Yuan Yuan, a reporter for every classics.
In order to further deepen the cooperation between banks and insurance, promote the standardized and healthy development of the agency insurance business of commercial banks, better meet the diversified needs of consumers, and protect the legitimate rights and interests of consumers, the State Administration of Financial Supervision recently issued the Circular on matters related to the Agency Insurance Business of Commercial Banks (hereinafter referred to as the notice). Abolish the quantity limit of cooperation between bank outlets and insurance companies, clarify the commission standard of bank agency business, and so on.
Long GE, deputy director of the Innovation and risk Management Research Center of the University of International Business and Economics, said that the release of the new bancassurance policy in 2024 will have a far-reaching impact on the banking and insurance cooperation market. Measures such as abolishing quantity restrictions and defining the levels of cooperation and commission standards will further promote the standardized development of bank-insurance cooperation, improve market competitiveness, and promote the innovation and development of the whole insurance industry.
Enrich the supply of insurance products and services
The Circular mentions that insurance companies and commercial banks should jointly promote the sustained and healthy development of commercial banks' insurance agency business in accordance with the principles of mutual benefit, common development and protection of consumers' interests.
Commercial banks act as agents for Internet insurance business, telemarketing insurance business and other insurance business. Branches and outlets at all levels do not limit the number of cooperative insurance companies. Insurance companies shall ensure that they have the ability to provide offline services in the cooperation area.
When an insurance company cooperates with a commercial bank in insurance agency business, in principle, a written principal-agent agreement shall be signed by the legal entities of both parties, and if it is really necessary for the first-level branch to sign a principal-agent agreement, the first-level branch shall obtain the written authorization of its legal entity in advance and shall, after signing the agreement, put on record with its legal entity in time. At the same time, the commission rate stipulated in the principal-agent agreement shall not exceed the commission level for the filing of the products of the legal entity of the insurance company.
In addition, from the date of promulgation of the Circular, paragraph 2 of Article 39 of the Circular of the General Office of the China Banking and Insurance Regulatory Commission on Printing and issuing measures for the Administration of Insurance Agent Business of Commercial Banks (issued by the Office of the Superintendent of Banking and Insurance (2019) No. 179) shall be annulled.
One of the most concerned is to remove the limit on the number of cooperation between bank outlets and insurance companies. According to the measures for the Administration of Insurance Business of Commercial Banks, each network of commercial banks can only carry out insurance agency business cooperation with no more than three insurance companies in the same fiscal year. The release of the notice means that the number of cooperation between commercial bank outlets and insurance companies will no longer be limited, and bank outlets can cooperate with multiple insurance companies.
In recent years, with the economic and social development and changes in the external environment, all parties have called for further deepening banking and insurance cooperation, enriching the supply of insurance products and services, and meeting the diversified insurance needs of consumers. In this context, the State Administration of Financial Supervision launched the drafting of the notice, extensively solicited the opinions of the industry, and revised the original relevant regulations.
It is expected to bring new business growth points
"in general, it is positive, especially the cooperation of banks through the Internet, e-sales and other non-offline outlets, which may bring new business growth points to the banking and insurance industry." Long GE, deputy director of the Innovation and risk Management Research Center of the University of International Business and Economics, said that the release of the new bancassurance policy in 2024 will have a far-reaching impact on the banking and insurance cooperation market. Measures such as abolishing quantity restrictions and defining the levels of cooperation and commission standards will further promote the standardized development of bank-insurance cooperation, improve market competitiveness, and promote the innovation and development of the whole insurance industry. At the same time, it also helps to enhance the level of consumer protection and enhance the stability and sustainability of the market.
Specifically, long said that lifting the quantitative restrictions would encourage commercial banks to cooperate with more insurance companies to promote the diversification of insurance products and services. This will help to meet the growing insurance needs of consumers and improve consumer satisfaction.
A clear definition of the level of cooperation and commission standards will help to regulate the market order of bank-insurance cooperation and prevent unfair competition and harming the rights and interests of consumers. At the same time, it also helps to improve the sense of responsibility and risk of both sides, and promote the healthy development of the market.
Long also mentioned that with the in-depth development of banking and insurance cooperation, insurance companies will face greater market opportunities and challenges. In order to establish a long-term and stable cooperative relationship with commercial banks, insurance companies need to constantly innovate products and services to improve market competitiveness. This will help to promote the innovation and development of the whole insurance industry.
In addition, standardizing the cooperative behavior of bank and insurance will help to strengthen the protection of consumers' rights and interests. The implementation of the notice will help reduce the damage to consumers' rights and interests caused by information asymmetry, misleading sales and other reasons, and improve consumers' trust and satisfaction. "
The State Administration of Financial Supervision also said that the implementation of the notice will help give better play to the advantages of commercial banks and insurance companies, promote long-term and in-depth cooperation between the two sides, and explore new paths for transformation and development.UpcomingwaxnftgamesIt helps to broaden the scope of cooperation between commercial banks and insurance companies, enhance the value of bank agency insurance business and consumer satisfaction, enrich bank insurance products and services, and better meet the diversified and multi-level protection needs of consumers. effectively safeguard the rights and interests of consumers.
