Insurance Law of the People's Republic of China
Chapter I General Provisions
Article 1 This Law is formulated to regulate insurance activities, protect the legitimate rights and interests of the parties to insurance activities, strengthen supervision and management of the insurance industry, and promote the healthy development of insurance undertakings.
Article 2 The insurance referred to in this law refers to the insurer paying the insurance premium to the insurer according to the contract, and the insurer shall bear the liability for compensation insurance for the possible loss of property caused by the accident as agreed in the contract or A commercial insurance act in which the insured person dies, becomes disabled, becomes sick, or assumes the liability to pay insurance benefits when the age and duration agreed in the contract are reached.
Article 3 This Law applies to insurance activities in the territory of the People's Republic of China.
Article 4: Insurance activities must comply with laws and administrative regulations, respect social morality, and follow the principle of voluntariness.
Article 5 The parties exercising their rights and performing their obligations in insurance activities shall follow the principle of good faith.
Article 6 Business insurance business must be an insurance company established in accordance with this Law. No other unit or individual may engage in commercial insurance business.
Article 7 If legal persons and other organizations in the territory of the People's Republic of China need to apply for domestic insurance, they shall apply for insurance to insurance companies in the People's Republic of China.
Article 8 In conducting business, insurance companies shall follow the principle of fair competition and shall not engage in unfair competition.
Article 9 The insurance regulatory agency of the State Council is responsible for the supervision and management of the insurance industry in accordance with this Law.
Chapter II Insurance Contract
Section I General Provisions
Article 10 An insurance contract is an agreement between the policyholder and the insurer on the relationship of insurance rights and obligations.
The insured refers to the person who has entered into an insurance contract with the insurer and has the obligation to pay insurance premiums in accordance with the insurance contract.
An insurer refers to an insurance company that concludes an insurance contract with the policyholder and assumes liability for compensation or payment of insurance premiums.
Article 11 The conclusion of an insurance contract between the insured and the insurer shall follow the principles of fairness and mutual benefit, consensus, and voluntary conclusion, and shall not harm public interests.
Except where insurance is required by laws and administrative regulations, insurance companies and other units must not force others to conclude insurance contracts.
Article 12 The insured shall have insurance interest in the subject matter of the insurance.
The insurance contract shall be invalid if the insured has no insurance interest in the subject-matter insured.
Insurance benefits refer to the legally recognized benefits of the insured person against the subject-matter insured.
The subject matter of insurance refers to the property that is the object of insurance and its related interests or the life and body of the person.
Article 13 An insurer submits an insurance claim, and after the insurer agrees to underwrite the insurance, and an agreement is reached on the terms of the contract, the insurance contract is established. The insurer shall promptly issue an insurance policy or other insurance certificate to the applicant, and shall state in the insurance policy or other insurance certificate the contents of the contract agreed upon by the parties.
After the policyholder and the insurer have agreed to negotiate, an insurance contract may be concluded in the form of a written agreement other than the one provided in the preceding paragraph.
Article 14 After the insurance contract is established, the insured pays the insurance premiums in accordance with the agreement; the insurer begins to assume the insurance liability at the agreed time.
Article 15 Except as otherwise provided in this law or otherwise agreed in the insurance contract, after the insurance contract is established, the policyholder may terminate the insurance contract.
Article 16 Except as otherwise provided in this law or otherwise agreed in the insurance contract, the insurer shall not terminate the insurance contract after the insurance contract is established.
Article 17 When concluding an insurance contract, the insurer shall explain the terms and content of the insurance contract to the insured, and may make inquiries about the subject matter of the insurance or the insured, and the insured shall truthfully inform.
The insurer has the right to terminate the insurance contract if the insured intentionally conceals the facts, fails to perform the obligation of truthful notification, or fails to perform the obligation of truthful notification due to negligence, which is sufficient to influence the insurer's decision to agree to underwrite or increase the insurance premium rate.
If the policyholder intentionally fails to perform the obligation of truthful notification, the insurer shall not be liable for compensation or payment of insurance premiums for insurance accidents that occur before the termination of the insurance contract, and shall not refund the insurance premiums.
