In China, the drafting of insurance contracts is strictly regulated by the National Financial Regulatory Administration (NFRA) based on a comprehensive legal and supervisory framework，which to ensure fairness and legality.

Yes, different types of insurers such as life, property, and reinsurance companies are subject to different regulatory requirements, the terms of the regulatory requirements will specify the types of insurers that are regulated.

Yes, insurance brokers and other market intermediaries are also regulated by the NFRA and must adhere to specific codes of conduct and disclosure requirements.

Authorization or licensing from the NFRA is required to conduct insurance business in China. The time to obtain such permission varies, with key criteria including but not limited to capital adequacy, business plans, and compliance records.

There are restrictions on the ownership and control of insurers in China, including limitations on foreign ownership.

It is not permitted to insure or reinsure risks in China without proper authorization or licensing, violations may be subject to administrative penalties.

Branches of overseas insurers in China are subject to a regulatory framework similar to that for locally incorporated entities.

Branches established by overseas insurers in China may face specific restrictions and requirements, mainly in accordance with the Regulations on the Administration of Foreign-funded Insurance Companies, the Company Law and other laws and regulations, and is approved by the National Financial Regulatory Administration.

Operating without appropriate permission in China can result in administrative penalties such as fines, cessation of business, and/or other legal consequences.

The insurance regulatory environment in China is extremely strict, with a focus on consumer protection, market conduct, and financial soundness.

The NFRA supervises the solvency of insurers through regular financial reporting and on-site inspections.

Insurers are required to meet minimum capital requirements of RMB 200 million, which aims to ensure that insurers have sufficient financial resources to deal with solvency risks.

China does have a policyholder protection scheme in place to safeguard consumer interests, relevant legislation and judicial practice tend to protect the interests of insurance consumers.

Insurance groups are subject to group-wide supervision by the NFRA to ensure financial soundness and compliance across the group.

Senior managers must meet fit and proper requirements and obtain approval from the regulator. The relevant requirements are reflected in the Insurance Law, the Regulations on the Administration of the Qualifications of Directors, Supervisors and Senior Managers of Insurance Companies and other laws and regulations.

Senior managers may be held personally liable for specific regulatory breaches, types of penalties may involve warnings, fines, revocation of qualifications, etc.

Conducting insurance activities in China requires meeting certain presence requirements, including but not limited to approval, office locations and personnel.

Insurers must comply with specific regulations when outsourcing services to ensure risk management and operational resilience. For example, the Measures for the Supervision of Information Technology Outsourcing Risks of Banking and Insurance Institutions make special provisions for the information technology outsourcing activities of insurance institutions, with the main purpose of strengthening risk management and control.

Insurers are subject to specific asset type and capital requirements when making investments.

Insurers are required to manage reinsurance risks and adhere to specific restrictions on the use of reinsurance.

Insurance sales are strictly supervised by the NFRA to ensure compliance. In order to ensure legal compliance, NFRA has formulated a series of strict regulatory regulations.

Cross-border insurance sales marketing in China is subject to specific rules and restrictions.

Insurers must comply with specific consumer protection regulations, including price restrictions. Relevant legislation reflects the preference protection for insurance consumers. For example, according to the Administrative Measures for the Protection of Consumer Rights and Interests of Banking and Insurance Institutions, eight rights of consumers should be protected, including the right to know, the right to make their own choice, and the right to fair trade, etc.

There is a legal or regulatory resolution regime applicable to insurers in China, based on the Insurance Law, including judicial interpretations, regulatory provisions and other laws and regulations.

Chinese courts have relevant capability in handling complex commercial claims.

Alternative dispute resolution is somewhat established in China, such as industry mediation, judicial mediation, & arbitration, etc.

There is a statutory transfer mechanism available for the sale or transfer of books of insurance or reinsurance.

New market entrants face challenges such as stringent regulatory requirements and market competition. Regulators are supportive of new market entrants.

In China, digital innovation is challenging the traditional insurance market and driving industry transformation.

Regulators are supportive of the digitization of insurance sales and claims handling but have set additional requirements.

Personal information and data protection is becoming more stringent. Insurers must strictly comply with specific rules and regulatory requirements when using customer data.

There are additional restrictions and requirements on cross-border sharing of customer data.

Insurers are subject to certain environmental, social, and governance (ESG) regulation or oversight. For example, driven by the concept of ESG, the insurance industry continues to innovate green insurance products to provide risk protection for sustainable development.

Insurers must comply with legal or regulatory frameworks on diversity and inclusion.

In China, digital insurance and health insurance are expected to take a market lead in the next five years.