2015: Inspection of 22 insurance companies

In order to rectify insurance business activities, in 2015, the Department of Insurance Management and Supervision (Ministry of Finance) will conduct inspections of 22 insurance companies.

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Inspection and examination work in 2014 showed that many insurance companies violated regulations on using agents that do not meet the conditions of the Law on Insurance Business; did not comply with regulations on compensation payments (compensation against rules, terms, compensation outside the scope); violated regulations on compulsory civil liability insurance of motor vehicle owners (violation of fee schedules, liability levels, insurance periods...).

In particular, there are some enterprises that do not fully set aside compensation reserves, do not comply with regulations on capital contribution for business; do not fully and accurately account for revenue...

In 2015, the Insurance Management and Supervision Department plans to conduct thematic inspections of 3 enterprises; comprehensive inspections of 4 enterprises; and inspections of 15 enterprises and 10 representative offices of foreign insurance companies and insurance brokerage enterprises in Vietnam.

The inspection and examination content focuses on key areas affecting the operations of insurance companies such as: ensuring solvency, maintaining contributed capital, investment activities, reinsurance activities, compensation payments, etc.

Also according to the Insurance Management and Supervision Department, in 2015, the policy mechanism on insurance business will continue to be researched and improved such as: simplifying administrative procedures; strengthening risk management of insurance enterprises, thereby creating a legal basis for stable business operations of insurance enterprises, minimizing unfair competition..., encouraging insurance enterprises to develop new products, regulations to standardize a number of insurance products serving social security and safety.

According to Vietnam+