If the insured fails to fulfill the obligation of truthful notification due to negligence and has a serious impact on the occurrence of the insured accident, the insurer shall not be liable for compensation or payment of insurance premiums for the insured accident that occurred before the termination of the insurance contract, but may refund the insurance premium.
Insured accidents refer to accidents within the scope of insurance liability agreed in the insurance contract.
Article 18 If the insurance contract has provisions on the exemption of the insurer's liability, the insurer shall clearly explain to the insurer when entering into the insurance contract. If it is not explicitly stated, this clause will not have effect.
Article 19 An insurance contract shall include the following items:
(1) the name and domicile of the insurer;
(2) names and domiciles of the insured and insured, and names and domiciles of the beneficiaries of life insurance;
(3) the subject matter of insurance;
(4) insurance liability and exemption of liability;
(5) the insurance period and the start time of insurance liability;
(6) insurance value;
(7) the amount of insurance;
(8) insurance premiums and payment methods;
(9) Insurance compensation or payment methods;
(10) Liability for breach of contract and settlement of disputes;
(11) The year, month and day when the contract was concluded.
Article 20 In addition to the insurance contract items stipulated in the preceding article, the policyholder and the insurer may agree on other matters related to insurance.
Article 21 During the validity period of an insurance contract, the policyholder and the insurer may change the relevant content of the insurance contract after consultation and agreement.
When an insurance contract is changed, the insurer shall endorse or attach the endorsement on the original insurance policy or other insurance certificates, or the insurer and the insurer shall enter into a written agreement for the change.
Article 22 The insured, the insured or the beneficiary shall inform the insurer in time after knowing that an insured accident has occurred.
The insured refers to a person whose property or person is protected by an insurance contract and has the right to claim insurance premiums. The insured person may be the insured.
The beneficiary refers to the person in the life insurance contract that is designated by the insured or the insured and has the right to claim insurance benefits. The insured and the insured may be the beneficiaries.
Article 23 When an insured event occurs and the insurer is required to compensate or pay insurance money in accordance with the insurance contract, the insured, insured or beneficiary shall provide the insurer with the nature and cause of the insured that it can provide and confirm , Loss, and other relevant evidence and information.
If the insurer believes that the relevant certificates and materials are incomplete according to the agreement of the insurance contract, it shall notify the policyholder, the insured or the beneficiary to provide relevant certificates and materials.
Article 24 After the insurer receives a request for compensation or payment of insurance money from the insured or beneficiary, it shall make a verification in time and notify the insured or beneficiary of the result of the verification; Within ten days after the insured or beneficiary has reached an agreement on compensation or payment of insurance amount, the insured or beneficiary shall perform the obligation of compensation or payment of insurance premiums. If there is an agreement in the insurance contract on the amount of insurance and the period of compensation or payment, the insurer shall perform the obligation of compensation or payment of insurance funds in accordance with the agreement of the insurance contract.
If the insurer fails to perform the obligations stipulated in the preceding paragraph in a timely manner, it shall, in addition to paying insurance premiums, compensate the insured or beneficiary for the losses suffered thereby.
No unit or individual may illegally interfere with the insurer's obligation to perform compensation or pay insurance premiums, nor shall it restrict the right of the insured or beneficiary to obtain insurance premiums.
The insured amount refers to the maximum limit of the insurer's liability for compensation or payment of insurance benefits.
Article 25 After the insurer receives a request for compensation or payment of insurance premiums from the insured or beneficiary, it shall issue a notice of refusal to compensation or refusal to pay insurance to the insured or beneficiary if it is not an insurance liability. .
Article 26 If the insurer cannot determine the amount of compensation or payment of insurance within 60 days from the date of receiving the request for compensation or payment of insurance and related certificates and materials, the insurer shall be based on the available certificates and information. The determined minimum amount shall be paid in advance; after the insurer finally determines the amount of compensation or payment of insurance premiums, it shall pay the corresponding difference.
