The Legal System Of Bancassurance In China

Bancassurance is a newly-developed insurance. According to OECD’s report in2000on The Worldwide Financial Service Integration:Future and Problems, bancassurace refers to the act that either a bank sells insurance services or an insurance company sells bank services. Bancassurance, judged from what it was at the beginning, is to sell insurance services by means of such financial organizations as banks. So far, this concept has been widely accepted by the financial world, and it, in practice, is also in accordance with the present development of bancassurance in China.Nowadays, the marketing of bancassurance in China lacks regulation. In order to maximize their profits, insurance companies and banks, under the extensive management model, ignore and even impair their clients’rights and interests, which have posed a threat to their reputation. Although many regulations have already been issued to keep bancassurance market in order, complaints about bancassurance services are getting increased. Therefore, in the long run, it is necessary to establish a sound law system for bancassurance.To begin with, this paper discusses the origin and the development of bancassurance in China, analyses regulations for and the existing problems in it. Then by absorbing the advanced laws and regulations and their practical experience, this paper attempts to provide some advice for the development of bancassurance in China, thus to protect further the depositors’interests, and to make the financial world better serve the society.To be specific, this paper is divided into three parts as the following.The first part introduces the example of case and puts forward the existing problems. After giving the basic information about the case in which Guo sued respectively the Construction Bank of China Yunnan Branch and Taikang Insurance Company Yunnan Branch, it analyses the focus of arguments in this cases, and then points out the related legal problems, namely, the legal system of bancassurance.The second part involves mainly the analysis of problems in bancassurance services. By means of discussing the concept of bancassurance and its origin, it gives a detailed investigation about the development pattern and nature of bancassurace. Based on the aforementioned, it finally analyses the existing problems of bancassurance services in China.In the third part, the author proposes some advices for the development of the bancassurance legal system in China. According to the present condition, it points out the focus in regularizing of bancassurance legal system, upon which some advice are put forward for the related legislation.