Strongly Reform Administrative Procedures In Insurance Business

On the morning of September 13, the National Assembly Standing Committee (UBTVQH) gought about the Insurance Business Law Project (amended). One of the objectives of the Law Project is a strong reform of administrative procedures in insurance business activities in combination with the comprehensive reform of management and testing. Ministry of Finance Minister Ho Duc Phuong submitted presented at the meeting.Hoan Thien Provincing the law on insurance business Presentation of the summary report on the Law project, Minister of Finance Ho Duc Pha said that the goal of building a law project is to improve the French regulations Law on insurance business; Handling contradictions, overlapping and shortcomings of insurance business laws with legal documents issued by the National Assembly, ensuring the unity and synchronization of the legal system. Strong administrative procedures in insurance business activities combined with comprehensive reform management, specialized inspection and inspection, ensuring the effective implementation of state management and coordination between state management agencies in detecting and handling promptly and strictly violating the law on insurance business; protecting the legitimate rights and interests of investors, customers, safety of the whole system, reducing the social costs of the insurance business (amendments) include 8 chapters, 156 things, instruments CONSTRUCTION 7 Policy Groups Proposing to build a Law project approved by the Government in Resolution No

. 121 / NQ-CP dated December 31, 2019, specifically as follows: Contents are amended and supplemented and New regulations include: Subjects of application expansion compared to the old law are mutual organizations providing micro-insurance; amending and supplementing interpretation of words to match the relevant practices and laws; Principles for providing and using amended insurance services to comply with current laws, international practices and international commitments to Vietnam participating (EVFTA, CPTPP); Types of insurance divided into 3 basic types according to international practices are life insurance, non-life insurance and health insurance; Compulsory insurance, limit to reflect the nature of this type of insurance. Room limited loss, prevention of fraud and dispute resolution. Regarding the prevention of loss loss, prevention of fraud and dispute resolution, supplementing regulations to enhance the responsibilities of enterprises (enterprises) insurance, insured in these tasks and orientation resolving disputes
For activities of insurance enterprises, reinsurance enterprises, draft laws expanding foreign investors, allowing financial corporations to have insurance business activities; Simplicity conditions for insurance companies licensed in Vietnam want to establish new insurance enterprises; supplementing business registration; Allow insurance enterprises to provide products in other insurance sector. Advanced executive administration of insurance enterprises, also supplement new regulations to improve executive management of enterprises as new regulations on the group functions, internal control, internal audit, risk management according to international practices, in accordance with insurance business activities; Allow insurance enterprises to actively in the design and construction of insurance and outsourcing products to meet the conditions; supplementing the provisions of conditions in cases of outsourcing. Application of information technology and draft additional content and principles to encourage information technology insurance enterprises; Requirements on information technology applications in insurance business activities, subjects and forms of insurance services on the network environment. Thao for a new regulated micro insurance chapter includes internal Using the characteristics of micro insurance and organizations are provided with micro-insurance products (insurance enterprises, mutual organizations provide micro-insurance). At the same time, amending and supplementing regulations on conditions and principles of insurance agents and principles of insurance brokerage enterprises, rights and obligations of insurance agents, insurance agents; Articles of insurance agents are not done, insurance agent certificates. In addition to financial management insurance enterprises, reinsurance enterprises, draft amendments and supplements in the direction of conversion to capital management NS. Accordingly, the draft law requires enterprises to determine the rate of capital adequacy, capital management corresponding to the scale and the level of the risk of enterprises. Regulations on professional reserve, investment activities, asset management, revenue - expenses are amended corresponding to the capital management model on the basis of risks such as the use of internal calculations The provision and provision must be accompanied by respective property and regularly assessed; abolishing the regulations on the portfolio instead of the regulations on assets shall not invest and supplement the regulations of investment abroad. Regarding the state management and draft amendments in the direction of the prescribed contents State management and state management agencies; supplementing the tasks and powers of the Ministry of Finance in the management, supervision, inspection and handling of pH violations

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