Since the beginning of this year, affected by the epidemic, insurance practitioners have accelerated their marketing of insurance products through live broadcasting, WeChat Moments, public accounts and short videos, leading to profound changes in the form of industry exhibition. At the same time, some marketing messes have emerged. Recently, the regulatory release of heavy documents, live broadcast, circle of friends and other new media end selling insurance ushered in strong supervision.
On December 14, the China Banking and Insurance Regulatory Commission (CBRC) issued the Measures for the Supervision of Internet Insurance Business (hereinafter referred to as the “Measures”), which will take effect on February 1, 2021. The Measures strengthen the principle of licensed operation and strictly regulate the Internet insurance marketing.
Big child insurance services executive vice president, fast insurance technology CEO Li Xiaojing told “Securities Daily” reporter, “measures” favorable to the development of the Internet insurance industry. In recent years, many new ways have emerged in the field of Internet insurance sales, but there is also a chaos similar to the fact that an agent can sell insurance on multiple platforms. With the introduction of new regulatory measures, Internet insurance marketing will be more standardized and orderly.
Internet insurance marketing will be more standardized
Days the wind in the summer of securities analyst changsheng thinks, in recent years, insurance brokers and agencies from personnel of course of study generally by WeChat circle of friends, the public, WeChat group, weibo, short video, live broadcast, such as marketing, all kinds of insurance from the media (mostly not licensed institutions) by comparing provide insurance consulting, insurance products, such as traffic behavior got quite a few online insurance, and to the insurance company by the generation of diversion, and a variety of Internet forms have been defined in the current policy on strong regulatory, industry competition pattern to the good trend further defined.
Specifically, the Measures strictly regulate the publicity of Internet insurance: First, practitioners should carry out Internet insurance marketing publicity within the authorized scope of insurance institutions; Second, the marketing publicity content issued by the employees should be uniformly produced by the insurance institutions of their ownership; Third, the employees should indicate the full name of the insurance institution, personal name, practicing license number and other information in a prominent position on the marketing publicity page.
In recent years, a large number of third-party technology and traffic platforms have publicized and sold insurance in the form of live broadcasting and new media. With the introduction of new regulations, this field will become standardized.
The Measures added “Internet companies that have obtained the insurance agency license according to law” to the approved types of insurance institutions, meaning that Internet companies can directly apply for the insurance agency qualification. However, Internet enterprises that apply for agency marketing qualification need to have strong compliance management ability, scene and flow advantages, information technology strength, etc.
As for the self-operated network platforms of licensed institutions, the regulation has made it clear that the network platforms established by branches of insurance institutions and non-insurance institutions that have equity and personnel relations with the insurance institutions do not belong to the self-operated network platforms. In addition, the regulation requires that professional insurance intermediaries carrying out Internet insurance business should be national institutions, whose business area is not limited to the province (autonomous region, municipality directly under the central government, or city separately listed in the state plan) where the parent company’s business license is registered.
Li Xiaojing said to reporters, “method” to the insurance industry is a good news. Before the promulgation of the Measures, there were still some areas in the market that were not regulated. With the introduction of the new regulations, the Internet insurance market will be more standardized and orderly. There are three main influences on the industry: one is that insurance agents “go back to their homes”. Previously, one agent could sell insurance on multiple platforms, which caused regulatory difficulties. After the implementation of the new regulation, agents could “go home”, which is good for the industry. Second, we standardized the sale of insurance on third-party platforms. In the past, some technology platforms also sold insurance, but from the perspective of the nature of the company, they were not regulated. After the new regulation, all institutions selling insurance must be licensed to operate. Third, the new regulations will encourage some insurance institutions to increase investment in their own technology platforms.
Wang Min, executive deputy general manager and secretary of the board of directors of Zhongan Insurance, also said that the introduction of the Measures provides favorable conditions for the establishment of the macro environment for the internet-based production relations of the insurance industry, and lays a solid foundation for the acceleration of the digitalization and online transformation of the insurance industry. The first is to clarify the subject qualification, sales behavior, service ability and other regulatory requirements to promote the development of industry norms; Second, to improve user experience and respond to diversified insurance consumer demands by standardizing Internet insurance after-sales service through the whole process, and effectively protect the rights and interests of insurance consumers; Third, the industry is required to enrich the level and connotation of insurance products from the real needs of customers and develop commercial insurance that people really need. This method not only delimits the rigid bottom line, but also sets up the flexible boundary, reserving sufficient space for development. It is believed that the introduction of the method is of great significance to the benign and standardized development of the whole industry and the regulatory upgrading and innovation of the global insurance industry.
A number of insurance enterprises marketing is not in compliance with the penalty
In fact, since this year, the Banking and Insurance Regulatory Commission has continued to strengthen the compliance operation of the Internet insurance of insurance enterprises. Before the introduction of the Measures, a number of insurance enterprises have been punished.
On December 10, Jilin Banking and Insurance Regulatory Bureau released administrative punishment information, showing that the sales staff of a large listed insurance company Changchun Erdao Branch had violated the rules by publishing misleading statements and advertising through the “WeChat” circle of friends, and the organization was warned and fined 10,000 yuan.
In July this year, according to the Qingdao silver protects inspect bureau issued a penalty function, is a medium-sized life insurance company financial data is not real, staff through WeChat circle of friends for violation of law and misleading propaganda, Qingdao silver protects inspect bureau to make a rectification, and be fined 150000 yuan of the administrative punishment decision, related practitioners be warned and fined 10000 yuan.
In January 2020, hubei silver protects inspect bureau announced on a bank of insurance companies in hubei branch of the relevant punishment, among them is pointed out that part of the staff in the circle of friends published: “xin FengRui, very good products, listed” blockbuster “if you want to save half of the money to buy more comprehensive, please direct messages I” information, such as there will be different insurance company insurance products, the one-sided comparison cheat policy-holder, promised to give policy-holder beyond the interests of the insurance contract, the staff was hubei silver protects inspect bureau to carry out punishment.
With the introduction of the Measures, the misleading phenomenon of insurance sales through WeChat Moments, short videos and live streaming platforms is expected to be further curbed.
Hui choose insurance brokers singularity institute chief researcher Ma Xiao for “securities journal” reporter, said the “method” for the key to the holder of a licensed institutions and personnel behavior made clear specification, including the disclosure of information, marketing management, transaction must be finished on proprietary platforms, dating back trading process, may not be the default check, shall not be restricted to cancel the automatic deduction, etc., greatly contributed to the protection of consumer rights and interests.
(Source: Securities Daily)