1. The construction of my country’s insurance regulatory system has achieved positive results

With the development of my country’s insurance industry, the insurance regulatory system and mechanisms have also changed several times. In January 1950, the insurance industry was clearly managed by the People's Bank of China. In 1952, the insurance industry was placed under the management of the Ministry of Finance. In 1959, the insurance industry was once again placed under the leadership of the People's Bank of China. In 1965, the People's Bank of China and the Ministry of Finance clarified that domestic insurance business was managed by the Ministry of Finance, and international insurance business was managed by the People's Bank of China. After the reform and opening up, the People's Bank of China was responsible for unified insurance supervision. In November 1998, in accordance with the guidelines of the Party Central Committee and the State Council on "separate operation and separate supervision" of the financial industry, the China Insurance Regulatory Commission was formally established to uniformly supervise and manage the national insurance market in accordance with the law, marking the professionalization of my country's insurance supervision. , a new stage of standardization, my country’s insurance regulatory system continues to develop and improve.

(1) Supervision and regulations are constantly improving. Our country has initially formed an insurance regulatory system consisting of four levels, with relevant laws as the core, administrative regulations as the support, departmental regulations as the backbone, and normative documents as the supplement. One is the legal aspect. The Insurance Law was officially promulgated in 1995 and revised twice in 2002 and 2009, improving the basic norms of insurance business conduct and the framework of insurance supervision entities. The "Maritime Law" and the "Criminal Law" also provide for maritime insurance and insurance crimes respectively. The second is the level of administrative regulations. The State Council promulgated the "Regulations on Property Insurance Contracts" in 1983 and the "Interim Regulations on the Management of Insurance Enterprises" in 1985. After joining the WTO, the State Council promulgated the "Regulations on the Administration of Foreign-Invested Insurance Companies" in 2001, the "Regulations on Compulsory Motor Vehicle Traffic Accident Liability Insurance" in 2006, and the "Regulations on Agricultural Insurance" in 2012, which regulate some aspects of insurance operations and management. Key areas have been specially regulated. The third is the level of departmental regulations. The China Insurance Regulatory Commission has currently 50 effective departmental regulations, which are roughly divided into six aspects: business entities, product rates, capital utilization, professionals, solvency, and administration according to law, which have consolidated the institutional foundation for insurance supervision. The fourth is the level of normative documents. The China Insurance Regulatory Commission and its local agencies have formulated a large number of normative documents based on the actual supervision, and have played an important role in strengthening and improving supervision.

(2) The supervision system has been initially formed. The national financial regulatory arrangements were conscientiously implemented, and the construction of the insurance regulatory system made positive progress. First, the regulatory framework is gradually improved. In the early days of reform and opening up, insurance supervision focused on market conduct supervision. The "Insurance Law" promulgated in 1995 first proposed the concept of solvency. After the establishment of the China Insurance Regulatory Commission in 1998, it proposed to pay equal attention to market conduct supervision and solvency supervision. With the implementation of joint-stock reform of state-owned insurance companies, the China Insurance Regulatory Commission issued indicator regulations in 2003, and solvency supervision took a substantial start. As insurance companies established modern enterprise systems and went public, the China Insurance Regulatory Commission issued guidance in 2006 to formally introduce corporate governance supervision, explore the establishment of a regulatory framework with solvency, corporate governance, and market behavior as the pillars, and established the Solvency Supervision Committee in 2009. Corporate Governance Oversight Committee. Under the new situation, the China Insurance Regulatory Commission launched the construction of the second-generation solvency supervision system in 2012. In accordance with the regulatory reform trends after the international financial crisis, corporate governance supervision will be strengthened. Second, the regulatory organization has been gradually improved. The China Insurance Regulatory Commission currently has 16 functional departments and 2 public institutions. Since 2000, the China Insurance Regulatory Commission has successively established 36 insurance regulatory bureaus in parallel in various provinces, autonomous regions, municipalities directly under the Central Government and cities under separate state planning. In order to strengthen market supervision at the grassroots level, the China Insurance Regulatory Commission established regional insurance regulatory branches on a pilot basis in five prefecture-level cities: Suzhou, Yantai, Shantou, Wenzhou and Tangshan in 2010. Third, the regulatory structure is gradually established. Strengthen communication and cooperation with party and government departments, judicial authorities, and other financial regulatory agencies, promote social organizations to play self-discipline, rights protection, coordination, etc., support news media, accounting and auditing, rating agencies, consumers, etc. to play a supervisory role, and initially form a A large regulatory structure of professional supervision, departmental work, industry standards, and social supervision.

