Chinese Purchases of Hong Kong Insurance Under Further Scrutiny
- Insurance commissioner in talks with industry participants
- Purchases by mainland Chinese rose 30 percent last year
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Chinese insurance purchases in Hong Kong are under further scrutiny, with the city’s regulator saying it’s in talks with industry participants on new rules to protect the surging numbers of buyers from the mainland.
“It is necessary to enhance protection of the mainland buyers,” who may not understand the potential risks before signing contracts, the Office of the Commissioner of Insurance said in an e-mailed statement late Monday. Chinese purchasers of Hong Kong policies will be required to sign an acknowledgment that they understand the key elements of the policy they are buying, the regulator said, adding that it expects to implement the new rules in the second half of the year.