Basic requirements of related party transactions of insurance companies

The Measures for the Administration of Related Party Transactions of Insurance Companies require insurance companies to maintain business independence, reduce the number and scale of related party transactions, and improve market competitiveness. Related party transactions should also have a clear structure to avoid complicated arrangements, such as multi-layer nesting. An insurance company shall not evade the obligation of regulatory review, reporting and disclosure of related party transactions by concealing the relationship between related parties or by other means.

Proportional requirements for related party transactions

The balance of investment of an insurance company in all related parties shall not exceed 30% of the total assets and net assets of the insurance company at the end of last year; Investment in unlisted equity assets and real estate assets. In the book balance of financial assets and overseas investment, the investment in related parties shall not exceed 50% of the above-mentioned asset investment limit; The total investment balance of a single related party shall not exceed 15% of the total assets of the insurance company at the end of last year. Investing in financial assets, where the basic assets involve the wealth management products of the controlling shareholder or related parties of the controlling shareholder, its share shall not exceed 60% of the total product issuance, etc. Among them, the investment amount of the insurance company and its holding subsidiaries shall be calculated together and meet the above-mentioned proportion requirements.