China's insurance industry faces six big challenges

On June 26th the State Council published "Several Proposals of the State Council on the Reform and Development of the Insurance Industry". Xinhua News Agency was authorized to broadcast the full text of this "Proposal".

The "Proposal" suggested that a modern insurance industry should be established, with complete market system, wide coverage of services, operating according to honest standards, adequate reimbursement ability, strong comprehensive competitive capability, fast development and unified quality and benefit.

To realize this goal, six big missions need to be addressed:

To perfect the insurance market system by broadening the insurance service domain and developing insurance of life and property, the reinsurance and the intermediary insurance market;

Continue to deepen the mechanism's reform, improve the governing structure and promote the quality and level of opening up, to enhance international competitive power and ability for sustainable development;

Advance independent innovation, optimize structure, transform the growth pattern, and unceasingly raise the level of service;

Strengthen the management on utilization of capital and lift the quality of capital's utilization to provide capital support to national construction;

To protect the legitimate rights and interests of the insured by enhancing and improving supervising and managing, avoiding and lowering risk;

To perfect laws and regulations, popularize insurance knowledge, speed up the construction of a safe credit system, impel the establishment of good faith, and build a sound development environment.

People's Daily Online