China’s insurance regulator has called for loopholes in the country’s existing insurance regulatory framework to be closed – joining the growing list of countries around the world that have sought to tighten up the rules governing the way insurance products are created, marketed and sold.
The China Insurance Regulatory Commission made its comments on Sunday, according to the Reuters news agency. The CIRC didn’t immediately respond to requests for a copy of the statement or additional comment.
According to Reuters, the regulator called for the establishment of “a sound regulatory system” for insurance companies operating in China, and for supervision to be “strengthened over the shareholder ownership structure” of such businesses, as well as over the “authenticity of their funds”.
“The insurance regulatory system needs to deeply reflect, and needs to thoroughly take stock and sort things out, locate and correct the shortcomings which exist, earnestly perfect the regulatory system and improve its methods,” the report quoted the regulator as saying.
It noted that the “bar for overseas investments by insurance funds” would also be raised.
To read the Reuters report on its website, click here.