Legislation roundup: Online lending, illness insurance and financing security
August 21, 2015 | BY
clpstaff &clp articles &The PBOC has required online lending organizations to get approval and the State Council has raised the payment percentage for critical illness insurance and promoted a national financing security fund
Banking
People's Bank of China, Regulations for Non-Deposit Taking Lending Organizations (Draft for Comments)
中国人民银行非存款类放贷组织条例（征求意见稿）
A non-deposit taking lending organization wishing to engage in lending business through an internet platform shall require the approval of the regulator and secure a lending business permit. The paid-in capital of a limited liability company may not be less than Rmb5 million.
Further reading
In the news: PBOC cracks down on internet finance, IPO freeze opens up PE and Audi gives its China dealers aid
Guiding Opinions on Promoting the Healthy Development of Internet Finance
Regulating asset management
Courts get tough on ISPs
Cracking down on e-commerce
Insurance
General Office of the State Council, Opinions on Comprehensively Implementing Critical Illness Insurance for Urban and Rural Residents
国务院办公厅关于全面实施城乡居民大病保险的意见
The Opinions progressively increase the payment percentage. The payment percentage for critical illness insurance should reach at least 50% in 2015. The Opinions also support the underwriting of critical illness insurance by commercial insurance institutions.
Further reading
PRC Insurance Law (Revised in 2015)
Provisions for the Administration of Insurance Companies
Financing
State Council, Opinions on Promoting the Accelerated Development of the Financing Security Industry
国务院关于促进融资担保行业加快发展的意见
The Opinions support research on the establishment of a national financing security fund to support the development of provincial-level re-guarantee institutions through means such as equity investment and technical support.
Further reading
Measures for the 2014 Pilot Project for the Autonomous Issuance and Repayment of Local Government
PRC Security Law
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