Article 27 The insured or beneficiary of insurance other than life insurance, the right of the insurer to claim compensation or pay insurance premiums shall be extinguished without exercising for two years from the date when he knows that the insured event occurred.
The right of the insured or beneficiary of life insurance to the insurer to request the payment of insurance benefits shall be extinguished without exercising for five years from the date on which he knew the insured event occurred.
Article 28 If the insured or the beneficiary misrepresents that an insured accident has occurred and requests the insurer for compensation or payment of insurance premiums without the occurrence of an insured accident, the insurer has the right to terminate the insurance contract and does not Refund of insurance premiums.
If the insured, insured or beneficiary intentionally creates an insured accident, the insurer shall have the right to terminate the insurance contract and not be liable for compensation or payment of insurance premiums. Except as otherwise provided in Article 65, paragraph 1, of this law, No refund of insurance premium.
After an insured accident occurs, if the insured, insured or beneficiary fabricated forged or altered relevant certificates, materials or other evidence to fabricate the cause of the accident or exaggerate the extent of the loss, the insurer shall not be liable for compensation for its false report Liability to pay insurance benefits.
If the insured, insured or beneficiary commits any of the acts listed in the preceding three paragraphs and causes the insurer to pay insurance premiums or expenses, it shall return or compensate.
Article 29 If an insurer transfers part of its insurance business to other insurers in the form of reinsurance, it is reinsurance.
At the request of the reinsurance recipient, the reinsurer shall inform the reinsurance recipient of its own responsibility and the relevant circumstances of the original insurance.
Article 30 Reinsurance recipients shall not demand payment of insurance premiums from the original insured.
The insured or beneficiary of the original insurance shall not make a claim for compensation or payment of insurance money to the reinsurance recipient.
The reinsurance lender shall not refuse to perform or delay the performance of its original insurance liability on the ground that the reinsurance receiver has not performed the reinsurance liability.
Article 31 When a clause of an insurance contract is in dispute between the insurer and the insured, the insured or the beneficiary, the people's court or arbitration agency shall make an explanation in favor of the insured and the beneficiary.
Article 32 The insurer or reinsurance recipient shall have the obligation to keep confidential the business and property information and personal privacy of the insured, insured, beneficiary, or reinsurance person known in the insurance business.
Section 2 Property Insurance Contract
Article 33 A property insurance contract is an insurance contract in which the property and its related interests are the subject of insurance.
Unless otherwise specified, the property insurance contract in this section is referred to as the contract.
Article 34 The transfer of the subject-matter insured shall be notified to the insurer, and after the insurer agrees to continue the underwriting, the contract shall be changed according to law. However, except for cargo transportation insurance contracts and contracts otherwise agreed.
Article 35 After the insurance liability begins, the parties to the contract shall not terminate the contract.
Article 36 The insured shall abide by national regulations concerning fire protection, safety, production operations, labor protection, etc., and maintain the safety of the subject matter insured.
According to the agreement of the contract, the insurer may check the security status of the subject-matter insured and promptly submit written suggestions to the insured and the insured to eliminate unsafe factors and hidden dangers.
If the insured or insured fails to perform their due responsibilities for the safety of the subject-matter insured in accordance with the agreement, the insurer has the right to request an increase in insurance premiums or terminate the contract.
In order to maintain the security of the subject-matter insured, the insurer may take safety precautions with the consent of the insured.
Article 37 If the degree of danger of the subject-matter insured increases during the validity of the contract, the insured shall promptly notify the insurer in accordance with the contract, and the insurer has the right to request an increase in insurance premiums or terminate the contract.
If the insured fails to fulfill the notification obligations specified in the preceding paragraph, the insurer shall not be liable for compensation for insured accidents that occur due to the increased degree of danger of the subject-matter insured.
Article 38 In any of the following circumstances, unless otherwise agreed in the contract, the insurer shall reduce the insurance premium and refund the corresponding insurance premium on a daily basis:
(1) According to changes in the relevant circumstances for determining the insurance premium rate, the degree of danger of the subject-matter insured has been significantly reduced;
(2) The insured value of the subject-matter insured has decreased significantly.
