March 14, the Shanghai municipal government issued the official office of the Shanghai Municipal People's government to implement the "State Council on speeding up the development of commercial endowment Insurance," the implementation of Views .The implementation opinion is clear, supports the commercial insurance organization to help the Endowment service industry, promotes the commercial Endowment insurance fund to promote the Shanghai economic social development, including positively studies the insurance organization to set up the Endowment service organization the support policy.

Specifically, the implementation of the opinion is clear, supporting the commercial insurance institutions to invest in the pension services industry. To encourage the commercial insurance organizations to actively participate in the comprehensive reform of the pension services in Shanghai, and to support the commercial insurance institutions to invest in the pension community and other forms of pension health service institutions.

Further implement the land use guarantee policy and optimize the examination and approval formalities, allowing the commercial insurance organizations to use the stock property to set up the Endowment Service institution in accordance with the relevant provisions of the State without changing the nature of the lands.

In accordance with the requirements of encouraging social forces to participate in the pension service industry, the paper actively studies the supporting policies of the establishment of endowment services by commercial insurance institutions and enlarges the support.

Secondly, the development of special comprehensive liability insurance. To support commercial insurance institutions to develop comprehensive liability insurance for pension institutions, Community endowment service institutions, nursing homes (stations), senior citizens leisure activities organizations, etc.

We should give full play to the supporting role of financial policy, support nursing service institutions and pension service institutions to participate in comprehensive liability insurance, comprehensively covering and effectively reducing the operational risks of service organizations.
We encourage commercial insurance institutions to develop special liability insurance for the development, production and marketing of old-age supplies and to enrich the supply of old-age supplies.

Third, to guide the commercial Endowment insurance funds to serve the economic and social development of Shanghai. We should give full play to the role of long-term and steady investors of commercial insurance institutions and encourage commercial endowment insurance funds to participate actively in Shanghai local major projects and people's livelihood projects through various forms of investment.

Adhere to the "risk-controllable, the principle of commercial sustainability, supporting qualified commercial insurance institutions to invest in emerging services and technology enterprises, small and medium-sized enterprises, strategic emerging industries, new forms of living services, and other fields, to encourage the use of commercial endowment insurance funds to participate in the state-owned enterprises mixed ownership reform to serve the real economic development.

Four, prudent development of commercial endowment insurance funds foreign investment and cooperation. Under the precondition of legal regulation and risk control, it is convenient for the eligible commercial endowment insurance funds to carry out overseas market investment through the FTA.

Commercial insurance institutions are encouraged to improve the asset allocation capacity of commercial insurance institutions in the context of the reform process of the capital account convertibility and foreign exchange Management system in the FTA.

To promote the coordinated development of the commercial Endowment Insurance and Shanghai's financial element market. To support qualified commercial insurance institutions to strengthen the linkage with the Shanghai Insurance Exchange, Shanghai Stock Exchange, Shanghai United property market and other financial factors markets through the establishment of private equity and the issuance of assets securitization products and other innovative forms.

Through the financial factors market, the paper probes into the diversification of the longevity risk, catastrophe risk, interest rate risk, credit risk and reinvestment risk of the commercial endowment insurance to promote the long-term and steady operation of the commercial endowment insurance.
Source: China Securities Network 2018-03-19