China Insurance Regulatory Commission, Reply on the Issue of Delimiting the Scope of Affiliated Transactions of Foreign-invested Insurance Companies

Main Contents: Article 22 of the PRC Regulations for the Administration of Foreign-invested Insurance Companies is the embodiment of the principle of prudential regulation. Its objective is the avoidance of problems such as the potential transfer of benefits, etc. that may occur in the course of the affiliated transactions of foreign-invested insurance companies, and thereby ensure the sound operation of such companies. The term “other transactions” in the first paragraph of the said Article includes but is not limited to other transactions relating to the sale and purchase of assets.