Article 39 Before the insurance liability begins, if the insurer requests termination of the contract, it shall pay the insurer a handling fee, and the insurer shall refund the insurance fee. After the insurance liability begins, if the policyholder requests the termination of the contract, the insurer may collect the premium from the date when the insurance liability begins to the date when the contract is terminated, and the remaining part shall be returned to the policyholder.
Article 40 The insured value of the subject-matter insured may be agreed upon by the policyholder and the insurer and stated in the contract, or it may be determined based on the actual value of the subject-matter insured at the time of the occurrence of the insured event.
The insured amount shall not exceed the insured value; if it exceeds the insured value, the excess shall be invalid.
If the insured amount is lower than the insured value, unless otherwise agreed in the contract, the insurer shall be liable for compensation in proportion to the insured amount and the insured value.
Article 41 The applicants for duplicate insurance shall notify each insurer of the relevant situation of duplicate insurance.
If the sum of the insured amount of the duplicate insurance exceeds the insured value, the sum of the amounts of compensation of each insurer shall not exceed the insured value. Unless otherwise agreed in the contract, each insurer shall be liable for compensation in proportion to the sum of its insurance amount and the sum of the insurance amounts.
Duplicate insurance refers to insurance in which the policy holder has concluded insurance contracts with two or more insurers for the same insurance subject, the same insurance interest, and the same insured event.
Article 42 When an insured accident occurs, the insured is responsible for taking all necessary measures to prevent or reduce losses.
After the occurrence of an insured accident, the necessary and reasonable expenses paid by the insured to prevent or reduce the loss of the subject-matter insured shall be borne by the insurer; the amount assumed by the insurer shall be calculated separately from the indemnity amount of the subject-matter insured and shall not exceed the insurance maximum The amount of the amount.
Article 43 In the event of partial loss of the subject-matter insured, the insurer may terminate the contract within 30 days after the insurer's compensation; the insurer may also terminate the contract unless the contract stipulates that the contract cannot be terminated. If the insurer terminates the contract, he shall notify the insurer 15 days in advance, and deduct the receivables from the period from the date of starting the insurance liability to the date of termination of the contract and return the insurance premium. people.
Article 44 After the insured accident occurs, the insurer has paid all the insured amount and the insured amount is equal to the insured value, and all the rights of the damage insurance subject are attributed to the insurer; if the insured amount is lower than the insured value, the insurer shall The ratio of the insured amount to the insured value obtains part of the rights to the damage insurance subject.
Article 45 In case of an insured accident caused by a third party's damage to the subject-matter insured, the insurer shall, from the date of compensation to the insured, indemnify the insured within the scope of the compensation amount to claim compensation from the third party s right.
If the insured has obtained damages from a third party after the insured accident specified in the preceding paragraph, the insurer may deduct the amount of compensation that the insured has obtained from the third party accordingly.
The insurer's exercise of the right to claim compensation in accordance with the first paragraph does not affect the right of the insured to claim compensation from a third party for the part that has not been compensated.
Article 46 After an insured accident occurs, before the insurer waives the right to claim compensation from a third party before the insurer has paid compensation, the insurer shall not be liable for compensation.
After the insurer compensates the insured for the insurance money, the insured renounces the right to claim compensation from a third party without the insurer's consent, which is invalid.
If the insurer is unable to exercise his right to claim compensation due to the fault of the insured, the insurer may deduct the insurance compensation accordingly.
Article 47 Except for the family members of the insured or their constituents who deliberately cause the insured accident specified in Article 45 (1) of this Law, the insurer shall not exercise subrogation against the family members of the insured or their constituents Right to claim compensation.
Article 48 When the insurer exercises the right of subrogation to claim compensation from a third party, the insured shall provide the insurer with the necessary documents and relevant circumstances as far as they know.
Article 49 The necessary and reasonable expenses paid by the insurer and the insured to ascertain and determine the nature, cause and degree of loss of the insured accident shall be borne by the insurer.
Article 50 The insurer may directly compensate the third party for the damage caused to the third party by the insured of liability insurance in accordance with the provisions of the law or the contract.