(3) Supervision means are becoming increasingly abundant. Continuously innovate and enrich supervision methods and methods, and the execution and effectiveness of supervision have been improved. One is classified supervision. Classified supervision of insurance companies is implemented from aspects such as solvency, corporate governance, internal control and compliance, finance, capital utilization, and business operations, which improves supervision efficiency. The second is off-site supervision. Establish an insurance supervision statistical system, accumulate insurance data assets, strengthen monitoring, analysis, and early warning of market operations and insurance risks, and improve the effectiveness of off-site supervision. Promote the information construction of the insurance industry and insurance supervision, establish the "three networks and one database" infrastructure, develop 25 application systems such as the insurance statistical information system, establish an insurance information platform company, and promote the construction of supervisory e-government affairs. The third is on-site inspection. Develop on-site inspection procedures and manuals to standardize inspection procedures and standards. Use information technology to improve on-site inspection efficiency. Organize and carry out comprehensive, systematic and special inspections to improve the pertinence of on-site inspections. Increase penalties for violations of laws and regulations, implement "double penalties" for insurance institutions and senior executives, and improve regulatory deterrence. The fourth is information disclosure. Establish an insurance information disclosure system and leverage platforms such as the China Insurance Regulatory Commission’s official website, press conferences, Weibo and WeChat, and industry websites to promptly release information such as insurance news, statistics, administrative licenses, and penalties. The fifth is other means.

We have gradually established insurance protection funds and other systems, taking the lead in creating a market-oriented risk self-rescue mechanism in my country's financial industry, providing a solid barrier to protect the rights and interests of consumers.

1. Basic ideas for promoting the modernization of the insurance regulatory system and regulatory capabilities

The modernization of the insurance regulatory system and regulatory capabilities is a complex systematic project. We must base ourselves on China's national conditions, learn from international experience, deepen reform concepts, and strengthen top

(1) Guiding ideology. Hold high the great banner of socialism with Chinese characteristics, be guided by Deng Xiaoping Theory, the important thought of "Three Represents" and the Scientific Outlook on Development, thoroughly implement the spirit of the 18th National Congress of the Communist Party of China and the Third Plenary Session of the 18th Central Committee of the Communist Party of China, comply with the development trend of the insurance industry, and comply with regulatory requirements Laws, based on: based on my country's reality, drawing on international experience, implementing the requirements of "grasping services, strict supervision, preventing risks, and promoting development", deepening the reform of insurance supervision, building a complete, scientific and standardized insurance supervision system that operates effectively, and becoming a national governance system System and governance capabilities are an important part of the modern institutional system, allowing the market to play a decisive role in the allocation of insurance resources and better play a supervisory role, promote the insurance industry to play its risk management and wealth management functions, and build modern insurance with Chinese characteristics and characteristics of the times. industry to serve the grand goal of building a moderately prosperous society in all respects and the socialist modernization drive.

(2) Overall requirements. One is to follow basic rules. To promote the modernization of the insurance regulatory system and regulatory capabilities, the most basic requirement is to learn from the historical experience and effective practices of domestic and foreign insurance regulation and have a deep grasp of the laws of insurance development and regulation. It is necessary to insist that the insurance industry adapts to economic and social development, insurance supervision adapts to the development of the insurance industry, and the regulatory system adapts to the needs of insurance supervision. It is necessary to give play to the decisive role of the market in allocating insurance resources, improve market incentive and restraint mechanisms, stimulate market vitality, and improve market operation efficiency. It is necessary to improve laws and regulations, strictly supervise in accordance with the law, maintain market order, prevent insurance risks, make up for market shortcomings and solve market failures. It is necessary to proceed from the reality of the insurance market, grasp the stage characteristics, and scientifically determine the regulatory objectives, principles and pillars.

