Yes. The China Insurance Regulatory Commission (now China Banking and Regulatory Commission ("CBIRC")) issued the Interim Measures for the Supervision of Internet Insurance Business ("Internet Insurance Measures") to regulate the sale of insurance through online platforms. The initial validity period of the Internet Insurance Measures was 3 years from 1 October 2015 to 30 September 2018. CBIRC announced in October 2018 that the Internet Insurance Measures will continue to be effective until CBIRC issue the new rules.
Yes. The Internet Insurance Measures apply to all kinds of online platforms including mobile application.
Key regulatory requirements are: (i) only insurance companies and full-time insurance intermediaries duly licensed by CBIRC to conduct insurance business are permitted to distribute insurance through online platforms; (b) operation of online platforms for distribution of insurance products must be licensed by CBIRC; (c) online platforms that are operated and provided to insurance companies and full-time insurance intermediaries for sale of insurance products must be operated within China and have obtained requisite operating license or authorization from Chinese telecommunications regulator; and (d) sufficient security measures must be adopted and implemented for the operation of the online platforms.
No specific rules, but the Internet Insurance Measures requires online platform operators must provide accurate and complete information of the insurance applicant and the insured to the relevant insurance companies within 24 hours following receipt of online application for purchase of insurance, and insurance companies shall establish and implement customer identity identification systems (i.e., for KYC purpose).
Yes. "Click-through" without wet signature is commonly used. Use of e-signature is still uncommon.
No. The advertising of insurance products through online platforms or the use of aggregators must be compliant with the PRC Advertising Law, the Interim Measures for the Administration of Internet Advertising, and the Internet Insurance Measures. Insurance companies are responsible for the truthfulness, accuracy and compliance of the contents of the advertisements of their insurance products.
Insurance companies are generally required to provide online service systems that can provide customer services for their insurance products sold online.
There is no such obligation imposed yet.
No. Insurers do not need to obtain specific insurance licenses in order to conduct online sales. However, except for certain insurance products, insurers may not distribute their insurance products in regions that are not covered in its insurance license through online sales. In addition, insurers that will distribute their products exclusively through online platforms will need to obtain specific license from CBIRC.
No. Insurance intermediaries may rely on their existing insurance intermediary licenses to conduct online sales, provided that they comply with the geographic scope of product distribution specified in their insurance intermediary licenses in the course of online sales.
No. There is no difference on the commission rates paid between online sales and other means.
No. Insurance companies that are not approved to only conduct online insurance business are generally permitted to engage intermediaries to sell their insurance products through online platforms, provided that the geographic scope of product distribution for the insurance companies and the insurance intermediaries as approved by CBIRC are complied with.