Article 1 In order to support the development of China's space industry, enhance the national defense strength and comprehensive national strength, expand the space insurance underwriting capacity of insurance companies, and promote the cooperation of China's insurance industry, according to the Insurance Law of People's Republic of China (PRC), the Reply of the State Council and the General Office of the Central Military Commission on Issues Related to Foreign Launch Services (Guo Ban Han [1996] No.85) and the Minutes of the Meeting on Issues Related to the Study of Satellite Launch Insurance. Article 2 The satellite launch insurance fund refers to the special fund for paying the satellite launch losses stipulated in the insurance contract, that is, the satellite launch insurance premium income obtained by the aerospace insurance consortium (hereinafter referred to as the consortium) approved by the state and the statutory premium income of satellite launch insurance accepted by PICC Reinsurance Company, net income and interest income after deducting the business tax and surcharges, business management expenses and premium expenses paid according to law, and amortization of reinsurance expenses. Article 3 The business management fee mentioned in the preceding article of these Measures refers to the daily business operation, investigation, conference, satellite launch demonstration and other expenses of the consortium, as well as the handling fee paid to the broker. The consortium shall set up a "business management fee" account for separate accounting. After deducting the payable business tax and surcharges from the premium income collected by the consortium underwriting satellites, the business management fee shall be uniformly extracted and used at 0.3%.

At the end of the year, if there are savings in business management expenses, the consortium will distribute them to member companies according to the underwriting share of the consortium companies. The business management fees received by each member company are directly incorporated into the satellite launch insurance fund. Article 4 The insured shall, within the time limit stipulated in the insurance contract, pay the insurance premium payable for satellite launch to the satellite launch insurance fund account established by the consortium. The total account of the satellite launch insurance fund of the consortium consists of RMB account and foreign currency account.

The satellite launch insurance premium income shall be collected by the consortium, and the business tax and surcharges shall be paid according to the regulations, and the fees shall be deducted according to the regulations, and the net premium income shall be transferred to the account designated by the consortium members according to the underwriting share within 10 days after the successful satellite launch. Article 5 Each member company of the consortium shall set up a sub-account of "Satellite Launch Insurance Fund", which consists of a RMB sub-account and a foreign currency sub-account. It is specially used to calculate the premium income and compensation expenses of satellite launch, and report the bank, account and account number of the satellite launch insurance fund to the consortium and the Ministry of Finance for the record.

The satellite launch insurance fund is a long-term liability of each member company of the consortium and must be deposited in a special account. The banks stored in the special account are limited to four wholly state-owned commercial banks: industrial, agricultural, China and China. The satellite launch insurance fund is limited to the purchase of government bonds that can be realized at any time. According to the relevant regulations of the state, debt interest's net income and deposit interest income will all be transferred to the satellite launch insurance fund. Article 6 After the accumulated satellite launch insurance fund of the consortium reaches 2.5 billion yuan, the consortium will notify the member companies to include the excess as the operating income of the member companies, and pay income tax. Article 7 Each member company of the consortium shall actively seek international reinsurance after underwriting satellite launch insurance. After the realization of international reinsurance, separate accounting should be set for reinsurance expenses and amortized reinsurance expenses. The year-end balance of the satellite launch insurance fund will be adjusted according to the net income of satellite premiums. Article 8 The consortium is responsible for underwriting satellite exploration and claims settlement, and reporting the claims settlement report recognized by the consortium to the Ministry of Finance. When making claims for satellite launch insurance, the specific measures for returning business tax shall be handled in accordance with the relevant provisions of the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China. Article 9 After the consortium has verified the compensation amount, it will issue a notice of compensation according to the compensation liability insured by the consortium member companies (excluding the business tax refunded by the state). Each member company shall remit the satellite launch insurance funds stored in the special account to the consortium within the time limit specified in the indemnity notice, and the consortium shall be responsible for the unified payment of indemnity.

When making claims for satellite launch insurance, the business tax returned by the government and the satellite launch insurance fund shall be used to make claims, and the insufficient part shall be shared by the member companies according to the underwriting ratio. Article 10 At the end of the year, the consortium is responsible for reporting to the Ministry of Finance the income and expenditure of the satellite launch insurance fund, the withdrawal of business management fees and the final accounts of expenditures. The ending balance of premium income paid in foreign currency shall be converted into functional currency according to the benchmark exchange rate announced by the People's Bank of China at the end of the period, and the conversion difference shall be included in the fund accounting. Article 11 When the consortium is dissolved, the balance of the satellite launch insurance fund and the balance of the business management fee shall be distributed to the member companies according to the underwriting ratio and included in the business income. Article 12 The consortium shall accept the supervision and management of relevant state departments according to law, and be responsible for the collection, payment, appropriation and statistics of satellite launch insurance funds within the consortium. Each member company of the consortium shall strictly abide by these measures and the articles of association of the consortium. When necessary, the Ministry of Finance may directly or entrust an agency to conduct special inspections on the use and management of the satellite launch insurance fund of the consortium and its members. Article 13 The Ministry of Finance shall be responsible for the interpretation of these Measures, which shall be the same as when amended. Article 14 These Measures shall be implemented as of the date of establishment of the aerospace insurance consortium.