Legislation roundup: Insurance law, securities investment funds and environmental protection
June 20, 2013 | BY
clpstaff &clp articles &The SPC has issued two Interpretations, one on the application of the Insurance Law and the other on criminal environmental pollution cases. The CSRC and CIRC have published Tentative Provisions on the sale of securities investment funds by insurance institutions
Insurance
Supreme People's Court, Interpretation on Several Issues Concerning the Application of the «PRC Insurance Law» (2)
The Interpretation clarifies that a proposer has a duty to disclose to the insurer only matters related to the policy subject matter or matters related to the insured that he/she knows perfectly. The scope of such disclosure should be limited to the scope and details asked by the insurer. The insurer, in principle, cannot use generalised clauses when conducting an inquiry on the proposer.
See the full translation .
Further reading
China Securities Regulatory Commission and China Insurance Regulatory Commission, Tentative Provisions for the Administration of the Sale of Securities Investment Funds by Insurance Institutions
Insurance companies applying to sell securities investment funds should have minimum registered capital of at least Rmb500 million and at least 30 employees with fund business qualifications while insurance brokerages and agencies should have at least Rmb50 million of minimum registered capital and at least 10 employees with fund business qualifications.
See the digest for more details.
Further reading
Supreme People's Court and Supreme People's Procuratorate, Interpretation on Several Issues Concerning the Application of the Law in Handling Criminal Environmental Pollution Cases
The Interpretation gives examples to explain what is regarded as “causing significant losses to public or private property or serious harm to human health” or “causing serious consequences of significant losses to public or private property or human injuries or deaths”, such as:
(1) causing a 12-hour or more suspension of access to a centralised source of drinking water for a place at the township level or higher;
(2) causing public or private property loss of Rmb300,000 or more;
(3) causing evacuation or diversion of 5,000 or more persons; or
(4) causing 30 or more persons to be poisoned.
Further reading
This premium content is reserved for
China Law & Practice Subscribers.
A Premium Subscription Provides:
- A database of over 3,000 essential documents including key PRC legislation translated into English
- A choice of newsletters to alert you to changes affecting your business including sector specific updates
- Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
Already a subscriber? Log In Now