Liability insurance refers to the insurance subject to the liability of the insured to a third party in accordance with the law.
Article 51 Where the insured of liability insurance is brought for arbitration or litigation due to an insured accident causing damage to a third party, unless otherwise agreed in the contract, the arbitration or litigation costs paid by the insured and other necessary Reasonable expenses shall be borne by the insurer. Section III Life Insurance Contract
Article 52 A life insurance contract is an insurance contract with the life and body of the person as the subject of insurance.
The life insurance contract in this section is referred to as the contract unless otherwise specified.
Article 53 The insured person has insurance benefits for the following persons:
(2) spouse, children, parents;
(3) Other members of the family and close relatives who have a support, maintenance or support relationship with the policyholder other than the preceding paragraph.
Except for the provisions of the preceding paragraph, if the insured agrees to the insured to conclude a contract for him, the insured shall be deemed to have insurance benefits to the insured.
Article 54 If the age of the insured declared by the insured is untrue, and its true age does not meet the age limit stipulated in the contract, the insurer may terminate the contract and refund the insurance premium to the insured after deducting the handling fee, but Except those that have been more than two years from the date of the contract.
If the age of the insured declared by the insured is not real, and the insurance premium paid by the insured is less than the insurance premium payable, the insurer has the right to correct and require the insured to pay the insurance premium or pay the insurance premium in accordance with the actual insurance premium payment Pay in proportion to the premium payable.
If the age of the insured declared by the insurant is not real, causing the insured to actually pay more insurance premiums than the insurance premiums payable, the insurer shall return the overcharged insurance premiums to the insured.
Article 55 The insured shall not insure a person without civil capacity for life insurance with death as the condition for payment of insurance benefits, and the insurer shall not underwrite it.
The personal insurance insured by parents for their minor children is not restricted by the provisions of the preceding paragraph, but the total amount of death benefit insurance shall not exceed the limit prescribed by the insurance supervision and management agency.
Article 56 A contract with death as the condition for the payment of insurance benefits shall be invalid without the written consent of the insured and approval of the insurance amount.
An insurance policy issued in accordance with a contract where death is the condition for the payment of insurance benefits shall not be transferred or pledged without the written consent of the insured.
The personal insurance insured by parents for their minor children is not subject to the provisions of paragraph 1.
Article 57 After the contract is established, the insurer may pay the entire insurance premium to the insurer at one time, or may pay the insurance premium in installments in accordance with the contract.
Where the contract stipulates that the insurance premiums shall be paid in installments, the insured shall pay the first premium when the contract is concluded, and shall pay the remaining premiums on schedule.
Article 58 It is stipulated in the contract that the insurance premiums shall be paid in installments. After the policyholder has paid the first insurance premium, unless the policyholder otherwise stipulates in the contract, if the policyholder fails to pay the current insurance premiums within 60 days of the stipulated period, the validity of the contract shall be suspended, or The insurer reduces the amount of insurance in accordance with the conditions agreed in the contract.
Article 59 Where the validity of a contract is suspended in accordance with the preceding article, the validity of the contract shall be restored after the insurer has reimbursed the insurance premium after consultation and agreement between the insurer and the policyholder. However, if the two parties fail to reach an agreement within two years from the date of termination of the validity of the contract, the insurer has the right to terminate the contract.
If the insurer terminates the contract in accordance with the preceding paragraph, and the insurer has paid the insurance premium for more than two years, the insurer shall return the cash value of the insurance policy in accordance with the contract; if the insurer has not paid the insurance premium for two full years, the insurer shall deduct After the handling fee, the insurance fee is refunded.
Article 60 The insurer shall not require the insurer to pay for the insurance premiums for personal insurance in a lawsuit.
Article 61 The beneficiaries of life insurance shall be designated by the insured or the insured.
The insured must designate the beneficiary with the consent of the insured.
If the insured is a person without or with limited capacity for civil conduct, his guardian may designate a beneficiary.
Article 62 The insured or applicant may designate one or more persons as beneficiaries.