The second is to reflect Chinese characteristics. To promote the modernization of the insurance regulatory system and regulatory capabilities, the core requirement is to be based on national conditions and in line with the development and regulatory realities of my country's insurance industry. It is necessary to promote the modernization of the insurance regulatory system based on the national strategy and overall goal of comprehensively deepening reform. It is necessary to grasp the characteristics that my country's insurance industry is in the initial stage of development, with insurance depth and density lower than the world average, and insurance service capabilities are weak, insist on promoting industry development while strengthening supervision, and promote the insurance industry to serve the economy and society. It is necessary to grasp the characteristics of my country's insurance consumers who are not yet rational, business entities are not yet mature, and the market mechanism is not yet complete, improve market rules, strengthen corporate governance and market behavior supervision, and create a good market environment. It is necessary to grasp the characteristics of my country's insurance industry with a weak foundation, rapid development, transformation and upgrading, and becoming a major global insurance market, taking into account prudence and economics, and reasonably determine the standards for regulatory constraints, especially solvency and capital constraints.

The third is to conform to the trend of the times. To promote the modernization of the insurance regulatory system and regulatory capabilities, the most obvious requirement is to grasp the latest trends in international financial reform and comply with the changing trends of today's international insurance regulation. It is necessary to grasp the trend of unification of international insurance supervision, pay more attention to the protection of consumer rights and interests, pay attention to the combination of macro-prudential and micro-prudential supervision, and pay attention to corporate governance, insurance groups, reimbursement Capacity and Capital Constraint Regulation. It is necessary to grasp the trend of international insurance supervision emphasizing independence, combine the impact of the international financial crisis, my country's actual situation and self-interest demands, bring together the strengths of all parties, actively promote my country's insurance supervision reform, and strive for a greater say in the international insurance market and insurance supervision reform. .

(3) Main frame. To promote the modernization of the insurance regulatory system and regulatory capabilities, we must base ourselves on my country's economic, social and insurance development realities, summarize insurance regulatory practices, learn from advanced international experience, and strive to build a "3-4-3" insurance regulatory main frame with Chinese characteristics, that is, three regulatory objectives, four regulatory principles, and three regulatory pillars.

1． regulatory objectives. The first is to protect consumer rights and interests. Insurance products and services are relatively complex, and information asymmetry is widespread in the insurance market. Insurance supervision should be used to strengthen the constraints on the behavior of insurance providers to prevent malicious infringement of the rights and interests of insurance consumers. The protection of consumer rights is an important guarantee for rational consumption behavior. Through insurance supervision, it is necessary to strengthen the protection of consumers' rights to safety, knowledge, choice, compensation, fair transactions, supervision, etc., promote reasonable consumption, optimize the allocation of insurance resources, and improve insurance Market operation efficiency. The breadth and depth of my country's insurance industry services are still very limited. Insurance supervision must be used to promote the insurance industry to provide consumers with diversified and multi-level insurance products and services.

The second is to prevent market risks. The sustained, healthy and stable operation of the insurance market is closely related to consumer rights and interests, and directly related to national financial security and social stability. It is necessary to strengthen comprehensive risk management, establish and improve an all-round risk management system covering various risks such as underwriting, credit, market, operation, liquidity, reputation, etc., and establish and improve all aspects including risk identification, assessment, measurement, monitoring, control, and disposal. full-process risk prevention mechanism. It is necessary to strengthen the self-discipline and risk management and control of insurance market entities, strengthen external constraints and risk prevention of insurance supervision, and establish a solid bottom line for preventing and resolving systemic regional risks.

The third is to promote market prosperity.

Only a prosperous and developing insurance industry can provide consumers and the economy and society with more comprehensive and rich risk protection. It is necessary to improve market rules, maintain market order, create a fair and just market environment, and allow all types of market entities to compete in an orderly manner. It is necessary to improve the market system, optimize the market structure, promote market entities to improve their operation and management levels, and enhance comprehensive competitiveness. It is necessary to strive for the support of policies and regulations to promote the insurance industry to play a functional role and play a pillar role in the construction of the five major systems of modern finance, social security, disaster relief, social management and agricultural security.

