Property insurance business which includes insurance against loss or damage to property, liability insurance and credit insurance or

Insurance of persons business which includes life insurance, health insurance and accident and injury insurance.

If the sum insured is less than the insured value, the insurer shall obtain partial rights pertaining to the subject matter of the insurance which is lost or damaged on the pro rata basis of the sum insured to the insured value.

A double insurance refers to insurance under which an applicant enters into insurance contracts with two or more insurers on the same subject matter of the insurance, the same insurable interests and the same insured event.

In the event that the applicant has misstated the age of the insured, thus underpaying the premiums, then the insurer shall have the right to correct the misstatement and request the applicant to pay the balance, or to reduce the payment of the insurance benefits in proportion to the amount of premiums actually paid to the amount that should have been paid.

An insurance contract is null and void if the applicant has no insurable interest in the subject matter of the insurance.

An applicant refers to the party who enters into an insurance contract with an insurer and is obligated to pay the premiums under the insurance contract.

In the event that the applicant has misstated the age of the insured, thus overpaying the premiums, then the insurer shall return the overpaid portion to the applicant.

Article 27 The insurer may terminate the insurance contract and refuse to return the premiums paid if the insured or the beneficiary falsely claims that an insured event has occurred, and submits a claim for indemnity or payment of the insurance benefits, although such insured event has not occurred.

An insurer refers to the insurance company which enters into an insurance contract with an applicant and is obligated to make indemnity or payments of the insurance benefits.

Unless otherwise specified in the contract, in the event that the sum insured is less than the insured value, the insurer shall undertake the obligation for indemnity pro rata of the sum insured to the insured value.

Liability insurance refers to an insurance the subject matter of the insurance of which is the insured's liability to indemnify a third party pursuant to laws.

The insurer shall issue to the applicant, on a timely basis, an insurance policy or any other insurance certificate which indicates the terms and conditions as agreed by both parties.

If the insured, without the insurer's consent, waives the right of indemnity against the third party after indemnity is made by the insurer, the waiver of the insured shall be regarded as invalid.

An applicant may be the insured.

Article 28 When an insurer transfers part of its accepted business to another insurer by way of cession, it is referred to as reinsurance.

The Ministry of Finance monitors persons trading in precious metals and precious stones, insurance and reinsurance companies, mutual assurance associations and insurance brokers

Article 45 If the insured waives the right of indemnity against the third party after the occurrence of the insured event and before the insurer making the indemnity, the insurer shall bear no obligation for indemnity.

Article 63 In the event of the death of the insured, the payment of the insurance benefits shall be treated as part of the estate of the insured, and the insurer shall pay the insurance benefits to the legal heirs of the insured, if

In the event that the applicant has paid the premiums for less than two years , the insurer shall return the premiums to the applicant with the expenses deducted therefrom.

An insured event refers to an event falling within the scope of cover under the insurance contract.

falsely alleging the occurrence of an insured event which in fact has not occurred, whereupon an insurance claim is fraudulently made

Article 65 When a contract stipulates death as the prerequisite for the payment of the insurance benefits then the insurer shall have no obligation for the payment of the insurance benefits if the insured commits suicide, except for the event stipulated in paragraph two of this Article.

In the event that an applicant requests the termination of the contract subsequent to the commencement of the insurance liability, the insurer may retain the premiums for the period from the commencement of the insurance liability to the date of the termination of the contract, and shall return the balance of the premiums to the applicant.

Article 13 Once an insurance contract is formed, the applicant shall pay the premium in accordance with the terms and conditions of the contract and the insurer will be at risk effective from the date as specified in the insurance contract.

Article 31 The insurer or the reinsurer shall be obligated to maintain confidentiality of information obtained in the course of conducting insurance business regarding the business and financial position of the applicant, the insured or the ceding insurance company.

With respect to life insurance, the rights of the insured or the beneficiary to claim for payment of the insurance benefits shall expire if the insured or the beneficiary fails to exercise his her rights to claim within five (5) years from the date when the insured or the beneficiary is aware of the occurrence of the insured event.

Article 9 An insurance contract is an agreement whereby the insurance rights and obligations are specified and agreed by the applicant and the insurer.

Article 29 The reinsurer shall not demand payment of premiums from the applicant of the direct insurance.

The insured or the beneficiary of the direct insurance shall not claim for the indemnity or payment of the insurance benefits from the reinsurer.

An insurer shall not concurrently engage in business of both property insurance and insurance of persons.

Activities of insurance companies, brokers and auxiliary services.

Should there be any amendments to the insurance contract, then the insurer shall endorse the original policy or any other insurance certificate, or issue an endorsement slip attached to the insurance contract or insurance certificate, or have a written agreement of amendment with the applicant.

(iii) Management and coordination of all life, health, property and liability insurance activities study of alternative insurance plan structures, as needed, in the light of developments in worldwide insurance markets

Article 33 Joint stock insurance companies, joint stock insurance holding (group) companies, exclusively foreign funded insurance companies and Sino foreign joint venture insurance companies shall be subject to the present Guidelines, while exclusively state owned insurance companies, branches of foreign insurance companies and insurance assets management companies shall be under the present Guidelines by analogy.

If an applicant negligently fails to perform his her obligation of making a full and accurate disclosure and this materially affects the occurrence of an insured event before the termination of the contract, the insurer shall bear no obligation for making any indemnity or payment of the insurance benefits but may return the premiums paid.

If the applicant, the insured or the beneficiary intentionally causes the occurrence of an insured event, except as under the first paragraph of Article 64 of this Law, the insurer may terminate the insurance contract, bear no obligation for indemnity or payment of the insurance benefits and decline to return the premiums paid.

If, however, the applicant has paid premiums for two (2) years or more, the insurer shall return the cash value of the policy to the insured in accordance with the contract.

Each insurance company, insurance assets management company and insurance regulatory bureau

Article 40 In the event of double insurance, the applicant shall notify all the insurers concerned of relevant information with respect to such double insurance.

Article 26 With respect to insurance other than life insurance, the rights of the insured or the beneficiary to claim for indemnity or payment of the insurance benefits shall expire if the insured or the beneficiary fails to exercise his her rights to claim within two (2) years from the date when the insured or the beneficiary is aware of the occurrence of the insured event.

If any applicant intentionally fails to perform his her obligation of making a full and accurate disclosure, the insurer shall bear no obligation for making any indemnity or payment of the insurance benefits, or for returning the premiums paid for the occurrence of the insured event which occurred prior to the termination of the contract.

Article 39 The insured value of the subject matter of the insurance may be agreed by the applicant and the insurer, and specified in the contract or it may be assessed based on the actual value of the subject matter of the insurance at the time of the occurrence of the insured event.

The applicant shall make a full and accurate disclosure.

If the insured fails to fulfill the obligation of notice stipulated in the preceding paragraph, the insurer shall bear no obligation for indemnity of the insured event which occurs due to the increased risk to the subject matter of the insurance.