If there are several beneficiaries, the insured or the policyholder may determine the order of benefit and the benefit share; if the benefit share is not determined, the beneficiary shall enjoy the benefit right according to the equal share.
Article 63 The insured or applicant may change the beneficiary and notify the insurer in writing. After receiving the written notice of change of the beneficiary, the insurer shall endorse the insurance policy.
When the insured changes the beneficiary, he must obtain the consent of the insured.
Article 64 After the death of the insured, in any of the following circumstances, the insurance money shall be regarded as the insured's estate, and the insurer shall perform the obligation to pay the insurance money to the insured's heirs:
(1) where no beneficiary has been designated;
(2) the beneficiary died before the insured and there were no other beneficiaries;
(3) the beneficiary loses the beneficiary right or renounces the beneficiary right according to law, and there is no other beneficiary.
Article 65 If the insured or beneficiary intentionally causes death, disability or illness of the insured, the insurer shall not be liable for the payment of insurance benefits. If the insured has paid insurance premiums for more than two years, the insurer shall return the cash value of the insurance policy to other beneficiaries with rights in accordance with the contract.
If the beneficiary intentionally causes the death or disability of the insured, or attempts to kill the insured intentionally, the beneficiary right is forfeited.
Article 66 In the case of death as a condition for the payment of insurance benefits, the insured person shall commit suicide. Except as provided in the second paragraph of this article, the insurer shall not be liable for the payment of insurance benefits. The person shall refund his cash value in accordance with the insurance policy.
For a contract with death as the condition for payment of insurance benefits, if the insured commits suicide two years after the date of establishment, the insurer may pay the insurance benefits in accordance with the contract.
Article 67 If the insured intentionally commits a crime and causes his or her disability or death, the insurer shall not be liable for the payment of insurance benefits. If the insured has paid insurance premiums for more than two years, the insurer shall refund its cash value in accordance with the insurance policy.
Article 68 If an insured person who suffers from life insurance causes death, disability or illness as a result of a third party's behavior, the insurer shall not be entitled to the third party after paying insurance money to the insured or beneficiary Right of recovery. However, the insured or beneficiary still has the right to claim compensation from a third party.
Article 69 If the policyholder terminates the contract and has paid the insurance premium for more than two years, the insurer shall return the cash value of the insurance policy within 30 days from the date of receiving the notice of termination of the contract; In accordance with the contract, the insurer will refund the insurance premium after deducting the handling fee.
Chapter III Insurance Companies
Article 70 An insurance company shall adopt the following organizational forms:
(1) a company limited by shares;
(2) A wholly state-owned company.
Article 71 The establishment of an insurance company must be approved by the insurance supervision and management institution.
Article 72 The establishment of an insurance company shall meet the following requirements:
(1) having a charter in compliance with the provisions of this Law and the Company Law;
(2) There is a minimum amount of registered capital that complies with the provisions of this Law;
(3) Senior management personnel with professional knowledge and professional work experience;
(4) Having a sound organizational structure and management system;
(5) There are business places and other facilities related to business that meet the requirements.
When examining the application for establishment, an insurance regulatory agency shall consider the needs of the development of the insurance industry and fair competition.
Article 73 The minimum amount of registered capital for the establishment of an insurance company is RMB 200 million.
The minimum registered capital of an insurance company must be paid-in monetary capital.
The insurance supervision and management institution may adjust the minimum amount of its registered capital according to the business scope and operating scale of the insurance company. However, it must not be lower than the limit specified in the first paragraph.
Article 74 To apply for the establishment of an insurance company, the following documents and materials shall be submitted:
(1) An application for establishment, which shall specify the name, registered capital, business scope, etc. of the insurance company to be established;
(2) Feasibility study report;
(3) Other documents and materials required by the insurance supervision and management institution.
