Insurance Association of China responds to GFIA's comments regarding C-ROSS

On March 11, the GFIA received a letter from President Zhu Jinyuan of the Insurance Association of China (IAC) responding to the GFIA's three letters concerning the draft China Risk Oriented Solvency System (C-ROSS) on cessions to international reinsurers. While the IAC affirmed non-discriminatory treatment toward international reinsurers, there remain several areas on which the GFIA will seek further clarification. These include: confirmation of non-discriminatory treatment of branches of international reinsurers versus Chinese subsidiaries of international reinsurers; clarification of solvency regulations for foreign ceding-in reinsurers; rules requiring a 30 year seasoning requirement fo foreign reinsurers establishing domestic subsidiaries in China; and streamlining the quarterly registration requirement for cross border reinsurance.

IAC's reply to GFIA letters.pdf