From May 1 day, short-term health insurance products that do not meet the new regulations will be discontinued, and the health insurance business with an average annual growth rate of more than 30% will be subject to strict supervision. The insiders believe that this move can prevent financial risks, promote the high-quality development of life insurance, standardize the short-term health insurance business management behavior of insurance companies, and effectively protect the legitimate rights and interests of insurance consumers.
In recent years, the short-term health insurance business of the insurance industry has developed rapidly, but there are also many outstanding problems, especially the disorderly competition of some companies, which is not conducive to the formation of a correct concept of health insurance consumption in the whole society. At the beginning of this year, China Banking Regulatory Commission issued the Notice on Regulating Short-term Health Insurance Business (hereinafter referred to as the Notice).
The Notice is problem-oriented. By clarifying the regulatory requirements and filling the shortcomings of the regulatory system, it clearly conveyed the signal of standardized operation of short-term health insurance business to the industry.
The first is to standardize product updates. It is clear that short-term health insurance cannot guarantee renewal, and it is strictly forbidden to sell short-term health insurance as long-term health insurance.
The second is to increase information disclosure. Insurance companies are required to disclose the overall payout ratio of short-term health insurance business every six months and accept social supervision.
The third is to standardize sales behavior. It is strictly forbidden to bind and force tying, and restrict consumers' right to buy products and services. It is strictly forbidden to stop selling at will. When an insurance company stops selling short-term health insurance products, it shall disclose the specific reasons, time and follow-up service measures.
The fourth is to standardize underwriting claims. Insurance companies are required to standardize the setting of health notification information, and shall not unreasonably refuse to pay compensation.
In the next step, the CBRC will continue to improve the regulatory rules system, compact the main responsibility of insurance companies' management, urge insurance institutions to standardize their business practices, improve their management level, effectively protect the legitimate rights and interests of insurance consumers, and better meet the health protection needs of the people.