Article 75 After the application for the establishment of an insurance company has passed the preliminary examination, the applicant shall proceed with the establishment of the insurance company in accordance with the provisions of this Law and the Company Law. Those who meet the establishment conditions stipulated in Article 72 of this Law shall submit a formal application form and the following relevant documents and materials to the insurance supervision and management institution:
(1) the articles of association of the insurance company;
(2) the register of shareholders and their shares, or the investor and its amount of capital contribution;
(3) Certificates of creditworthiness of shareholders who hold more than 10% of the company's shares and related materials;
(4) a capital verification certificate issued by a statutory capital verification institution;
(5) Resume and qualification certificate of the senior management personnel to be appointed;
(6) business policies and plans;
(7) Information on the business place and other facilities related to the business;
(8) Other documents and materials required by the insurance supervision and management institution.
Article 76 The insurance supervision and management institution shall make a decision on approval or disapproval within six months from the date of receiving the formal application documents for the establishment of an insurance company.
Article 77 An approved insurance company shall be issued an insurance business license by the approving department, and shall register with the administrative department for industry and commerce on the basis of the insurance business license to obtain a business license.
Article 78 If an insurance company fails to go through the establishment of a company without valid reasons within six months from the date of obtaining the insurance business license, its insurance business license will automatically become invalid.
Article 79 After the establishment of an insurance company, it shall draw a security deposit of 20% of its total registered capital and deposit it in a bank designated by the insurance supervision and management institution, which shall not be used except for the purpose of paying off debts when the insurance company is liquidated.
Article 80 When an insurance company establishes branches in the territory of the People's Republic of China, it must obtain the approval of the insurance regulatory authority to obtain a license for the branch to operate insurance business.
The branches of an insurance company do not have the status of a legal person, and their civil liability shall be borne by the insurance company.
Article 81 The establishment of an insurance company's representative office within or outside the People's Republic of China must be approved by the insurance regulatory authority.
Article 82 If an insurance company has any of the following changes, it must be approved by the insurance supervision and management institution:
(1) change of name;
(2) change of registered capital;
(3) changing the business place of the company or branch;
(4) adjusting business scope;
(5) the division or merger of the company;
(6) amending the articles of association of the company;
(7) Changing the investor or shareholders holding more than 10% of the company's shares;
(8) Other changes required by the insurance supervision and management institution.
The replacement of the chairman and general manager of an insurance company shall be reported to the insurance supervision and management institution to review its qualifications.
Article 83 The organization of an insurance company shall be governed by the provisions of the Company Law.
Article 84 A wholly state-owned insurance company shall establish a board of supervisors. The board of supervisors is composed of representatives of insurance supervision and management institutions, relevant experts and insurance company staff, and draws on reserves, minimum solvency, and value-added and state-owned assets of state-owned insurance companies, and violations of laws, administrative regulations or articles of association by senior management personnel Supervision of behaviors that harm the interests of the company.
Article 85 An insurance company shall be dissolved due to division, merger, or dissolution in accordance with the articles of association, and shall be dissolved upon approval of the insurance supervision and management institution. An insurance company shall set up a liquidation group in accordance with law to conduct liquidation.
An insurance company operating a life insurance business shall not be dissolved except for division or merger.
Article 86 If an insurance company violates laws and administrative regulations and its insurance business license is revoked by the insurance supervision and management institution, it shall be revoked according to law. The insurance supervision and management institution shall organize a liquidation team in time to conduct liquidation in accordance with the law.
Article 87 If an insurance company cannot pay its due debts, the people's court shall declare bankruptcy in accordance with the law with the consent of the insurance regulatory authority. If an insurance company is declared bankrupt, the people's court shall organize an insurance supervision and management department and other relevant departments and personnel to set up a liquidation group to carry out liquidation.
Article 88 If an insurance company operating a life insurance business is cancelled or declared bankrupt in accordance with the law, the life insurance contract and reserve held by it must be transferred to other insurance companies operating a life insurance business; If other insurance companies reach a transfer agreement, it shall be accepted by the insurance company designated by the insurance regulatory agency to operate the life insurance business.
Where the life insurance contract and reserves specified in the preceding paragraph are transferred or designated by the insurance supervision and management institution, the legitimate rights and interests of the insured and beneficiaries shall be safeguarded.