2． Regulatory Principles. First, maintaining fairness and promoting efficiency are unified. Correctly handle the relationship between the market and the government, insist on making the market play a decisive role in the allocation of insurance resources, and promote insurance resources to maximize benefits and optimize efficiency in accordance with market rules, market prices, and market competition. Persist in giving better play to the regulatory role while taking into account efficiency and fairness, create a competitive environment, standardize market behavior, and maintain the stable operation of the insurance market.

The second is the unification of functional supervision and institutional supervision. Establish an effective insurance regulatory governance mechanism to coordinate functional supervision and institutional supervision. Comply with the trend of insurance innovation, strengthen functional supervision and full-process supervision, strengthen cross-product, cross-institution, and cross-market supervision coordination, promote the unity and continuity of supervision, and avoid supervision "vacuum" and supervision overlap. Focus on overall risk prevention, improve institutional supervision, and strengthen supervision of insurance groups and legal entities.

The third is the unification of macro-prudential and micro-prudential. While focusing on preventing the risks of a single insurance institution, we also analyze the overall impact of the macroeconomic and financial markets on the insurance industry. Pay attention to the risk status of systemically important insurance institutions, pay attention to the cross-border and cross-industry transmission of financial risks, pay attention to countercyclical supervision, and prevent the procyclical amplification effect on systemic regional risks.

Fourth is the unification of principled supervision and rule-based supervision. Improve insurance supervision regulations, formulate specific rules with clear standards and standardized procedures, and improve the consistency and operability of supervision. Pay attention to the application of principled supervision, improve the guidance, flexibility and adaptability of supervision, and create space to encourage innovation and enhance market vitality.

3． Regulatory pillar. The first is corporate governance supervision. Good corporate governance is the core content of the modern insurance enterprise system, an endogenous mechanism to strengthen the self-discipline of market entities, and the micro-foundation for strengthening insurance supervision. It is necessary to strengthen the concept of corporate governance supervision, improve systems and mechanisms, deepen equity supervision, and highlight the core position of the board of directors in corporate governance. It is necessary to strengthen the constraints of the company's articles of association, improve the professional level of directors, supervisors and management, improve the checks and balances mechanism, and strengthen the rigid constraints of corporate governance. It is necessary to promote the transformation of corporate governance from "formal norms" to "governance effectiveness", prevent risks such as governance deadlock, weak management and control, asset security, and executive malfeasance, and protect consumer rights and interests from the source of the insurance market.

The second is solvency supervision. Solvency supervision is an important part of insurance supervision, the main means of risk supervision and the final line of defense to protect consumer rights and interests. It is necessary to learn from and absorb the latest results of international solvency supervision, combine it with the actual situation of my country's insurance market, and accelerate the construction of my country's second-generation solvency supervision system in accordance with the principles of risk orientation, Chinese characteristics, and international comparability. It is necessary to strengthen the three requirements of quantitative capital, qualitative supervision, and market constraints, and improve the overall structure and specific rules of the second-generation solvency supervision system. It is necessary to strictly implement the solvency supervision system and strengthen the rigid constraints of solvency supervision.

The third is market behavior supervision. Market conduct supervision is an important guarantee to ensure the healthy and orderly operation of the market, and is a direct way to protect the rights and interests of consumers. It is necessary to clarify the boundaries and content of market behavior supervision and give full play to the role of market mechanisms and government supervision. It is necessary to strengthen the overall planning and systematic management of market conduct supervision, establish linkage and triggering mechanisms for market conduct supervision, corporate governance supervision, solvency supervision and other systems, and form an effectively connected and mutually coordinated market risk prevention system.

3. Focus on promoting the modernization of the insurance regulatory system and regulatory capabilities

Now our country’s insurance regulatory reform is facing both a rare historical opportunity and a major historical test. The task of modernizing the regulatory system and regulatory capabilities is very heavy, and breakthroughs must be made continuously in some key areas and links.

