On The Legal Supervision Of Investment Of Insurance Funds

The investment of the insurance funds and the insurance business are called the two important driving wheels of the insurance field, the status of the investment of the insurance funds is very important to the insurance funds is very important to the insurance company, the policy holder and the society. From the year 2005, CIRC (China's Insurance Regulatory Commission) had started to reform the regulation of the insurance funds investment and do a lot of legislation works; however, the Agencies Regulation style leads to many disadvantages to the investment of the insurance funds, such as the investment process is too complicated, and the regulations and laws are not very flexible which conflict to the basic principle of the capital market, thus, in order to promote the regulation level and also to suit the international financial regulation trend, these should use some useful methods and ways of the Functional Regulation style, such as corporate with other authorities. The first part of the paper shows these three parts of contents: the main means of the Functional Regulation and Institutional Regulation; the advantages and disadvantages of the Functional Regulation and Institutional Regulation; the examples of the nations of the two regulation styles. The main contents of second part are the history of the regulation of the investment of the insurance funds in China; the innovations CIRC have made these years and the disadvantages which still exist. The third part mainly from the perspective of functional regulation, make relevant recommendations for improvement.