Discussion On The Developing Model Of The Environmental Pollution Liability Insurance In China

The remarkable trend of Industrialization and urbanization results in a tremendous change in human habit. Apparently, Economic growth enhances the standards of human life while associated environmental pollution has been a serious threat to human activities. Moreover, from the perspective of environmental tort, environmental pollution will cause property damage to the third party, personal injury, as well as other direct or indirect injuries. Legally, enterprises that cause the damage should bear the civil liability. However, in practice, the financial capability of those enterprises is not sufficient to cover the expense related to pollution damages occasionally. Resulting in their bankruptcy, liability to compensation for the victims, and other government financial burden. To solve this problem, the environmental pollution liability insurance has been generated, triggering increasing attention in academic area.In foreign countries, the development of environmental pollution liability insurance has experienced three stages:commencement, stagnation and development. Currently, it is in a prosperous stage and accumulates beneficial experience. By contrast, In China, environmental pollution liability insurance constantly experiences exploration. A series of arguments about development model have also been discussed among various researches,, such as the best mode and organizations to underwrite. According to that, This paper tries to explore the development mode of China’s environmental pollution liability insurance, aiming at promoting the development of environmental pollution liability insurance in China.The main idea of this paper is to summarize the results of previous researches, especially some cooperating development experience from abroad., coordinate the current situation of environmental pollution liability insurance in China, and finally contribute to propose some corresponding countermeasures and suggestions for future. Regarding to the organization of this paper, The beginning is an abstract that briefly introduces the research purpose and significance, literature review, research methods, and the structural arrangements.The first chapter is the Urgency and Feasibility of Developing Environmental Pollution Liability Insurance. Specifically, At first, referencing a case of the haze in Beijing, this chapter briefly identify the concepts of Environment, Environmental Pollution and Environmental Pollution Liability Insurance. Then, it emphasize the urgency of implementing environmental pollution liability insurance. Since China is now suffering from a great amount of loss caused by environmental pollution. Finally, it analyses the feasibility of the implementation in our country, which is based on the practices and theories illustrated by comparing the supply and demand in insurance market.The second chapter is a Study of the Current Situations and the Problems of Environmental Pollution Liability Insurance in Experimental Units. Firstly, it presents the history of the environmental pollution liability insurance in China and the current situations in other experimental units. Secondly, it finds out that the compensation for pollution damages is insufficient. Majority of Studies claim that our existing laws on environmental pollution liability insurance lack institutional supports and specific legislation, In addition, most of companies operate this insurance product following an improper strategy, which certainly leads to some negative customer satisfaction and a small market scale. Moreover, the limited operation capacity absolutely influences the risk assessment and loss mechanisms identified technics, thus there are significant barriers for both to reach a reasonable standard in a long time.The third chapter is the Study and Experience of Environmental Pollution Liability Insurance Abroad. In this chapter, it classifies and summarizes the experience of establishing an environmental pollution liability insurance system in several counties, including the mode of execution, organizations to underwrite, insured liability and time to claim. Besides, on this basis, it summed up some experiences focusing on the development of environmental pollution liability insurance abroad. Firstly, the mode of execution gradually turns from voluntary to enforcement. Secondly, the organizations to underwrite turns form single insurance companies to specialized agencies. Thirdly, the insured liability turns from the accidental pollution to gradual pollution.The fourth chapter is the Corresponding Countermeasures to Promote the Development of China’s Environmental Pollution Liability Insurance. Considering existing problems in China, the revelation of foreign countries, and our current situations as mentioned above, this paper suggests five approaches to promote the development of environmental pollution liability insurance. It is a foundation to improve the social environment, including some special legislations and other relevant supporting policies. Secondly, incentivize all enterprises which may cause environmental pollution participating in an insurance alignment. Thirdly, we should choose single insurance companies to underwrite accompanying with the integration insurance companies. Finally, in order to constitute an integrated framework of environmental pollution liability insurance development, it’s also necessary to expand the scope of liability and to enhance the operating capability.The innovation of this paper is it tries to discuss the way to develop environmental pollution liability insurance rapidly from the aspects of social environment, mode of executive, underwriting agencies, scope of liability and operational capacity. It’s logically constructed and convictive that it based the original views on the experiment in Sichuan Provincial. Furthermore, it is standing at the dynamic perspective, which refers to combined with the current situation. The conclusion focuses on the direction of environmental pollution liability insurance in the future. It’s significant to analyze the reality and theoretical together.Nevertheless, the shortages of this paper is the deficiency of sufficient analyzing data. Specifically, on One hand is the lack of operating data of environmental pollution liability insurance in foreign countries, so that it is difficult to identify whether environmental pollution liability insurance can help the third party to protect their legal rights for obtaining compensation. On The other hand, it is the lack of operating data in our country. Therefore, to some extent, the research findings have some limitation in applying comprehensively...