(1) Extraction:

According to the Appendix to the Guidelines for the Application of Accounting Standards for Business Enterprises-Accounting Subjects and Treatment of Main Accounts, financial enterprises such as insurance companies should set up the subjects of "business and management fees" instead of "sales expenses" and "management expenses". When an insurance company withdraws the insurance protection fund, it shall debit the title of "business and management fees" and credit the title of "other payables-insurance protection fund".

according to the relevant regulations of the state, insurance companies should pay the insurance guarantee fund according to the following proportions for the insurance business covered by the insurance guarantee fund: property insurance, accident insurance and short-term health insurance, and pay 1% of the retained premium; Long-term life insurance and long-term health insurance with guaranteed interest rate shall be paid at .15% of the retained premium; Long-term life insurance without guaranteed interest rate shall be paid at .5% of the retained premium; The payment ratio of other insurance businesses of insurance companies shall be stipulated separately by the China Insurance Regulatory Commission.

(II) Payment:

According to the Appendix to the Guidelines for the Application of Accounting Standards for Business Enterprises-Accounting Subjects and Treatment of Main Accounts, when an insurance company pays the insurance protection fund to the China Insurance Regulatory Commission, it debits the account of "other payables-insurance protection fund" and credits the account of "bank deposit".

according to the relevant regulations of the state, an insurance company shall timely and fully pay the insurance protection fund into the special account of the insurance protection fund of China Insurance Regulatory Commission, but the payment of the insurance protection fund may be suspended under any of the following circumstances: if the balance of the insurance protection fund of a property insurance company, a comprehensive reinsurance company or a property reinsurance company reaches 6% of the company's total assets; The balance of insurance guarantee funds of life insurance companies, health insurance companies and life reinsurance companies reaches 1% of the company's total assets.

insurance companies pay insurance protection funds on an annual basis and pay in advance quarterly.

III. Corporate income tax treatment of insurance companies:

The Notice of the Ministry of Finance and the State Taxation Administration of The People's Republic of China on Pre-tax Deduction of Insurance Guarantee Fund Income Tax (Caishui [25] No.136) stipulates that in order to effectively prevent and resolve financial risks, maintain financial stability and protect the interests of policy holders, the pre-tax deduction of insurance guarantee fund income tax paid by insurance companies in accordance with the Measures for the Administration of Insurance Guarantee Fund is hereby clarified as follows.

1. Property insurance, accident insurance and short-term health insurance shall not exceed 1% of the retained premium;

2. Long-term life insurance and long-term health insurance with guaranteed interest rate shall not exceed .15% of the retained premium;

3. Long-term life insurance and long-term health insurance without guaranteed interest rate shall not exceed .5% of the retained premium;

4. Other insurance businesses shall not exceed the proportion stipulated by the China Insurance Regulatory Commission.

(II) The insurance guarantee fund paid by an insurance company shall not be deducted before tax 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 reaches 1% of the company's total assets.