China hits insurance industry with nearly $10m fines
Chinese insurance regulators has issued more almost $10m in fines against intermediaries and insurance firms in the first four months of 2018.
China’s promise of getting tough on financial services companies that do not follow guidelines in 2018 has seen around 60 insurance companies – a mix of intermediaries and companies – hit with more than 63 million yuan (about $9.8m) in penalties in the January-April period, according a report in specialist local news outlet Securities Daily.
Insurance firms and intermediary agencies were fined for irregularities, including misguiding sales pitches and fake materials, according to the report.
As reported, China announced that it was merging its banking and insurance regulators in March and the newly-merged regulatory body was officially unveiled last month.
In the first quarter of the year, all banking and insurance institutions connected to China received 646 penalties for violations, according to data from the China Banking and Insurance Regulatory Commission.
They were handed fines and confiscation orders worth about 1.2bn yuan (about $187m), the commission said.