China Insurance Regulatory Commission, Tentative Measures for Administration of the Transfer of Insurance Business by Insurance Companies

Promulgated: August 26 2011
Effective: October 13 2011
Interpreting authority: China Insurance Regulatory Commission (CIRC)

Applicability: The Measures shall not apply to reinsurance as specified in Article 28 of the PRC Insurance Law or the transfer of insurance business as specified in Article 92 or Article 139 of the PRC Insurance Law (Article 17). If the CIRC provides otherwise in respect of the transfer of insurance business by insurance companies, such provisions shall prevail (Article 18).

Main contents: The transfer of all or a part of its insurance business by an insurance company shall be subject to the approval of the CIRC (Article 3). Upon obtaining approval from the CIRC, the insurance company making the transfer shall inform the relevant proposers and insured in writing of relevant matters such as the basic particulars of the insurance company making the acquisition, the general outline of the transfer plan and the assumption of liability, and secure their consent therefor. If the insured under a personal insurance contract has died, the insurance company making the transfer shall inform the beneficiaries in writing and secure the consent therefor (Article 13).