Insurance watchdog takes action 
2019-07-26
China’s Banking and Insurance Regulatory Commission said 20 property and casualty insurance companies have been ordered to stop selling some products and make changes.
This includes 11 underwriters who have been banned from filing new products with the commission for between three and six months.
To standardize product development and management among general insurance firms and protect the rights and interests of policyholders, the industry watchdog recently inspected the terms and rates of 1,500 policies that have been filed for regulation, including homeowner, liability and temporary health insurance policies.
Regulators found some unclear clauses over coverage and the responsibility of insurers.
Some short-term health cover misused concepts like “automatic renewal” or “lifetime limit” for long-term protection, while some clauses related to health insurance or liability insurance even referred to standards for disabled assessment that have been abolished.
Some medical clauses did not say whether the insured has state medical insurance or not. And some insurers did not fully explain rates and adjustments.
