I. Functions and Objectives of Supervision Insurance supervision usually refers to the compulsory supervision and management of insurance institutions and their activities by the national insurance regulatory authorities in accordance with national laws and regulations. As far as the regulatory system is concerned, the state's supervision of insurance institutions is the highest level of rigid supervision. With the approval of the State Council, China Insurance Regulatory Commission was established in Beijing on June 5438+0998165438+10/8. According to the regulations of the State Council, China Insurance Regulatory Commission is the competent department of commercial insurance in China, and it is a public institution directly under the State Council. Perform the administrative supervision functions authorized by the State Council, and conduct centralized supervision of the insurance market according to law. The basic functions of the CIRC are: first, to standardize the operation of the insurance market; The second is to standardize the healthy development of the insurance industry. It is divided into four aspects: 1 formulating commercial insurance policies and regulations and industry development planning; Supervise and guide the business activities of insurance enterprises according to law, maintain the order of the insurance market, investigate and deal with illegal acts of insurance enterprises according to law, and protect the interests of the insured; Cultivate and develop the insurance market, promote the reform of the insurance industry, improve the insurance market system, and promote fair competition among insurance enterprises; Establish an early warning system for insurance risk assessment, prevent and resolve insurance risks, and promote the stable operation and healthy development of insurance enterprises. According to the above functions, the main objectives of insurance supervision in China Mainland are: to speed up the cultivation and development of the insurance market, and strive to build an open insurance market system with diversified market subjects and perfect market elements. Its purpose is to maintain market order, ensure fair competition, supervise the standardized operation of insurance enterprises, have sufficient solvency, protect the legitimate interests of the insured, and ultimately promote the healthy development of the insurance industry and make greater contributions to the reform and development of the country. Second, the mode of supervision At present, because the insurance industry in mainland China is still in the primary stage of development, the market development is not mature enough, the insurance legal system is not perfect, and the self-restraint ability of enterprises is not strong. Therefore, the insurance supervision in China Mainland must pay equal attention to both market behavior supervision and solvency supervision, that is, not only the solvency of insurance companies, but also the market behavior, products and rates of insurance companies. It can be said that the insurance supervision in China Mainland has adopted a stricter entity supervision mode. Like most countries, insurance supervision in China Mainland is mainly conducted in two ways. The first is the legislative approach. The National People's Congress Standing Committee (NPCSC), the legislature of China, promulgated and implemented the first insurance law of China on May 5438+0995+ 10. This law is a combination of insurance law and insurance supervision law, which is the basic law for regulating the insurance industry and the main legal basis for insurance supervision in China Mainland. The second is administrative channels. Administrative supervision is the core link of insurance supervision. According to the authorization of the State Council, the national insurance supervision department conducts daily supervision of the insurance industry according to law, and has formulated the Interim Provisions on Insurance Management and other administrative regulations according to the Insurance Law to regulate and guide the healthy development of the insurance industry. Three. The main task of current supervision is aimed at the problems existing in the current insurance market. Considering that insurance branches do not have independent legal personality and can only engage in business activities within the scope authorized by the head office, the CIRC will focus on the head office of insurance companies and establish the guiding ideology of insurance supervision, which is "focusing on preventing and resolving risks, taking rectifying market order as a breakthrough, improving internal control, strengthening supervision, deepening reform and promoting development". The main task at present is: (1) to prevent and resolve business risks. First, vigorously rectify the order of the insurance market. Mainly by rectifying illegal insurance institutions and insurance business activities, resolutely stopping vicious competition and cleaning up the insurance intermediary market. We will try our best to make an obvious improvement in the insurance market order this year. The second is to guide insurance companies to establish efficiency-centered management guiding ideology and urge insurance companies to take the road of intensive management. The third is to strengthen supervision and guidance on the construction of internal control system of insurance companies, further improve various rules and regulations, operate strictly according to law, and plug management loopholes. (2) Improve the insurance policy and legal system. First, we must promptly formulate administrative regulations and rules that are compatible with the insurance law and improve the insurance laws and regulations system. The second is to comprehensively clean up, modify, improve and supplement the existing insurance laws and regulations. The third is to establish and improve the insurance supervision guidance system and risk early warning system, and improve the format and management methods of supervision statements. Fourthly, formulate the medium-term development plan of China insurance industry, make clear the future development direction of insurance industry, and formulate corresponding insurance policies. (3) Actively promote the reform of the insurance system. First, strengthen the self-construction of the CIRC, improve the internal operation mechanism, enforce the law impartially, be honest and clean, and ensure the fair and equitable performance of the insurance supervision function. At the same time, we will promptly set up an agency of the China Insurance Regulatory Commission, improve the grass-roots insurance supervision system, and strengthen supervision. The second is to further implement the principle of separate operation, set up policy insurance institutions in a timely manner, continue to deepen the structural reform of state-owned insurance companies, and enhance the vitality and competitiveness of enterprises. The third is to promote the development of insurance self-regulatory organizations and give full play to their self-regulatory role. At present, there are more than 20 trade associations in all provinces in China, and insurance association of china is also actively preparing. (4) Further opening up the insurance market. Since1September 1992, the national insurance market was opened to the outside world. By the end of 1998, there were nine insurance companies in eight countries, including the United States, Canada, Japan, Switzerland, Germany, Britain, France and Australia, which set up 12 business offices in Shanghai and Guangzhou. Recently, the China Insurance Regulatory Commission approved four foreign-funded insurance companies to enter the insurance market in China. Practice has proved that the opening-up pilot of China's insurance market is successful and the effect is good, which has played a positive role in promoting the development of China's insurance industry. Reform and opening up is the consistent policy of the China government, and we will, as always, adhere to the policy of opening up the insurance market in China. The opening of financial industry is the core of China's economic opening to the outside world, and the opening of insurance industry is an important part of the opening of financial industry. Further opening up the insurance market is the overall need of China's reform and opening up, which is conducive to improving the overall macroeconomic environment and providing better insurance services for national economic construction; Further opening up the insurance market is the need for China's insurance industry to meet the international standards, which is conducive to improving the management level of China's insurance enterprises and enhancing market competitiveness; Further opening up the insurance market is also the need to accelerate the development of China's insurance industry, which is conducive to cultivating market players and further developing China's insurance market. With the increasingly mature insurance market in China and the gradual establishment and improvement of insurance laws and regulations, more foreign insurance companies will enter China and open more pilot cities. We believe that in the near future, the level of legalization, modernization and internationalization of China's insurance supervision will continue to improve. With the joint efforts of the regulatory authorities and insurance companies, the insurance market order in China will be fundamentally improved; The solvency of insurance companies will be significantly enhanced; The pace of opening up the insurance market will accelerate. An insurance supervision system that is compatible with the socialist market economy and in line with international standards will surely play an important role in the development of China insurance industry.
Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.