Article 89 If an insurance company goes bankrupt according to law, the bankruptcy property shall first pay its bankruptcy expenses and then be paid off in the following order:
(1) Wages and labor insurance expenses owed by employees;
(2) compensation or payment of insurance money;
(3) Taxes owed;
(4) Pay off company debts.
Where the bankruptcy property is insufficient to satisfy the same order of repayment requirements, it shall be distributed in proportion.
Article 90 An insurance company that terminates its business activities in accordance with law shall cancel its insurance business license.
Article 91 For matters concerning the establishment, alteration, dissolution and liquidation of an insurance company that are not specified in this Law, the provisions of the Company Law and other relevant laws and administrative regulations shall apply.
Chapter IV Insurance Business Rules
Article 92 The business scope of an insurance company:
(1) Property insurance business, including insurance services such as property loss insurance, liability insurance, and credit insurance;
(2) Life insurance business, including life insurance, health insurance and accident insurance.
The same insurer may not concurrently carry out property insurance business and life insurance business; however, an insurance company operating property insurance business may conduct short-term health insurance business and accidental injury insurance business upon approval by the insurance supervision and management agency.
The business scope of an insurance company shall be determined by the insurance supervision and management institution according to law. An insurance company can only engage in insurance business activities within its approved business scope.
An insurance company may not concurrently carry out businesses other than those provided for in this Law and other laws and administrative regulations.
Article 93 With the approval of the insurance supervision and management institution, an insurance company may carry out the following reinsurance business of the insurance business specified in the preceding article:
(1) Releasing insurance;
Article 94 An insurance company shall draw various liability reserves in accordance with the principles of protecting the interests of the insured and guaranteeing solvency.
The specific measures for insurance companies to withdraw and carry forward liability reserves shall be formulated by the insurance supervision and management institution.
Article 95 An insurance company shall withdraw the outstanding claims reserve according to the insurance compensation or payment amount that has been submitted, and the insurance compensation or payment amount that has occurred but has not yet been filed.
Article 96 Except for the provision of reserves in accordance with the provisions of the preceding two articles, an insurance company shall withdraw the provident fund in accordance with relevant laws, administrative regulations and the provisions of the national financial and accounting system.
Article 97 In order to protect the interests of the insured and support the stable operation of the insurance company, the insurance company shall deposit the insurance protection fund in accordance with the regulations of the insurance supervision and management institution.
The insurance protection fund shall be centrally managed and used in a unified manner.
The specific measures for the management and use of insurance protection funds shall be formulated by the insurance supervision and management institution.
Article 98 An insurance company shall have the minimum solvency that is appropriate to the size of its business. The difference between the actual assets of the insurance company minus the actual liabilities shall not be lower than the amount prescribed by the insurance supervision and management agency; if it is lower than the prescribed amount, the capital shall be increased to make up the difference.
Article 99 The insurance premiums held by an insurance company engaged in property insurance business for that year shall not exceed four times the actual capital plus the total provident fund.
Article 100 The liability of an insurance company for each dangerous unit, that is, the scope of the maximum loss that may be caused by an insured accident, shall not exceed 10% of the actual capital plus the accumulation fund; the excess shall be reinsured .
Article 101 An insurance company's calculation methods for dangerous units and plans for catastrophic risk arrangements shall be submitted to the insurance supervision and management agency for approval.
Article 102 An insurance company shall handle reinsurance in accordance with the relevant regulations of the insurance supervision and management institution.
Article 103 If an insurance company needs to handle reinsurance outsourcing business, it shall give priority to the insurance company in China.
Article 104 The insurance supervision and management authority has the right to restrict or prohibit insurance companies from handling reinsurance detachment business with insurance companies outside China or accepting reinsurance detachment business outside China.
Article 105 The use of funds by insurance companies must be robust, follow the principles of security, and ensure the preservation and appreciation of assets.
The use of funds by insurance companies is limited to deposits in banks, trading of government bonds, financial bonds, and other forms of capital use prescribed by the State Council.
The funds of an insurance company shall not be used for the establishment of securities business institutions or for the establishment of enterprises outside the insurance industry.
Chapter VIII Supplementary Provisions