CCTV News: According to the WeChat official account of the State Administration for Financial Supervision, in order to further strengthen the supervision of insurance groups and improve the risk management capabilities of insurance groups, the State Administration for Financial Supervision recently issued the "Guidelines for the Supervision of Insurance Group Concentration Risks" (hereinafter referred to as the "Guidelines").
The Guidelines adhere to problem-oriented and goal-oriented approaches, focus on gradual progress, and learn from international regulatory rules, aiming to guide insurance groups to establish prudent business philosophy, strengthen concentration risk management, and effectively maintain the bottom line of no systemic risks.
The Guidelines have 5 chapters and 28 articles, including 5 parts: General Provisions, Concentration Risk Management System, Concentration Risk Management Policy and Procedures, Management Information System and Report Disclosure and Appendix. The main contents include clarifying the principles of concentration risk management, standardizing the concentration risk management process, promoting insurance groups to establish a multi-dimensional indicator and limit management system, and improving information disclosure and reporting systems.
The "Guidelines" clarify the concentration risk management standards of insurance groups and provide systematic guidance for insurance groups. It is of great significance to improve the concentration risk management capabilities and levels. It is a powerful measure to further improve the effectiveness of supervision and promote insurance groups to strengthen risk management. In the next step, the State Administration for Financial Regulation will steadily promote the implementation of the "Guidelines" and promote high-quality development of the industry.