(1) Strengthen the governance and internal control supervision of insurance companies. Effective corporate governance and internal control are important cornerstones for maintaining financial stability and are also the first line of defense in preventing and defusing insurance risks. It is necessary to comprehensively improve the level of corporate governance supervision, strengthen the endogenous mechanism of self-motivation and restraint of market entities, and consolidate the basic institutional guarantee for the sustainable and healthy development of the insurance industry. The first is to strengthen the core position of the board of directors in corporate governance. Implement the comprehensive and primary responsibilities and performance requirements of the board of directors, strengthen the qualification review of directors, improve the director training mechanism, establish and improve the performance evaluation and accountability mechanism of the board of directors and members, enhance the directors’ ability to perform their duties, and improve the professionalism, efficiency, and efficiency of the board of directors. Diligence level. The second is to strengthen the fundamental role of internal control in corporate governance. Formulate internal control evaluation methods for insurance companies, guide insurance companies to strengthen the construction of internal control systems, improve internal control mechanisms, and improve internal control execution capabilities. Strengthen the management and control responsibilities of insurance companies over branches. The third is to strengthen the prominent position of group supervision in corporate governance. Improve the firewall system of insurance groups and standardize the internal resource integration and related transactions of insurance groups. Formulate consolidated supervision measures for insurance groups. Establish risk control standards for insurance groups. Strengthen supervision of systemically important insurance institutions.

The fourth is to strengthen the key position of senior executives and key personnel in corporate governance. Improve the qualification management system for senior executives of insurance institutions and the qualification management system for professionals in key positions. Strengthen the management of board secretaries, strengthen the responsibilities of key positions such as chief actuary, compliance person, and audit person, and enhance the execution ability of the operating management. Strengthen the supervision of the sound remuneration and professional behavior of senior management of the company.

(2) Improve market behavior supervision. Market conduct supervision is an important part of the supervision of the entire insurance business process and is a direct means to protect the rights and interests of consumers. We should pay attention to treating both the symptoms and the root causes, formulate scientific rules, clarify the focus of supervision, implement the system well, and improve the effectiveness of market behavior supervision. First, strengthen market monitoring and inspection. Adhere to the combination of off-site supervision and on-site inspection, and continuously enrich the insurance supervision toolbox. Build a risk model and regulatory indicator system covering various risks, and strengthen the identification, assessment, early warning, control and disposal of risks. Improve on-site inspection methods, standardize inspection processes and standards, and improve the pertinence and effectiveness of on-site inspections. The second is to improve the supervision of insurance products. Actively promote the market-oriented reform of premium rates and the standardization and popularization of terms, explore the establishment of a product innovation protection mechanism, and encourage industry product innovation and structural adjustment. Improve regulatory rules, improve insurance product approval and filing standards, and establish a scientific full-process regulatory mechanism for rate formation, clause enforcement, post-assessment, and product correction. The third is to strengthen the supervision of insurance intermediaries. Improve the exit system for qualified insurance intermediaries, and strengthen corporate corporate governance and internal control. Steadily advance the reform of insurance marketing systems and mechanisms. Innovate the regulatory system for concurrent insurance agencies and explore a centralized management model for concurrent agency legal entities. Strengthen the qualification management of insurance intermediary practitioners. The fourth is to establish and improve the Internet insurance supervision system. Formulate Internet insurance supervision measures. Establish technical standards for Internet insurance business practices, data information, and information security, improve laws and regulations such as data acquisition, electronic signatures, and privacy protection, and promote the standardized operation of Internet insurance. Fifth, strengthen anti-insurance fraud work. Build a four-in-one anti-insurance fraud working system that is government-led, law enforcement-linked, company-focused, and industry-collaborative.

(3) Improve the solvency supervision system. Building a second-generation solvency supervision system that is risk-oriented, consistent with my country's reality, and internationally comparable, and improving the risk management capabilities of the insurance industry are important tasks for strengthening and improving insurance supervision. The first is to improve the capital constraint mechanism. Scientifically grasp the actual risk status of my country's insurance companies, and establish capital requirements that are closely linked to risks in accordance with the principle of uniformity but differences. Establish a comprehensive rating mechanism that combines quantitative risks and qualitative risks to scientifically evaluate operational risks, strategic risks, reputation risks, and liquidity risks to comprehensively reflect the company's risk status. Improve the countercyclical capital regulatory system. The second is to strengthen risk supervision throughout the process. Make full use of quantitative supervision, qualitative supervision and market constraints to form full-process supervision of risks before, during and after the event. Establish and improve the liquidity risk supervision system of insurance companies. Improve the solvency stress testing system and improve the solvency forecast analysis and risk warning system. The third is to improve the capital replenishment mechanism. Establish and improve a multi-level and diversified capital replenishment mechanism, support insurance companies in innovating and enriching capital replenishment tools, broaden capital replenishment channels, and utilize domestic and foreign financial markets and various social capitals to enhance the capital strength of the insurance industry.

