AUTHORITIES CONSIDER NEW CHINESE INSURANCE INVESTMENT RULES

THE Chinese authorities are reviewing laws that could allow the country’s insurers to invest in the real estate sector. Currently China’s insurers are only allowed to put their money into government and financial bonds, but the industry watchdog China Insurance Regulatory Commission (CIRC) said proposed new rules would expand the investment scope to include bonds, stocks, funds and real estate. Real estate in particular is seen as an attractive target for investment as it provides for long-term opportunities. According to the China Daily, members of the Financial and Economic Committee who were examining the proposals also suggested that fundamental principles on catastrophe insurance should be included in the draft in the wake of the swathe of disasters impacting the country this year alone.