt, and the balance of its insurance protection fund is insufficient to pay the assistance that should be given to the applicant or the policy transferee company, the balance of its insurance protection fund shall be deducted from the insufficient amount according to the market share of the remaining company calculated according to the retained premium of the previous year.
Article 10 An insurance company shall pay the insurance protection fund on an annual basis and pay it in advance on a quarterly basis.
An insurance company shall pay the insurance protection fund in advance within 15 working days after the end of each quarter, and make final settlement within 4 months after the end of each year.
Article 11 The CIRC of China may, according to the actual situation of the development and risks of the insurance industry, adjust the provisions on the payment ratio, upper limit of scale and payment method of the insurance protection fund.
Chapter III Management and Supervision
Article 12 The use of insurance protection funds shall follow the principles of safety, profitability and liquidity, and realize the preservation and appreciation of assets on the premise of ensuring the safety of assets.
The use of funds of the insurance protection fund is limited to bank deposits, buying and selling government bonds and other forms of fund use stipulated by the China Insurance Regulatory Commission. The insurance protection fund shall not be used for equity investment, real estate investment and other industrial investments.
China CIRC may entrust a professional investment management institution to use the insurance protection fund.
Article 13 The board of directors of the insurance protection fund shall be responsible for supervising the management and use of the insurance protection fund.
Article 14 The board of directors of the insurance protection fund is composed of insurance companies, the State Council Legislative Affairs Office, Ministry of Finance, People's Bank of China, State Taxation Administration of The People's Republic of China and other institutions.
The working methods of the Insurance Protection Fund Council shall be formulated separately by the China Insurance Regulatory Commission.
Article 15 The China CIRC shall complete the audited financial report of the insurance protection fund within 5 months after the end of each fiscal year, and publish it to the board of directors, member units and insurance companies.
Chapter IV Use
Article 16 If an insurance company is cancelled or declared bankrupt, and its liquidation property is insufficient to pay the benefits of the policy, the insurance protection fund shall provide assistance to the policyholders who are not covered by life insurance contracts in accordance with the following provisions:
(a) the loss of the insured is less than 50 thousand yuan, and the insurance guarantee fund will give full assistance;
(two) if the applicant is an individual, the amount of assistance from the insurance protection fund is 90% of the excess loss of more than 50 thousand yuan; If the applicant is an institution, the amount of assistance from the insurance protection fund is 80% of the excess loss exceeding RMB 50,000.
The loss of the applicant mentioned in the preceding paragraph refers to the difference between the policy interest of the applicant and the amount of claims obtained from the liquidation property.
Article 17 If a life insurance company is cancelled or declared bankrupt, its life insurance contract must be transferred to other life insurance companies. If the transfer agreement cannot be reached with other life insurance companies, it shall be accepted by the life insurance company designated by China CIRC.
Article 18 When the liquidation assets of an insurance company that has been cancelled or declared bankrupt are insufficient to pay for the life insurance contract, the insurance protection fund may provide assistance to the policy transferee company in accordance with the following provisions:
(a) if the applicant is an individual, the amount of relief shall be limited to 90% of the policy benefits after the transfer;
(2) If the applicant is an institution, the amount of relief shall be limited to 80% of the policy interest after the transfer.
The policy transferee company shall calculate the policy benefits of the insured after the transfer according to the standards stipulated in the preceding paragraph, and modify the life insurance contract with the insured accordingly.
Article 19 If an insurance company is revoked or declared bankrupt, the applicant may sign a creditor's rights transfer agreement before the liquidation, and the insurance protection fund will pay the applicant's relief, and the applicant will transfer his creditor's rights to the insurance company to the insurance protection fund.
After the liquidation, if the amount of claims received by the insurance guarantee fund is greater than the amount of relief paid, the insurance guarantee fund shall return the difference to the insured.
Twentieth in the insurance industry is facing a major crisis, which may seriously endanger public interests and financial stability, the China Insurance Regulatory Commission can use the insurance protection fund.
Article 21 The following businesses of an insurance company do not fall within the rescue scope of the insurance protection fund:
(1) Business directly underwritten by insurance companies abroad and business introduced from abroad;
(2) Policy insurance business of the insurance company;
(3) Other insurance businesses that are not covered by the insurance guarantee fund as determined by the China CIRC.
Chapter V Legal Liability
Twenty-second insurance companies in violation of the provisions of these measures, the China Insurance Regulatory Commission shall order them to make corrections and impose a fine of 50 thousand yuan to 300 thousand yuan; If the circumstances are serious, the business scope may be restricted, and it may be ordered to stop accepting new business or revoke the insurance business license.
China CIRC may, according to different situations, give a warning to the senior managers of insurance companies and other directly responsible personnel who are directly responsible for illegal acts, order them to be replaced, and impose a fine of more than 20,000 yuan and less than 65,438+10,000 yuan.
Chapter VI Supplementary Provisions
Article 23 An insurance company shall, within three months from the date of implementation of these Measures, pay 50% of the deposited insurance protection fund to the special account for insurance protection fund established by the China Insurance Regulatory Commission, and pay the rest within 1 year from the date of implementation of these Measures.
Article 24 The China Insurance Regulatory Commission shall be responsible for the interpretation of these Measures.
Article 25 These Measures shall come into force on June 1 day, 2005.
Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.