(4) Improve the insurance regulatory system. Regulations and systems have long-term and fundamental characteristics. To improve the insurance supervision laws and regulations, we must do three things well. The first is to do a good job in the work related to "one law, two regulations". Actively promote the revision of the Insurance Law and the Regulations on Compulsory Motor Vehicle Traffic Accident Liability Insurance, and accelerate the study and formulation of the Catastrophe Insurance Regulations. The second is to speed up the work of “abolition and reform” of the system. In line with the principle of building first before using, we will speed up the establishment and improvement of regulations for key regulatory links such as market access and exit, management of claims difficulties and misleading sales, online insurance, and capital utilization. Explore regulatory methods under the negative list model and formulate plans to further open up the insurance industry. The third is to promote insurance legislation in related fields. Strengthen insurance publicity, communication and coordination, promote relevant legislative work, further clarify the status and role of commercial insurance in the modernization process of the national governance system and governance capabilities, and improve the participation of commercial insurance in modern finance, social security, agricultural security, disaster prevention and reduction, and social management and other institutional arrangements for the construction of the five major systems.

(5) Actively promote the construction of regulatory informatization. Increase investment in informatization construction and accelerate the construction of a data management structure of "two places and three centers". Improve the information construction standard system and build an integrated insurance information supervision application platform. Promote the corporate and professional operation of the insurance information sharing platform, deepen the development and utilization of insurance data, build a national unified and standardized industry operation and risk data collection and research center, and build a "one-stop, intelligent" insurance regulatory information< /p>

Public *** service system. Research and explore service areas such as policy registration, compensation and payment, third-party payment, data hosting, etc., and continuously develop data derivative application areas. Exploring the CIO system in the insurance industry. Strengthen regulatory policy guidance and institutional constraints, and from the strategic perspective of maintaining financial security and stability, enhance the information security awareness of the entire industry, seize key areas such as information equipment purchase, software application, maintenance and daily support, and comprehensively strengthen network and information security management.

(6) Give full play to the role of self-regulatory organizations such as insurance industry associations.

Industry self-discipline is an important force in achieving financial stability. It is necessary to strengthen the construction of insurance industry associations at all levels and give full play to self-discipline, rights protection, coordination, communication, publicity and other functional roles, prevent and resolve insurance risks, and improve service, coordination and professional capabilities. Establish a self-regulatory system covering the entire industry, strengthen self-discipline and public binding force, safeguard the legitimate rights and interests of the industry in accordance with the law, maintain market openness, fairness and justice, and promote the scientific development of the industry.

(7) Making full use of the resources of insurance supervision agencies, strengthening grassroots insurance supervision work, and strengthening supervision itself are intrinsic requirements for improving the scientific effectiveness of supervision. It is necessary to further strengthen supervision organizations, mechanisms and teams and other construction, improve supervision capabilities, and improve supervision quality and efficiency. The "Regulations on the Supervisory Responsibilities of the dispatched agencies" were revised to further clarify the supervisory responsibilities of the dispatched agencies and improve the internal departmental setup of the dispatched agencies. Adhere to the unification of institutional supervision and functional supervision, improve the internal coordination mechanism of the China Insurance Regulatory Commission, and promote overall coordination, communication, consultation and information sharing of supervision. Improve the vertical linkage mechanism between the China Insurance Regulatory Commission’s departments and dispatched offices, and promote unified and standardized supervision and effective collaboration. Gradually expand the pilot projects for territorial supervision of legal person institutions and promote the normalization of territorial supervision in an orderly manner. Establish and improve a regulatory performance evaluation mechanism. Actively explore differentiated supervision tailored to local conditions.

Extended reading: How to buy insurance, which one is better, and step-by-step instructions to avoid these "pitfalls" of insurance